Earnings release
Page 1
– 1 – Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. (Stock Code: 798) China Electronics Optics Valley Union Holding Company Limited ʮ̡ (Incorporate di nt he Cayman Islands with limited liability) INTERIM RESULTS ANNOUNCEMENT FOR THE SIX MONTHS ENDED 30 JUNE 2026 The board (the “Board”) of directors (the “Directors”) of China Electronics Optics Valley Union Holding Company Limited (the “Company” or “CEOVU”) is pleased to announce the unaudited consolidated results of the Company and its subsidiaries (collectively, the “Group” or “we”) for the six months ended 30 June 2026 (the “Reporting Period”), together with the comparative figures for the six months ended 30 June 2025 as follows. These consolidated interim financial results have not been audited, but have been reviewed by the independent auditor of the Company and the audit committee of the Company (the “Audit Committee”).
Page 2
– 2 – UNAUDITED INTERIM RESULTS OF THE GROUP FOR THE REPORTING PERIOD Unaudited Condensed Consolidated Statement of Profit or Loss Unaudited Six months ended 30 June 2026 2025 Notes RMB’000 RMB’000 Revenue 5 1,254,705 1,470,685 Cost of sales and provision of services (945,348) (1,103,562) Gross profit 309,357 367,123 Other income 18,097 65,337 Other gains, net 12,904 3,978 Selling and distribution expenses (49,573) (70,598) Administrative expenses (131,282) (157,742) Other expenses (729) (1,087) Net (impairment losses)/reversal of impairment losses on financial and contract assets (102,351) 48,098 Operating profit before changes in fair value of investment properties 56,423 255,109 Fair value losses on investment properties 10 (109,297) (3,543) Operating (loss)/profit after changes in fair value of investment properties (52,874) 251,566 Finance income 6(a) 8,787 25,297 Finance costs 6(a) (147,053) (181,509) Net finance costs 6(a) (138,266) (156,212) Share of profits/(losses) of associates 11 101,736 (11,644) Share of losses of joint ventures 12 (23,746) (11,471) (Loss)/profit before income tax 6 (113,150) 72,239 Income tax credit/(expense) 7 17,187 (70,130) (Loss)/profit for the period (95,963) 2,109 (Loss)/profit attributable to: – Owners of the Company (89,758) 1,771 – Non-controlling interests (6,205) 338 (Loss)/profit for the period (95,963) 2,109 Basic and diluted (loss)/earnings per share (RMB cents) 9 (1.21) 0.02 The above unaudited condensed consolidated statement of profit or loss should be read in conjunction with the accompanying notes.
Page 3
– 3 – Unaudited Condensed Consolidated Statement of Comprehensive Income Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 (Loss)/profit for the period (95,963) 2,109 Other comprehensive (loss)/income Items that may be reclassified to profit or loss – Currency translation differences (42,279) 212 Items that will not be reclassified to profit or loss – C hanges in the fair value of equity investments at fair value through other comprehensive income (18,208) 377 – Income tax relating to these items – (94) Other comprehensive (loss)/income for the period, net of tax (60,487) 495 Total comprehensive (loss)/income for the period (156,450) 2,604 Attributable to: – Owners of the Company (150,245) 2,266 – Non-controlling interests (6,205) 338 Total comprehensive (loss)/income for the period (156,450) 2,604 The above unaudited condensed consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.
Page 4
– 4 – Unaudited Condensed Consolidated Statement of Financial Position At 30 June 2026 At 31 December 2025 Notes RMB’000 RMB’000 (Unaudited) (Audited) Non-current assets Property, plant and equipment 602,150 578,658 Right-of-use assets 55,869 60,802 Investment properties 10 7,372,578 7,517,738 Intangible assets 64,257 65,152 Investments in associates 11 765,027 718,345 Investments in joint ventures 12 429,421 452,967 Financial assets at fair value through profit or loss 942,463 930,219 Financial assets at fair value through other comprehensive income – 18,208 Trade and other receivables and prepayments 16 35,747 56,379 Deferred income tax assets 204,337 159,959 10,471,849 10,558,427 Current assets Properties under development 13 2,244,258 2,400,126 Completed properties held for sale 14 3,597,689 3,749,538 Inventories 15 85,222 82,583 Trade and other receivables and prepayments 16 3,105,108 3,334,721 Prepaid income taxes 33,213 10,663 Contract assets 373,162 395,514 Deposits in banks with original maturities over three months 24,860 24,760 Restricted cash 43,306 61,076 Cash and cash equivalents 1,649,594 1,556,067 11,156,412 11,615,048 Total assets 21,628,261 22,173,475
Page 5
– 5 – At 30 June 2026 At 31 December 2025 Notes RMB’000 RMB’000 (Unaudited) (Audited) Current liabilities Contract liabilities 343,085 299,917 Trade and other payables 17 2,102,740 2,636,487 Corporate bonds 500,000 – Bank and other borrowings 3,202,363 3,621,229 Lease liabilities 97,954 77,965 Current income tax liabilities 515,356 662,538 Current portion of deferred income 42,000 41,785 6,803,498 7,339,921 Net current assets 4,352,914 4,275,127 Total assets less current liabilities 14,824,763 14,833,554 Non-current liabilities Bank and other borrowings 4,155,040 3,845,308 Lease liabilities 1,030,824 1,111,461 Deferred income tax liabilities 490,889 494,288 Non-current portion of deferred income 378,004 376,069 6,054,757 5,827,126 Total liabilities 12,858,255 13,167,047 Net assets 8,770,006 9,006,428 Equity Share capital 18 608,879 608,879 Treasury shares 18 (121,056) (121,056) Reserves 2,809,932 2,902,249 Retained earnings 4,597,601 4,687,359 Total equity attributable to owners of the Company 7,895,356 8,077,431 Non-controlling interests 874,650 928,997 Total equity 8,770,006 9,006,428 Total equity and non-current liabilities 14,824,763 14,833,554 The above unaudited condensed consolidated statement of financial position should be read in conjunction with the accompanying notes.
Page 6
– 6 – 1 GENERAL INFORMATION China Electronics Optics Valley Union Holding Company Limited (the “Company”) and its subsidiaries (together, the “Group”) are principally engaged in industrial park operation services, industrial park development services and industrial investment. The Group has operations mainly in Chinese Mainland. The Company is a limited liability company incorporated in the Cayman Islands. The address of its registered office is Windward 3, Regatta Office Park, P.O. Box 1350, Grand Cayman KY1-1108, Cayman Islands. The Company’s ordinary shares are listed on The Stock Exchange of Hong Kong Limited. These unaudited condensed interim consolidated financial statements are presented in Renminbi (“RMB”), unless otherwise stated. The unaudited condensed interim consolidated financial statements were approved for issuance on 25 August 2026 and have been reviewed, not audited. 2 BASIS OF PREPARATION These unaudited condensed interim consolidated financial statements have been prepared in accordance with International Accounting Standard (“IAS”) 34, ‘Interim Financial Reporting’, issued by the International Accounting Standards Board (“IASB”) as well as the applicable disclosure requirements of Appendix D2 to the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Listing Rules ”). The unaudited condensed interim consolidated financial statements do not include all the information required for a complete set of financial statements and should be read in conjunction with the Group’s annual consolidated financial statements for the year ended 31 December 2025, which have been prepared in accordance with IFRS Accounting Standards (the “IFRSs”) (which include all International Financial Reporting Standards, IAS and Interpretations). 3 MATERIAL ACCOUNTING POLICY INFORMATION The unaudited condensed interim consolidated financial statements have been prepared on the historical cost basis except for certain financial instruments, which are measured at fair values, as appropriate. Other than the application of amendments to IFRSs issued by the IASB effective for the accounting periods beginning on or after 1 January 2026, the accounting policies and methods of computation used in the unaudited condensed interim consolidated financial statements for the six months ended 30 June 2026 are the same as those presented in the Group’s annual consolidated financial statements for the year ended 31 December 2025.
