Onewo (2602) H1 2025 earnings summary

Executive summary

• Revenue for the six months ended June 30, 2025, increased by 3.1% year-over-year to RMB18,137.5 million, with recurring businesses contributing 89.9% of total revenue and growing 9.5% period to period.

• Gross profit rose 3.8% to RMB2,492.9 million, with a stable gross margin of 13.7%.

• Profit for the period grew 5.4% to RMB837.8 million, and core net profit increased 10.8% to RMB1,321.1 million.

• The board recommended an interim dividend of RMB1,100 million (RMB0.951 per share, including tax).

Financial highlights

• Community space living consumption services revenue rose 11.8% to RMB11,325.0 million.

• Commercial and urban space integrated services revenue declined 5.2% to RMB5,748.7 million due to a strategic reduction in developer-related business.

• AIoT and BPaaS solution services revenue fell 23.6% to RMB1,063.8 million, with AIoT solutions down 66.2% but BPaaS solutions up 9.0%.

• Administrative expenses decreased by 8.0% to RMB885.8 million, with the expense ratio down 0.6 percentage points to 4.9%.

• Cash and cash equivalents stood at RMB10,937.0 million as of June 30, 2025.

Outlook and guidance

• The company will focus on capacity building from 2025-2027, advancing strategies in asset service, intelligence, and low carbon, including Onewo Town+, Commercial Enterprise Service+, and Ecosystem+.

• Flexible pricing and value-aligned property services, along with technology integration, are expected to drive new growth in residential markets.

• Expansion into intelligent finance and healthcare is planned for the ToB business.