Comprehensive Overview

The group is a mainland property developer focused on developing residential and commercial properties in selected economic zones, including the Haixi Economic Zone, the Beibu Gulf Economic Zone and surrounding cities, the Beijing-Tianjin-Hebei Economic Zone, the Middle Yangtze River Economic Zone, the Yangtze River Delta Economic Zone and the Cheng-Chongqing Economic Zone. As of August 31, 2020, the Group has 105 property development projects developed by subsidiaries, joint ventures and joint ventures at various stages of development.

Risk Factors

Most of the Group's revenue during the record period came from operations in the Haixi Economic Zone, the Beibu Gulf Economic Zone and surrounding cities, and the Beijing-Tianjin-Hebei Economic Zone. Changes in the property market in these three regions will all have an impact on the Group's operations. Furthermore, in 2017, the Group's net negative cash flow from operating activities was approximately RMB 1,241 billion, mainly due to the continuous increase in property development activities, which led to the use of a large amount of net cash in operations. The relevant cash outflow may not always be fully offset by the proceeds from the advance sale and sale of the property during the relevant period. As a result, it is possible that the group will experience a period of net operating cash outflow.