Zhongliang Holdings 2019 Annual Results March 2020 0 CONTENT 02 - - PowerPoint PPT Presentation

Zhongliang Holdings 2019 Annual Results

March 2020

1

1

CONTENT 01

Results Highlights

02

Development Strategies

03

Business Operation

04

Financial Performance

05

Appendix

2

01

2019 ANNUAL RESULTS HIGHLIGHTS

3

3

90%

Robust Growth in Revenue and Profitability ▪ Revenue + 88% yoy to RMB56.6 bn ▪ Core net profit attributable to owners + 102% yoy to RMB 3.9 bn

2019 ANNUAL RESULTS HIGHLIGHTS

▪ 2019 contracted sales + 50% yoy to RMB152.5 bn ▪ Unbooked contacted sales was over RMB200.0 bn2 ▪ Final dividend of HK32.8 cents (equivalent to RMB 29.8 cents) per share ▪ Dividend payout ratio at 40% of the net core profit attributable to owners ▪ Aggregate land consideration amounted to RMB76.4 bn2 , average land cost was RMB4,600 per sq.m (attributable interest >60%) ▪ Tier-2 and tier-3 accounted for 53% and 39% respectively, tier-4 only 8% ▪ Total land bank of approx. 57.0 million sq.m2 with average land cost of RMB4,000 psm ▪ Total saleable resources of approx. RMB 443.3bn3 ▪ Total indebtedness amounted to RMB40.2b with net gearing ratio at 65.6% ▪ Obtained issuer's international credit ratings: B+ by Fitch; B1 by Moody's; B+ by S&P and BB by Lianhe Global, all with Stable outlook

102%

High Earnings Visibility

570 700

Sq.m Full-Structured Land bank with Nationwide Coverage

200 200b

New Saleable Resources

Solid Financial Position B+ Offshore Ratings AA+ Onshore Ratings Dividend Distribution Stringent Land Selection Process With Full-Coverage

65.6%

Net gearing

40 40%

Dividend payout

20th1

• f 2020 Real

Estate Top 500

Note 1: Ranked by China Real Estate Association, E-house China R&D institute (CRIC) and China Real Estate Appraisal Center in 2020 Note 2: Gross amount which includes joint ventures and associated companies Note 3: Excluded presold but unbooked contracted sales

4

02

BUSINESS OPERATION

5

5

Robust Contracted Sales Growth

Note1: Include the Group’s subsidiaries, joint ventures and associated companies

5,664 10,146 14,851 2017 2018 2019

(000’sqm)

64,900 101,500 152,500 2017 2018 2019 11,460 10,000 10,300 2017 2018 2019 FY 2019 Contracted Sales1

RMB152.5b

+50%YoY

(RMB mn)

FY 2019 Contracted GFA1

14.9m sqm

+46%YoY

FY 2019 Contracted ASP

RMB10,300/ sqm

Expects ASP may increase due to urban upgrading to higher-tier cities

(RMB per sqm)

6

6

Yangtze River Delta

59.4% Pan Bohai 7.4% Midwest China 20.3% Western Taiwan Straits 12.6% Pearl River Delta 0.3%

Yangtze River Delta

59.0% Pan Bohai 6.8% Midwest China 23.5% Western Taiwan Straits 8.6% Pearl River Delta 2.1%

90%

Cash collection rate

70%

Sell-through rate

117%

Exceeded 2019 sales target

Contracted Sales Breakdown by City-tiers Contracted Sales Breakdown by Region 2018 24% 35% 64% 53% 12% 12%

2018 2019 Tier-2 cities Tier-3 cities

Balanced Sales & Strong Execution Capability

2019 2019 Operational Indicators

7

7

Stringent Land Selection Process

GFA 16.6m sq.m

Tier-2 cities

53% New Land Acquisitions in 20191

Full-structured land bank with nationwide coverage, allowing regional & city-tier rotation in line with economy and policies Entered 20 new cities, including Nanjing, Nangchang, Tianjin, Dalian, Guiyang, Xian, Fuzhou, Xiamen, Weifang, etc. Focused on small to middle sized projects to diversify risks effectively

Note 1 Gross aggregate amount Note 2: Map shows project distribution as at 31 December 2019

Number of projects

139

Midwest China Pan Bohai Rim Yangtze River Delta West Taiwan Straits Pearl River Delta

