Greentown Service Group (2869) investor relations material

Executive summary

• Revenue for H1 2026 reached RMB9,870.9 million, up 6.3% year-over-year, with core operating profit rising 16.3% to RMB1,249.0 million and net profit up 15.1% to RMB723.6 million; profit attributable to equity shareholders rose 15.2%.

• Property services remained the largest contributor, accounting for 74.0% of revenue, with managed GFA expanding 8.2% to 580.3 million sq.m. across 194 cities; community living services declined and consulting services were stable.

• Gross profit margin improved to 20.0% (+0.5ppt), and net profit margin rose to 7.3% (+0.5ppt), reflecting effective cost control and operational efficiency.

• The company continued to invest in technology, service innovation, and employee welfare, launching new product lines for elderly and children, and advancing "Deep Service" and "Lighthouse" AI initiatives.

• The Group maintained ample liquidity and a sound financial position, despite a seasonal decrease in cash balances.

Financial highlights

• Revenue: RMB9,870.9 million (+6.3% y/y); gross profit: RMB1,969.1 million (+8.9% y/y); net profit: RMB723.6 million (+15.1% y/y); EPS: RMB0.225 (+15.4% y/y).

• Gross profit margin: 20.0% (+0.5ppt y/y); net profit margin: 7.3% (+0.5ppt y/y).

• Core operating profit: RMB1,249.0 million (+16.3% y/y); net finance income: RMB42.6 million (+23.0% y/y); profit attributable to equity shareholders: RMB706.3 million (+15.2% y/y).

• Cash and bank balances: RMB6,558.8 million as of 30 June 2026; current ratio: 1.44x; net cash per share: RMB1.43.

• Interim dividend: none declared; final and special dividends for FY2025 paid in July 2026, totaling RMB653.5 million.

Outlook and guidance

• The company will adhere to its "Four Unwavering Principles": service quality, employee development, market-driven growth, and high-quality, efficient performance.

• Focus remains on vertical integration, horizontal expansion, and leveraging technology and AI to address industry challenges and drive sustainable growth.

• Prudent expansion strategy, emphasizing quality over volume and risk control in new projects.