#1中原建业有限公司 CENTRAL CHINA MANAGEMENT COMPANY LIMITED A 中原建业 CENTRAL CHINA MGT 股票代码 9982.HK 2021 ANNUAL RESULTS PRESENTATION 16 March 2022#2Disclaimer A 中原建业 CENTRAL CHINA MGT This document has been prepared by CENTRAL CHINA MANAGEMENT COMPANY LIMITED (the "Company") solely for the use at this presentation held in connection with investor meetings and is subject to change without notice. The information contained in this presentation has not been independently verified. No representation or warranty, express or implied, is made and no reliance should be placed on the accuracy, fairness or completeness of the information presented. The Company, its affiliates, or any of their directors, officers, employees, advisers and representatives accept no liability whatsoever for any losses arising from any information contained in this presentation or otherwise arising in connection with this document. This presentation does not constitute or form any part of, and should not be construed as, an offer to sell or a solicitation of an offer to buy any securities in the United States or any other jurisdictions in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction, and no part of this presentation shall form the basis of or be relied upon in connection with any contract or commitment. No securities may be offered or sold in the United States absent registration or an applicable exemption from registration requirements. Any public offering of securities to be made in the United States will be made by means of a prospectus. Such prospectus will contain detailed information about the Company making the offer and its management and financial statements. No public offering of any securities is to be made by the Company in the United States. Specifically, this presentation does not constitute a "prospectus" within the meaning of the U.S. Securities Act of 1933, as amended. By accepting this document, you agree to maintain absolute confidentiality regarding the information contained herein. The information herein is given to you solely for your own use and information, and no part of this document may be copied or reproduced, or redistributed or passed on, directly or indirectly, to any other person (whether within or outside your organization/firm) in any manner or published, in whole or in part, for any purpose. The distribution of this document may be restricted by law, and persons into whose possession this document comes should inform themselves about, and observe, any such restrictions. 2#3AGENDA 1. COMPANY OVERVIEW 2. BUSINESS HIGHLIGHTS 3. BENCHMARK PROJECTS 4. STRATEGIC PRIORITIES 5. FINANCIAL RESULTS A 中原建业 CENTRAL CHINA MGT A中原建业 CENTRAL CHINA MGT#4A 中原建业 股票代码 CENTRAL CHINA MGT 9982.HK 1. COMPANY OVERVIEW#5Leading Asset-light Project Management Company in Greater Central China Region A 中原建业 CENTRAL CHINA MGT No. of Projects Under Management YoY +26.7% Net Profit YoY +13.0% 261 projects RMB 770mm GFA under Management YoY +21.3% 31.0mn sq.m. Revenue Net Margin 59.2% Industry #1 RMB 1.3bn YoY +13.0% Full-year Dividend RMB 500mm 65% Dividend payout ratio Q Asset-light Business Model M High Net Profit High Dividend Deep Rooted in Greater Central China Notes: FY2021 data 5#6Our Value Proposition: Providing Best-in-class Solutions to Small and Medium- sized Property Developers A 中原建业 CENTRAL CHINA MGT Customer Pain Points Key Advantages A Our Value Add Insufficient development capabilities Insufficient marketing and sales capabilities Limited resources Low brand awareness Full process project management Strong marketing and sales track record Extensive supplier resources and network Well-recognized "Jianye" brand among property buyers Efficient development management Accelerate project sales Highly efficient cost quality control Achieve brand premium 6#7Repeated Cooperation with Our Clients 177 No. of Clients YoY Up 37 Clients 64% Repeat Cooperation Rate YoY Up 4 Percentage Points Notes: 1. As of 31 December 