Headquatrer - Shanghai 4 Inner Mongolia 24 Liaoning 2 Gansu 2 Shanxi 3 8 64 141 34 35 17 11 9 13 11 7 24 10 16 2 Shandong Jiangsu Zhejiang Fujian Guangdong Guangxi Yunnan Guizhou Sichuan Hubei Hunan Jiangxi Anhui Shaanxi Henan Hebei 2 Tianjin Beijing 2 Ningxia 11 Chongqing

Total land cost

RMB76.4bn

Average land cost

4,600/sq.m

Yangtze River Delta

63%

Newly entered cities

20

Tier-2 & tier-3 cities

92%

Newly added Saleable Resources

RMB201.5bn

Attributable interest

>60%

8

8

Rotational Land Selection Strategy

Adopts varied strategies to control risk and manage cash flow. During market upturn, executing proactive segment rotation; during market downturn, improving land bank structure with less risks.

32% 53%

54% 39%

14% 8% 2018 2019

Tier -2 Tier-3 Tier-4

▪

Led the market by rotating into tier-3 & 4 cities in 2016-18, seizing the shantytown policy opportunities

▪

Responded quickly to market slowdown, shifted back to tier-2 and strong tier-3 since 2H 2018

▪

Tier-2 cities land acquisitions proportion increased to 53% in 2019 Breakdown of Land Premium of New Land Acquisitions (by City-tier)

Driven by market fundamentals, increased exposure of tier-2 & strong tier-3 cities

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9

Scientific Land Selection Approach

Stringent selection process: only less than 1.4% of tracked land parcels eventually acquired in 2019

• Long-term development

potential of cities

• In line with the

Zhongliang’s strategy

• Ensure sell-thro +

fast asset turn

• Ensure profit +

capital efficiency Strategic funnel Market funnel

6000+ 2000+ 800+ 139

10000+ 6000+ 2000+ 800+ 139

Tracked Land Parcels Preliminary Screening Feasibility Studies Bidding

Purchase

Financial funnel

10

10

T2 in YRD 15% T3&4 in YRD 31% T2&3 in Midwest China 25% T2&3 in Pan Bohai 8% Other T2&3 cities 7% Others 14%

Tier 2 40-50% Tier 3 40-50% Tier 4 10% Yangtze River Delta 46% Pan Bohai 8% Midwest China 34% Western Taiwan Straits 10% Pearl River Delta 3%

Full-Structured Land bank with Nationwide Coverage

Total land bank of 57.0mn sq.m1， 458 projects cover 23 provinces and municipalities in 142 cities

22.1% 16.8% 7.6% 7.2% 6.1% 6.0% 5.7% 3.4% 3.4% 3.2% 3.0% 2.7% 2.6% 2.3% 1.9% 1.9% 0.9% 0.9% 0.7% 0.5% 0.5% 0.4% 0.3%

Land Bank by provinces

(sqm)

Land Bank as of 31 December 2019 by Region

Note1：As at 31 December 2019, aggregate land bank includes joint ventures and associated companies, including presold but unbooked land bank which is approx. 19mn sq.m or equivalent to expected salable resources of RMB200.0bn Note 2: YRD refers to Yangtze River Delta

Target by City tier

(by expected salable values)

Land Bank as of 31 Dec 2019 by City tier

Tier 2 36% Tier 3 54% Tier 4 10%

（by expected salable values） （sqm）

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11

Saleable Resources in 2020

Unsold saleable resources over RMB443.3 bn 1,2 ,unbook contacted sales over RMB200.0 bn1 2020 saleable resources of RMB260.0 bn1

Yangtze River Delta 49% Pan Bohai 9% Midwest China 30% Western Taiwan Straits 9% Pearl River Delta 2%

2020 Saleable Resources By region

Note 1: Gross amount which includes joint ventures and associated companies Note 2: Deducted unbooked contracted sales

Operation indicator1 (0000sqm) 2019 Completed 2020 Planning GFA under construction 4,350 5,500 New construction 2,000 2,150 Completed floor area 850 1,000

Tier 2 39% Tier 3 45% Tier 4 16%

2020 Saleable Resources By tiers

13%

28% 40% 19% Q1 Q2 Q3 Q4

2020 Saleable Resources Distribution

15,440 10,810 8,070

Tier 2 Tier 3 Tier 4

Expected ASP

14,530 11,210 10,370 9,650 8,920

YRD PRD Pan Bohai WTSMidwest

Expected ASP

RMB/sqm RMB/sqm

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Strategic coverage – List of Cities Entered

As of 31 Dec 2019, has entered 25 second-tier cities, 78 third-tier cities and 39 fourth-tier cities, with a total of 142 cities.

