Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Shenzhen Special Economic Zone Real Estate &

Properties (Group) Co. Ltd.2026 Interim Report

[August 26 2026]

1Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section I Important Notes Table of Contents and

Interpretations

The Board of Directors the directors and the executives of the

Company guarantee that there are no significant omissions fictitious

or misleading statements carried in the Report and we will accept

individual and joint responsibilities for the truthfulness accuracy and

completeness of the Report.Principal CHEN Ming Chief Finance Officer WANG Jianfei and

Chief Accountant (accounting officer) ZHOU Hongpu declare that they

guarantee the authenticity accuracy and completeness of the financial

report in the Semi-annual Report.All directors attended the board meeting at which this Semi-

annual Report was considered.Some of the descriptions in the Company's semi-annual report

relating to future business plans or business work arrangements are

subject to various factors and do not constitute a substantial

commitment by the Company to investors. Investors and related

persons should maintain sufficient risk awareness and understand the

differences between plans forecasts and commitments.The Company plans not to distribute cash dividends issue bonus

shares or increase share capital through capitalization of reserves.

2Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Table of Contents

Section I Important Notes Table of Contents and In... 2

Section II Company Profile and Major Financial Ind... 6

Section III Management's Discussion and Analysis .....9

Section IV Corporate Governance Environment and So.. 23

Section V Significant Events ....................... 24

Section VI. Share Changes and Shareholder Informat...35

Section VII Bonds .................................. 42

Section VIII Financial Statements .................. 43

3Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

List of Reference Documents

1. The financial statements with the personal signatures and stamps of the Company’s legal

representative Chief Financial Officer and head of the financial department.

2. The originals of all the documents and announcements disclosed by the Company on the

designated information disclosure media during the Reporting Period.

4Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Interpretations

Item of interpretations Refers to Interpretations

The State-owned Assets Supervision and

“Shenzhen SASAC” or the “Municipal SASAC” Refers to Administration Commission of the People’s

Government of Shenzhen Municipal

SIHC Shenzhen Investment Holdings Refers to Shenzhen Investment Holdings Co. Ltd.The Company the Group SPG or "we" Refers to Shenzhen Special Economic Zone Real Estate &Properties (Group) Co. Ltd.Petrel Hotel Refers to Shenzhen Petrel Hotel Co. Ltd.Zhentong Engineering Refers to Shenzhen Zhentong Engineering Co. Ltd.Huazhan Construction Supervision Refers to Shenzhen Huazhan Construction Supervision Co.Ltd

Jianbang Group Refers to Guangdong Jianbang Group (Huiyang) IndustrialCo. Ltd.Chuanqi Real Estate Development Refers to Shenzhen Shenfang Chuanqi Real EstateDevelopment Co. Ltd.Guangmingli Refers to SPG Guangmingli Project

Linxinyuan Refers to SPG Linxinyuan Project

Cuilinyuan Refers to SPG Cuilinyuan Project

5Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section II Company Profile and Major Financial Indicators

I. Company Profile

Stock name SPG SPG-B Stock code 000029（200029）

Stock exchange where the

Company's stocks are Shenzhen Stock Exchange

listed

Chinese name 深圳经济特区房地产(集团)股份有限公司

Chinese abbreviation of the

Company (if any) 深房集团

Foreign name of the

Company (if any) Shenzhen Special Economic Zone Real Estate&Properties (Group) Co.，Ltd.Abbreviation of the

Company's foreign name SPG

(if any)

Legal representative Chen Ming

II. Contact information

Secretary of the Board of Directors Securities affairs representative

Name Luo Yi Hong Lu

47/F SPG Plaza Renmin South 47/F SPG Plaza Renmin South

Contact address Road Luohu District Shenzhen Road Luohu District Shenzhen

Guangdong P.R.China Guangdong P.R.China

Tel. （86 755）25108897 （86 755）25108837

Fax （86 755）82294024 （86 755）82294024

E-mail spg@sfjt.sihc.com.cn spg@sfjt.sihc.com.cn

III. Other Information

1. Company contact information

Whether the Company's registered address office address and their postal codes Company website email address

etc. changed during the reporting period

□ Applicable □Not applicable

The Company's registered address office address and their postal codes Company website email address etc. did

not change during the reporting period. Please refer to the 2025 Annual Report for details.

2. Information disclosure and storage location

Whether the information disclosure and storage location changed during the reporting period

□ Applicable □Not applicable

The stock exchange website and media names and websites where the Company discloses its semi-annual report

and the storage location of the Company's semi-annual report did not change during the reporting period. Please refer

to the 2025 Annual Report for details.

6Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Other related information

Whether other related information changed during the reporting period

□ Applicable □Not applicable

IV. Key Accounting Data and Financial Indicators

Whether the Company needs to retroactively adjust or restate the accounting data of previous years

? Yes □No

The reporting period Same period last year Increase/decrease

Operating revenue (RMB) 149256953.04 637366221.35 -76.58%

Net profit attributable to the

shareholders of the listed -8560110.26 103027646.42 -108.31%

company (RMB)

Net profit attributable to

shareholders of listed

companies after deducting -15629926.78 94352487.97 -116.57%

non-recurring profit or loss

(RMB)

Net cash flows from

operating activities (RMB) 24947099.48 -87422241.58 128.54%

Basic earnings per share

(RMB/share) -0.0085 0.1018 -108.35%

Diluted earnings per share

(RMB/share) -0.0085 0.1018 -108.35%

Weighted average rate of

return on net assets -0.24% 2.89% -3.13%

Increase/decrease at the

End of the reporting period End of the previous year end of the reporting periodcompared to the end of the

previous year

Total assets (RMB) 3803877936.08 3882782985.57 -2.03%

Net assets attributable to

shareholders of the listed 3574457510.49 3612323196.38 -1.05%

company (RMB)

V. Differences Between Accounting Data Under Domestic and Foreign Accounting

Standards

1. Differences in net profit and net assets in the financial reports disclosed in accordance with

the international accounting standards and the Chinese accounting standards

□ Applicable □Not applicable

During the reporting period of the Company there was no difference in net profits and net assets in financial reports

disclosed in accordance with international accounting standards and Chinese accounting standards

7Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Differences in net profit and net assets in financial reports disclosed in accordance with

both the international accounting standards and Chinese accounting standards

□ Applicable □Not applicable

During the reporting period of the Company there was no difference in net profits and net assets in financial reports

disclosed in accordance with the international accounting standards and Chinese accounting standards

VI. Non-recurring Profit or Loss Items and Amounts

□? Applicable ? Not applicable

Unit: RMB

Item Amount Notes

Government grants included in profit and loss of the current

period (except for government subsidies that are closely

related to the Company's normal business operation

comply with national policies and are enjoyed in 2000.00

accordance with defined criteria and have a continuing

impact on the Company's profit or loss)

Profit or loss from changes in fair value of financial assets

and liabilities held by non-financial enterprises and profit or

loss from the disposal of financial assets and financial 7069256.29 Changes in fair value arising from

liabilities except for effective hedging operations related to investments in money market funds

the Company's normal business operations

Non-operating revenue and expenses other than the

above-mentioned items -1253.02

Less: income tax effects 186.75

Total 7069816.52

Specific circumstances of other profit or loss items that meet the definition of non-recurring profit or loss:

□ Applicable □Not applicable

The Company had no specific profit or loss items that meet the definition of non-recurring profit or loss.Notes on the definition of the non-recurring profit or loss items listed in the "Interpretive Announcement No. 1 on

Information Disclosure of Companies Issuing Securities to the Public - Non-recurring Profit or Loss" as recurring profit

or loss items

□? Applicable ? Not applicable

Item Amount involved (RMB) Reasons

Refund of service fee for withholding Continuously occurring from year to

individual income tax 52026.64 year not occasional recognized asrecurring gains and losses

8Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section III Management's Discussion and Analysis

I. Main business engaged in by the Company during the reporting period

(I) Industry development during reporting period

On July 15 the official website of the National Bureau of Statistics released the national

economic performance for the first half of 2026. In the first half of the year China's economy

withstood pressure and operated within a reasonable range with production and supply growing

relatively fast employment generally stable prices rising moderately foreign trade maintaining a

good momentum new drivers of growth developing rapidly people's livelihood effectively secured

and development resilience continuously demonstrated. In terms of the industry in recent years

various regions have implemented city-specific policies continuously optimized and adjusted real

estate policies to control increments reduce inventory destocking pressure and improve supply.They have orderly relaxed house purchase restrictions deepened the reform of the housing provident

fund system increased the supply of affordable housing and promoted urban renewal and renovation.By working from both the supply and demand sides a coordinated set of policy measures has been

introduced. The supply and demand relationship in the real estate market has gradually improved

and market expectations have picked up.(II) Company's operations during reporting period

In the first half of the year facing a complex and volatile external environment and arduous

development tasks all cadres and employees of the Company overcame difficulties and forged

ahead with determination making certain progress in all tasks:

1. Main businesses operated under pressure with obvious structural differentiation. First real

estate sales fell short of expectations and destocking pressure remained prominent; Second

property leasing and operation advanced steadily with rental income in the first half of the year

reaching 40% of the annual target; Third operations of affiliated enterprises showed mixed results;

some affiliated enterprises remained in a state of loss and there was a certain gap between major

economic indicators and annual assessment targets.

