Greentown Service Group (2869) H2 2024 earnings summary

Executive summary

• Revenue grew 6.5% year-over-year to RMB18,527.8 million, with profit attributable to equity shareholders up 29.7% to RMB785.1 million.

• Gross profit increased 9.7% to RMB3,196.7 million, and gross margin improved to 17.3%.

• Managed gross floor area reached 509 million sq.m, up 13.5%, with 3,554 projects across 202 cities.

• Cash and cash equivalents rose 7.1% to RMB4,853.9 million; time deposits surged 199.5%.

Financial highlights

• Property services revenue rose 11.7% to RMB12,401.3 million, accounting for 66.9% of total revenue.

• Community living services revenue fell 5.5% to RMB3,373.2 million; consulting services up 5.1% to RMB2,412.0 million.

• Technology services revenue declined 20.3% to RMB341.2 million.

• Core operating profit increased 22.5% to RMB1,587.5 million.

• Net profit margin improved to 4.7% from 4.1% year-over-year.

Outlook and guidance

• Focus remains on high-quality development, digital transformation, and expanding core service offerings.

• Management expects continued growth in property services and consulting, with technology services targeted for product standardization and customer optimization.