Region Province City-tier City List

Yangtze River Delta Jiangsu Tier-2 Suzhou, Wuxi, Nanjing Tier-3 Xuzhou, Changzhou, Yangzhou, Taizhou, Yancheng, Lianyungang, Suqian, Nantong, Huai’an Zhejiang Tier-2 Hangzhou, Ningbo, Wenzhou Tier-3 Jiaxing, Jinhua, Taizhou, Shaoxing, Huzhou, Zhoushan, Quzhou, Lishui Anhui Tier-2 Hefei Tier-3 Wuhu, Liuan, Bozhou, Tongling, Anqing, Xuancheng Tier-4 Suzhou, Chizhou, Huaibei, Chuzhou, Bengbo, Fuyang Western Taiwan Straits Fujian Tier-2 Fuzhou, Xiamen Tier-3 Zhangzhou, Ningde, Sanming, Longyan, Quanzhou Jiangxi Tier-2 Nanchang Tier-3 Fuzhou、Ganzhou Tier-4 Ji’an, Shangrao, Jiujiang, Pingxiang, Jingdezhen Bohai Rim Tianjin Tier-2 Tianjin Shandong Tier-2 Qingdao, Jinan Tier-3 Liaocheng, Weihai, Linyi, Dezhou, Jining, Tai’an, Yantai, Bingzhou, Zaozhuang, Zibo, Weifang Hebei Tier-3 Tangshan, Cangzhou Liaoning Tier-2 Shenyang, Dalian Pearl River Delta Guangdong Tier-3 Zhaoqing, Jiangmen, Foshan, Shaoguan, Maoming Tier-4 Chaozhou, Heyuan, Jieyang, Qingyuan

Region Province City-tier City List

Midwest Chongqing Tier-2 Chongqing Henan Tier-2 Zhengzhou Tier-3 Xinyang, Shangqiu, Xuchang, Nanyang, Luoyang Tier-4 Puyang, Xinxiang, Pingdingshan, Jiaozuo, Jiyuan Sichuan Tier-2 Chengdu Tier-3 Nanchong, Mianyang, Dazhou, Meishan, Suining Tier-4 Zigong, Yibin Hubei Tier-2 Wuhan Tier-3 Huanggang, Xiangyang, Yichang Tier-4 Ezhou, Enshi, Suizhou, Huangshi Hunan Tier-2 Changsha Tier-3 Zhuzhou, Yiyang, Loudi, Yueyang, Changde, Hengyang, Chenzhou Tier-4 Shaoyang Shaanxi Tier-2 Xi’an Tier-3 Yulin Tier-4 Ankang, Tongchuan Inner Mongolia Tier-3 Baotou, Hohhot, Chifeng Guangxi Tier-2 Nanning Tier-3 Liuzhou, Qinzhou Tier-4 Guigang, Beihai Yunnan Tier-2 Kunming Tier-3 Yuxi, Chuxiong Tier-4 Baoshan, Dali, Pu’er, Shaotong Shanxi Tier-2 Taiyuan Tier-4 Linfen Guizhou Tier-2 Guiyang Tier-3 Zunyi Tier-4 Bijie Gansu Tier-4 Pingliang, Tianshui Ningxia Tier-3 Yinchuan

Newly entered cities in 2019 are marked in red

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03

DEVELOPMENT STRATEGIES

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14

Measures for Covid-19 and Outlook for 2020

Note1：Gross amount based on existing purchased land plots, including associates and joint venture projects Note2：Based on unaudited consolidated management accounts, as at the end of February 2020

• Strategic nationwide coverage with full

structured landbank and small to medium sized projects in

• rder

to diversify risks effectively.