Page 7
– 7 – 4 APPLICATION OF NEW AND AMENDMENTS TO IFRSs (a) Application of new and amendments to IFRSs During the six months ended 30 June 2026, the Group has applied the following amendments to IFRSs issued by the IASB, for the first time, which are mandatory effective for the annual period beginning on or after 1 January 2026 for the preparation of the Group’s unaudited condensed interim consolidated financial statements: Amendments to IFRS 9 and IFRS 7 Amendments to the Classification and Measurement of Financial Instruments Amendments to IFRS 9 and IFRS 7 Contracts Referencing Nature-dependent Electricity Annual Improvements to IFRS Accounting Standard – Volume 11 Amendments to IFRS 1, IFRS 7, IFRS 9, IFRS 10 and IAS 7 The application of the amendments to IFRSs during the six months ended 30 June 2026 has had no material impact on the Group’s financial positions and performance for the current and prior periods and/or on the disclosures set out in these unaudited condensed interim consolidated financial statements. (b) New and amendments to IFRSs in issue but not yet effective The Group has not early applied the following new and amendments to IFRSs that have been issued but are not yet effective, in these unaudited condensed interim consolidated financial statements, for the current accounting period: IFRS 19 and subsequent amendments Subsidiaries without Public Accountability: Disclosure 1 Amendments to IAS 21 Translation to Hyperinflationary Presentation Currency1 IFRS 18 and consequential amendments to other IFRSs Presentation and Disclosure in Financial Statements 1 Amendments to IAS 28 Amendments to the Fair Value Option for Investments in Associates and Joint Ventures 1 IFRS 20 Regulatory Assets and Regulatory Liabilities 2 Amendments to IFRS 10 and IAS 28 Sale or Contribution of Assets between an Investor and its Associate or Joint Venture 3 1 Effective for annual periods beginning on or after 1 January 2027 2 Effective for annual periods beginning on or after 1 January 2029 3 Effective for annual periods beginning on or after a date to be determined
Page 8
– 8 – IFRS 18 and consequential amendments to other IFRSs are effective for annual reporting periods beginning on or after 1 January 2027, with early application permitted. The application of the new standard is expected to affect the presentation of the consolidated statement of profit or loss and disclosures in the future consolidated financial statements. The Directors are in the process of assessing the detailed impact on the consolidated financial statements for the forthcoming years. Except for the aforesaid, the Directors anticipate that the application of all other new and amendments to IFRSs will have no material impact on the consolidated financial statements in the foreseeable future. 5 REVENUE AND SEGMENT INFORMATION The principal activities of the Group are the provision of industrial park operation services (including design and construction services, property management services, property leasing services, energy services, incubator and office sharing services, group catering and hotel services and apartment services), industrial park development services (including sales of industrial park space and self-owned park property leasing services) and industrial investment (equity investment business relevant to industrial theme parks business). Disaggregation of revenue from contracts with customers by major products or service lines is as follows: Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Revenue from contracts with customers within the scope of IFRS 15 Industrial park operation services Property management services 414,042 417,166 Design and construction services 257,539 372,343 Property leasing services 59,413 80,202 Energy services 56,140 43,394 Group catering and hotel services 57,212 72,387 Others 65,199 52,700 909,545 1,038,192 Industrial park development services Sales of industrial park space 225,690 315,268 Self-owned industrial park property leasing 119,470 117,225 345,160 432,493 Total 1,254,705 1,470,685
Page 9
– 9 – Reportable Segments The Group manages its businesses by business lines (products and services). In a manner consistent with the way in which information is reported internally to the Group’s chief operating decision maker (“CODM”), being the Group’s most senior executive management that makes strategic decisions for the purposes of resource allocation and performance assessment, the Group has identified and presented the following three reportable segments. • Industrial park operation services: this segment provides services including design and construction services, property management services, property leasing services, energy services, incubator and office sharing services, group catering and hotel services and apartment services. • Industrial park development services: this segment represents sales of industrial park space and self-owned industrial park property leasing services. • Industrial investment: this segment represents the industry-related equity investment businesses in various theme parks. (a) Segment results The measure used for assessing the performance of the operating segments is operating profit as adjusted by excluding fair value losses on investment properties, share of profits/(losses) of associates, share of losses of joint ventures, finance income, finance costs, depreciation and amortisation and income tax credit/(expense). The Group’s CODM does not assess the assets and liabilities of the operating segments. Inter-segment sales are priced with reference to prices charged to external parties for similar orders. Information regarding the Group’s reportable segments as provided to the Group’s CODM for the purposes of resource allocation and assessment of segment performance for the period is set out below.
Page 10
– 10 – For the six months ended 30 June 2026 (Unaudited) Industrial park operation services Industrial park development services Industrial investment Total RMB’000 RMB’000 RMB’000 RMB’000 Revenue from contracts with customers 1,081,624 218,638 – 1,300,262 – Recognition at point in time 47,149 145,009 – 192,158 – Recognition over time 1,034,475 73,629 – 1,108,104 Revenue from other source – Rental income 69,137 142,434 – 211,571 Segment revenue 1,150,761 361,072 – 1,511,833 Inter-segment revenue (241,216) (15,912) – (257,128) Revenue from external customers 909,545 345,160 – 1,254,705 Segment results 32,669 58,789 (3,599) 87,859 For the six months ended 30 June 2025 (Unaudited) Industrial park operation services Industrial park development services Industrial investment Total RMB’000 RMB’000 RMB’000 RMB’000 Revenue from contracts with customers 1,298,551 309,217 – 1,607,768 – Recognition at point in time 63,911 278,495 – 342,406 – Recognition over time 1,234,640 30,722 – 1,265,362 Revenue from other source – Rental income 87,088 149,808 – 236,896 Segment revenue 1,385,639 459,025 – 1,844,664 Inter-segment revenue (347,447) (26,532) – (373,979) Revenue from external customers 1,038,192 432,493 – 1,470,685 Segment results 134,498 175,151 (9,995) 299,654
Page 11
– 11 – (b) Reconciliations of segment revenue and profit or loss Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Revenue Segment revenue 1,511,833 1,844,664 Elimination of inter-segment revenue (257,128) (373,979) Reportable segment revenue 1,254,705 1,470,685 (Loss)/profit Segment results derived from the Group’s external customers 87,859 299,654 Fair value losses on investment properties (109,297) (3,543) Share of profits/(losses) of associates 101,736 (11,644) Share of losses of joint ventures (23,746) (11,471) Finance income 8,787 25,297 Finance costs (147,053) (181,509) Depreciation and amortisation (31,436) (44,545) Income tax credit/(expense) 17,187 (70,130) (Loss)/profit for the period (95,963) 2,109
Page 12
– 12 – 6 (LOSS)/PROFIT BEFORE INCOME TAX (Loss)/profit before income tax is arrived at after charging/(crediting): Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 (a) Net finance costs: Finance income: Interest income (4,588) (17,524) Net foreign exchange gains (4,199) (7,773) Sub-total (8,787) (25,297) Finance costs: Interest expenses of bank and other borrowings 140,853 179,471 Interest expenses on leasing liabilities 23,871 24,236 Capitalised interest expenses (17,671) (22,198) Sub-total 147,053 181,509 Net finance costs 138,266 156,212 Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 (b) Staff costs: Salaries, wages and other benefits 376,161 389,110 Contributions to defined contribution retirement schemes 31,283 31,445 407,444 420,555
Page 13
– 13 – Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 (c) Other items: Depreciation 27,141 38,339 Amortisation 4,295 6,206 Cost of properties sold 193,994 289,972 Cost of construction 226,964 366,862 Intangible assets written off – 1,730 Rental income from investment properties (178,883) (199,203) 7 INCOME TAX (CREDIT)/EXPENSE Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Current income tax Corporate Income Tax (“CIT”) 22,877 67,358 Land Appreciation Tax (“LAT”) 10,786 20,209 33,663 87,567 Deferred income tax (50,850) (17,437) (17,187) 70,130 (i) Pursuant to the rules and regulations of the Cayman Islands and the British Virgin Islands, the Group is not subject to any income tax in these jurisdictions. (ii) No provision for Hong Kong Profits Tax was made as the Group has no taxable profit in Hong Kong for both periods. (iii) The Group’s subsidiaries located in Chinese Mainland are subject to the People’s Republic of China (“PRC”) income tax at 25% unless otherwise specified. Under the relevant regulations of the CIT Law, for eligible enterprises which meet the criteria of small low-profit enterprises, the portion of annual taxable income that is not exceeding RMB3,000,000 shall be computed at a reduced rate of 25% and subject to a CIT rate of 20%. Under the relevant regulations of the CIT Law, certain subsidiaries are qualified as “High and New Technology Enterprise” and can enjoy a preferential CIT rate of 15%.
Page 14
– 14 – (iv) LAT is levied on properties developed by the Group in the PRC for sale, at progressive rates ranging from 30% to 60% on the appreciation of land value, which under the applicable regulations is calculated based on the proceeds of sales of properties less deductible expenditures (including lease charges of land use right, borrowing costs and all qualified property development expenditures). (v) Pursuant to the PRC tax law, a 10% withholding tax is levied on dividends declared to foreign investors from the foreign investment enterprises established in the PRC. The requirement is effective from 1 January 2008 and applies to earnings after 31 December 2007. A lower withholding tax rate may be applied if there is a tax treaty between China and the jurisdiction of the foreign investors. The Group is therefore liable for withholding taxes on dividends distributed by those foreign invested subsidiaries established in the PRC in respect of earnings generated from 1 January 2008. 8 DIVIDENDS Dividends declared and recognised as distribution during the period: Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Ordinary shares Final dividend for the year ended 31 December 2025 of HK$0.49 cents per fully paid share (six months ended 30 June 2025: final dividend for the year ended 31 December 2024 of HK$nil) 31,830 – 31,830 – The Board does not recommend the distribution of any interim dividend for the six months ended 30 June 2026 (six months ended 30 June 2025: nil).
