Hollwin Urban Operation Service Group (2529) H2 2024 earnings summary

Executive summary

• FY2024 revenue rose 4.9% YoY to RMB683.5m; gross profit increased 13.5% to RMB172.3m, while profit for the year was broadly stable at RMB71.5m.

• Gross margin expanded 1.9 percentage points to 25.2%, supported by cost-efficiency initiatives; property management growth offset lower urban services revenue.

Financial highlights

• Revenue was RMB683.5m versus RMB651.9m in 2023; cost of sales increased 2.2% to RMB511.2m.

• Gross profit rose 13.5% to RMB172.3m; operating profit was RMB90.6m versus RMB88.6m, and profit before tax reached RMB95.1m versus RMB93.0m.

• Net profit was RMB71.5m versus RMB70.2m; attributable profit was RMB71.9m versus RMB70.2m.

Outlook and guidance

• 2025 priorities include selective expansion in Hunan and with independent customers, better service quality, technology investment, operating efficiency, cybersecurity and stronger governance.

• Plans include leveraging CSUD Group project reserves, expanding smart-service solutions and integrating ESG initiatives; no quantified financial guidance was stated.