2. Exploration of future development steadily advanced continuously consolidating foundational

support. First focusing on key fields and critical industries the Company successively engaged in

research on multiple industrial projects laying a theoretical foundation for its future development;

Second a project expansion and screening mechanism was established to connect with high-quality

internal and external resources and actively explore diversified capital cooperation models.

3. Risk mitigation remained controllable and safety defense line was continuously strengthened.

First regarding the bankruptcy liquidation of Jianbang Company the Company maintained

9Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

continuous communication with the special task force the court and the administrator to safeguard

its legitimate rights and interests. Second 30 safety inspections were cumulatively carried out and

over 70 hidden dangers were rectified in a closed-loop manner effectively preventing safety risks;

Third risk and hidden danger screening and early warning were carried out on a regular basis and

no major petition-related matters or public opinion incidents occurred during the Reporting Period.

4. Comprehensive capabilities were continuously improved and governance efficiency was

constantly optimized. First the revision of the headquarters' compensation and performance

assessment systems was completed human resource allocation was optimized and organizational

effectiveness was steadily improved; Second information disclosure was strictly managed

compliance reviews were strengthened and corporate governance became more standardized and

orderly; Third the centralized management of funds was strengthened budget and settlement

reviews were strictly conducted and results in cost reduction and efficiency enhancement were

evident.

5. Party-building integration deepened continuously and political guidance was consistently

strengthened. First study and education on establishing and practicing a correct view of performance

were solidly advanced promoting the organic unity of "immediate rectification" and "long-term

establishment" through a supervisory mechanism of "three inspections and three rectifications";

Second the Group's leadership team members visited the frontline at the primary level and provided

point-to-point support to designated enterprises on 21 occasions continuously deepening the

construction of the "one enterprise one brand" initiative in Party building; Third responsibility letters

for Party conduct and clean governance were signed at each level pre-holiday integrity education

was organized and supervision and discipline enforcement were strengthened by focusing on key

links such as bidding and procurement building a solid defense line against integrity risks.The Company shall comply with the disclosure requirements for the real estate industry as set out in the Guidelines for

Self-Regulation of Listed Companies of Shenzhen Stock Exchange No. 3 - Industry Information Disclosure

New land reserve projects

Land Equity

parcel or Land Land area Capacity Land

Total land considerat

project Location planning (㎡ ) building Acquisitio

Equity price ion

name purpose area (㎡ ) n Method

ratio (RMB100

00) (RMB10000)

Cumulative Land Reserve

Project/Area name Total floor area (10000 ㎡ ) Total construction area Remaining developable(10000 ㎡ ) floor area (10000 ㎡ )

Shantou Xinfeng Building 0.59 2.66 2.66

Total 0.59 2.66 2.66

Development of main projects

City/R Proj Loca Proj Eq Commen Develo Sched La Plan Comp Cumul Estimat Total

egion ect tion ect uity cement pment ule of nd ned leted ative ed total accumu

10Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

for rati time progres compl ar capa area compl investm lated

mat o s etion ea city of the eted ent investm

( build curren area amount ent

㎡ ing t (㎡ ) (RMB1 amount

) area period 0000) (RMB1

(㎡)(㎡)0000)

Sales of main projects

The

curre Amount

Capa Cumul nt of pre-

Settle Settlem

Proj city Sala ative perio sale

Cumul ment ent

Equit pre- d (sale) in ative area in amountCity/Re

gion Project

Locatio ect

n form y

buildi ble

ng area sale pre- the

settlem the in the

at ratio area (sales)

ent curren current

(㎡ ) sale currentarea

(㎡ ) (sale period

area t period

(㎡ ) s) (RMB10 (㎡ )

period (RMB10

area 000) (㎡ ) 000)

(m2)

Shenz Cuilinyu Longga

Rea

ng dy 100.0 6011 561 56137 1745 1309.3 54393. 1745.8 1247.0hen an District for 0% 1 37 .84 8 38 4 3sale

Shanto Tianyue Chaoy

Rea

wan ang dy 100.0 1534 160 12283 352. 12231u Phase I District for 0% 70 372 9.3 44

285.87.55670.94360.46

sale

Tianyue Chaoy ReaShanto wan ang dy 100.0 1277 137 54977. 53779. 5241.8 3174.7u Phase District for 0% 70 059 58

41192803.45215

II sale

Shenz Guang Guang

Rea

ming dy 100.0 5360 519 36041. 35742.hen mingli area for 0% 5 75 35 02sale

Leasing of main projects

Accumulated Average

Project Location Project format Equity ratio Rentable area(㎡ ) leased area occupancy(㎡ ) rate

Real Estate

Mansion Shenzhen Commercial 100.00% 3413.88 3413.88 100.00%

North Tower of

Guoshang Shenzhen Commercial 100.00% 4819.71 4819.71 100.00%

Mansion

Petrel Building Shenzhen Commercial 100.00% 22475.47 22475.47 100.00%

SPG Plaza Shenzhen Office building 100.00% 58407.55 32979.41 56.46%

Podium of

SPG Plaza Shenzhen Commercial 100.00% 20796.84 20796.84 100.00%

Wenjin

Garden Shenzhen Commercial 100.00% 3531.6 3531.6 100.00%

Level-I land development

□ Applicable □Not applicable

Financing approach

Financing Financing Financing cost Term structure

approach balance at the range/average

end of the financing cost Within 1 year 1-2 years 2-3 years Over 3 years

11Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

period (RMB10000)

(RMB10000)

Others 765.141 1.95%-3.1% 765.14 0.00 0.00 0.00

Total 765.14 765.14 0.00 0.00 0.00

Note: 1 Factoring of accounts receivable

Development strategy and business plan for the next year

In the second half of the year the Company will overcome difficulties and comprehensively

advance the following five key areas of work:

(I) Focusing on main business breakthroughs and making every effort to sprint toward annual

business objectives. First focus on advancing the destocking of existing housing while making every

effort to advance the US land sale task fighting a tough battle in project marketing; Second efficiently

revitalize self-owned property resources strengthen daily operation maintenance and customer

services and improve the quality and efficiency of asset operations; Third all affiliated enterprises

should anchor their annual assessment indicators close gaps catch up on progress and promote

the achievement of production and efficiency targets.(II) Focusing on future development and accelerating the cultivation of a second growth curve.First focusing on "what the country needs where the industry trends what Shenzhen requires and

what SPG is capable of" strengthen strategic synergy and communication with the controlling

shareholder accurately target the primary direction of future development and clarify specific

implementation paths and promotion measures; Second improve the market-oriented operating

mechanism accelerate the adjustment of the business structure towards a direction that better meets

market demand and has more development resilience and consolidate the foundation for long-term

development.(III) Focusing on steady operations and firmly building a bottom line for risk prevention. First

continuously follow up on bankruptcy liquidation cases accelerate the disposal of "non-core and non-

advantageous businesses inefficient and ineffective assets" and the governance of loss-making

enterprises and make every effort to resolve various operational risks; Second deepen the

construction of a dual preventive mechanism perfect the assessment and accountability system and

strictly implement closed-loop rectification of hidden dangers to ensure a stable and controllable work

safety situation throughout the year; Third promptly resolve current petition-related matters and

resolutely prevent major sudden unstable events creating a stable and orderly internal and external

environment for the Company's development.(IV) Focusing on lean governance to comprehensively stimulate endogenous development

momentum. First build a high-quality professional talent team adaptable to the Company's

development solidly conduct annual assessments and fully stimulate the team's vitality in

entrepreneurship and work; Second continuously deepen ESG governance and sustainable

development practices enhance the quality of information disclosure strengthen the construction of a

12Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

compliance management system and standardize the modern governance system; Third strengthen

the budget management and dynamic monitoring of key expenses deeply explore the potential of

internal cost reduction and further enhance overall operational efficiency.(V) Focusing on Party-building integration to foster a clean and upright development environment.First solidly complete the "second half of the article" in the study and education on establishing and

practicing a correct view of performance guiding cadres at all levels to focus their minds on practical

work and devote their energy to implementation; Second carry out a "review and reassessment" of

the implementation of the spirit of the Party building conference for state-owned enterprises

systematically summarize experience benchmark against standards to identify deficiencies and lead

and guarantee high-quality development with high-quality Party building; Third regularize Party spirit

education and warning education persistently rectify the "four forms of decadence" comprehensively

promote the mechanism ensuring that officials "dare not cannot and do not want to be corrupt" and

continuously cultivate a clean and upright political ecosystem.Guarantee to buyers of commercial housing for bank mortgage

□? Applicable ? Not applicable

Guaranteed

Guaranteed unit Financial institutionsfor loans borrowing amount

Maturity date of Remark

(RMB’0000) guarantee

Until the property

ownership certificate

Homebuyers China Construction 36.4 is registered asBank collateral and handed Shanglinyuan

over to bank for

keeping

Until the property

ownership certificate

Homebuyers China Construction 631.55 is registered as Chuanqi DonghuBank collateral and handed Mingyuan

over to bank for

keeping

Until the property

Industrial and ownership certificate

Homebuyers Commercial Bank of 2580.00 is registered asChina Bank of China collateral and handed Tianyuewan