2021 国中 ווי. Core KPIs for Projects Under Management' 6.8 months From contract signing to launch 10.8 months Cash flow breakeven 4 8.6% * 5 Average net margin for single project 2. Repeat cooperation rate is the proportion of the projects of its project owners who have cooperated twice or more with the Company in all projects as of 31 December 2021 3. Average of all projects under management operating during 2019-2021 4. Cash flow breakeven refers to the time it takes from contract signing to positive cash flow for projects under management 5. The project net margin is the net profit margin excluding management service fees paid by customers to CCMGT A 中原建业 7 CENTRAL CHINA MGT#8Our Business Model and Ecosystem Accurate positioning Quality network of design firms Quality supplier network 3 Capital investments from property owner 2 Procurement management Contract Signing Feasibility Studies Design and Planning Deployed employees Proposal Formulation Due diligence and feasibility studies Project Initiation Cost control Cash flow management Budget management Bidding Management Execution an supervision Due diligence Assessments Construction Management & approvals Formulation of standards Risk management Key decision making A Quality contractor network A SALE Extensive marketing and sales channels Sales Management Project Final Acceptance Delivery Management Pricing proposals and sales training Quality control Customer satisfaction management A large number of property buyers who recognize "Jianye" () brand A中原建业 CENTRAL CHINA MGT 1 Customer Identification Research and screening HQ Referrals Repeat cooperation Property Management Services 5 M A 建业新生活 | 香港股票代码 CENTRAL CHINA NEW LIFE 9983.HK Property management services Regional Offices Deployed Employees 8#9Year 2021 - Growth Against All Odds Catastrophic flood hit Henan Continuous COVID-19 breakouts Note: FY2021 data China property industry headwinds +17% Contracted Sales YoY +17% Newly Contracted GFA YOY +13% Net Margin YoY A 中原建业 CENTRAL CHINA MGT 目 Timely response and dynamic management Establish close ties with clients Further refine project management process 6#10Asset-light Business Model Represents Future Trend China Property Market: Past, Present and Future Past Era of Land / Capital Present Management Capability New urbanization / Urban renewal / Digital economy Strategic Transformation Future to Asset-light Model Major US homebuilder use asset-light model €9 $ Asset-light Model is the Future Trend A 中原建业 Revenue ✓ ✓ Management fees / service fees Leverage brand and development capabilities Investment Not driven by investment ✓ CENTRAL CHINA MGT Leverage ✓ No leverage ✓ No reliance on external financing ✓ High margin Profit ✓ Major cost is personnel cost 10#11Huge Headroom for Growth in China A 中原建业 CENTRAL CHINA MGT Future Growth Drivers • Demand for well-recognized brands Low Penetration and High Growth Potential Demand for • Demand for quality products Commercial Project Management Demand for Governmental • Demand for cost control Demand for higher profitability 1 ~ RMB 17 tn Contracted Sales of China's Residential Properties Policy support for public housing Policy support for urban renewal ~ RMB 8 tn' Contracted Sales from Non-Top 100 Property Developers Project • Management • Strong demand from LGFVS RMB100 bn 1 • Demand for Demand for NPL asset management Capital Project Management • Demand for professional property development management experience Sources: National Bureau of Statistics (NBS), China Index Academy, industry research, company disclosure Notes: 1. FY2020 data 2. Greentown Management (9979.HK) and Central China Management (9982.HK) 3. Estimate for 2021 in the Blue Paper for Agent Construction Industry Contracted sales of listed project management companies² 3 4.8% Penetration Rate in China 20-30% Penetration Rate in EU and US 11#12Strategic Opportunities Arising in Greater Central China Region A 中原建业 CENTRAL CHINA MGT Greater