Page 15
– 15 – 9 (LOSS)/EARNINGS PER SHARE (a) Basic (loss)/earnings per share The calculation of basic (loss)/earnings per share is based on the loss attributable to owners of the Company of RMB89,758,000 (six months ended 30 June 2025: profit of RMB1,771,000). The weighted average number of ordinary shares (excluding treasury shares) for the six months ended 30 June 2026 is approximately 7,408,560,000 (six months ended 30 June 2025: 7,341,978,000). (b) Diluted (loss)/earnings per share There were no potential dilutive ordinary shares for the six months ended 30 June 2026 and 2025 and therefore, diluted (loss)/earnings per share equals to basic (loss)/earnings per share. 10 INVESTMENT PROPERTIES Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Beginning of the period 7,517,738 7,448,361 Transfer from properties under development and completed properties held for sale 46,423 12,454 Other additions – 219,868 Fair value losses (109,297) (3,543) Disposals (77,228) (35,738) Transfer to completed properties held for sale (5,058) – End of the period 7,372,578 7,641,402
Page 16
– 16 – Investment properties comprise a number of office buildings, plants and commercial facilities that are leased or to be leased to third parties. Each of the leases contains an initial non-cancellable period of 1 year to 20 years. The Group’s investment properties carried at fair value were revalued as at transfer date and at 30 June 2026 by Cushman & Wakefield International Properties Advisers, an independent firm of surveyors who hold a recognised relevant professional qualification and have recent experience in the locations and segments of the investment properties valued. During the six months ended 30 June 2026, a total loss of RMB109,297,000 (six months ended 30 June 2025: RMB3,543,000) and deferred tax credit thereon of RMB27,324,000 (six months ended 30 June 2025: deferred tax credit thereon of RMB886,000) were recognised in the unaudited condensed consolidated statement of profit or loss for the period in respect of investment properties. At 30 June 2026, certain investment properties developed by the Group with carrying value of RMB996,900,000 (31 December 2025: RMB1,000,500,000) were without building ownership certificate and the Group was in progress of obtaining the relevant building ownership certificate. 11 INVESTMENTS IN ASSOCIATES Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Beginning of the period 718,345 853,810 Additions – 12,170 Transfer to financial assets at fair value through profit or loss (5,331) – Disposals (41,402) (11,247) Share of post-tax profits/(losses) of associates 101,736 (11,644) Dividends (8,321) – End of the period 765,027 843,089
Page 17
– 17 – 12 INVESTMENTS IN JOINT VENTURES Unaudited Six months ended 30 June 2026 2025 RMB’000 RMB’000 Beginning of the period 452,967 471,972 Additions 200 2,762 Share of post-tax losses of joint ventures (23,746) (11,471) Dividends – (2,888) End of the period 429,421 460,375 13 PROPERTIES UNDER DEVELOPMENT All properties under development are within the normal operating cycle included in current assets. All properties under development are located in the PRC and stated at the lower of cost and net realisable value. 14 COMPLETED PROPERTIES HELD FOR SALE All completed properties held for sale are within the normal operating cycle included in current assets. All completed properties held for sale are located in the PRC and stated at the lower of cost and net realisable value. 15 INVENTORIES At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Raw materials 4,578 2,626 Work in progress 2,212 2,281 Finished goods 80,672 79,916 87,462 84,823 Less: Write-down to net realisable value (2,240) (2,240) 85,222 82,583
Page 18
– 18 – 16 TRADE AND OTHER RECEIVABLES AND PREPAYMENTS At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Current portion Trade receivables (i) 1,608,326 1,784,755 Notes receivables 12,323 13,815 Loans to related parties 804,992 799,811 Accrued interest receivable 164,942 164,942 Loans to third parties and accrued interest receivables 554,307 575,382 Deposits receivable 108,866 68,594 Prepayments for construction cost and raw materials 81,401 46,265 Prepaid turnover tax and other taxes 281,516 286,614 Others 193,506 195,657 3,810,179 3,935,835 Non-current portion Other receivables 39,722 56,379 39,722 56,379 Less: loss allowance provision – Trade receivables (218,148) (205,806) – Other receivables (490,898) (395,308) (709,046) (601,114) Total 3,140,855 3,391,100
Page 19
– 19 – (i) Trade receivables are generally due within one year from the date of billing. At the end of the Reporting Period, the ageing analysis of trade receivables, based on the invoice date (or date of revenue recognition, if earlier) is as follows: At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Within one year 1,172,355 1,381,313 One to two years 252,831 156,777 Two to three years 37,520 82,845 Three to four years 29,653 72,525 Over four years 115,967 91,295 1,608,326 1,784,755 Trade receivables are primarily related to proceeds from the sale of properties. Proceeds from the sale of properties are made in one-off payments or paid by instalments in accordance with the terms of the corresponding sale and purchase agreements. If payment is made in one-off payment upfront, settlement is normally required by date of signing the sales contract. If payments are made in instalments, settlement is in accordance with the contract terms. 17 TRADE AND OTHER PAYABLES At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Trade and bills payables 1,437,347 1,836,534 Advances from third parties 3,000 3,000 Other taxes payables 80,659 86,955 Advances from related parties 31,221 31,815 Construction guaranteed deposits payable 257,982 253,774 Accrued payroll Dividend payable 46,620 34,257 66,114 8,127 Other payables and accruals 211,654 350,168 2,102,740 2,636,487 Trade payables are primarily related to amounts outstanding for purchase of materials and subcontracting fee for the construction of properties for sale. Trade payables are generally due within two months to one year from the date of billing.
Page 20
– 20 – At the end of the Reporting Period, the ageing analysis of trade and bills payable based on the invoice date is as follows: At 30 June 2026 At 31 December 2025 RMB’000 RMB’000 (Unaudited) (Audited) Within one year 1,058,924 1,511,446 One to two years 326,888 167,425 Two to three years 15,817 64,469 Over three years 35,718 93,194 1,437,347 1,836,534 18 SHARE CAPITAL AND TREASURY SHARES The Company’s ordinary shares are set out below: For the six months ended 30 June 2026 For the six months ended 30 June 2025 No. of shares Share capital Treasury shares No. of shares Share capital Treasury shares (’000) RMB’000 RMB’000 (’000) RMB’000 RMB’000 Ordinary shares, issued and fully paid: Beginning of the period 7,408,560 608,879 (121,056) 7,512,324 617,407 (121,056) Shares purchased (i) – – – – – (3,576) End of the period 7,408,560 608,879 (121,056) 7,512,324 617,407 (124,632) (i) There were no shares repurchased or cancelled during the current period. During the six months ended 30 June 2025, the Company repurchased a total 17,348,000 shares at a total consideration of HK$3,870,640 (equivalent to RMB3,576,000) for cancellation purpose. The buy-back of 280,000 shares and 17,068,000 shares during the six months ended 30 June 2025 were authorised by shareholders of the Company at the annual general meeting (“AGM”) held on 13 June 2024 and 19 June 2025 respectively. The shares were acquired at an average price of HK$0.223 per share, with prices ranging from HK$0.195 to HK$0.233. The total amount of HK$3,870,640 (equivalent to RMB3,576,000) paid to acquire the shares, which was made out of the Company’s distributable profits with no reduction of capital, were recorded as treasury shares as a contra account within shareholders’ equity. The treasury shares of 17,348,000 acquired during the six months ended 30 June 2025 had not been cancelled at 30 June 2025, and were subsequently cancelled on 5 September 2025. (ii) At 30 June 2026, the treasury shares amounting to 152,998,000 (31 December 2025: 152,998,000) shares were for a share award scheme purpose and none of these shares were for cancellation purpose.