Postal Savings Bank over to bank for

keeping

Huaxia Bank Rural Until the property

Commercial Bank ownership certificate

Homebuyers Postal Savings Bank 9973.66 is registered asof China China collateral and handed Guangmingli

Merchants Bank over to bank for

Bank of China keeping

Sub-total 13221.61

Joint investments by directors and senior management and the listed company (applicable for such investments where

the directors and senior management are the major source of investment):

□ Applicable □Not applicable

13Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

II. Analysis of Core Competitiveness

As the earliest real estate developer founded in the Shenzhen Special Economic Zone the

Company helped build the early city and has created a number of "first places" in the history of real

estate development in China. For example the first to use the paid state-owned land the first to

introduce the foreign investment for the cooperative land development the first to raise development

funds by means of pre-sale of buildings the first to carry out public bidding for construction projects in

accordance with international practices the first to set up a property management company to the

buildings and residences developed in an all-rounded manner as well as winning the bid in the new

China’s first auction of land use rights held in the Shenzhen Special Economic Zone.After more than 40 years of development the Company has grown into a business group with

real estate development and operation as its main business integrating engineering and construction

project supervision asset management and other diversified operations. In the future the Company

will actively cultivate and promote a corporate culture of compliance integrity and excellence. It will

remain committed to giving back to society with high-quality products and building its reputation

through quality striving to become a respected and trustworthy listed company.III. Analysis of Primary Business

Overview

Please refer to "I. Main businesses engaged in by the Company during the reporting period".YoY changes in key financial data

Unit: RMB

The reporting period Same period lastyear YoY change Reason for changes

Mainly driven by the

Operating revenue 149256953.04 637366221.35 -76.58% decrease in real

estate sales revenue.Mainly driven by the

decrease in real

estate sales revenue

Operating costs 123812714.67 463717990.62 -73.30% and the

corresponding

reduction in carried-

forward costs.Mainly driven by the

decrease in real

Selling and estate sales revenue

distribution expenses 6366066.93 9708711.93 -34.43% and thecorresponding

reduction in selling

expenses.Mainly driven by the

G&A expenses 27112672.76 32175388.99 -15.73% decrease in litigation

expenditures.

14Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Mainly driven by the

Financial expenses 370341.93 1213306.62 -69.48% decrease in interest

expenses.Mainly driven by the

Income tax expenses 950501.45 21496138.68 -95.58% YoY decrease in total

profit.Mainly driven by the

Net cash flows from

operating activities 24947099.48 -87422241.58 128.54%

decrease in

operating

expenditures.Mainly driven by the

Net cash flows from purchase of money

the investing 27997.57 -109975806.04 100.03% market funds in the

activities same period of the

previous year.Net cash flows from

financing activities -35408100.00 -34949336.04 -1.31%

Mainly driven by the

decrease in

operating

expenditures as well

Net increase in cash as the purchase of

and cash equivalents -10581033.38 -232411276.38 95.45% money market fundsin the same period of

the previous year

while no such

investments occurred

in the current period.Significant changes in profit composition or profit sources of the Company during the Reporting Period

□ Applicable □Not applicable

There were no significant changes in the profit composition or profit sources of the Company during the Reporting

Period.Composition of operating revenue

Unit: RMB

The reporting period Same period last year

Percentage of Percentage of YoY change

Amount operating Amount operating

revenue revenue

Total operating

revenue 149256953.04 100% 637366221.35 100% -76.58%

By industry

Real estate 52398397.06 35.11% 567722393.42 89.07% -90.77%

Engineering

construction 59153878.17 39.63% 35772588.06 5.61% 65.36%

Property

management 1624178.41 1.09% 1631793.56 0.26% -0.47%

Rental and

others 36080499.40 24.17% 32239446.31 5.06% 11.91%

By product

Residence 52228873.25 34.99% 567560925.52 89.05% -90.80%

Shops and

parking lots 169523.81 0.11% 161467.90 0.03% 4.99%

Others 96858555.98 64.89% 69643827.93 10.93% 39.08%

15Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

By region

Guangdong

Province 148895064.38 99.76% 637317371.33 99.99% -76.64%

Overseas 361888.66 0.24% 48850.02 0.01% 640.82%

Industry product or region accounting for more than 10% of the Company's operating revenue or operating profit

□? Applicable ? Not applicable

Unit: RMB

Operating Operating YoY change YoY change YoY change

revenue costs Gross margin in operating in operating in grossrevenue costs margin

By industry

Real estate 52398397.06 40173306.95 23.33% -90.77% -90.08% -18.57%

Engineering

construction 59153878.17 57963722.26 2.01% 65.36% 64.43% 37.67%

Rental and

others 36080499.40 24456901.89 32.22% 11.91% 9.53% 4.81%

By product

Residence 52228873.25 40029549.07 23.36% -90.80% -90.11% -18.46%

By region

Guangdong 148895064.3 122593931.1

Province 8 0 17.66% -76.64% -73.50% -35.55%

Under the circumstances that the calculation method of the Company's main business data is adjusted during the

reporting period the Company's main business data for the latest period is adjusted according to the calculation

method at the end of the reporting period

□ Applicable □Not applicable

IV. Analysis of Non-primary Business

□ Applicable □Not applicable

V. Analysis of Assets and Liabilities

1. Major changes in asset composition

Unit: RMB

End of the reporting period End of the last year Increase/decr Explanation of

Amount Ratio of total Amount Ratio of total

ease in significant

assets assets percentage changes

Monetary 270648313.6

funds 6 7.12%

284686525.0

47.33%-0.21%

Accounts

receivable 45419725.16 1.19% 44898083.74 1.16% 0.03%

Contract

assets 21855722.04 0.57% 29035256.28 0.75% -0.18%

Mainly driven

Inventories 653640319.2 1099359619

by the transfer

0 17.18% .25 28.31% -11.13% of some self-held shops to

investment

16Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

properties for

accounting.Mainly driven

by the transfer

Investment 937519655.4 24.65% 522634659.1

of some self-

properties 6 7 13.46% 11.19% held shops toinvestment

properties for

accounting.Long-term

equity 0.00 0.00% 0.00 0.00% 0.00%

investments

Fixed assets 13578063.33 0.36% 14949900.45 0.39% -0.03%

Construction

in progress 0.00 0.00% 571822.67 0.01% -0.01%

Right-of-use

assets 0.00 0.00% 0.00 0.00% 0.00%

Short-term

borrowings 1065508.63 0.03% 50000.00 0.00% 0.03%

Contract

liabilities 21426300.03 0.56% 28400659.20 0.73% -0.17%

Long-term

borrowings 0.00 0.00% 0.00 0.00% 0.00%

Lease

liabilities 0.00 0.00% 0.00 0.00% 0.00%

Financial

assets held 1057325314 27.80% 1050256058

for trading .70 .41

27.05%0.75%

Accounts 168578885.7 171738333.0

payable 1 4.43% 4 4.42% 0.01%

Taxes

payable 18826842.10 0.49% 26922082.58 0.69% -0.20%

Other 119077007.2 3.13% 144280409.1payables 2 6 3.72% -0.59%

Other 729582117.0 19.18% 747900491.5receivables 4 2 19.26% -0.08%

2. Major overseas assets

□ Applicable □Not applicable

3. Assets and liabilities measured at fair value

□? Applicable ? Not applicable

Unit: RMB

Profit or Cumulativ

loss from e changes Impairmen Amount

Beginning changes in fair t provision purchased

Amount

Item sold in the Other Endingbalance in fair value in the in thecurrent current current changes balancevalue in included

the in equity period period

period

current

17Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

period

Financial

assets

1.

Financial

assets

held for

trading 1050256 7069256. 1057325

(excluding 058.41 29

0.000.00314.70

derivative

financial

assets)

4. Other

equity

instrument 1457151

-

1.812841991.

1172952

investmen 42 0.39

ts

Total of 1064827 7069256. -

the above 570.22 29 2841991. 0.00 0.00 0.00 0.00

1069054

42835.09

Financial

liabilities 0.00 0.00

Other changes

Whether there were significant changes in the measurement attributes of the Company's major assets during the

reporting period

? Yes □No

4. Restrictions on asset rights as of the end of the reporting period

Unit: RMB

Item Closing book value Reason for restriction

Monetary funds 16132.40Special account funds for migrant workers

Monetary funds 2201283.57Funds frozen due to litigation

Monetary funds 50000.00Construction deposit

Monetary funds 70010.20Stop payments suspend accounts

Accounts receivable 7651398.78Put in pledge for short-term borrowings

Total 9988824.95

VI. Investments Analysis

1. Overall situation

□? Applicable ? Not applicable

Amount of Reporting Period (RMB) Amount of the same period of last Change (%)

18Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

year (RMB)

25104700.0025060000.000.18%

2. Major equity investments acquired during the reporting period

□ Applicable □Not applicable

3. Major non-equity investments in progress during the reporting period

□ Applicable □Not applicable

4. Investment in the financial assets

(1) Securities investment

□ Applicable □Not applicable

The Company had no securities investment during the reporting period.