• Saleable resources of RMB260.01 bn in

2020; Hubei (including Wuhan) accounted for < 3%

• Sales

centers reopen to achieve contract sales in small batches via

• nline and offline channels. We are

convicted that market demand is merely pushed back and expect market sales to rebound sharply in Q2

• Adequate supply of saleable resources

which is evenly distributed during the year and regionally diversified, we will grasp the real estate market rebound and strongly recover our sales

• Target

gross sales

• f

RMB168.0bn, expecting 10% yoy growth

Sales

• utlook

liquidity and cashflow

• Net gearing is below industry average

level with actively improving funding structure

• Cash on hand at the level of around

RMB24.0 bn2 as at end of February 2020

• Remaining debts was approx. RMB15.0

bn2 as at end of February 2020

• Upcoming maturing will be USD200 m

due in November and there is no concentration of onshore maturity with scattered amounts

• In February and March 2020, raised over

USD400 m in offshore bond market and loans to further supplement liquidity

Land banking strategy

• Despite the impact of the Covid-19, the

Group is not pessimistic about yearly

• utlook

and we expect that the government will launch measures to stimulate the economy after the disease is under control, which will also benefit the real estate sector.

• Committed

land purchase payments

• manageable. As at end of February

2020, amount

• f
• utstanding

land premium was around RMB8.0 bn which will be paid by instalment over the remaining period.

• For now, the Group has slowed down

land acquisitions, tightened construction capex and accelerated cash collection.

• We

will strive to capture the

• pportunities of market rebound and

wait for better entry-level for land.

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15

Actively facilitated resumption of work

▪ As at 30 March 2020, all sales centers reopen, excluding 2 projects in Wuhan ▪ 99% of sales centers resume operation ▪

• Approx. 230 projects offer for presales

▪ As at 30 March 2020, site resumption rate achieved 97% with 290 projects in progress ▪ Expects to achieve a work resumption rate

• f 99% by end of March

▪ 3 projects under construction in Wuhan

16

16

Enhanced Organisational Structure

Completion of 7 Districts Reorganizations Deepening Regional markets Committed to becoming China's leading Comprehensive Real Estate Developer

17

17

Focus on the Yangtze River Delta

01

YRD in top priority, following by middle area of Yangtze River, Chengdu and Chongqing

03

Midwest, Bohai Rim Focus on T2 and strong T3 cities

Midwest (administrative centers), provincial capitals and T2 cities Cities have solid fundamentals, market opportunities and returns

02 04

Cautious investment in T4 cities

Cities with large market capacity within the metropolitan area

Steady Growth in Scale and Quality

18

18

Recognitions

Got 15 'Gold' awards in 2019 and won the "Gold Real Estate Product Innovation Enterprise of the Year"

19

19

Customer Experience Enhancements

To improve product capabilities to maintain core competencies

20

20

Fight Against the Epidemic

“Zhongliang Charity Library” Donated books to Wuhan to fight the epidemic “Free consultation” Offering free online COVID- 19 consultation “Prevention tasks force” Issued anti-COVID-19 guidelines to protect customers and employees “Enthusiastic to donate” Donated N95-standard masks, gloves and sanitizer

21 21

05

FINANCIAL PERFORMANCE

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Key Income Statement Figures

2019 (RMB M) 2018 (RMB M) YoY changes

Revenue 56,640 30,215 +88% Gross profit 13,182 6,911 +91% Gross profit margin 23.2% 22.9% +0.3ppt SG&A （4,580) (2,982) +54% Finance costs (467) (433) +8% Share of profits and losses of JV and asso 1,235 635 +95% EBITDA 12,110 6,264 +93% EBITDA margin 21.4% 20.7% +0.7ppt Income tax (3,642) (1,912) +90% Core net profit (before MI） 6,302 2,501 +152% Core net profit margin (before MI） 11.1% 8.3% +2.8ppt Core net profit attributable to owners of the Company 3,901 1,929 +102% Core net profit margin 6.9% 6.4% +0.5ppt Core earnings per share (basic) (RMB cents) 119 64 +86%

• Core net profit attributable to the owners of the Company refers to net profit excluding changes in fair value of investment properties and financial assets at fair

value through profits and losses and listing expenses, net of deferred tax.

