SINO-OCEAN SERV 2025 Mid-Year Performance Meeting Announcement

According to Zhitong Finance APP, on August 28, 2025, SINO-OCEAN SERV (stock code 06677) will release its mid-term performance for 2025. Mr. Yang Deyong, Co-Chairman of the Board, Mr. Hou Min, CEO, Ms. Zhu Ge Ying, CFO, Mr. Chen Zhiwei, General Manager of the Operations Management Department, and Ms. Zhou Ying, General Manager of the Capital Markets Department will attend the press conference.

In the first half of 2025, SINO-OCEAN SERV had a contracted area of 122 million square meters, achieving operating revenue of 1.39 billion yuan, of which revenue from third parties accounted for 93.4%, continuously consolidating business independence. The managed area in first and second-tier cities accounted for 82.6%, with an average property fee of 3.2 yuan/sqm/month. The layout in high-energy cities and mid-to-high-end projects drove the proportion of basic property management revenue to continuously increase to 74.4%, significantly enhancing the ability to resist cyclical fluctuations. 96% of the newly added third-party contracted area came from market expansion, further enhancing independence. The adjusted core net profit margin was 8.3%.

Enhancing Service Quality Around Customer Perception

Driven by the focus on improving operational effectiveness for customers, the company proactively visited 150,000 households, updated customer classifications, and refined user needs; the community facility inspection rate reached 100%, upgrading 49 green landscapes; 1,960 homecoming route projects were improved; 476 owner meeting day activities were held to directly address owner demands, and nearly a hundred experience day activities for equipment rooms were conducted. Deep community operations included over 1,500 activities covering more than 400,000 owners, strengthening customer stickiness and activating the potential for value-added service conversion. Customer satisfaction reached 87 points, supporting a 0.9 percentage point increase in property management fee cash inflows.

Further Opening Up External Expansion Space

As of July 2025, the company won 31 projects with a contract amount of 260 million yuan. The company made breakthroughs in projects worth tens of millions, highlighting its competitive ability in high-quality projects, with 9 awarded projects having contract amounts exceeding ten million. Deep cultivation of major clients yielded results; in July, a nationwide cooperation was reached with BYD, covering 4S stores in 12 provinces and 42 cities, achieving promotion from single project cooperation to nationwide. The "Integrated Expansion" mechanism was implemented, forming multi-professional teams to intervene in project preparation in advance, ensuring the continuity of quality management and high-standard customer experience.

Commercial Writing Leads, Diversified Business Layout Builds Competitiveness

The commercial writing sector solidified its competitiveness, contributing 16% to the sector's revenue. Innovative energy management solutions were implemented, with all four managed office buildings in Beijing achieving 100% green electricity, and cross-industry energy management solutions were provided externally, extending service boundaries. Resources such as fitness and retail were integrated to enhance tenant retention rates. Service management experience was extended to non-residential sectors, creating exclusive service systems for "zero infection" in hospitals and "zero disturbance" in educational institutions, building differentiated competitive capabilities, with the contracted area proportion of government, schools, and hospitals reaching 19%. In the future, the company will continue to open up growth space in non-residential sectors through benchmark replication The Effectiveness of Community Value-Added Service Transformation is Becoming Apparent

Reshaping the development path of community value-added services, the revenue share of community value-added services accounts for approximately 18%, a year-on-year increase of 2.0%, with growth turning positive. Continuing to deepen C-end demand to enhance revenue contribution. Expanding product retail categories and supply chain depth around owners' high-frequency needs; upgrading home delivery services with scenario-based solutions; strengthening multi-channel operations for real estate brokerage; promoting standardized service transformation in home improvement services.

In the second half of the year, we will continue to focus on the business development approach of "strengthening income, increasing efficiency, expanding cash flow, improving quality, optimizing teams, and emphasizing compliance," continuously optimizing the revenue structure, strictly adhering to project quality standards, and solidifying the foundational property ballast business. Strengthening external expansion, focusing on value-added services, continuously reducing dependence on related parties, and enhancing sustainable operational capabilities