(2) Derivative investment

□ Applicable □Not applicable

The Company had no derivative investment during the reporting period.

5. Use of funds raised

□ Applicable □Not applicable

The Company had no use of funds raised during the reporting period.VII. Sales of Major Assets and Equities

1. Sales of major assets

□ Applicable □Not applicable

The Company did not sell major assets during the reporting period.

2. Sale of major equity

□ Applicable □Not applicable

VIII. Major Subsidiaries

□? Applicable ? Not applicable

Major subsidiaries and participating companies with an impact of 10% or more on the Company's net profit

Unit: RMB

Company Company Main Registere Total Net assets Operating Operatingname type business d capital assets revenue profit Net profit

Shenzhen Subsidiari Real 30000000 1628336 1210639 5647955. 5647956.Shenfang es estate 806.56 849.00 51815.14 62 56

19Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Chuanqi developm

Real ent

Estate

Developm

ent Co.Ltd.Shenzhen

Properties

Group Real

Longgang Subsidiari estate 9758752 6657914 1340532 2998415. 2248811.Developm es developm

300000001.671.260.944559

ent Co. ent

Ltd.Shantou

Hualin

Real Real

Estate Subsidiari estate 91226120. 1049967 5290620 437930.2 517706.2 517706.2

Developm es developm 44 12.66 1.68 0 4 4

ent Co. ent

Ltd.Shantou

Huafeng

Real Real

Estate Subsidiari estate

---

es developm 80000000

67894463568578

Developm 41.78

53894011068536.1068535.

ent 9.30

8.342034

ent Co.Ltd.Great Wall

Real Real

EstateCo. Subsidiari estate 2051146 1919157

-

8919380361888.6

--

Ltd. in the es developm 5.83 6 156192.4 156192.4

UnitedStat ent 8.19 9 9

es

Shenzhen

Zhentong Installatio

Engineeri Subsidiari n andes maintenan 10000000

84986772911895.7237531

3.32 81 6.09 40187.93 40187.93ng Co.

Ltd. ce

Shenzhen Property

Petrel Subsidiari leasingand 30000000 5659896 4282562 9196297. 771527.2 577337.2Hotel Co. es managem 1.57 8.79 93 7 3Ltd. ent

Shenzhen

Huazhan

Constructi Subsidiari Supervisio 1054295 1027317 598468.5 - -

on es n 8000000 8.98 4.36 7 411159.2 411159.2

Supervisio 5 5

n Co. Ltd

Xinfeng Investmen - - -

Enterprise Subsidiari t 3189614es managem 502335 58.69 2256205 0.00 849251.5 849251.5Co. Ltd. ent 51.75 9 9

Information on acquisition and disposal of subsidiaries during the reporting period

□ Applicable □Not applicable

Notes to main holding and participating companies

20Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

1. The subordinate subsidiaries engaged in real estate development include: Shenzhen Shenfang Chuanqi Real

Estate Development Co. Ltd. Shenzhen SPG Longgang Development Co. Ltd. Shantou SEZ Wellam FTY Building

Development Co. Ltd. Shantou Huafeng RealEstate Development Co. Ltd. Among them the SPG Guangmingli

project developed by Chuanqi Company (excluding the commercial part) and the Cuilinyuan project developed by

Longgang Company have been completely sold out; the Jinyedao and Yuejing Dongfang developed by Shantou SEZ

Wellam FTY Building Development Co. Ltd. left a few amount of remaining buildings for sale; Shantou Huafeng Real

Estate Development Co. Ltd. was responsible for the development of Tianyuewan project (divided into Phase I and

Phase II). Tianyuewan Phase I was open for sale in October 2016 and completed in December 2019. The Phase II

started construction in November 2018 and was completed at the end of June2021. As of June 30 2026 the overall

sales progress is relatively slow with an accumulated sales rate of 76.6% for Tianyuewan Phase I and 10.11% for

Phase II.

2. Shenzhen Zhentong Engineering Co. Ltd. was engaged in the business of building installation and maintenance

with the operating revenues of RMB 72.3753 million in the first half of 2026 accounting for 48.49% of the Group's

operating revenues.

3. The 2026 net profit of Xin Feng Enterprise Co. Ltd. was RMB -849300 which is mainly due to the depreciation and

amortization of investment property.IX. Structured Bodies Controlled by the Company

□ Applicable □Not applicable

X. Risks Faced by the Company and Countermeasures

(I) Macroeconomic risks and countermeasures

Currently the external environment is confronted with complex challenges such as frequent

geopolitical conflicts and accelerated anti-globalization. However China's economy has a solid

foundation numerous advantages strong resilience and great potential with the supporting

conditions and fundamental trend of long-term positive growth unchanged. The real estate industry

has a greater correlation with the macroeconomy andis more influenced by the macroeconomic cycle.The Company will continue paying close attention to the international and domestic macroeconomic

situations and proactively adjust its operation strategies.(II) Industry development risks and countermeasures

At this stage as existing policies continue to show effects new policies are effectively

implemented and the combined impact of policies is continuously released the real estate market is

in the critical stage of stabilizing and halting the decline amid fluctuations. Nevertheless for some

time to come the real estate industry will still face many risks and potential hidden dangers and the

market competition pattern will present a new situation. The Company will closely monitor industry

policies follow national strategic direction continuously optimize the business development path and

actively explore innovative operating models to better adapt to changes in the external environment.(III) Business operating risks and countermeasures

21Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Against the backdrop of increasingly fierce competition in the real estate market the Company is

facing challenges such as insufficient reserves of development land resources difficulties in selling

inventory projects and a lack of substantial results in new business expansion all of which are

putting pressure on corporate operation and development. The Company will closely monitor market

dynamics and industry policy trends focus on property leasing and sales the operations of its

subsidiaries and business expansion and actively seek innovative models and paths that align with

its actual development needs to flexibly respond to market challenges and explore broader

development space.XI. Formulation and Implementation of Market Capitalization Management System

and Valuation Enhancement Plan

Whether the Company has formulated a market value management system.? Yes □No

Whether the Company has disclosed plans for valuation enhancement.? Yes □No

XII. Implementation of the "Quality and Return Dual Enhancement" Action Plan

Whether the company has disclosed the announcement of the action plan of "double improvement of quality return".? Yes □No

22Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section IV Corporate Governance Environment and Society

I. Changes in Directors and Senior Management of the Company

□? Applicable ? Not applicable

Name Position Type Date Reasons

Zhang Manhua Director Resigned March 6 2026 Job transfer

Peng Xingting Director Elected March 6 2026

Mi Xuming Independent director Resigned May 21 2026 Personal reasons

Song Botong Independent director Elected May 21 2026

II. Profit Distribution and Conversion of Capital Reserves into Share Capital during

the Reporting Period

□ Applicable □Not applicable

The Company plans not to distribute cash dividends issue bonus shares or convert capital reserve into share capital

for the half year.III. Implementation of the Company's Equity Incentive Plan Employee Stock

Ownership Plan or Other Employee Incentive Measures

□ Applicable □Not applicable

During the reporting period the Company had no equity incentive plan employee stock ownership plan or other

employee incentive measures and their implementation.IV. Disclosure of Environmental Information

Whether the listed company and its main subsidiaries are included in the list of enterprises required to disclose the

environmental information by law

? Yes □No

V. Social Responsibilities

While pursuing economic benefits and protecting shareholders' interests the Company actively fulfilled its social

responsibilities demonstrating its corporate social value and sense of responsibility. During the reporting period the

Company actively participated in special poverty alleviation through consumption campaigns to promote consumption

assistance and rural revitalization in Shenzhen; continuously implemented the assistance project in Longdou Town

Chenghai District Shantou City; and organized comprehensive fire emergency drills for merchants in the property

buildings under its jurisdiction to enhance public awareness of fire safety and prevention.

23Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section V Significant Events

I. Commitments made by the Company's De Facto Controller shareholders

related parties acquirers the Company and other related parties that have been

fulfilled within the reporting period and those that have not been fulfilled as of the

end of the reporting period

□ Applicable □Not applicable

During the reporting period there were no commitments made by the Company's De Facto Controller shareholders

related parties acquirers the Company and other related parties that have been fulfilled within the reporting period

and those that have not been fulfilled as of the end of the reporting period.II. Non-operational occupation of funds by the controlling shareholders and other

related parties of the listed company

□ Applicable □Not applicable

During the reporting period there were no non-operational funds occupied by the controlling shareholders and other

related parties for the listed company.III. Illegal external guarantees

□ Applicable □Not applicable

The Company had no illegal external guarantee during the reporting period.IV. Appointment and Dismissal of Accounting Firm

Whether the semi-annual financial report has been audited

? Yes □No

The Company's semi-annual report has not been audited.V. Explanations Given by the Board of Directors Regarding the Accounting Firm's

"Modified Opinion" on the Financial Statements of the Reporting Period

□ Applicable □Not applicable

VI. Explanations Given by the Board of Directors Regarding the "Modified

Opinion" on the Financial Statements of the Previous Year

□ Applicable □Not applicable

VII. Matters Related to Bankruptcy and Reorganization

□ Applicable □Not applicable

During the reporting period the Company had no bankruptcy restructuring related matters.

24Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

VIII. Litigation Matters

Major litigations and arbitrations

□? Applicable ? Not applicable

Amount Whether

General involved estimated Decisions and Executio Date of Disclosure

information (RMB100 liabilities Progress effects n of disclosur index

00) are formed decisions e

Huizhou

Mingxian

g

Economi

c

Informati

As Jianbang on

Group is Consultin

incapable of g Co.paying the Ltd.commercial bills Huizhou

due in January Huiyang The

2022 which total Hongfa

RMB177151400 Industry

Announcem

& Trade ent on theHuizhou Co. Ltd. Court'sMingxiang and Ruling to

This Economic Huizhou Accept the

enforcement Information Bankruptcy

procedure is Consulting Co.Jinlongsh and

terminated. Ltd. Huizhou

eng

Industrial Liquidation

Jianbang Huiyang Hongfa Application

Company has Industry & Trade

Co. Ltd.have against a

Lawsuit of entered the Co. Ltd. and applied October Controlling

bill dispute 17715.14 No bankruptcy and HuizhouJinlongsheng for 30 2025

Subsidiary

liquidation and

proceedings Industrial Co.execution Appointmen

and creditors Ltd. brought a

to the

Huizhou t of an

may file claims lawsuit on the bill Administrat

with the dispute to the

Intermedi

People’s Court of ate

or

administrator. (AnnounceHuiyang District. People's ment No.:

The Huiyang Court. In 2025-030)

District Court February disclosed

ruled at first 2026 the

instance in March Huizhou

on

cninfo.com.

2023 that Intermedi cn

Jianbang Group ate

should pay the People's

acceptance bill Court

amount and issued an

interest. Enforcement

Order

ruling to

terminate

this

enforcem

ent

25Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

procedur

e.The The

Company Litigation

has Matters

applied (Announce

to the ment No.:

Shenzhe 2025-013)

n Luohu and the

District Announcem

People's ent on theThe Court's

enforcement In January 2024 Court formandator Ruling toprocedure is the Company y Accept theterminated. received a civil

Jianbang judgment of the enforcem

Bankruptcy

and

Contractual Company has first instance ent. OnDecembe May 13 Liquidationdisputes 39568.85 No entered the issued by the Application

over loans bankruptcy and Shenzhen Luohu r 2 2025 2025 against a

liquidation District People's the Controlling

proceedings Court and the Company Subsidiary

and filed claims Company won the received

with the case. the

and

Appointmen

administrator. Enforcement t of an

Order Administrat

ruling to or

terminate (Announce

the ment No.:

enforcem 2025-030)

ent disclosed

procedur on

e. cninfo.com.cn

On January 8

Under retrial. 2025 our

Guangzhou Company

Bopi and received the first

Evergrande instance Civil

Pearl River Judgment and

Delta have the judgment

entered made by the

Joint bankruptcy and

Huizhou

Intermediate Announcem

venture and liquidation ent on

cooperative proceedings

People's Court of Litigation

real estate 74357.5 No and filed claims

the first instance Under Decembsupported some Matters

developmen with the retrial.er 08 (No.: 2023-

t contract administrator.of our company's 2023 048) on

disputes Shenzhen Qijin

litigation claims

is undergoing but the profit

www.cninfo.liquidation and make-up part was

com.cn

deregistration not supported as

and claims the term had not

have been filed yet expired. On

with the January 22 2025

liquidation our Company

team. filed an appealregarding

unsupported

26Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

claims. In June

2026 the second-

instance court

Guangdong High

People's Court

issued a Civil

Ruling ruling to

revoke the first-

instance

judgment and

remand the case

for retrial.Given

that

Jianbang

Company

Guangzh

ou Bopi

and The

Evergran Litigation

de Pearl Matters

Jianbang River (Announce

Company Delta ment No.:

Guangzhou In October 2024 have all 2025-016)

Bopi and our Company entered and the

Evergrande received the civil bankrupt Announcem

Pearl River ruling for the cy and ent on the

Delta have all second instance liquidatio Court's

entered of this case and n Ruling to

bankruptcy and the case was proceedi Accept the

liquidation treated as a ngs the Bankruptcy

proceedings withdrawal of the Company and

Contractual and claims lawsuit. The first- has filed Liquidation

disputes 41952.29 No have been filed instance claims June 12 Application

over loans with their judgment has with their 2025 against a

respective taken effect and respectiv Controlling

administrators. the Company has e Subsidiary

Shenzhen Qijin won the case. administr and

is undergoing The Company ators. Appointmen

liquidation and applied to the Meanwhil t of an

deregistration court for e Administrat

and claims compulsory Shenzhe or

have been filed enforcement in n Qijin is (Announce

with the January 2025. undergoi ment No.:

liquidation ng 2025-030)

team. liquidatio disclosed

n and on

deregistr cninfo.com.ation cn

and the

Company

has filed

claims

with the

liquidatio

n team.Application No Under On October 27 On October The

27Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

for bankruptcy and 2025 Jianbang Decembe 30 2025 Announcem

bankruptcy liquidation the Company r 8 2025 ent on the

and administrator received the Civil the Court's

liquidation has taken over Ruling and the Company Ruling to

Jianbang Decision from the submitte Accept the

Company. Huizhou d its Bankruptcy

Intermediate claim and

People's Court. declarati Liquidation

The court ruled to on Application

accept the materials against a

bankruptcy and to the Controlling

liquidation administr Subsidiary

application filed ator of and

by Zhongshan Jianbang Appointmen

Shengtang Company t of an

Advertising Co. based on Administrat

Ltd. against the claim or

Jianbang amount (Announce

Company and confirme ment No.:

appointed an d by the 2025-030)

administrator. effective disclosed

civil on

judgment cninfo.com.the cn

confirmat

ion letter

of claims

and

debts

and

transfer

vouchers. The

Company

actively

participat

ed in

creditors'

meetings

to

exercise

its rights

as a

creditor

in

accordan

ce with

the law.Other litigation matters

□ Applicable □Not applicable

IX. Punishments and Rectifications

□ Applicable □Not applicable

There was no punishment or rectification during the reporting period.

28Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

X. Credit Quality of the Company as well as Its Controlling Shareholder and De

Facto Controller

□ Applicable □Not applicable

XI. Major Related-Party Transactions

1. Related party transactions related to daily operations

□ Applicable □Not applicable

During the reporting period the Company had no related party transactions related to daily operations.

2. Related party transactions arising from the acquisition and sale of assets or equity

□ Applicable □Not applicable

During the reporting period the Company had no related party transactions arising from the acquisition or sale of

assets or equity.

3. Related party transactions arising from joint external investment

□ Applicable □Not applicable

During the reporting period the Company had no related party transactions arising from joint external investment.

4. Related claims and debts

□ Applicable □Not applicable

During the reporting period the Company had no related debt transactions.

5. Information on transactions with finance companies with related relationship

□ Applicable □Not applicable

There was no deposit loan credit or other financial business between the Company and the finance companies with

related relationship and their related parties.

6. Transactions between the Company's holding finance companies and its related parties

□ Applicable □Not applicable

There was no deposit loan credit or other financial business between the Company's holding finance companies and

its related parties.

7. Other major related party transactions

□ Applicable □Not applicable

The Company had no other major related party transactions during the reporting period.

29Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

XII. Major Contracts and Execution Thereof

1. Custody contracting and lease matters

(1) Custody

□ Applicable □Not applicable

During the reporting period the Company had nothing under custody.

(2) Contracting

□ Applicable □Not applicable

During the reporting period the Company had no contracting.

(3) Leases

□ Applicable □Not applicable

During the reporting period the Company had no leases.

2. Significant guarantees

□ Applicable □Not applicable

The Company had no material guarantees during the reporting period.