Page 21
– 21 – MANAGEMENT DISCUSSION AND ANALYSIS REVIEW OF FINANCIAL INFORMATION The independent auditor of the Company, Daxin Global (HK) CPA Limited, has conducted a review of the unaudited interim financial information of the Group for the six months ended 30 June 2026 (the “Reporting Period”) in accordance with the Hong Kong Standard on Review Engagements 2410, “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” as issued by the Hong Kong Institute of Certified Public Accountants. HIGHLIGHTS OF THE FIRST HALF OF 2026 In 2026, the Company faced even more challenging tasks in debt reduction and risk management. It steadfastly maintained its strategic resolve, remained unwavering in navigating economic cycles, and rose to meet challenges head-on. By focusing on the opportunities for innovative development arising from the new process of building modern industrial and urban systems, we have steadily consolidated our operational foundations and revitalised our growth momentum. We have driven synergies to enhance the quality and efficiency of our core businesses’ comprehensive operations, industrial park development and equity investment—whilst continuing to empower the transformation, upgrading and sustainable development of the regional economy, and have made every effort to achieve a strong start to high-quality development during the 15th Five-Year Plan period. During the Reporting Period, the Group entered into new contracts with aggregated contracted value of approximately RMB1,745.4 million, representing an increase of RMB206.5 million with a 13% growth rate as compared to the same period of last year, among which the contracted value of the integrated operation business increased by RMB511.2 million or 61% as compared to the same period of last year. Contracted value of development of industrial parks decreased by RMB304.7 million or 43% compared to the same period of last year, primarily due to RMB225.1 million decrease in contracted value of office based industrial parks and RMB79.6 million decrease in contracted sales for manufacturing based industrial parks compared with the same period of last year. The Group recorded a decrease of RMB641.2 million in sales collection to RMB1,683.7 million as compared to the same period of last year, with a 28% decrease rate. During the Reporting Period, the Group recorded a revenue of RMB1,254.7 million, representing a decrease of RMB216.0 million as compared to the same period of the previous year; and the loss of the Company for the period was RMB96.0 million, compared with a profit of RMB2.1 million for the same period of the previous year; the change amounted to a loss of RMB98.1 million. The income from industrial park operation services of RMB909.5 million accounted for 72.5% of the total revenue of the Group, which reflected the Company’s strategic development landscape based on the integrated operation business of the industrial parks.
Page 22
– 22 – As at 30 June 2026, the Group has approximately 5,086,000 sq.m. of high-quality land bank for industrial parks in various cities. The high-quality lands for industrial parks are mainly located in cities such as Nanjing, Taizhou, Chengdu, Changsha, Qingdao, Shanghai and Xianyang. BUSINESS REVIEW As of 30 June 2026, the Group has established the business layout of “One Body Two Wings (ɓՇ ᑈ)” which is based on the operational services in the industrial parks, supported by the development of the industrial parks and driven by the investment in the industry. The Group has the following three segments: (i) industrial park operation services (including design and construction services, property management services, property leasing services, energy services, incubator and office sharing services, group catering and hotel services, apartment services); (ii) industrial park development services (including sales of industrial park space and leasing services of properties in self-owned parks); and (iii) industrial investment (equity investment business relevant to industrial theme parks business). In recent years, the income structure and composition of profit reflected the result of the Group’s strategic transformation and reform to a certain extent. REVENUE BY BUSINESS SEGMENTS Six months ended 30 June 2026 2025 Revenue % of total revenue Revenue % of total revenue (RMB’000) (RMB’000) Industrial park operation services 909,545 72.5% 1,038,192 70.6% Design and construction services 257,539 20.5% 372,343 25.3% Property management services 414,042 33.0% 417,166 28.4% Energy services 56,140 4.5% 43,394 3.0% Group catering and hotel services 57,212 4.6% 72,387 4.9% Property leasing services 59,413 4.7% 80,202 5.5% Others 65,199 5.2% 52,700 3.5% Industrial park development services 345,160 27.5% 432,493 29.4% Sales of industrial park space 225,690 18.0% 315,268 21.4% Leasing services of properties in self-owned parks 119,470 9.5% 117,225 8.0% Total 1,254,705 100.0% 1,470,685 100.0%
Page 23
– 23 – Industrial Park Operation Services With profound experience and professional expertise in the development and operation of a wide range of industrial parks in various cities for over ten years, and based on the “OVU Industrial Cloud (OVU ପุථ)”, CEOVU provides systematic operation services for the local government or local state- owned platform companies, including promotion of investment and operation, property management, professional operation of incubators and co-working spaces, group catering, hotels and apartments, and has established a full-life cycle industrial park operation service system led by digitalization. During the Reporting Period, the Group provided comprehensive operation services such as planning consultation, EPC (Engineering Procurement Construction), property management and regional energy for key projects of local government platform companies and large enterprises, while offering diversified and one-stop industrial park operation services to enterprises stationed in our industrial parks. The operating revenue of the industrial park operation services of the Group was RMB909.5 million, representing a decrease of RMB128.6 million as compared with the same period in 2025. This decline was primarily due to the impact of construction schedule of projects, which led to a decrease in revenue from design and construction services. Design and Construction Services The “P+OEPC” integrated operation services In recent years, CEOVU has been making vigorous efforts in the promotion of P+OEPC innovative integrated operation business model, based on the needs of promotion of investment and operation, to provide whole-process integrated services. In particular, “P” stands for industrial park consulting, and “OEPC” stands for whole-process project management in relation to promotion of investment and operation of industrial parks, which are generally welcomed by the local governments. Under the guidance of “one platform and two methodologies (ሞ)”, CEOVU gives full play to the leading and strategic outpost functions of consulting and planning business, provides a full range of consulting services, including strategic planning, industrial planning, spatial planning and operational planning, throughout the business process and life cycle of projects, further develops the sustainable mode of “consulting +”, explores more industrial resources, diversifies the platform for sharing industrial resources of CEOVU. CEOVU has accumulated rich strategic emerging industry resources by virtue of its systematic operation capability, and has played the role of cross-regional collaborative investment promotion platform, with the unique “OEPC” model, to provide local governments and large enterprises with whole-process project management service in relation to promotion of investment and operation of industrial parks. During the Reporting Period, the Group signed new contracts for the “OEPC” project in Hannan Low- Altitude Industrial Park and Qiaokou Hanjiang Bay Artificial Intelligence Industrial Park, with the contracted value amounting to RMB956.6 million, representing an increase of 82% as compared to the same period of the previous year.
Page 24
– 24 – By optimizing and integrating its industrial chain resources including architectural design institute and construction subsidiaries (namely Jitian Construction, Lidao Technology and Qianbao Design), CEOVU provides EPC integrated design and construction services throughout the whole process from design to tendering and procurement, and construction for governments, institutions and related enterprises. During the Reporting Period, due to the construction schedule of projects, the Group’s design and construction service income was RMB257.5 million, representing a decrease of RMB114.8 million or 30.8% as compared to the same period of 2025. Property Management Services On the basis of the established “five-heart” service, Lidao Property has devoted active efforts to transform and upgrade and promote the development of information technology. At present, an ecological system comprising intelligent communities and intelligent industrial parks has been built, and a three-in- one management system comprising “i-Lidao” APP (iࢥAPP), OVU Park Pass (OVUਜஷ) and EMS Integrated Operation Platform has been established, providing households and enterprises in the industrial parks with real estate services, infrastructure services, financial services, big data services and living facility services. Lidao Property actively integrates its resources and develops the “whole industry chain” of property services, and owns industry chain companies such as Domainblue Smart* (ᔝਹ౽ঐ), ChuWei Defense* (ูሊԣᇞ), Quanpai Catering* (භ), Industrial Operation* (ପุ༶ᐄ), Lidao Human Resources* (ɛɢ༟๕) and Lixiang Life* (ݺwhich provide consulting and early intervention services for the development and construction companies, intelligent operation and asset management services for industrial parks, professional support services for other property management companies, and all- around and one-stop property management services for property owners. Lidao Property has continuously won bids for projects outside the Group’s properties, which include governments, schools, art galleries, office buildings of large corporates, rail transit, and multi-city mobile business offices with its smart service system. During the Reporting Period, the Group had new contracted projects including property services for the branches of Bank of Communications in Ezhou, Xiangyang and Huangshi, the property service projects for the third section of Wuhan Metro Route 1 and the first section of Route 5* (༸ʹஷ1 ᇞ3ձ5ᇞ1ݬas well as the property service project for Central China Electric Power Financial Tower* (ፄɽข), among others, amounting to RMB32.0 million, representing a decrease of 42% as compared to the same period of the previous year. During the Reporting Period, the income from the property management services of the Group was RMB414.0 million, representing a decrease of RMB3.2 million or 0.8% as compared to the same period in 2025. At the end of June 2026, Lidao Property managed a total property area of 35,527,000 sq.m., representing an increase of 2,590,000 sq.m. or 7.87% as compared to the same period of the previous year, of which corporate customer services accounted for 76.72%. In the future, Lidao Property will continue to promote the community management model of intelligent industrial parks and intelligent communities and at that time, the revenue of property management services is expected to grow rapidly.