Central China Strategy: 500kms Radius, Centred in Zhengzhou A New Growth Engine for China's Economy Xinjiang Tibet Gansu Qinghai Heilongjiang Jilin Liaoning InnerMongolia Beijing Hebei Radiusof500km Ningxia Shanxi Shandong Jiangsu Shaanxi Henan Shanghai Anhui Hubei Sichuan Zhejiang Hunan Jiangxi Fujian Guizhou Yunnan GuangxiGuangdong Taiwan Hainan adiusof500km 8 Provinces, 61 Cities, 7 Provincial Capitals 2-Hour Bullet Train 340 mn Residents 2020 Census 1/5 of National GDP1 2020 GDP 1/5 of National Property Sales 2020 Property Sales South China Sea The company has made presence in 7 provinces (Henan, Hainan, Xinjiang, Shaanxi, Shanxi, Anhui and Hebei) Data sources: NBS, China Index Academy, World Bank Notes: 1. Proportion of Greater Central China Region's GDP in national GDP 2. Proportion of Greater Central China Region's GDP in national commodity properties sales 59.5% 2020 Urbanisation Rate 26.9% 2017-2020 Property Sales Growth 2 12#13Highly Fit in Greater Central China Market as the Unparalleled Leader A 中原建业 CENTRAL CHINA MGT Highly Fit in Greater Central China Market High Market Potential • Greater Central China Region features low urbanisation rate, high population density and rapid economic growth CCMGT is the Unparalleled Leader¹ Strong Demand • Small and medium-sized project owners are major players in Greater Central China Region Industry No. 1 - Net profit and net margin • LGFVS & AMC's strong demand for project management • CCMGT has rooted in Greater Central China Region for 30 years Market Expertise • CCMGT has deep knowledge of market needs and compatible product system • Low penetration rate of branded real estate developers in lower tier cities Strong • CCMGT has strong competitive advantage in Greater Central China Region Competitiveness Small Administrative 2-hour bullet train economic circle, featuring a small administrative radius Radius Data sources: China Index Academy, Annual Reports of listing companies Notes: 1. Based on China Index Academy's industry statistics of 2020 & 2017-2020. Net profit and net margin based on the data as of 2019-2020 • No. 1 in China - Total GFA sold No. 1 in China - CAGR in contracted sales • No.1 in Henan Province - Aggregate GFA sold 13#14A 中原建业 股票代码 CENTRAL CHINA MGT 9982.HK 2. BUSINESS HIGHLIGHTS#15FY2021 Strong Performance A 中原建业 CENTRAL CHINA MGT M Significant Business Growth Newly Contracted GFA GFA Under 10.0mn sq.m. YoY +16.8% Management Contracted Sales 31.0mn sq.m. YoY +21.3% RMB 40.3bn YoY +17.4% Rapid Expansion outside Henan Newly Contracted GFA Outside Henan GFA 1.3mn sq.m. YoY +40.0% Under Management 2.6mn sq.m. Outside Henan YoY +95.6% % of GFA Under Management Outside Henan 1 8.3% Strong Profitability Net Profit RMB 770mm YoY +13.0% Net Margin Dividend Payout Ratio 3 Up 3.1 Percentage Points 59.2% Core Net Margin 60.3% 65% DPS HKD0.185 Notes: 1. It is the proportion of GFA under management outside Henan in the total GFA under management during the period 2. Core net margin is the net profit margin excluding listing expenses and taxes about listing expenses 3. 2H21 DPS HKD0.099, based on the exchange rate of HKD1 = RMB 0.8176 as of 31 December 2021 ラ 15#161 Significant Business Growth A中原建业 CENTRAL CHINA MGT Newly Contracted GFA GFA Under Management (mn sq.m.) Contracted Sales No. of Projects Under Management (mn sq.m.) (RMB bn) YoY: +16.8% YoY: +21.3% (Number of Projects) YoY: +17.4% 12.0 31.0 YOY: +26.7% 10.0 10.0 25.5 8.6 8.0 40.3 261 34.3 206 6.0 4.0 2.0 0.0 2020 2021 2020 2021 2020 2021 2020 2021 16#172 Rapid Expansion Outside Henan FY2021 Expansion Outside Henan Heilongjiang Jilin Xinjiang Gansu InnerMongolia Liaoning Beijing Hebei Ningxia Qinghai Shanxi Shandong Jiangsu Shaanxi Henan Tibet Shanghai Anhui Hubei Sichuan Zhejiang Hunan Jiangxi Fujian Guizhou Yunnan Guangxi Guangdong Taiwan Hainan 7 provinces with presence: Henan, Hainan, Xinjiang, Shaanxi, Shanxi, Anhui and Hebei Notes: 1. Proportion of Newly Contracted GFA