• EBITDA consists of profit from operating activities before fair value gains / losses, interest expenses (including capitalised interest), income tax expenses,

depreciation and amortisation expenses and other non-current items (e.g. listing expenses). EBITDA is not a standard measure under IFRS

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23

95,482 30,215 115,873 56,640 2018.12.31 30,215 56,640

2018 2019

Revenue & Deposits Received from Customers

Recognised revenue(by major cities and cities tier) Revenue

2,696,799 5,620,930

2018 2019

Recognised GFA

Lishui, 9.3% Taizhou,7.4% Wenzhou,4.7% Ningbo, 4.9% Suzhou, 2.6% Other YRD 43.9% MidWest China 9.4% Ganzhou 5.6% Other Western Taiwan Straits 10.3% Pan Bohai 1.6% Pearl River Delta 0.2%

T2 cities：20% T3 cities：69% T4 cities：11%

(sqm)

+88% +108%

2019

Note 1: Contracts liabilities on balance sheet represents deposits received from customers

2X

Deposits received from customers1 vs revenue

(RMB m) 2018.12.31 2019.12.31 预收客户款 预收客户款 2019年确认收入 2018年确认收入

Recognized ASP RMB10,000/sqm

2018.12.31 2019.12.31 Deposits from customers 2018 2019 Recognised revenue (RMB m)

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24

1,929 3,901 6.4% 6.9%

0% 2% 3% 5% 6% 300 1,300 2,300 3,300 4,300

2018 2019

Attributable core profit（after MI） Attributable core profit margin（after MI）

2,501 6,302 8.3% 11.1%

0% 4% 8% 12%

700 1,400 2,100 2,800 3,500 4,200 4,900 5,600 6,300 7,000 7,700 8,400

2018 2019

Core net profit Core net profit margin

Robust Growth in Revenue and Profits

6,911 13,182 22.9% 23.2%

3,000 6,000 9,000 12,000 15,000 18,000

0% 5% 10% 15% 20% 25%

2018 2019

Gross profit Gross profit margin

Gross Profit and Gross Profit Margin Core Net Profit and Margin (Before MI) Attributable Core Profit and Margin (After MI)

6,264 12,110 20.7% 21.4%

3,000 6,000 9,000 12,000 15,000 18,000 0% 5% 10% 15% 20% 25%

2018 2019

EBITDA EBITDA margin

EBITDA and EBITDA Margin

RMB’m,% RMB’m,% RMB’m,% RMB’m,%

25

25

Key Balance Sheet Figures

2019 (RMB M) 2018 (RMB M) YoY changes

Total assets

224,520 168,075 +34%

Total liabilities

203,648 161,320 +26%

Total indebtedness1

40,181 27,005 +49%

Total equity

20,872 6,754 +209%

Equity attributable to owners of the Company

8,728 2,579 +238%

Bank balances and cash

26,495 23,080 +15%

Net gearing ratio

65.6% 58.1% +7.5ppt

Contract liabilities

115,873 95,482 +21%

Note1: Total indebtedness represents total interest-bearing bank and other borrowings

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26

6,754 20,872

2018.12.31 2019.12.31

Improving Balance Sheet

168,075 224,530

2018.12.31 2019.12.31

27,005 40,181 3,925 13,686

2018.12.31 2019.12.31

Interest bearing debt Net debt 14,552 14,955 7,892 10,195 636 1,345

2018.12.31 2019.12.31

Cash and Cash equalvant Restricted cash Pledged deposit

Total:23,080 Total assets Total Equity Bank Balances and Cash1 Total:26,495 Interest Bearing debts and net debt2

RMB’m RMB’m RMB’m RMB’m

Note 1： Bank balances and cash comprises restricted cash, pledged deposits and cash and cash equivalents Note 2： Total indebtedness represents total interest-bearing bank and other borrowings

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27

4.3 3.3

2018.12.31 2019.12.31

9.9% 9.4%

2018.12.31 2019.12.31

Improving Financial Metrics

2.6 3.2

2018.12.31 2019.12.31

58.1% 65.6%

2018.12.31 2019.12.31 Times

Net Debt ratio 1 EBITDA/interest expense 3 Weighted Average Borrowing Costs4

Times

Interest Bearing Borrowings/EBITDA 2

Note 1：The calculation of net gearing ratio is based on total indebtedness less bank balances and cash divided by total equity at the end of the period and multiplied by 100% Note 2 : Interest bearing borrowings / EBITDA refers to EBITDA in the past 12 months (2H 2018+1H 2019) Note 3：EBITDA consists of profit from operating activities before fair value gains / losses, interest expenses (including capitalised interest), income tax expenses, depreciation and amortisation expenses and other non-cash items. EBITDA is not a standard measure under IFRS