Page 25
– 25 – Property Leasing Services Founded in August 2015, OVU Maker Star* (OVU܄is a professional operator of technology business incubator and co-working space under CEOVU. OVU Maker Star closely follows the national development strategy and is positioned to introduce and cultivate strategic emerging industry clusters for different regions and industries. With scientific and technological innovation services as its core competitiveness, it empowers enterprises to innovate in science and technology and increase their value. Adhering to the purpose of “connecting all resources for entrepreneurs”, it has built a technological innovation service system with “1+2+3+4+5+N” as the core framework, covering mass entrepreneurship and innovation ecological creation, multi-level incubation system, accelerated empowerment and comprehensive operating management. It can effectively promote collaborative innovation among large, small and medium-sized enterprises. Operating 34 sites with a total area of 400,000 sq.m. in 22 innovative and entrepreneurial cities across the country such as Shenzhen, Wuhan, Chengdu, Xi’an and Changsha, serving over 2,000 innovation teams and start-ups and gathering over 80,000 innovative businessmen and entrepreneurs, it has become the largest shared office brand in Central China. As of 30 June 2026, OVU Maker Star has successfully operated and received honorary qualifications for its site operations with 22 awards in relation to industrial space of national standard, including 2 national demonstration bases, 7 national technology business incubators, 9 national co-working spaces, 3 national demonstration bases for small and micro enterprise entrepreneurs and 1 national advertising incubating platform that are up to national standard. It was awarded over 80 awards from institutions including the National Development and Reform Commission, Torch High Technology Industry Development Center of the Ministry of Science and Technology, China Innovation and Entrepreneurship Trading Office and China Association for Science and Technology Enterprise Service Center. As of 30 June 2026, the total area of leased properties was 278,000 sq.m., achieving a revenue of RMB59.4 million, with a revenue decline of 25.9% as compared to the same period in 2025.
Page 26
– 26 – Energy Services Wuhan China Electronics Energy Conservation Co., Ltd* (ʮ̡) (“CEC Energy Conservation”, a subsidiary of the Group) is a high-tech enterprise specialized in the provision of integrated energy service and comprehensive services across the entire industry chain, ranging from investment, construction to operation, of low carbon smart parks. Capitalizing on the advantages of CEOVU’s industrial chain and integrating various sectors including information technology (IT), operational technology (OT), heating and ventilation, power distribution, equipment and operation, the company has spared no effort in building the OVU Net-Zero Cloud (OVUཧ၁ථ) and has adopted the big data + cloud computing + Internet of Things technology and cloud-based distributed micro- service framework to provide a digital solution of integrated energy service on the “double carbon path”. This system is the first integrated energy low-carbon digital system based on the PKS system in China with dual functions of experimentation and production. In line with the concept of integrated energy service, it integrates the “1+N” industrial ecological business system focusing on low-carbon smart park services. As of 30 June 2026, CEC Energy Conservation had nearly 59 DHC-related patents, with an energy service area amounting to 12,000,000 sq.m.. During the Reporting Period, CEC Energy Conservation contracted new projects including the comprehensive operation services of the National Cybersecurity Talent and Innovation Base (Phase I) and the municipal roads of Lingkonggang New City in Wuhan Lingkonggang Economic and Technological Development Zone (ၣ༩τΌɛʑၾ௴อਿή( ɓಂ)۬ ਕ), the energy management services for the compound of Wuhan Public Security Bureau (ਕ), among others, with contracted value of approximately RMB172.4 million, representing an increase of 109% as compared to the same period of the previous year. During the Reporting Period, the income from energy services of the Group was RMB56.1 million, which represents an increase of RMB12.7 million or 29.4% as compared to the same period of 2025.
Page 27
– 27 – Group Catering and Hotel Services Established in 2011, Wuhan Quanpai Catering Management Co., Ltd.* (ʮ̡) (“Quanpai Catering”) is experienced in group catering management. It has put in place an independent operating mechanism and a well-established business model, in line with the service concept of “being trustworthy to improve quality, maintaining good quality to improve health, and maintaining good health to improve life”, and provides customers with three service models, including contractual operation, service outsourcing and entrusted management. At the current stage, its annual catering capacity has reached 10 million person-times. Based in the industrial parks, Quanpai Catering not only provides services for the Group, but also promotes the business atmosphere in the parks as a business incubator at the same time, attracting various businesses into the parks and improving its comprehensive service capabilities. CEOVU focuses on full life-cycle operation services for industrial parks. Leveraging its extensive experience in industrial property development, industrial park operations, and resource integration, CEOVU has strategically expanded into a specialised and diversified hotel business segment. The Group has established a multi-tiered hotel service system encompassing both high-end brand partner hotels and supporting hotels for industrial accelerators, building a full-industry-chain hotel service capability that integrates consultancy, design, construction and operation for hotel or apartment projects, which precisely addresses diverse market demands such as business receptions, industrial support services, and conferences and banquets, thereby facilitating the enhancement and upgrading of industrial services within the parks and improving the urban lifestyle service ecosystem. During the Reporting Period, the revenue from group catering and hotel services reached RMB57.2 million, representing a decrease of 21.0% as compared to the same period of 2025. Industrial Park Development Services During the Reporting Period, the revenue from industrial park development services of the Group was RMB345.2 million, representing a decrease of RMB87.3 million or 20.2% as compared to the same period in 2025. This was mainly due to the revenue recognized from the completion and delivery of manufacturing projects in Caidian, Wenzhou, etc. for the period, resulting in a year-by-year increase of RMB73.3 million in the revenue of manufacturing sales. However, the revenue of office sales decreased by RMB162.9 million, primarily due to pressures in the macroeconomic environment of the domestic property sector, intensifying operational challenges and the continuing weakness in the property sector.
Page 28
– 28 – For the six months ended 30 June 2026, properties sold and delivered include: Six months ended 30 June 2026 2025 Properties sold and delivered Revenue Gross Floor Area (GFA) sold and delivered Recognized average selling price Revenue Gross Floor Area (GFA) sold and delivered Recognized average selling price (RMB’000) (sq.m.) (RMB per sq.m.) (RMB’000) (sq.m.) (RMB per sq.m.) Northern Region 140,138 38,203 3,668 137,206 13,981 9,814 Southern Region 23,756 5,421 4,382 96,943 25,786 3,759 OVUD Business Group 61,796 21,391 2,889 51,032 11,492 4,441 Chengdu Company – – – 10,904 1,453 7,504 Mianyang Company – – – 19,183 6,143 3,123 Heyuan Company – – – – – – Total 225,690 65,015 3,471 315,268 58,855 5,357
Page 29
– 29 – 1. Sales of Industrial Park Space During the Reporting Period, the revenue from the sales of industrial park space of the Group was mainly contributed by Nantong Optics Valley Union Industrial Park Development Co., Ltd.* (ʮ̡) (“Nantong Company”), CEOVU Digital Intelligence Technology (Hubei) Co., Ltd.* (Ҧ( ಳ̏)ʮ̡) (“Caidian Company”) and China Electronics Wenzhou Industrial Park Development Co., Ltd.* (Ϟ ʮ̡) (“Wenzhou Company”) as the top three contributing companies. Among them, Nantong Company leveraged responsive customization as its key approach, pursued both independent client acquisition and channel integration in parallel, accurately identified the core needs of its clients, deepened government cooperation, and successfully implemented high-quality projects. In the first half of the year, it attracted new clients including Nantong Saiyang Electronics Co., Ltd.* (ʮ̡) and Jiangsu Hongyue Import and Export Trading Co., Ltd.* (൳ ʮ̡), with a total contract value of RMB62.2 million, achieving sales revenue of RMB45.8 million, accounting for 20.3% of the industrial park space sales revenue; Caidian Company, focusing on its industrial positioning, intensified efforts to expand investment promotion beyond its region, collaborated with platform companies from various districts to conduct joint promotions for light-asset and heavy-asset projects, and actively attracted high-quality industrial enterprises from other regions to establish operations. The company secured contracts amounting to RMB36.1 million, achieving sales revenue of RMB44.6 million, accounting for 19.8% of the industrial park space sales revenue; Wenzhou Company, on the basis of actively overcoming the difficulties in obtaining approval for park entry, focused on project payment collection as the core of its operations, achieving sales revenue of RMB44.5 million, accounting for 19.7% of the industrial park space sales revenue. During the Reporting Period, the income from sales of industrial park space of the Group was mainly contributed by up to 25 projects across 17 cities. The layout of the Group’s industrial park business in other major cities across the country has been widely recognized by the market and our clients. The multi-region park layout is conducive to lowering system risks and ensuring the annual target of the revenue from sales of industrial parks can be achieved. Overview of the Sales of Industrial Park Space Projects During the Reporting Period, the Group achieved a contracted sales area of industrial parks of 90,000 sq.m., representing a decrease of 39,000 sq.m. as compared to the same period of last year, and achieved the contracted sales value of industrial parks of RMB396.9 million, representing a decrease of RMB304.7 million as compared to the same period of last year.