outside Henan in the total Newly Contracted GFA during the period A 中原建业 Key Metrics (Outside Henan) No. of Projects 24 under Management YoY +84.6% CENTRAL CHINA MGT Contracted Sales RMB2.4bn YoY+99.0% % of Newly 13.0% Contracted GFA' YoY +2.2% YoY in Revenue 137% % 17#183 Strong Profitability and High Dividend Payout Notes: Revenue (RMB mn) YoY +13.0% Net Profit & Net Margin Dividend (RMB mn) 1 Core Net Margin 60.3% 59.2% Net margin 1,301 1,152 2020 2021 59.2% YoY :+13.0% Dividend 770 681 Amount ~RMB 500mn A中原建业 CENTRAL CHINA MGT 65% ■Dividend payout ratio 2 DPS HKD0.185 for FY2021 2020 2021 1. Core net margin is the net profit margin excluding listing expenses and taxes about listing expenses 2. 2H21 DPS HKD0.099, based on the exchange rate of HKD1 = RMB 0.8176 as of 31 December 2021 18#194 Sufficient Reserves of Projects 目 A Unrecognised Revenue¹ Estimated Saleable Area 2 RMB 3.1 bn ~15 mn sq.m. Notes: 1. As of 31 December 2021 2. Estimated future saleable area and value as of 31 December 2021 A中原建业 CENTRAL CHINA MGT $ | Estimated Saleable Value 2 RMB - 90 bn I 19#20A 中原建业 股票代码 CENTRAL CHINA MGT 9982.HK 3. BENCHMARK PROJECTS#21Shihefu in Yucheng County, Henan Province 77% sold on the opening day. Winner of the Aesthetics Vogue Award 2021 RMB 320mn Sales Upon Initial Launch <6 months Cash Flow Breakeven 14.9% Project Net Margin' 2 GGGGGGGGG CCCCCGGGGN 리 Notes: 1. The project net margin calculated based on the actual cumulative revenue and cumulative expenses incurred on the projects as of 31 January 2022 21#22畅叙 加上花开 Tianming Guanshanyue in Luoyang City, Henan Province "Jianye Aesthetics" became popular in Luoyang market 525252525252525252 RMB 450m mn Sales Upon Initial Launch 1st in Yichuan Property Sales Market RMB 660mn Ful mn Full-year Sales 22#23Yihao Chengbang in Shangqiu City, Henan Province The largest project in Shangqiu City with 6 phases developed over 6 years on a single project 4000+ Home Owners 750K S. ks.qm. Total GFA RMB 3.6bn Accumulated Sales 23#24Art Mansion in Linquan County, Anhui Province First centralized launch project in Linquan County 11/1 mn Full-year Sales RMB 400mm F 1 st Sales Upon Initial Launch in Linquan County 2021 National Habitat Annual Top Ten Landscape Award 24 24#25A 中原建业 股票代码 CENTRAL CHINA MGT 9982.HK 4. STRATEGIC PRIORITIES#26Focus on Business Development outside Henan Business Objectives To cover all 7 adjacent provinces Implementation Paths B Enhance brand awareness outside Henan A 中原建业 CENTRAL CHINA MGT Setup subsidiaries outside Henan Tailored operating standards in local markets Rapid growth of business scale outside Henan Explore market outside Henan together with clients 26#27Strategic Business Expansion Governmental Project Capital Project Investor Alliance Management Management A 中原建业 CENTRAL CHINA MGT Governmental Project Management Cooperate with LGFVs and increase the proportion of governmental project management business Capital Project Management Focus on the opportunities of non-performing assets and deliver benchmark projects Investor Alliance Integrate resources to develop business in Greater Central China 27#28Focus on Governmental Project Management Opportunities Strong Demand from LGFVs . City Henan Province Proportion of land acquired by LGFVS in FY2021 31% Anyang 42% Luohe 59% Kaifeng 63% Xuchang 38% Xinyang 35% Puyang 60% Jiaozuo 49% Data source: China Land Market Network, China Index Academy Database, Company Data Explore New Growth Model A中原建业 CENTRAL CHINA MGT Establish Strategic Cooperation with LGFVs . Achieve Win-Win Cooperation 28#29Focus on Capital Project Management Opportunities (RMB bn) China Bank NPL Balance - Property Sector YoY: +50% 48.6 72.9 AMC Pain Points Limited of Development Capabilities + Geographical Limitations 2019 2020 Source: China Financial NPL Market Survey Report (2021) Need for Product Capabilities and Brand Name TT 河南资产管理有限公司 HENAN ASSET MANAGEMENT CO., LTD A 中原建业 CENTRAL CHINA MGT · • A 中原建业 CENTRAL