GREENTOWN SER management attended the 2025 interim results conference. In the first half of 2025, GREENTOWN SER's trade receivables surged to 6.838 billion yuan, representing a year-on-year increase of 14.6%, significantly higher than the 6.1% growth rate of operating revenue.

"We believe that competition in high-quality markets is essentially competition with oneself. Do we have in-depth service design? Do we have reliable service capabilities?" At the 2025 interim results conference held on August 25, GREENTOWN SER Chairman Yang Zhangfa succinctly captured the essence of industry competition. Facing investors and analysts, this leader firmly stated: "The industry will inevitably become more open, and requirements for enterprises will necessarily reach a higher level."

At this results conference, GREENTOWN SER presented a report card showing revenue of 9.289 billion yuan and net profit attributable to the parent company of 613 million yuan. However, behind these impressive figures, concerns such as accounts receivable surging to 6.838 billion yuan, technology service strategy contraction, and external expansion progress falling short of expectations also draw attention. Additionally, management acknowledged that difficulties may be greater in the second half, but expects year-end cash on books to achieve growth of over 15%.

**Accounts Receivable Increases 14.6% Year-on-Year**

GREENTOWN SER delivered an impressive 22.6% year-on-year growth in net profit attributable to the parent company in the first half, but the hidden financial risks behind this performance cannot be overlooked. In the first half of 2025, the company's trade receivables surged to 6.838 billion yuan, with a year-on-year increase of 14.6%, significantly higher than the 6.1% growth rate of operating revenue.

More worryingly, during the reporting period, the company's trade receivables loss provision was approximately 588 million yuan, with a provision ratio of about 8.59%.

GREENTOWN SER Chief Financial Officer Zhang Lingbo candidly admitted at the results conference: "The growth in accounts receivable is affected by multiple factors. From an external perspective, property industry collections have obvious seasonality, mainly concentrated in the fourth quarter. Economic downward pressure also brings impact. From an internal perspective, business expansion naturally leads to increased receivables, and the proportion of non-residential business revenue has risen to 30%, with such projects often having longer payment terms."

Industry analyst Zhang Huaxue from CRIC Research pointed out a key phenomenon: "In the first half of 2025, the revenue proportion of GREENTOWN SER's property service segment increased significantly from 66.4% in the same period last year to 71.4%, which is consistent with the trend of the entire property industry gradually returning from 'diversified expansion' to 'core business cultivation.'"

However, he also warned: "In the first half of 2025, GREENTOWN SER's cash and cash equivalents decreased by 8.064 million yuan compared to the end of 2024. Excluding the factor of time deposits, cash flow still decreased by 5.237 million yuan, with the underlying reason being increased collection pressure and extended collection cycles."

The technology service strategy, which was once highly anticipated, also encountered major setbacks. In 2022, the company announced with great fanfare a shift from "three driving forces" to "four-wheel drive," proposing a target of achieving 2.5 billion yuan in technology service revenue by 2025. However, this year's interim report shows that this business has been reclassified into the consulting service segment, with operating revenue of only 159 million yuan in the first half, far from the target.

**From Scale Expansion to Quality Improvement**

Despite facing accounts receivable pressure, GREENTOWN SER still demonstrates strong capabilities in cash management. As of the end of June, the company's cash and cash equivalents plus time deposits totaled 5.45 billion yuan, a year-on-year increase of 26.5%. Management stated that it will further strengthen collection management in the second half, expecting year-end cash on books to grow by over 15% compared to the end of last year.

Facing industry transformation, GREENTOWN SER is actively promoting deep strategic adjustments. GREENTOWN SER CEO Jin Keli repeatedly emphasized "only through deepening reform can we break through" at the results conference, reflecting the company's strategic thinking in facing industry changes.

In terms of organizational structure, GREENTOWN SER's reforms have been particularly thorough. Starting from 2022, the company used Hangzhou as a pilot, merging city companies within regions into regional companies, compressing management levels from multiple levels to 2.5 levels. By 2023, the company streamlined the number of city companies from 47 to 12 regional companies. In the first half of this year, through continued deepening of reforms, the company achieved a one percentage point reduction in management fees.

Yang Zhangfa pointed out when discussing the industry competitive landscape: "The service scope of the property industry is still continuously expanding. Although incremental residential properties are declining, existing residential properties, non-residential formats, and urban services are continuously increasing in volume. The industry is still in a period of upward development, and the market is large enough." However, he also acknowledged that the industry is currently "absolutely dispersed, relatively concentrated," and concentration improvement still requires time.

In external expansion strategy, GREENTOWN SER demonstrates a more prudent attitude. New expansion achieved saturated annual revenue of 1.52 billion yuan in the first half, completing only 38% of the full-year target of 4 billion yuan. However, Yang Zhangfa emphasized: "Although external expansion in the first half had gaps compared to the beginning-of-year targets, it overall aligns with our high-quality development target requirements, without pursuing scale for the sake of scale."

Data shows that newly signed projects have an average property fee of 3.71 yuan per square meter per month, reaching a new high, with non-residential formats accounting for 52.5%, demonstrating the company's shift from "quantity-seeking" to "quality-seeking."

Industry analyst Song Hongwei believes: "GREENTOWN SER's performance growth still relies to a certain extent on the support of related party Greentown China's development business. Greentown China maintains relatively steady growth momentum in development business, enabling continuous increase in property management area. However, the collection pressure commonly faced by the industry is becoming a challenge that GREENTOWN SER must directly confront."

Undeniably, GREENTOWN SER's 2025 interim performance presents a complex picture of steady growth in traditional business coexisting with strategic adjustments in new business. Against the backdrop of overall transformation in the property industry, how the company maintains financial stability while finding effective paths for technology empowerment and service upgrades will determine whether it can continue to maintain a leading position in the industry's new round of competition.