Page 30
– 30 – For the six months ended 30 June 2026, the details of the Group’s contracted sales amount and contracted area of sales of industrial parks are as follows: Contracted amount Contracted area (RMB’000) (sq.m.) Six months ended 30 June Six months ended 30 June City and project 2026 2025 2026 2025 Northern Region 238,839 461,368 53,566 82,261 Southern Region 37,118 105,632 7,128 17,824 OVUD Business Group 83,283 74,201 20,141 16,149 Chengdu Company 15,736 40,281 1,692 4,449 Mianyang Company 17,052 10,542 5,437 5,186 Heyuan Company 4,827 9,552 1,721 2,930 Total 396,855 701,576 89,685 128,799 Development and Completion of Industrial Parks During the Reporting Period, the total area of new development in industrial parks was 149,000 sq.m. and the total area of new completion was 87,000 sq.m. As of 30 June 2026, the total area under construction was 468,000 sq.m. Land Bank of Industrial Parks During the Reporting Period, the Group owned approximately 5,086,000 sq.m. of high-quality land bank for the industrial parks in various cities, including Wuhan, Shanghai, Qingdao, Changsha, Chengdu, Hefei, Shenyang, Chongqing, Xi’an, Wenzhou, Ezhou, Huangshi, Huanggang, Xianyang, Nantong, Nanjing, Taizhou etc., which laid the foundation for the scale of industrial parks business to grow steadily during the “15th Five-Year Plan” period, and continues to play the role of “anchor” (Ꮐጵͩ) for the Group.
Page 31
– 31 – Table of Land Bank of Industrial Parks An overview of the land bank of the industrial parks as of 30 June 2026 is as follows: No. Project City Location Usage Interest Attributable to the Group June 2026 Land Bank (sq.m.) 1 Optics Valley Software Park (Έԋழ) Wuhan 1 Guanshan Avenue, Wuhan, Hubei Province Industrial 100% 39,741 2 Financial Harbour (Phase I) (ፄಥɓಂ) Wuhan 77 Guanggu Avenue, Wuhan, Hubei Province Industrial 100% 27,215 3 Financial Harbour (Phase II) (ፄಥɚಂ) Wuhan 77 Guanggu Avenue, Wuhan, Hubei Province Industrial 100% 25,009 4 Creative Capital (௴จ˂ή) Wuhan 16 Yezhihu West Road, Hongshan District, Wuhan, Hubei Province Commercial 100% 135,374 5 Wuhan Innocenter (௴ʕː) Wuhan Intersection of Guanggu Avenue and Yangqiaohu Avenue, Wuhan, Hubei Province Industrial 100% 43,105 6 Wuhan CEC Information Harbour (ಥ) Wuhan Intersection of Guanggu Avenue and Yangqiaohu Avenue, Wuhan, Hubei Province Industrial 100% 53,071 7 Qingdao Optics Valley Software Park (Έԋழ) Qingdao 396 Emeishan Road, Qingdao, Shandong Province Industrial 100% 167,809 8 Qingdao Research and Innovation Center (௴ʕː) Qingdao East of Emeishan Road, West of Jiangshan Road, South of Yi Zhong Development Zone, Qingdao, Shandong Province Residential/ Industrial 100% 66,531 9 Qingdao Marine & Science Park (Ҧ) Qingdao South of Changjiang West Road, West of Jiangshan South Road, North of Binhai Avenue, Qingdao Economic & Technical Development Zone, Qingdao, Shandong Province Industrial 100% 189,221 10 Huanggang OVU Science and Technology City (۬) Huanggang Junction of Zhonghuan Road and Xingang North Road, Huangzhou District, Huanggang, Hubei Province Industrial 70% 76,879 11 Shenyang OVU Science and Technology City (۬) Shenyang Intersection of Shengjing Avenue and Fourth Ring Road, Shenbei New District, Shenyang, Liaoning Province Industrial 100% 4,375 12 Shenyang CEOVU Information Harbour (ಥ) Shenyang Intersection of Qixing Street and Fourth Ring Road, Shenbei New District, Shenyang, Liaoning Province Industrial 100% 38,412
Page 32
– 32 – No. Project City Location Usage Interest Attributable to the Group June 2026 Land Bank (sq.m.) 13 Shenyang Maker Corporation (ٟ) Shenyang Intersection of Qixing Street and Shenbei Road, Shenbei New District, Shenyang, Liaoning Province Commercial 100% 30,924 14 Shenyang CEOVU Technology City (۬) Shenyang 77 Qixing Street, Shenbei New District, Shenyang, Liaoning Province Industrial 100% 45,319 15 OVU New Industrial Demonstration Base (OVUʈุͪᇍਿή) Shenyang West of Qixing Street, North of Sihuan Road, Shenbei New District, Shenyang, Liaoning Province Industrial 100% 77,000 16 Ezhou OVU Science and Technology City (۬) Ezhou Gaoxin Third Road, Gedian Development Zone, Ezhou, Hubei Province Industrial 80% 175,073 17 Huangshi Science and Technology City (۬) Huangshi Intersection of Baoshan Road and Jinshan Boulevard, Golden Hill New Industrial Zone, Huangshi, Hubei Province Industrial 100% 174,577 18 Lido Top View (ִ) Huangshi 76 Hangzhou West Road, Huangshi Development Zone, Hubei Province Residential 100% 16,756 19 Hefei Financial Harbour (ፄಥ) Hefei Intersection of Huizhou Avenue and Yangzijiang Road, Hefei, Anhui Province Commercial 100% 202,255 20 OVU Xi’an Information Harbour (OVUಥ) Xi’an West of Caotan Tenth Road, North of Shangji Road, Xi’an, Shaanxi Province Industrial 74% 87,079 21 CEC (Wenzhou) Information Port (ʕཥɿ(ψ) ಥ) Wenzhou Jinhai Park, Wenzhou Economic and Technological Development Zone, Wenzhou, Zhejiang Province Industrial 95% 113,447 22 Shanghai CEC Information Harbour (ಥ) Shanghai Lot 114/1, 101 Street, Songjiang Industrial Park, Songjiang District Scientific research 100% 189,063 23 Chengdu Chip Valley (ԋ) Chengdu No.1 Fengle District, Dongsheng Street, No. 7 Guangrong District, Pengzhen Scientific research/ Commercial 80% 529,215 24 Luoyang OVU Electronic Information Industrial Park (ජOVUପุ) Luoyang Intersection of Guanlin Road and Longshan Line, Luolong District, Luoyang, Henan Province Industrial 70% 50,744 25 China (Changsha) Information Security Industrial Park (ʕ(Ӎ)τΌ ପุ) Changsha Yuelu Avenue, High-tech Industrial Development Zone Industrial 100% 310,873
Page 33
– 33 – No. Project City Location Usage Interest Attributable to the Group June 2026 Land Bank (sq.m.) 26 OVU Western Zhigu (OVUГ౽ԋ) Xianyang No. 3, Xinghuo Avenue, High-tech Industrial Development Zone, Qindu District, Xianyang City, Shaanxi Province Industrial 50% 182,893 27 Ouwei Digital Integration Science and Innovation Park (௴) Tianjin Tianjin High-tech Zone Huayuan Technology Park Commercial 80% 96,489 28 CEOVU Manufacturing Center (ʕཥΈԋ౽ிʕː) Wuhan 280 meters northwest of the intersection of Handong Avenue and Wuyi Avenue, Xinzhou District, Wuhan Industrial 100% 79,061 29 OVU Wuhan Digital Industrial Park (OVUဏᅰοପุ) Wuhan 88 Xingguang Avenue, Caidian District, Wuhan City, Hubei Province Industrial 100% 53,572 30 Chongqing CEOVU Technology City (۬) Chongqing Phase I of Qingfeng High-tech Industrial Park, Shapingba, Chongqing Industrial 100% 20,327 31 China Electronics Western Smart Creation Park (ʕཥГ౽ி) Chongqing Caijiagang, Beibei, Chongqing Industrial 100% 73,455 32 Changsha China Electronics Smart Creation Park (Ӎʕཥ౽ி) Changsha East of Huangxing Road, South of Luositang Road, Economic and Technological Development Zone, Changsha City Industrial 60% 57,263 33 CEOVU Mianyang Science Park (Ҧ) Mianyang Mianyang National High-tech Industries Development Zone Industrial 100% 290,296 34 Nantong Eastern Zhigu (౽ԋ) Nantong 123 Shilun Road, Chongchuan District, Nantong City, Jiangsu Province Industrial 70% 208,181 35 Yichang Network Information Industrial Park () Yichang Intersection of Tuanjie Road and Tiantai Road, Dianjun District Electronic Information Industrial Park Industrial 100% 55,092 36 CEOVU Handan Smart Creation Center (ʕཥΈԋᩒ⪅౽ிʕː) Handan East of Nanmatoujing 4th Street, South of Chunhe Road, West of Nanmatoujing 5th Street, Jinan New District, Handan City, Hebei Province Industrial 80% 96,971 37 OVU Wuhan Digital Intelligence Industrial Park (OVUဏᅰ౽ପุ) Wuhan 88 Xingguang Avenue, Caidian District, Wuhan City, Hubei Province Industrial 100% 67,240 38 Xianyang Bio-city (۬ي) Xianyang North of Xinghuo Avenue, West of Weiqing Road, East of Hanwu Boulevard, South of Weier Road, Xianyang City Industrial 60% 202,684
Page 34
– 34 – No. Project City Location Usage Interest Attributable to the Group June 2026 Land Bank (sq.m.) 39 Hongze Designated Eco- park (Phase II) (ዣ ͛࿒ͪᇍɚಂ) Huai’an South of Yanma Road, East of Kaituo Road, Hongze Economic Development Zone, Huai’an City Industrial 100% 83,343 40 Taizhou Smart Creation Harbour (इψ౽ிಥ) Taizhou Fenghuang East Road, Hailing District, Taizhou City, Jiangsu Province Industrial 70% 136,058 41 OVU Heyuan Zhigu (OVU ๕౽ԋ) Heyuan Room 207, South of Donghuan South Road, East of Jingwu North Road, Industrial Park, Jiangdong New District, Heyuan Industrial 70% 246,370 42 OVU Yuhua Zhigu (OVU౽ԋ) Nanjing East of Longteng South Road, South of Fengyi Road, Banqiao Street, Yuhuatai District, Nanjing Industrial 80% 145,210 43 OVU Changjiang Zhigu (OVUϪ౽ԋ) Wuhan OVU Changjiang Zhigu, Shenghai Avenue, Wuhu Street, Changjiang New District, Wuhan Industrial 80% 122,241 Total 5,085,813 2. Leasing of Properties in Self-owned Parks As of 30 June 2026, the Group owned 961,000 sq.m. of leasable area of self-owned properties and 685,000 sq.m. of leased area, with an occupancy rate of 71%. During the Reporting Period, the rental income amounted to RMB119.5 million, representing an increase of 1.9% as compared to the same period of last year. High-quality self-owned properties enriched the ecological system of industrial parks, enhanced the dynamic of the industrial parks, helped attract investment and improved the branding of the Group.