3. Entrusted wealth management

□? Applicable ? Not applicable

Unit: RMB10000

Balance of entrusted

Product category Risk characteristics wealth management during Delinquent uncollected

the reporting period amount

Others Money market funds - lowrisk 105732.53 0

Details of high-risk entrusted wealth management where the Company as a single client entrusts a financial

institution for asset management or invests in products with low safety and poor liquidity

□ Applicable □Not applicable

4. Other major contracts

□ Applicable □Not applicable

There were no other major contracts of the Company during the reporting period.XIII. Registration Form for Reception Survey Communication Interview and Other

Activities during Reporting Period

□? Applicable ? Not applicable

Reception time Receptio Reception Type of Reception Main contents Index of basic

30Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

n place mode reception object discussed and information of

object information the survey

provided

The

January 5 2026 Compan Written inquiry Individual Individual

Inquire about

investor the number of Not applicabley shareholders

Inquire about

the

termination of

the agreement

The transfer

January 7 2026 Compan Telephone Individual Individual matter

y communication investor between the

Not applicable

controlling

shareholder

and China

Orient Asset

Management

The

January 12 2026 Compan Written inquiry Individual Individual

Inquire about

investor the number of Not applicabley shareholders

The Individual Inquire aboutJanuary 13 2026 Compan Written inquiry Individual investor the number of Not applicabley shareholders

The Inquire about

January 15 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

Inquire about

The

January 16 2026 Compan Telephone Individual Individual

the controlling

communication investor shareholder's Not applicabley shareholding

decrease

The Inquire about

January 21 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Individual Inquire aboutJanuary 23 2026 Compan Written inquiry Individual investor the number of Not applicabley shareholders

Inquiry about

The

January 27 2026 Compan Telephone Individual

the progress

communication Individual investor of non- Not applicabley compete

commitment

The Inquire about

February 2 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

February 11 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Online Inquire about

February 11 2026 Compan communication Individual policies andon the network Individual investor industry Not applicabley platform situations

Inquire

The whether the

February 12 2026 Compan Telephone Individualcommunication Individual investor Company has Not applicabley survey

activities

The Inquire about

February 24 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

February 27 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

March 2 2026 TheCompan Written inquiry Individual

Individual Inquire about

investor the number of Not applicable

31Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

y shareholders

The

March 4 2026 Compan Written inquiry Individual Individual

Inquire about

investor the number of Not applicabley shareholders

The Online Inquire about

March 4 2026 Compan communicationon the network Individual

Individual

y investor

the number of Not applicable

platform shareholders

The Inquire about

March 5 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

March 9 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

Inquiry about

The Onlinecommunication Individual the progressMarch 9 2026 Compan

y on the network

Individual investor of non- Not applicable

platform competecommitment

The Inquire about

March 11 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

March 12 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

March 19 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

March 23 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

April 1 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

April 7 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Online Inquiry aboutThe the progress

April 7 2026 Compan communication Individual

y on the network

Individual investor of non- Not applicable

platform competecommitment

The Inquire about

April 13 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

Inquire about

The Online

April 17 2026 Compan communication Individual Individual

the

Company's Not applicable

y on the network investorplatform dailyoperations

The Inquire about

April 21 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Inquire about

The the

April 22 2026 Compan Telephone Individual Company's

y communication

Individual investor primary Not applicable

business and

performance

The Inquire about

April 28 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

The Online Inquiry about

April 28 2026 Compan communicationon the network Individual

Individual the company's

y investor future

Not applicable

platform development

32Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

plan

Inquiry about

The

May 6 2026 Compan Telephone Individual Individual

the progress

communication investor of non- Not applicabley compete

commitment

The Inquire about

May 7 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

Inquiry about

The Telephone Individual the progressMay 8 2026 Compan communication Individual investor of non- Not applicabley compete

commitment

The Inquire about

May 11 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

May 21 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

The Inquire about

May 25 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

June 1 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Inquiry about

The Online the progress

June 1 2026 Compan communication Individual Individual

y on the network investor

of non- Not applicable

platform competecommitment

The Inquire about

June 5 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The

June 8 2026 Compan Written inquiry Individual Individual

Inquire about

investor the number of Not applicabley shareholders

Online Inquiry aboutThe the progress

June 8 2026 Compan communication Individual

y on the network

Individual investor of non- Not applicable

platform competecommitment

The Inquire about

June 11 2026 Compan Written inquiry Individual Individual

y investor

the number of Not applicable

shareholders

The Inquire about

June 12 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Inquiry about

The the progress

June 18 2026 Compan Telephone Individual

y communication

Individual investor of non- Not applicablecompete

commitment

The Inquire about

June 22 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

The Inquire about

June 23 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Inquire about

The

June 25 2026 Compan Telephone Individual

the controlling

y communication

Individual investor shareholder's Not applicableshareholding

decrease

June 25 2026 The OnlineCompan communication Individual

Individual Inquiry about

investor the progress Not applicable

33Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

y on the network of non-

platform compete

commitment

The Inquire about

June 29 2026 Compan Written inquiry Individual Individualinvestor the number of Not applicabley shareholders

Online Inquiry aboutThe the progress

June 29 2026 Compan communication Individual

y on the network

Individual investor of non- Not applicable

platform competecommitment

XIV. Notes to Other Major Matters

□ Applicable □Not applicable

The Company had no other major matters to be explained during the reporting period.XV. Major Matters of the Company's Subsidiaries

□ Applicable □Not applicable

34Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section VI. Share Changes and Shareholder Information

I. Changes in shares

1. Changes in shares

Unit: shares

Before the change Increase or decrease in this change (+ -) After the change

Conversi

New on of

Number Ratio shares Bonusissue provident Others Sub-total Number Ratioissued fund into

shares

I. Shares

with

restrictiv

e 0 0.00% 0 0 0 0 0 0 0.00%

condition

s for

sales

1.

State-

owned 0 0.00% 0 0 0 0 0 0 0.00%

shares

2.

Shares

held by

the

state- 0 0.00% 0 0 0 0 0 0 0.00%

owned

legal

persons

3.

Other

domestic 0 0.00% 0 0 0 0 0 0 0.00%

holdings

Inclu

ding:

shares

held by 0 0.00% 0 0 0 0 0 0 0.00%

domestic

legal

persons

Shar

es held

by

domestic 0 0.00% 0 0 0 0 0 0 0.00%

natural

persons

4.00.00%0000000.00%

Foreign

35Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

sharehol

ding

Inclu

ding:

shares

held by 0 0.00% 0 0 0 0 0 0 0.00%

overseas

legal

persons

Shar

es held

by

overseas 0 0.00% 0 0 0 0 0 0 0.00%

natural

persons

II.Shares

without

restrictiv 101166

e 0000 100.00% 0 0 0 0 0

101166

0000100.00%

condition

s for

sales

1.

RMB-

denomin 891660 88.14% 0 0 0 0 0 891660ated 000 000 88.14%

ordinary

shares

2.

Domesti

cally 120000 120000

listed 000 11.86% 0 0 0 0 0 000 11.86%

foreign

shares

3.

Foreign

shares 0 0.00% 0 0 0 0 0 0 0.00%

listed

overseas

4.

Others 0 0.00% 0 0 0 0 0 0

III. Total

number 1011660000 100.00% 0 0 0 0 0

101166

of shares 0000

100.00%

Reasons for changes in shares

□ Applicable □Not applicable

Approval of changes in shares

□ Applicable □Not applicable

Transfer of changes in shares

□ Applicable □Not applicable

Implementation progress of share repurchase

36Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

□ Applicable □Not applicable

Implementation progress of reducing repurchase shares by means of centralized bidding

□ Applicable □Not applicable

Effect of changes in shares on financial indicators such as basic earnings per share and diluted earnings per share in

the latest year and the latest period and net assets per share attributable to the Company's ordinary shareholders

□ Applicable □Not applicable

Other contents deemed necessary by the Company or required by the securities regulators to be disclosed

□ Applicable □Not applicable

2. Changes in restricted shares

□ Applicable □Not applicable

II. Issuance and listing of securities

□ Applicable □Not applicable

III. Number of the Company's Shareholders and Shareholding Ratios

Unit: shares

Total number of Total number of preferred

ordinary shareholders 38209 shareholders with restoration ofat the end of the voting rights at the end of the 0

reporting period. reporting period (if any) (see Note 8)

Shareholdings of shareholders holding more than 5% or the top 10 shareholders (excluding shares lent through

refinancing)

Number of Number of Number of Pledge marking or

Name of Nature of shares Changes shares shares freezing

sharehold sharehold Sharehold held at the during the held

er er ing ratio end of the reporting

held under

reporting period restricted

without Share

conditions restriction status

Number

period s on sales

Shenzhen State-

Investmen owned 54.79% 5542472 5542472 Nott Holdings legal 80 0 0 80 applicable 0

Co. Ltd. person

Shenzhen

State-

owned Domestic

Equity non-state-owned 6.35% 6428842 0 0 6428842 NotOperation legal 6 6 applicable

0

Managem

ent Co. person

Ltd.Yang Domestic

Jianmin natural 0.95% 9658501 -629199 0 9658501 Pledged 3890000person

Wang Domestic

Yulan natural 0.62% 6228591 0 0 6228591

Not

person applicable

0

Zhang Domestic 0.47% 4756900 60300 0 4756900 Not 0

37Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Xiujuan natural applicable

person

Hong

Kong

Securities Overseas

Clearing legal 0.45% 4551786 -2486697 0 4551786 Not 0

Company person applicable

Ltd.(HKSCC)

Domestic

He Qiao natural 0.43% 4384000 415900 0 4384000 Not

person applicable

0

Wang Domestic

Zhengying natural 0.29% 2962900 1000 0 2962900

Not

person applicable

0

Zhang Domestic

Tianxue natural 0.28% 2830283 0 0 2830283

Not

person applicable

0

Industrial

and

Commerci

al Bank of

China

Limited -

China

Southern

CSI All Others 0.28% 2794146 546842 0 2794146

Not

applicable 0

Share

Real

Estate

ETF

Securities

Investmen

t Fund

Strategic investors or

general legal person

becoming the top 10

shareholders due to Not applicable

placement of new

shares (if any) (see

Note 3)

