In the first half of 2025, amid macroeconomic pressures and deep adjustments in the real estate industry, China OVS PPT Group delivered a performance report demonstrating both resilience and foresight. During the reporting period, the company achieved operating revenue of RMB 7.089 billion, up 3.7% year-on-year; net profit attributable to shareholders reached RMB 769 million, up 4.3% year-on-year, with continuously improving profitability. Under the strategic framework of "China OVS PPT-style property management modernization," the company demonstrated the strategic focus and development resilience of a leading property enterprise through optimizing business structure, deepening urban service operations, and strengthening technology empowerment.

**Financial Quality: Optimized Profit Structure, Cash Reserves Build Development Foundation**

China OVS PPT's financial performance highlights high-quality growth characteristics. Against the backdrop of slowing industry-wide growth, the company proactively divested 26.8 million square meters of inefficient projects while adding quality management area with 84.0% from independent third parties, driving a net increase of 5 million square meters in managed area to 436 million square meters. This "quality over quantity" strategy lifted gross margin by 0.2 percentage points to 17.0%.

Cash management capability stands out as a prominent advantage. As of the end of June, bank balances and cash reached RMB 5.666 billion, providing sufficient ammunition for strategic transformation. The company maintains prudent financial policies, with short-term unsecured borrowings of only RMB 50 million and a weighted average interest rate as low as 2.7%, maintaining a healthy debt structure. Based on solid cash flow support, the board declared an interim dividend of HK9 cents per share plus a special dividend of HK1 cent, continuously rewarding shareholder confidence.

**Strategic Implementation: Deepening Urban Operator Positioning, Four Roles Building Ecosystem Loop**

China OVS PPT has incorporated "becoming a comprehensive urban space service operator" into its strategic core, driving transformation through four role positioning:

The urban operation service explorer role achieved substantial breakthroughs. The signing of Egypt's New Administrative Capital Central Business District project marks the overseas export of urban service capabilities; domestically, winning bids for Tianjin Dongli District integrated sanitation and Dongguan rail transit projects continues expanding the urban service landscape.

The full industry chain promoter role focuses on four major business segments including property services and smart operations, covering multiple subdivisions such as elevator updates and new energy charging, forming comprehensive solutions from equipment management to energy trusteeship.

Strategic effectiveness manifests in business structure changes, with non-residential projects accounting for 59.0% of new additions, and urban operation projects contributing RMB 4.911 billion in new contract value. Particularly in Hong Kong and Macau, the company achieved 100% coverage of Hong Kong's Agriculture, Fisheries and Conservation Department fresh food wholesale markets and serves 19 public hospitals, with urban service capabilities receiving authoritative validation.

**Industry Position: Consolidating Leading Position in Hong Kong and Macau, Multi-format Business Building Moats**

Market leadership continues strengthening. The company maintains first place in Hong Kong's property management market share, with managed Hong Kong and Macau projects covering landmarks including the Palace Museum Cultural Museum and Police Headquarters, with brand barriers increasingly solid. National coverage spans 163 cities and 2,301 projects, with service formats extending to logistics parks, transportation hubs and other diverse scenarios, far exceeding peers in diversity.

Third-party expansion capabilities validate market competitiveness. 84.0% of new managed area in the first half came from independent third parties, with new signings including key projects like Central South University and Shenzhen Longhua District People's Hospital. This growth model independent of related parties gives the company unique advantages among central enterprise property management groups.

**Technology Exploration: Digitalization Drives Efficiency Revolution, Smart Property Builds New Standards**

The company lists digital transformation as a strategic pillar, focusing on deep transformation in two aspects:

On the operational efficiency dimension, through restructuring organizational architecture and implementing digital application scenarios, sales and administrative expenses decreased 18.6% year-on-year. All 66 benchmark projects accepted in 48 cities nationwide require "high-tech application" attributes, establishing nearly 100 key service indicators and forming replicable smart management templates.

On the other hand, promoting deep integration of technological innovation and business. In smart community scenarios, the "six-in-one" service system integrates convenience terminals and smart home devices; in energy management, projects like Haibo automotive charging piles and garage energy-saving lamp renovations convert technological advantages into emission reduction benefits.

Although specific R&D investment was not disclosed, the financial report clearly positions "smart property construction" as one of three major strategic directions, highlighting the strategic priority of technology-driven development.

**Business Innovation: Structural Upgrade of Value-Added Services, Ecosystem Synergy Opens New Tracks**

Facing weak consumer markets, the company proactively restructures its business model:

On one hand, achieving high-quality transformation through value-added services. Although residential value-added services revenue declined 11.6% due to the broader environment, by increasing the proportion of high-margin businesses like community asset operations, residential value-added services gross margin increased 5 percentage points against the trend to 35.2%. Innovation incubates health and wellness tourism, parent-child education and other lifestyle service categories, responding to silver economy and family consumption upgrade demands.

On the other hand, opening growth space through strategic emerging industry positioning. Around the "one trunk, multiple branches, multi-business synergy" logic, the company breaks traditional property boundaries: developing derivative businesses like second-hand property rental and sales, property certificate processing in property services; exploring contract energy trusteeship models in the energy track, completing 15.2 million square meters of urban operation project expansion in just the first half.

Parking space trading business strategically contracted 62.9%, reflecting determination to focus resources on core tracks.

**Service Quality: "Three Goods" System Reshapes Industry Value, ESG Practices Lead Sustainable Development**

China OVS PPT restructures service standards with the "Good Season, Good Property, Good Community" brand proposition:

Standardization systems cover the full lifecycle. Nearly 100 service indicators span the entire process from property delivery to community elderly care, with benchmark projects required to achieve "three highs and three capabilities" (high-quality operations, high customer recognition, high-tech application; experience replicable, equipment renewable, environmental protection regenerable).

Meanwhile, ESG deeply integrates into operational chains. Through energy-saving renovations and comprehensive energy management initiatives, the company won the ESG Sustainable Development Leading Enterprise title again. 37,902 employees practice responsibility through the corporate spirit of "wholehearted dedication every day," participating in old community renovations and rural revitalization projects in the first half, achieving win-win service quality and social value.

**Conclusion**

2025 marks the milestone tenth anniversary of China OVS PPT's listing and the final year of the "14th Five-Year Plan" strategy. In complex and changing market environments, the company uses financial health as foundation and strategic focus as rudder, demonstrating the evolution capabilities of leading property enterprises through three engines: urban service track breakthroughs, technology-enabled efficiency improvements, and service quality upgrades. As the "good housing + good service" policy framework takes shape, China OVS PPT's technological accumulation and service ecosystem in the stock operation era will continue releasing long-term growth momentum.