China Electronics Optics Valley Union Holding Company (798) investor relations material

Executive summary

• Revenue for the six months ended 30 June 2026 was RMB1,254.7 million, down 14.7% year-over-year, with a net loss of RMB96.0 million versus a profit of RMB2.1 million in the prior year period.

• Industrial park operation services contributed 72.5% of total revenue, reflecting a strategic focus on integrated operations.

• New contract signings reached RMB1,745.4 million, up 13% year-over-year, driven by a 61% increase in integrated operations business, though sales collection dropped 28% due to macroeconomic headwinds.

• The company is focusing on destocking, deleveraging, risk control, and accelerating transformation amid weak market demand and property sector adjustments.

Financial highlights

• Gross profit was RMB309.4 million, with a gross margin of 24.7%, down 0.3 percentage points year-over-year.

• Net loss: RMB96.0 million (compared to net profit of RMB2.1 million last year).

• Basic and diluted loss per share was RMB1.21 cents, compared to earnings of RMB0.02 cents per share last year.

• Net cash outflow from operating activities: RMB335.7 million; net cash inflow from financing: RMB331.4 million.

• Total assets: RMB21,628.3 million; net current assets: RMB4,352.9 million; net assets at 30 June 2026 were RMB8,770.0 million.

Outlook and guidance

• Second half focus on inventory and debt reduction, asset-light transformation, and prudent project development.

• Emphasis on asset capitalization, digital tools for property management, and quality enhancement of investment properties.

• Continued alignment with the 15th Five-Year Plan and business model innovation to drive sustainable growth.