CHINA MGT To realize win-win i cooperation with AMCs In December 2021, CCMGT signed a strategic cooperation agreement with Henan AMC As of now, we have cooperated with Henan AMC by Changge Longxifu Project and Zhoukou wanyuda project ラ 29 29#30Build Investor Alliance A 中原建业 CENTRAL CHINA MGT Build an Investor Alliance: Integrate the investment appetite, capabilities and development opportunities of our project owners, introduce external capital, establish a joint capital pool and investment system. We aim to build an investor alliance to amplify the investment and development capabilities of our clients. Notes: 1. 2. 3. Clients As of 31 December 2021 Client Base 177 64% 1 Clients Repeat cooperation rate Investment Capacity RMB-50 bn Average annual land acquisition by our clients in L3Y RMB 30 bn Average annual sales of our clients in L3Y Development Opportunities 59.5% 2020 Urbanisation rate in Greater Central China 50% Percentage of non-Henan projects developed by Henan clients + Repeat cooperation rate is the proportion of the projects of its project owners who have cooperated twice or more with the Company in all projects as of 31 December 2021 The proportion non-Henan projects developed by Henan clients to all the non-Henan projects under management as of 31 December 2021 External Funding Resources 30#31A中原建业 股票代码 CENTRAL CHINA MGT 9982.HK 5. FINANCIAL RESULTS#32Key Financial Metrics A 中原建业 CENTRAL CHINA MGT (RMB mn, unless otherwise stated) 2021 2020 Change Revenue 1,301.4 1,152.1 +13.0% Revenue and other income 34.9 5.8 +503.2% Profit before taxation 1,012.9 912.3 +11.0% Net profit 770.2 681.5 +13.0% Net margin 59.2% 59.2% Net cash generated from operating activities 523.5 614.7 -14.84% Cash and cash equivalents 1,975.8 384.6 +413.73% Earnings per share (RMB/share) 0.24 0.23 +6.18% Dividend per share (HKD/share) 0.185 Notes: 1. 2H21 DPS HKD0.099, based on the exchange rate of HKD1 = RMB 0.8176 as of 31 December 32#33Revenue and Net Profit (RMB mn) Revenue 1,152 YoY: +13.0% 1,301 Net Profit (RMB mn) YoY +13.0% 681 770 2020 2021 2020 2021 A 中原建业 CENTRAL CHINA MGT 33#34Total Costs Total Costs (RMB mn) (%) 566 476 за 72 28 10 39 231 168 243 197 Total Cost Breakdown (2021) 3% 6% 13% 43% 2020 2021 Personnel cost ■Listing expenses ■Income tax Other costs 2 ■Operating expenses ■ Personnel cost Listing expenses ■Income tax Other costs 2 Notes: 1. Personnel cost, operating expenses, income tax, listing expenses and other costs 2. Other costs: including depreciation and amortization expenses, expected credit losses, finance costs, and share of profit/(loss) of an associate 35% A 中原建业 ■Operating expenses CENTRAL CHINA MGT 34#35Balance Sheet (RMB mn) Total Asset Total Assets Breakdown (2021) 2,895 (%) 2% 50 568 301 1,675 35 1,017 1,976 238 385 2020 Contract assets Non-current assets 10% 20% 68% 2021 Trade and other receivables Total assets ■Cash and Cash Equivalents Trade and other receivables Contract Assets Non-current assets A 中原建业 CENTRAL CHINA MGT 35#36A L CENTRAL CHINA MGT 股票代码 9982.HK APPENDIX#37Condensed Statement of Profit and Loss (RMB mn, unless otherwise stated) A 中原建业 CENTRAL CHINA MGT Revenue Other income 2021 1,301.4 2020 1,152.1 34.9 5.8 -Staff costs (196.9) (168.5) -Operating expenses (72.3) (38.5) -Listing and other expenses (54.2) (38.6) Profit before taxation 1,012.9 912.3 -Income tax (242.7) (230.8) Net profit Net margin 770.2 681.5 59.2% 59.2% 37#38Condensed Balance Sheet A 中原建业 CENTRAL CHINA MGT (RMB mn, unless otherwise stated) Total assets 2,895.0 2021 2020 1,675.1 Non-current assets 50.5 35.0 Current assets 2,844.5 1,640.1 -Contract assets 300.5 238.2 -Trade and other receivables 568.2 1,017.3 -Cash and cash equivalents 1,975.8 384.6 Current liabilities 573.8 662.6 -Trade and other payables 128.3 113.9 -Contract liabilities 393.2 474.9 -Other current liabilities 52.3 73.8 Non-current liabilities Net assets 1.6 5.1 2,319.6 1,007.4 38#39A中原建业 股票代码 CENTRAL CHINA MGT 9982.HK Thank You