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Improving Debt Structure

Expanded offshore financing channels

Offshore senior notes 10% Onshore bank loans 50% Onshore other loans 40%

Onshore bank loans 42%

Onshore

• ther loans

58%

2018 2019

Within 1 year 53% 1 to 2 years 42% 3 to 5 years 5%

2019

Within 1 year 54% 1 to 2 years 37% 3 to 5 years 9%

2018

Short debt Ratio Moody’s B1（Stable） S&P B+ (Stable) Fitch B+（Stable） Lianhe Global BB（Stable）

United Ratings

AA+ (Stable) 1 International and onshore ratings

Goal：to further reduce the proportion of onshore non-banks loan Goal: to further reduce 1-year maturity debt ratio

7.5% 7.3% 11.7% 11.7% 10.9%

2018.12.31 2019.12.31

Onshore bank loans Onshore other loan Offshore senior notes

Interest costs breakdown2

Note1：Wholly owned subsidiaries Shanghai Zhongliang Note2：Weighted average debt cost is the weighted average interest cost of all outstanding debts at the end of each financial period

• ffshore

Onshore

29

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Thank you!

30 30

06

APPENDIX

31

31

Land Bank Details

Projects developed by Subsidiaries Number

• f

Projects Completed GFA Available for Sale/Leasable GFA (sq.m.) Planned GFA under development (sq.m.) Estimated GFA for Future Development (sq.m.) Attributable Land Bank (sq.m.) % of Attributable Land Bank (%) Total Land Bank (sq.m.) Zhejiang 82 750,130 5,159,014 1,445,727 7,354,871 16.1% 7,354,871 Jiangsu 41 439,197 4,062,637 1,325,314 5,827,148 12.8% 5,827,148 Anhui 25 27,335 2,219,892 107,326 2,354,553 5.2% 2,354,553 YRD 148 1,216,662 11,441,543 2,878,367 15,536,572 34.1% 15,536,572 Henan 22

• 2,750,385

541,779 3,292,164 7.2% 3,292,164 Hunan 16 487,608 1,508,644 857,745 2,853,997 6.2% 2,853,997 Hubei 10 30,758 1,445,910 334,203 1,810,871 3.9% 1,810,871 Yunnan 10 3,201 1,511,327

• 1,514,528

3.3% 1,514,528 Inner Mongolia 4

• 747,611

747,611 1,495,222 3.3% 1,495,222 Sichuan 11

• 1,028,180

281,418 1,309,598 2.9% 1,309,598 Shaanxi 7

• 827,809

283,330 1,111,139 2.4% 1,111,139 Guangxi 8 83,994 872,424 87,263 1,043,681 2.3% 1,043,681 Chongqing 5

• 450,023

395,427 845,450 1.9% 845,450 Ningxia 2

• 166,813

221,349 388,162 0.9% 388,162 Shanxi 2

• 276,839
• 276,839

0.6% 276,839 Guizhou 3

• 267,535
• 267,535

0.6% 267,535 Gansu 2

• 194,166
• 194,166

0.4% 194,166 Midwest 102 605,561 12,047,666 3,750,125 16,403,352 35.9% 16,403,352

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32

Projects developed by Subsidiaries # of Projects Completed GFA Available for Sale/Leasable GFA (sq.m.) Planned GFA under development (sq.m.) Estimated GFA for Future Development (sq.m.) Attributable Land Bank (sq.m.) % of Attributable Land Bank (%) Total Land Bank (sq.m.) Liaoning 23

• 2,194,427

654,391 2,848,818 6.2% 2,848,818 Hebei 3

• 355,535

147,037 502,572 1.1% 502,572 Shandong 4

• 150,214

316,744 466,958 1.0% 466,958 Tianjin 2

• 252,796
• 252,796

0.6% 252,796 Bohai Rim 32

• 2,952,972

1,118,172 4,071,144 8.9% 4,071,144 Jiangxi 30 508,079 1,618,328 219,715 2,346,122 5.1% 2,346,122 Fujian 8 21,290 713,076

• 734,366

1.6% 734,366 Western Taiwan Straits 38 529,369 2,331,404 219,715 3,080,488 6.7% 3,080,488 Guangdong 10

• 1,074,296

275,744 1,350,040 3.0% 1,350,040 Pearl River Delta 10

• 1,074,296

275,744 1,350,040 3.0% 1,350,040 Subsidiaries sub-total 330 2,351,592 29,847,881 8,242,123 40,441,596 88.6% 40,441,596

