YUEXIU SERVICES (06626) released its interim results for the first half of 2026 on August 24, delivering a performance marked by steady growth and improved quality amid an industry-wide slowdown and increasing market divergence. During the reporting period, the company achieved revenue of RMB 1.915 billion, maintaining a consistent growth trajectory, with profit attributable to shareholders reaching RMB 224 million. The board has recommended an interim dividend of RMB 0.089 per share, representing a year-on-year increase of 12.1%, with the payout ratio rising to 60%.
Since the start of 2026, policy tailwinds have continued to strengthen the sector: the "Property Service Quality Improvement Initiative" has been included in the national "15th Five-Year Plan" for the first time, the inventory land revitalization mechanism is expanding demand for real estate operations, and property services have been formally incorporated into the national consumption expansion framework. These converging policies point toward a new industry direction centered on upgrading existing asset operations and enhancing service value, providing clear policy support for high-quality development—an approach that aligns closely with Yuexiu Services' strategic priorities.
Jiang Guoxiong, Non-Executive Director and Chairman of the Board of Yuexiu Services, stated: "Facing both opportunities and challenges from industry transformation, the company will adhere to its core annual theme of 'refined services, management innovation, structural optimization, and resilient advancement.' We will remain anchored in customer value and operational efficiency, solidifying our foundational service base, precisely accelerating market expansion, amplifying the second growth curve of value-added services, and deepening digital and intelligent empowerment across all operations. Through a comprehensive and systematic approach, we aim to build differentiated competitive advantages, steadily advance high-quality sustainable development, and strive toward our goal of becoming a 'trusted leader in smart city services.'"
Property Management Revenue Approaches 60% of Total; Zero Debt and High Dividend Strengthen Anti-Cyclical Foundation
During the reporting period, the company's revenue structure continued to optimize, significantly enhancing its resilience against economic cycles: core property management revenue grew 17.3% to RMB 840 million, expanding its share of total revenue to 44%; combined core property management and commercial operation/management revenue reached RMB 1.131 billion, up 10.1% year-on-year, representing 59% of total revenue; overall gross margin held steady at 21.5%. With the property management base now accounting for nearly 60% of revenue, income stability and sustainability have been further reinforced, supporting steady full-year revenue growth.
The financial position remains equally robust. As of the end of June 2026, the company held cash and time deposits of RMB 4.970 billion, an increase from the end of 2025; net operating cash inflow for the first half totaled RMB 103 million. The interim payout ratio reached 60%, up 10 percentage points from the same period last year, with earnings per share dividend of RMB 0.089, rising 12.1% year-on-year—delivering tangible returns to shareholders and underscoring the company's confidence in its growth prospects and solid financial strength.
Management of Yuexiu Services indicated that the company will maintain a stable dividend policy, continuing to share operational results with shareholders. Industry analysts note that stable cash flows combined with high dividend payouts are becoming key pillars supporting valuation in the property services sector.
Satisfaction Scores Rise 4.9 Points Against Industry Trend; Exiting Low-Efficiency Projects and Adding Service Value Build Long-Term Reputation
As of June 30, the company's managed area reached 79.82 million square meters, up 8.6% from the end of 2025, with 94% located in first- and second-tier cities, 63% in the Greater Bay Area, serving 340,000 homeowner households. During the period, the company added 11.29 million square meters of newly managed area while proactively exiting 4.94 million square meters of low-efficiency projects, continuously optimizing its portfolio composition.
In the first half, the company's monthly decentralized survey satisfaction score for "four guarantees and one service" reached 88.1 points, up 4.9 points year-on-year—an achievement of counter-trend improvement against an industry backdrop where reputation metrics have generally come under pressure. Behind this reputation lies the comprehensive implementation of standardized service systems: tiered refined management based on the principle of quality-price alignment, with digital AI tools connecting the entire service execution chain to make customer perception more tangible.
Looking toward the AI era, Yuexiu Services has fully deployed its smart property operating system. Built on an H-R-A (Human/Robot/AI) dynamic resource mixing model, the system uses smart work orders to connect the entire project operation cycle, enabling coordinated operation of three core hubs: "customer satisfaction, intelligent workforce, and integrated command." This breaks down traditional information silos in property management, achieving visualization, traceability, and optimization across the entire service process. It effectively frees frontline personnel to focus on high-frequency homeowner needs while making service standards replicable, genuinely enhancing customer service experience and homeowner satisfaction.
Industry recognition corroborates customer口碑: in 2026, the company was named among CRIC's Top 10 Comprehensive Property Service Companies in China and ranked No. 1 in Guangzhou's property service quality by the China Index Academy. Management of Yuexiu Services stated the company will continue its "subtraction" approach to filter out low-efficiency projects and its "addition" approach to accumulate service reputation.
