Binjiang Service 2025 Net Profit Rises 10.1%; Board Proposes HK$0.978 Final Dividend

Bulletin Express
Mar 25

Binjiang Service Group Co. Ltd. (Binjiang Service) reported solid top-line expansion for the year ended 31 December 2025, underpinned by robust growth in its core property-management unit.

Revenue and Profitability • Revenue increased 14.10% year on year to RMB4.10 billion, driven mainly by a 26.30% jump in property-management services to RMB2.44 billion. • Group gross profit climbed 8.90% to RMB909.95 million; the gross margin narrowed to 22.2% from 23.2% a year earlier, reflecting higher labour costs and a less favourable mix. • Profit for the year rose 10.10% to RMB609.37 million, while net profit attributable to equity shareholders advanced 9.00% to RMB595.51 million. • Net margin eased to 14.9% from 15.4%. • Basic and diluted earnings per share were RMB2.15, up 8.60%.

Segment Performance • Property-management services accounted for 59.5% of revenue; gross profit was RMB422.60 million with a 17.3% margin. • Value-added services to non-property owners fell 16.60% to RMB471.64 million, and margin contracted to 31.5%. • 5S value-added services grew 8.30% to RMB1.19 billion; margin improved to 28.5%.

Operational Metrics • Gross floor area under management expanded 21.60% to 82.63 million sq m. • Contracted GFA climbed 12.30% to 104.24 million sq m. • Projects sourced from independent third parties contributed 56.5% of managed GFA. • Net operating cash inflow surged 47.70% to RMB828.74 million.

Balance Sheet and Liquidity • Combined cash, time deposits, wealth-management products and restricted balances totalled RMB3.69 billion, up 12.50%. • The Group remains debt-free, with a current ratio of 1.5 versus 1.2 at end-2024. • Trade receivables increased 18.00% to RMB405.76 million; allowance for impairment rose to RMB115.48 million.

Dividend • After paying an interim dividend of HK$0.826 per share (70% payout) in September 2025, the Board recommends a final dividend of HK$0.978 per share, lifting the full-year payout ratio to 75%. The proposed payment date is 7 August 2026, subject to shareholder approval at the AGM on 9 June 2026.

Corporate Updates • Management highlights continued geographic concentration, with 63.5% of managed GFA located in Hangzhou, and a strategic focus on “quality expansion” in top-tier cities. • Administrative expense ratio improved to 2.3%, reflecting flatter organisation, digital initiatives and stricter cost control.

Key Dates • Register of members for AGM: 4–9 June 2026 (both days inclusive). • Register of members for final dividend: 8–10 July 2026 (both days inclusive).

No material acquisitions, disposals, borrowings or pledged assets were reported during the period, and the Company confirms compliance with public-float and corporate-governance requirements.

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