Since 2020, the market situation has been unpredictable, especially testing the internal skills of housing enterprises. Against this background, Zhengrong's business fundamentals have continued to improve: (1) Performance is improving. The deep-rooted layout of the core Tier 1 and 2 cities in the Yangtze River Delta has greatly helped Zhengrong's sales resume. The year-on-year growth rate increased steadily in a single month, and the cumulative sales volume in July improved for the first time. (2) Optimization of soil storage structure. Beginning in the second quarter of 2020, Zhengrong significantly increased its investment efforts, focusing on filling up the land storage area of core Tier 1 and 2 cities; in addition, there was a marked increase in investment in strong Tier 3 and 4 cities. While consolidating its base, it also seized the opportunity to expand. The land sales ratio was reasonable, and the land storage structure was further optimized. (3) Improvement of financing costs. In the first seven months of 2020, the total financing scale of credit bonds and foreign bonds was close to the same period in 2019, but financing costs declined markedly.