Page 35
– 35 – Industrial Investment CEC-CICC (Xiamen) Electronic Industry Private Equity Investment Management Co., Ltd.* (ʕཥ ږ(ژ)ʮ̡ ) (“ CEC & CICC ”) and Wuhan Lingdu Capital Investment and Management Co., Ltd.* (ʮ̡) (“Lingdu Capital”) under CEOVU have established a number of industrial investment funds. The industrial ecology featuring information innovation and cyber security, integrated circuits, digital city, smart manufacturing and cultural & creative entertainment has initially taken shape. “Lingdu Capital” is a professional investment institution initiated and established by CEOVU. The company mainly engages in private equity investment, mergers and acquisitions, matching between investing and financing, investment consulting, and venture capital services, and has jointly established angel investment funds, industrial investment funds, and merger and acquisition funds with a number of local governments. Lingdu Capital has invested in equity in the areas of digital city, smart manufacturing, network information and new materials, and has gradually established a diversified corporate industrial ecosystem. The company seizes the general trend of industrial upgrading in the regional economy in China, cultivates innovative enterprises, and builds an innovative ecosystem. With a deep understanding of industrial ecology and industrial development, a set of methodology for growth and mergers and acquisitions from start-ups to listed companies has been established, and targeted industrial ecological construction plans have been designed to help local governments promote industrial upgrading and transformation. As of the end of the Reporting Period, under Lingdu Capital, there were 10 funds including Yudatong Fund* (ږDonghu Lingdu Fund* (ږYuanshang Zhigu Fund* (ږand Wujiang Fund* (ږwhich promoted the development of four major fields: digital city, network information, smart manufacturing, and new materials. The Group, together with CICC Capital Operation Co., Ltd.* (ʮ̡) and others, established CEC & CICC, which is responsible for the establishment and management of CEC & CICC (Xiamen) Intelligent Industry Equity Investment Fund Partnership (L.P.)* (ږ(ژ)౽ঐପุ ΥྫΆุ(Υྫ)) (“CEC & CICC Fund”). CEC & CICC Fund makes full use of the industrial presence and network resources of CEC, leverages the capabilities of CICC’s professional investment team in investment and financing, and gives full play to its strengths to provide investors with excellent financial returns.
Page 36
– 36 – During the Reporting Period, Zhejiang Laifu Harmonic Drive Co., Ltd.* (ࠢ ʮ̡), a portfolio company of CEC & CICC Fund, was listed on The Stock Exchange of Hong Kong Limited (the “Stock Exchange”), and Yihua Technology (Beijing) Co., Ltd.* (Ҧ( ̏ԯ)΅Ϟ ʮ̡), also invested by CEC & CICC Fund, completed multiple series of financing. Meanwhile, CEC & CICC Fund completed the full equity withdrawal from CITIC Mobile Communication Technology Co., Ltd.* (ʮ̡) and Shandong Caike New Materials Co., Ltd.* (؇ ʮ̡), and completed partial equity withdrawal from seven projects, namely Weiyuan Energy Technology Co., Ltd.* (ʮ̡), Guohong Hydrogen Energy Technology (Jiaxing) Co., Ltd.* (Ҧ( ྗጳ)ʮ̡), Beijing Leyan Technology Co., Ltd.* (̏ ʮ̡), Hunan Shenyi Precision Components Co., Ltd.* (͡ᄂၚཧ ʮ̡), Shanghai Juhong Optoelectronics Technology Co., Ltd.* (ʮ ̡), Huiran Technology Co., Ltd.* (ʮ̡), and Shanghai Hejing Silicon Materials Co., Ltd. (ʮ̡). SUBSEQUENT IMPORTANT EVENTS From the end of the Reporting Period to the date of this announcement, the Group had no subsequent important events or other commitments that may materially affect the Group’s financial condition and operation. FUTURE PROSPECT Inventory Reduction and Debt Reduction Creating a Virtuous Cycle In the second half of the year, the Group will set the reduction of inventory and debt as its core objectives, focusing its efforts on driving corporate transformation and upgrading, as well as optimising its asset structure. By implementing a range of practical measures, the Group will achieve tangible results in reducing its existing inventory, thereby recovering funds and reducing debt. Implementing Asset Capitalisation in Line with Local Conditions We will advance the transition to an asset-light business model, with asset capitalisation as the core implementation strategy, and make every effort to revitalise existing real estate assets. Through these asset capitalisation measures, we aim to actively optimise our financing structure, and achieve substantial breakthroughs in our operational transformation. Resolutely Implementing the Development Principle of “Development Driven by Sales, Agile Customisation” In light of the current situation where the industrial park market is facing pressure on overall volume and structural divergence, we must resolutely abandon the model of large-scale, cluster-based development. Instead, we must adhere to an approach of “first identifying client needs, then collaborating to build the facilities”, scientifically manage the pace of project development, strictly control the scale of new construction starts, operate prudently in line with actual conditions, effectively mitigate operational risks, and lay a solid foundation for sustainable development.
Page 37
– 37 – Further Enhancing the Quality of Investment Property Management We will continue to deepen our expertise in the management of investment properties. We will acknowledge the variations in performance metrics across different projects arising from objective factors such as location and property type, and flexibly optimise our management strategies. By utilising digital tools as a key enabler to enhance the efficiency of asset management, we aim to further improve the quality of investment property management, steadily enhance quality and efficiency, and increase the value of our existing portfolio. FINANCIAL REVIEW Revenue During the Reporting Period, the revenue of the Group was RMB1,254.7 million, representing a decrease of RMB216.0 million or 14.7% as compared to the same period of 2025. The following table sets forth the revenue of the Group by business segment: For the six months ended 30 June 2026 2025 Revenue % of total Revenue % of total (RMB’000) (RMB’000) Industrial park operation services 909,545 72.5% 1,038,192 70.6% Design and construction services 257,539 20.5% 372,343 25.3% Property management services 414,042 33.0% 417,166 28.4% Energy services 56,140 4.5% 43,394 3.0% Group catering and hotel services 57,212 4.6% 72,387 4.9% Property leasing services 59,413 4.7% 80,202 5.5% Others 65,199 5.2% 52,700 3.5% Industrial park development services 345,160 27.5% 432,493 29.4% Sales of industrial park space 225,690 18.0% 315,268 21.4% Leasing services of properties in self-owned parks 119,470 9.5% 117,225 8.0% Total 1,254,705 100% 1,470,685 100%
Page 38
– 38 – Cost of Sales Cost of sales primarily consisted of (i) cost of properties sold in respect of the Group’s industrial park development business (which mainly includes land acquisition costs, construction costs, capitalized interest and other costs for fair value adjustment in relation to acquisition of project companies); and (ii) cost of industrial park operation services. During the Reporting Period, cost of sales of the Group amounted to RMB945.3 million, representing a decrease of RMB158.3 million or 14.3% over the same period in 2025. As of 30 June 2025 and 30 June 2026, the cost of sales of the Group represented 75.0% and 75.3%, respectively, of the revenue of the Group. Gross Profit and Gross Profit Margin During the Reporting Period, the overall gross profit of the Group was RMB309.4 million, representing a decrease of RMB57.7 million as compared with the same period in 2025. The overall gross profit margin was 24.7%, representing a decrease of 0.3 percentage points as compared with 25.0% of the gross profit margin for the same period in 2025. Other Income During the Reporting Period, other income of the Group was RMB18.1 million, representing a decrease of RMB47.2 million as compared to the same period in 2025. Selling and Distribution Expenses Selling and distribution expenses primarily consisted of advertising and promotional expenses, sales and marketing staff cost, travelling and communication expenses, office administration expenses, depreciation expenses and others. During the Reporting Period, selling and distribution expenses of the Group were RMB49.6 million, representing a decrease of 29.8% as compared to the same period of 2025. Administrative Expenses Administrative expenses primarily consisted of administrative staff costs, office administration expenses, travelling expenses, meeting and communication expenses, other indirect taxes, depreciation and amortization expenses, professional fees, and others. During the Reporting Period, administrative expenses of the Group were RMB131.3 million, representing a decrease of RMB26.4 million or 16.8% as compared to the same period of 2025.
