GREENTOWN CHINA (03900) has announced an expected significant decline in its profit attributable to shareholders for the fiscal year ending December 31, 2025. The projected figure is approximately 95% lower than the RMB 1.596 billion recorded in 2024. This sharp decrease is primarily attributed to the ongoing adjustment phase in the real estate market. Furthermore, the company has been actively reducing its long-term inventory to foster sustainable long-term growth, which has resulted in a lower gross profit margin on revenue recognized in 2025 and a decreased share of profits from joint ventures and associates. An additional factor impacting shareholder profits was the recognition of a certain amount of impairment losses on assets. Despite the profit decline, the Group continued to optimize its debt structure throughout the year, successfully reducing short-term debt. The proportion of short-term debt fell below 20%, reaching a record low. Concurrently, the company maintained ample cash reserves, with a cash-to-short-term debt ratio exceeding 2.5 times, achieving a record high. Overall, the company's operations remained stable and efficient, underpinned by sound and secure financials.