S-Enjoy Service Group (1755) H1 2025 earnings summary

Executive summary

• Revenue for the six months ended 30 June 2025 was RMB2,319.0 million, down 16.3% year-over-year, with declines across all business segments, especially developer-related value-added services.

• Profit attributable to owners was RMB85.4 million, a 71.7% decrease year-over-year; net profit margin fell to 4.1%.

• Net cash generated from operating activities improved to RMB38.3 million, up 85.9% from the prior year.

• Trading in shares remains suspended since 1 April 2025 due to ongoing investigations and auditor changes.

Financial highlights

• Property management services revenue was RMB1,786.0 million (-6.4% YoY), community-related value-added services RMB494.7 million (-23.4% YoY), and developer-related value-added services RMB38.3 million (-82.3% YoY).

• Gross profit was RMB470.3 million, down 37.6% YoY; gross margin declined to 20.3% from 27.2%.

• Administrative expenses decreased 12.8% YoY to RMB193.3 million.

• Earnings per share (basic and diluted) were RMB0.10, down from RMB0.35 YoY.

• No borrowings or asset pledges as of 30 June 2025.

Outlook and guidance

• Management expects improved operational performance in the second half of 2025, driven by new service initiatives and increased employee incentives.

• Focus remains on optimizing project portfolios and business structure to address industry risks and maintain customer satisfaction.