Page 39
– 39 – Fair Value Changes of Investment Properties During the Reporting Period, fair value losses on the Group’s investment properties were RMB109.3 million, representing an increase of losses of RMB105.8 million as compared with the same period in 2025, primarily due to the recognition of losses arising from fair value changes in self-owned properties in the current period of RMB43.4 million, as a result of the decrease in valuation which was caused by the reduced rents as affected by the market. The Group did not change any valuation techniques in determining the fair values under Level 3 of the fair value hierarchy. Impairment Losses on Financial and Contract Assets During the Reporting Period, the Group’s impairment losses on financial and contract assets were RMB102.4 million, representing an increase in losses of RMB150.5 million as compared with the same period in 2025, primarily due to the Group’s assessment of recoverability and the recoverable amount, which took into account the loan terms of corporate borrowers, their assets and liabilities, and the expected future realisability of the assets; impairment was recognised for third-party loans and loans to related parties during the current period, whereas in the corresponding period of the previous year, the recovery of repayments on certain third-party loans resulted in the reversal of part of the impairment. There have been no changes to the Group’s approach to the impairment assessment of financial and contract assets. Income Tax Expense During the Reporting Period, income tax credit of the Group was RMB17.2 million, representing a decrease of expense of RMB87.3 million as compared with the same period in 2025, which was primarily due to (i) the decrease in PRC land appreciation tax of RMB9.4 million; (ii) the decrease in PRC corporate income tax expense (excluding deferred income tax) of RMB44.5 million; and (iii) the increase in PRC corporate deferred income tax credit of RMB33.4 million. Loss for the Reporting Period As a result of the foregoing, during the Reporting Period, the Group’s financial performance shifted from a profit to a loss, with a loss before tax of RMB113.2 million, compared with a profit before tax of RMB72.2 million for the same period in 2025. This change was primarily attributable to a combination of factors: (1) against the backdrop of macroeconomic pressures in the domestic property sector, intensifying operational challenges and the continued weakness of the property industry, clients deferred their demand for the Group’s industrial park operation services and industrial park development services, resulting in a reduction in revenue recognised from both the industrial park operation services and industrial park development services segments; (2) rents were reduced in response to market conditions, leading to a decline in the fair value of investment properties; and (3) the Company recognised a certain amount of impairment losses on financial assets.
Page 40
– 40 – Liquidity and Capital Resources The Group primarily uses cash to pay construction costs, land costs, infrastructure costs and finance costs incurred in connection with its industrial park developments, repayment of debts and allocation of working capital and general recurrent expenses. The Group’s cash inflow is mainly from the cash generated from pre-sale and sale of its properties, as well as proceeds from bank loans and other borrowings. During the Reporting Period, the Group’s net cash outflow from operating activities was RMB335.7 million, mainly consisting of the expenses from existing project construction. During the Reporting Period, the Group’s net cash inflow from financing activities was RMB331.4 million, mainly related to issue of the first tranche of the super short-term corporate bonds amounted to RMB500.0 million during the Reporting Period. Indebtedness The Group’s total outstanding indebtedness increased by RMB390.9 million from RMB7,466.5 million as at 31 December 2025 to RMB7,857.4 million as at 30 June 2026. Capital Expenditures and Capital Commitments During the Reporting Period, capital expenditures of the Group were RMB13.4 million. Capital expenditures of the Group were primarily related to expenditure for purchases of property, plant and equipment and purchases of intangible assets. As at 30 June 2026, the Group’s outstanding commitments related to property development expenditure and investment were RMB2,330.1 million. The Group estimates that its capital expenditures and capital commitments will further increase as its business and operation continue to expand. The Group anticipates that these capital expenditures and capital commitments will be financed primarily by bank borrowings and cash flow generated from operating activities. If necessary, the Group may raise additional funds on terms that are acceptable to it. Employees As of 30 June 2026, the Group had 7,064 full-time employees. The staff cost of the Group was approximately RMB407.4 million for the Reporting Period, representing a decrease of RMB13.2 million as compared to the same period of last year. The Group enters into employment contracts with its employees to cover matters such as position, terms of employment, wages, employee benefits and liabilities for breach and grounds for termination. The remuneration package of the employees includes basic salaries, allowances, bonuses and other employee benefits. The Group has implemented measures for assessing employees’ performance and promotion and a system of employee compensation and benefits. In general, the Group determines employee salaries based on each employee’s qualifications, position and seniority.
Page 41
– 41 – Pursuant to the relevant labor rules and regulations in China, the Group participates in statutory contribution pension schemes which are managed and operated by the relevant local government authorities. The Group is required to make contributions to such schemes of an amount ranging from 16.0% to 20.0% of the average salary announced annually by the local municipal government. The local government authorities are responsible for the entire pension obligations payable to retired employees. The Group’s contributions to the statutory contribution pension schemes are not reduced by contributions forfeited by those employees who leave the scheme prior to vesting fully in such contributions. PURCHASE, SALE OR REDEMPTION OF THE COMPANY’S LISTED SECURITIES Neither the Company nor any of its subsidiaries purchased, sold or redeemed any of the Company’s securities during the Reporting Period. As at 30 June 2026, the Company did not hold any treasury shares (as defined under the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (the “Listing Rules”)). CORPORATE GOVERNANCE The Company believes that maintaining high standards of corporate governance is the foundation for effective management and successful business growth. The Company is committed to developing and maintaining robust corporate governance practices to safeguard the interests of the shareholders of the Company (the “Shareholders”) and to enhance the corporate value, accountability and transparency of the Company. The Company has adopted the principles and code provisions of the Corporate Governance Code (the “CG Code”) set out in Appendix C1 to the Listing Rules as the basis of its corporate governance practices. During the Reporting Period, the Company has complied with the principles and code provisions of the CG Code. MODEL CODE FOR SECURITIES TRANSACTION The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 to the Listing Rules (the “Model Code”) as the code of conduct regarding the Directors’ dealings in the securities of the Company. Having made specific enquiries with all the Directors, all the Directors confirmed that they have complied with the standards as set out in the Model Code throughout the Reporting Period. CHANGE IN DIRECTOR’S INFORMATION On 9 July 2026, Mr. Hu Lijun was appointed as an independent director of Zhejiang Wanfeng Auto Wheel Co., Ltd. (stock code: 002085), a company listed on the Shenzhen Stock Exchange.
Page 42
– 42 – Save as disclosed above, the Company is not aware of any other information that is required to be disclosed under Rule 13.51B(1) of the Listing Rules since the publication of the Company’s annual report for the year ended 31 December 2025. REVIEW OF INTERIM RESULTS BY THE AUDIT COMMITTEE The Audit Committee has reviewed together with the management and the independent auditor the accounting principles and policies adopted by the Group and the unaudited interim results for the six months ended 30 June 2026. DIVIDEND The Board does not recommend the distribution of any interim dividend for the Reporting Period. PUBLICATION OF INTERIM RESULTS AND 2026 INTERIM REPORT This announcement is published on the websites of the Company (http://www.ceovu.com) and the Stock Exchange (http://www.hkexnews.hk). The 2026 interim report will be despatched to the Shareholders according to the means chosen by the relevant Shareholders for receiving corporate communications of the Company and will be made available on the websites of the Company and the Stock Exchange as and when appropriate. By order of the Board China Electronics Optics Valley Union Holding Company Limited Liu Bo Chairman Wuhan, Hubei, the People’s Republic of China 25 August 2026 As at the date of this announcement, the Directors of the Company are Ms. Liu Bo (Chairman), Mr. Zang Saijun, Mr. Zhang Jie, Mr. Hu Bin and Ms. Zeng Yumei as non-executive Directors; Mr. Qiu Hongsheng, Mr. Peng Weidong and Mr. Hu Lijun as independent non-executive Directors; Mr. Huang Liping as executive Director (President). * For identification purposes only