In value-added services, community value-added revenue reached RMB 406 million in the first half. The company has been deepening vertical development around three core needs: space, people, and assets. In space operations, self-owned scattered commercial properties maintained high occupancy of 92% and collection rates of 98%, while completing the brand upgrade of "Siwan Coffee" to version 3.0. Community life services deepened the "online mall + offline forward warehouse" model, enhancing product selection and supply chain capabilities to build a million-level bestseller product matrix. Asset services focused on renovating existing communities and supporting quality delivery of new homes, continuously broadening and optimizing the business layout.
From the demand side, homeowner essential needs in community retail, housekeeping, home improvement, space operations, and asset management continue to release demand, with community consumption upgrading and asset operation enhancement becoming the primary directions for industry value chain extension. Management of Yuexiu Services stated the company will leverage its community proximity advantage and homeowner trust to promote community life service consumption, tap into existing residential upgrade demand, and continue developing self-owned brands, driving value-added services toward an operations-oriented, livelihood-focused model to provide owners with higher quality, more convenient, and more affordable services.
New Contracted Area Up 74.8% Year-on-Year; Strong Operations and Benchmark Projects Create Second Growth Curve
In the first half, the company's market expansion accelerated noticeably, with market-driven capabilities achieving high-quality improvement: newly contracted area reached 10.42 million square meters, up 74.8% year-on-year. Leveraging its non-residential business division, the company successfully secured multiple high-value-added projects, winning bids for benchmark developments including Wuxi Xiake International Cultural Tourism Center, Hangzhou Fushang/Xingshang Tower, Guangzhou-Shenzhen Intercity Railway, and Guangzhou Business Center.
Management stated that future efforts will focus on four premium vertical segments: government agencies, corporate headquarters and industrial parks, financial institutions (banks), and universities, while simultaneously extending to specialized formats such as hospitals, museums, and parks. The approach is to strictly maintain admission standards for quality, focus on core markets to increase density, and deepen format potential to add depth.
Non-residential formats cover diversified complex spaces including office buildings, commercial complexes, public buildings and venues, and transportation hubs, which demand higher comprehensive service capabilities. The company is building a standardized, efficient, and iterable smart property operating system with an integrated management foundation adaptable to different format characteristics, achieving multi-system integration and full-chain digital control. Simultaneously, it has developed a "4+X" value-added service product matrix, identifying 56 deliverable business scenarios spanning engineering services, venue operations, and energy services, forming dual capability support of "technology + products."
In July, the company piloted office building lease-and-operate arrangements, leasing floors 6-11 of Xi'an Huanqiu Trade Center to provide HSBC, a global leading financial institution, with a one-stop solution covering leasing, property management, fit-out, facilities management, and value-added services. This extends service capabilities from "entrusted management" to "independent operation," diversifying revenue and profit sources.
Such benchmark cases are numerous. At the Chen Clan Ancestral Hall in Guangzhou, the company leveraged its independent qualification for docent skill-level certification to build an elite tour guide team, promoting the living heritage of Lingnan culture through professional guided tours. At the Wuxi Xiake International Cultural Tourism Center, the company developed full-scene services tailored to the cultural tourism complex, using the Xu Xiake IP to connect cultural experiences, science education, and resort leisure—empowering project operations while activating project value.
Senior industry analysts observed that the company's expansion focus has comprehensively shifted toward non-residential formats, with enhanced multi-dimensional project evaluation covering profitability, format fit, and long-term growth potential. By concentrating on core cities and formats and increasing regional project density, the company secures stable income from quality B-end clients that can withstand industry cyclical fluctuations, while also opening broader growth space.
Conclusion
Looking toward the "15th Five-Year Plan" period, Yuexiu Services' development path is clear: build a solid foundation through quality, deepen strategic penetration in urban and vertical densities; continuously increase the proportion of commercial office, industrial park, public building, and TOD formats to construct a stable and diversified revenue structure. Policy direction and corporate strategy are now moving in sync, with the industry's competitive logic shifting from "scale expansion" to "quality wins" and from "speed priority" to "capability priority."
Based on this period's performance, Yuexiu Services' development resilience continues to manifest: the property management foundation is being reinforced, service reputation is trending upward, business scope is expanding in an orderly manner, shareholder returns are steadily increasing, and the certainty of operational quality and growth is simultaneously improving. The company has charted a high-quality development path defined by "stability first, quality and efficiency priority," providing a reference "Yuexiu model" for the industry's transformation.