Land Bank Details

33

33

Projects developed by JVs and Associates Number

• f

Projects Completed GFA Available for Sale/Leasable GFA (sq.m.) Planned GFA under development (sq.m.) Estimated GFA for Future Development (sq.m.) Attributable Land Bank (sq.m.) % of Attributable Land Bank (%) Total Land Bank (sq.m.) Zhejiang 59 80,285 1,475,611 38,425 1,594,321 3.5% 5,248,560 Jiangsu 23 219,630 1,002,806 118,586 1,341,022 2.9% 3,727,941 Anhui 9

• 379,387

34,975 414,362 0.9% 1,742,012 YRD 91 299,915 2,857,804 191,986 3,349,705 7.3% 10,718,513 Shandong 6 35,830 262,332 101,684 399,846 0.9% 1,082,646 Henan 4

• 144,881

245,724 390,605 0.9% 1,050,610 Hebei 3 31,837 107,447

• 139,284

0.3% 381,419 Yunan 3

• 84,003
• 84,003

0.2% 188,231 Guangxi 1

• 15,289
• 15,289

0.0% 52,720 Midwest 17 67,667 613,952 347,408 1,029,027 2.3% 2,755,626

Land Bank Details

34

34

Projects developed by JVs and Associates # of Projects Completed GFA Available for Sale/Leasable GFA (sq.m.) Planned GFA under development (sq.m.) Estimated GFA for Future Development (sq.m.) Attributable Land Bank (sq.m.) % of Attributable Land Bank (%) Total Land Bank (sq.m.) Shandong 4 5,290 124,468

• 129,758

0.3% 577,081 Liaoning 1

• 17,262
• 17,262

0.0% 33,848 Bohai Rim 5 5,290 141,730

• 147,020

0.3% 610,929 Jiangxi 5 33,959 300,658

• 334,617

0.7% 1,155,271 Fujian 9 26,197 208,341 63,510 298,048 0.7% 1,189,756 Western Taiwan Straits 14 60,156 508,999 63,510 632,665 1.4% 2,345,027 Guangdong 1

• 48,600
• 48,600

0.1% 162,000 Pearl River Delta 1

• 48,600
• 48,600

0.1% 162,000 Sub-total 128 433,028 4,171,085 602,904 5,207,017 11.4% 16,592,095

Total 458 2,784,620 34,018,966 8,845,027 45,648,613 100.0% 57,033,691

Land Bank Details

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Disclaimer

◼ This presentation may contain forward-looking statements. Any such forward-looking statements are based on a number of assumptions about the

• perations of the Zhongliang Holdings Group Limited (the “Company”) and factors beyond the Company's control and are subject to significant risks and

uncertainties, and accordingly, actual results may differ materially from these forward-looking statements. The Company undertakes no obligation to update these forward-looking statements for events or circumstances that occur subsequent to such dates. The information in this presentation should be considered in the context of the circumstances prevailing at the time of its presentation and has not been, and will not be, updated to reflect material developments which may occur after the date of this presentation. The slides forming part of this presentation have been prepared solely as a support for

• ral discussion about background information about the Company.

◼ This presentation also contains information and statistics relating to the China and property development industry. The Company has derived such

information and data from unofficial sources, without independent verification. The Company cannot ensure that these sources have compiled such data and information on the same basis or with the same degree of accuracy or completeness as are found in other industries. You should not place undue reliance

• n statements in this presentation regarding the property development industry. No representation or warranty, express or implied, is made as to, and no

reliance should be placed on, the fairness, accuracy, completeness or correctness of any information or opinion contained herein. It should not be regarded by recipients as a substitute for the exercise of their own judgment. Information and opinion contained in this presentation may be based on or derived from the judgment and opinion of the management of the Company.

◼ Such information is not always capable of verification or validation. None of the Company or financial adviser of the Company, or any of their respective

directors, officers, employees, agents or advisers shall be in any way responsible for the contents hereof, or shall be liable for any loss arising from use of the information contained in this presentation or otherwise arising in connection therewith. This presentation does not take into consideration the investment

• bjectives, financial situation or particular needs of any particular investor. It shall not to be construed as a solicitation or an offer or invitation to buy or sell

any securities or related financial instruments. No part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.