Notes to shareholders' Among the top 10 shareholders of the Company Shenzhen State-owned Equity

related relationship or Management Co. Ltd. is a wholly-owned subsidiary of Shenzhen Investment Holdings Co.persons acting in Ltd. The Company does not know whether there exists associated relationship among the

concert other shareholders or whether they are persons acting in concert as prescribed in theAdministrative Measures for the Acquisition of Listed Companies.Explanation of the

above shareholders'

involvement in

entrusting/being Not applicable

entrusted voting rights

and waiver of voting

rights

Special explanation for

the existence of Not applicable

repurchase accounts

among the top 10

38Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

shareholders (if any)

(see Note 11)

Shareholdings of the top 10 shareholders without restrictions on sales (excluding shares lent through refinancing and

shares locked by senior management)

Number of shares held without Type of shares

Name of shareholder restrictions on sales at the end of the

reporting period Type of shares Number

Shenzhen Investment Holdings Co.Ltd. 554247280 RMB ordinary shares

5542472

80

Shenzhen State-owned Equity 6428842

Operation Management Co. Ltd. 64288426 RMB ordinary shares 6

Yang Jianmin 9658501 RMB ordinary shares 9658501

Wang Yulan 6228591 RMB ordinary shares 6228591

Zhang Xiujuan 4756900 RMB ordinary shares 4756900

Hong Kong Securities Clearing

Company Ltd. (HKSCC) 4551786 RMB ordinary shares 4551786

RMB ordinary shares 4220000

He Qiao 4384000 Domestically listed

foreign shares 164000

Wang Zhengying 2962900 RMB ordinary shares 2962900

Zhang Tianxue 2830283 Domestically listedforeign shares 2830283

Industrial and Commercial Bank of

China Limited - China Southern CSI

All Share Real Estate ETF Securities 2794146 RMB ordinary shares 2794146

Investment Fund

Explanation of related

relationship or

concerted actions

among the top 10 Among the top 10 unrestricted public shareholders of the Company Shenzhen State-

unrestricted owned Equity Management Co. Ltd. is a wholly-owned subsidiary of Shenzhen Investment

shareholders and Holdings Co. Ltd. The Company does not know whether there exists associated

between the top 10 relationship among the other shareholders or whether they are persons acting in concert

unrestricted as prescribed in the Administrative Measures for the Acquisition of Listed Companies.shareholders and the

top 10 shareholders

Explanation of the top

10 ordinary Among the top 10 shareholders the shareholder ranked 3rd holds 5496000 shares in a

shareholders' credit securities account the 5th ranked shareholder holds 4756900 shares in a credit

participation in margin securities account the 7th ranked shareholder holds 4020000 shares in a credit securities

financing and securities account and the 8th ranked shareholder holds 2962900 shares in a credit securities

lending business (if account.any) (see Note 4)

Participation of shareholders holding more than 5% of the shares the top 10 shareholders and the top 10

shareholders of unrestricted tradable shares in refinancing business and lending shares

□ Applicable □Not applicable

Changes of the top 10 shareholders and the top 10 shareholders of unrestricted tradable shares compared with the

previous period due to refinancing lending/repayment

□ Applicable □Not applicable

Whether the Company's top 10 ordinary shareholders and the top 10 ordinary shareholders without restrictive

condition for sales conduct any agreed repurchase transactions during the reporting period

? Yes □No

The Company's top 10 ordinary shareholders and top 10 ordinary shareholders without restrictive condition for sales

39Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

did not conduct any agreed repurchase transaction during the reporting period.IV. Changes in Shareholding of Directors and Senior Management

□ Applicable □Not applicable

There were no changes in the shareholdings of directors and senior management of the Company during the reporting

period; please refer to the 2025 Annual Report for details.V. Changes in Controlling Shareholders or De Facto Controller

If the Company has previously disclosed that the De Facto Controller is planning a change of control but it has not

been completed please explain the progress of the change of control.□ Applicable □Not applicable

Changes in controlling shareholders during the reporting period

□ Applicable □Not applicable

There was no change in the controlling shareholder of the Company during the reporting period.Changes in actual owner during the reporting period

□ Applicable □Not applicable

There was no change in the actual owner of the Company during the reporting period.

40Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

VI. Preferred Shares

□ Applicable □Not applicable

During the reporting period the Company had no preferred shares.

41Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section VII Bonds

□ Applicable □Not applicable

42Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Section VIII Financial Statements

I. Audit Report

Has the semi-annual report been audited

□ Yes□No

The company's semi-annual financial report has not been audited.II. Financial Statements

The unit of the statements in the financial notes is: yuan

1. Consolidated balance sheet

Prepared by: Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd

June 30 2026

Unit: Yuan

project Closing balance Opening balance

Current assets

Monetary Funds 270648313.66 284686525.04

Settlement reserve funds 0.00 0.00

Withdrawal of capital 0.00 0.00

Trading financial assets 1057325314.70 1050256058.41

Derivative financial assets 0.00 0.00

Notes receivable 200000.00 0.00

accounts receivable 45419725.16 44898083.74

Accounts receivable financing 0.00 0.00

Prepayments 19842.94 31588.45

premiums receivable 0.00 0.00

Reinsurance accounts receivable 0.00 0.00

Reserve for reinsurance contracts

0.000.00

receivable

Other receivables 729582117.04 747900491.52

Among them: Interest receivable 0.00 0.00

Dividends receivable 0.00 0.00

Purchase of financial assets held under

0.000.00

resale agreements

inventory 653640319.20 1099359619.25

Among them: data resources 0.00 0.00

contract asset 21855722.04 29035256.28

43Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Assets held for sale 0.00 0.00

Non-current assets maturing within

0.000.00

one year

Other current assets 53237235.56 66133465.24

Total current assets 2831928590.30 3322301087.93

Non-current assets:

Issuing loans and advances 0.00 0.00

debt investment 0.00 0.00

Other debt investments 0.00 0.00

Long-term receivables 0.00 0.00

Long-term equity investment 0.00 0.00

Other equity instrument investments 11729520.39 14571511.81

Other non-current financial assets 0.00 0.00

Investment property 937519655.46 522634659.17

Fixed assets 13578063.33 14949900.45

construction in progress 0.00 571822.67

Productive biological assets 0.00 0.00

oil and gas assets 0.00 0.00

right-of-use asset 0.00 0.00

intangible assets 0.00 0.00

Among them: data resources 0.00 0.00

development expenditure 0.00 0.00

Among them: data resources 0.00 0.00

goodwill 0.00 0.00

Long-term deferred expenses 2706542.52 1615683.92

Deferred tax assets 6415564.08 6138319.62

Other non-current assets 0.00 0.00

Total non-current assets 971949345.78 560481897.64

Total Assets 3803877936.08 3882782985.57

Current liabilities

short-term borrowing 1065508.63 50000.00

Borrow from the central bank 0.00 0.00

Borrowed Funds 0.00 0.00

Trading financial liabilities 0.00 0.00

Derivative financial liabilities 0.00 0.00

Notes Payable 0.00 0.00

accounts payable 168578885.71 171738333.04

Advance receipts 3417122.84 722042.14

Contract liabilities 21426300.03 28400659.20

Financial assets sold for repurchase 0.00 0.00

Deposit taking and interbank deposit 0.00 0.00

Securities trading funds on behalf 0.00 0.00

Funds from agency underwriting of 0.00 0.00

44Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

securities

Payroll payable 30266318.49 32757342.88

Taxes payable 18826842.10 26922082.58

Other payables 119077007.22 144280409.16

Among them: interest payable 16535277.94 16535277.94

Dividends payable 0.00 0.00

Payable handling fees and

0.000.00

commissions

Accounts payable for reinsurance 0.00 0.00

Liabilities held for sale 0.00 0.00

Non-current liabilities maturing within

0.000.00

one year

Other current liabilities 7053339.82 7565002.87

Total current liabilities 369711324.84 412435871.87

Non-current liabilities:

Reserve fund for insurance contracts 0.00 0.00

long-term loans 0.00 0.00

Bonds payable 0.00 0.00

Among them: preferred stock 0.00 0.00

perpetual bond 0.00 0.00

lease liability 0.00 0.00

Long-term payables 0.00 0.00

Long-term payroll payable 0.00 0.00

provisions 0.00 0.00

Deferred revenue 0.00 0.00

Deferred income tax liabilities 1337604.71 867914.50

Other non-current liabilities 0.00 0.00

Total non-current liabilities 1337604.71 867914.50

Total Liabilities 371048929.55 413303786.37

Owners' equity:

share capital 1011660000.00 1011660000.00

Other equity instruments 0.00 0.00

Among them: preferred shares 0.00 0.00

perpetual bond 0.00 0.00

Capital Reserve 978244910.11 978244910.11

Less: Treasury Stock 0.00 0.00

Other comprehensive income 29417639.89 23315115.52

Special reserves 0.00 0.00

Surplus reserve 275253729.26 275253729.26

General risk provision 0.00 0.00

Retained Earnings 1279881231.23 1323849441.49

Total equity attributable to owners of the

3574457510.493612323196.38

parent company

Minority shareholders' equity -141628503.96 -142843997.18

Total owner's equity 3432829006.53 3469479199.20

Total liabilities and owner's equity 3803877936.08 3882782985.57

Legal Representative: Chen Ming; Person in Charge of Accounting Work: Wang Jianfei; Head of Accounting Organization: Zhou

45Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Hongpu

2. Balance sheet of the parent company

Unit: Yuan

project Closing balance Opening balance

Current assets

Monetary Funds 94397236.20 69884281.83

Trading financial assets 0.00 0.00

Derivative financial assets 0.00 0.00

Notes receivable 0.00 0.00

accounts receivable 4665706.26 4843552.76

Accounts receivable financing 0.00 0.00

Prepayments 4000.00 0.00

Other receivables 1841982042.16 1880427908.13

Among them: Interest receivable 0.00 0.00

Dividends receivable 37814622.88 24222722.88

inventory 312474.69 312474.69

Among them: data resources 0.00 0.00

contract asset 0.00 0.00

Assets held for sale 0.00 0.00

Non-current assets maturing within

0.000.00

one year

Other current assets 1036245.85 1294922.05

Total current assets 1942397705.16 1956763139.46

Non-current assets:

debt investment 0.00 0.00

Other debt investments 0.00 0.00

Long-term receivables 0.00 0.00

Long-term equity investment 1132181561.85 1132181561.85

Other equity instrument investments 14571511.81 14571511.81

Other non-current financial assets 0.00 0.00

Investment property 375585756.47 387434080.02

Fixed assets 8263705.93 9186628.06

construction in progress 0.00 571822.67

Productive biological assets 0.00 0.00

oil and gas assets 0.00 0.00

right-of-use asset 0.00 0.00

intangible assets 0.00 0.00

Among them: data resources 0.00 0.00

development expenditure 0.00 0.00

Among them: data resources 0.00 0.00

goodwill 0.00 0.00

46Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Long-term deferred expenses 2454374.61 1209606.83

Deferred tax assets 469690.21 0.00

Other non-current assets 0.00 0.00

Total non-current assets 1533526600.88 1545155211.24

Total Assets 3475924306.04 3501918350.70

Current liabilities

short-term borrowing 0.00 0.00

Trading financial liabilities 0.00 0.00

Derivative financial liabilities 0.00 0.00

Notes Payable 0.00 0.00

accounts payable 4756898.72 6692455.48

Advance receipts 110143.00 0.00

Contract liabilities 2255023.41 94227.61

Payroll payable 22241925.83 21771697.06

Taxes payable 4466019.01 1161124.78

Other payables 115732752.35 142790324.11

Among them: interest payable 16535277.94 16535277.94

Dividends payable 0.00 0.00

Liabilities held for sale 0.00 0.00

Non-current liabilities maturing within

0.000.00

one year

Other current liabilities 5.59 4711.39

Total current liabilities 149562767.91 172514540.43

Non-current liabilities:

long-term loans 0.00 0.00

Bonds payable 0.00 0.00

Among them: preferred stock 0.00 0.00

perpetual bond 0.00 0.00

lease liability 0.00 0.00

Long-term payables 0.00 0.00

Long-term payroll payable 0.00 0.00

provisions 0.00 0.00

Deferred revenue 0.00 0.00

Deferred tax liabilities 1337604.71 867914.50

Other non-current liabilities 0.00 0.00

Total non-current liabilities 1337604.71 867914.50

Total Liabilities 150900372.62 173382454.93

Owners' equity:

share capital 1011660000.00 1011660000.00

Other equity instruments 0.00 0.00

Among them: preferred stock 0.00 0.00

perpetual bond 0.00 0.00

Capital Reserve 964711931.13 964711931.13

Less: Treasury Stock 0.00 0.00

Other comprehensive income 1928633.86 1928633.86

47Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Special reserves 0.00 0.00

Surplus reserve 252124115.85 252124115.85

Retained Earnings 1094599252.58 1098111214.93

Total owner's equity 3325023933.42 3328535895.77

Total liabilities and owner's equity 3475924306.04 3501918350.70

3. Consolidated income statement

Unit: Yuan

project Half-yearly report of 2026 Half-yearly in 2025

1. Total operating income 149256953.04 637366221.35

Among them: Operating income 149256953.04 637366221.35

interest income

Earned Premium 0.00 0.00

Service fee and commission

0.000.00

income

II. Total operating costs 165056813.62 522377406.04

Among them: Operating costs 123812714.67 463717990.62

Interest expense 0.00 0.00

Service fee and commission

0.000.00

expense

Surrender value 0.00 0.00

Net compensation expenditure 0.00 0.00

Net amount of insurance

0.000.00

liability reserve

Policy dividend expenses 0.00 0.00

Reinsurance premium 0.00 0.00

Taxes and Surcharges 7395017.33 15562007.88

sales expenses 6366066.93 9708711.93

administrative expenses 27112672.76 32175388.99

R&D expenses 0.00 0.00

financial expenses 370341.93 1213306.62

Among them: Interest

0.002788711.79

expense

interest income 925667.62 2154378.05

Plus: Other income 54026.64 31652.46

Investment income (loss

66265.2399669.36

indicated with "-")

Including: Investment

income from associated enterprises and 0.00 0.00

joint ventures

Gain on

derecognition of financial assets 0.00 0.00

measured at amortized cost

Exchange gains (losses are

0.000.00

indicated by a "-" sign)

Net open hedge gains (losses are 0.00 0.00

48Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

indicated by a "-" sign)

Income from changes in fair

7069256.298662388.50

value (loss is indicated by a "-" sign)

Credit impairment loss (loss is

554041.03-77782.93

indicated by a "-" sign)

Asset impairment loss (loss is

0.00-15230.21

indicated by a "-" sign)

Gains from asset disposal (losses

357.100.00

are indicated by a "-" sign)

III. Operating profit (loss indicated with

-8055914.29123689512.49

a "-" sign)

Plus: Non-operating income 491.27 20130.74

Less: Non-operating expenses 1744.29 1634.14

IV. Total profit (total loss indicated with

-8057167.31123708009.09

a "-" sign)

Less: Income tax expense 950501.45 21496138.68

V. Net profit (net loss indicated with "-") -9007668.76 102211870.41

(1) Classification based on business

continuity

1. Net profit from continuing

-9007668.76102211870.41

operations (net loss indicated with a "-")

2. Net profit from discontinued

operations (net loss indicated with a "-" 0.00 0.00

sign)

(II) Classification by ownership

1. Net profit attributable to

shareholders of the parent company (net -8560110.26 103027646.42

loss indicated with a "-" sign)

2. Minority shareholders' profit and

-447558.50-815776.01

loss (net loss indicated with a "-" sign)

VI. Net amount after tax of other

7765576.096797849.82

comprehensive income

Net amount of other comprehensive

income after tax attributable to owners of 6102524.37 6368897.45

the parent company

(1) Other comprehensive income

that cannot be reclassified into profit and -2841991.42 241517.87

loss

1. Remeasure the change amount

0.000.00

of the defined benefit plan

2. Other comprehensive income

that cannot be transferred to profit and 0.00 0.00

loss under the equity method

3. Changes in fair value of other

-2841991.42241517.87

equity instrument investments

4. Changes in fair value of

0.000.00

enterprise's own credit risk

5. Others 0.00 0.00

(II) Other comprehensive income

8944515.796127379.58

reclassified into profit and loss

1. Other comprehensive income

that can be transferred to profit and loss 0.00 0.00

under the equity method

2. Changes in fair value of other 0.00 0.00

49Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

debt investments

3. Amount of financial assets

reclassified and recorded in other 0.00 0.00

comprehensive income

4. Provision for credit impairment

0.000.00

of other debt investments

5. Cash flow hedging reserve 0.00 0.00

6. Translation differences in

8944515.796127379.58

foreign currency financial statements

7. Others 0.00 0.00

Net amount of other comprehensive

income attributable to minority 1663051.72 428952.37

shareholders after tax

VII. Total comprehensive income -1242092.67 109009720.23

Total comprehensive income

attributable to owners of the parent -2457585.89 109396543.87

company

Total comprehensive income

1215493.22-386823.64

attributable to minority shareholders

8. Earnings per share:

(I) Basic earnings per share -0.0085 0.1018

(II) Diluted earnings per share -0.0085 0.1018

For the business combination under the same control in this period the net profit realized by the combined party before the

combination is: 0.00 yuan and the net profit realized by the combined party in the previous period is: 0.00 yuan.Legal Representative: Chen Ming; Person in Charge of Accounting Work: Wang Jianfei; Head of Accounting Organization: Zhou

Hongpu

4. Income statement of the parent company

Unit: Yuan

project Half-yearly report of 2026 Half-yearly in 2025

1. Operating income 27666413.33 23097217.24

Less: Operating costs 16614407.10 15530601.07

Taxes and Surcharges 5165372.07 7010315.64

sales expenses 1678549.84 1752440.34

administrative expenses 21302074.63 18361484.35

R&D expenses 0.00 0.00

financial expenses 1127730.78 2423621.13

Among them: interest expenses 0.00 2414263.08

interest income 102806.10 507352.13

Plus: Other income 51104.04 28158.18

Investment income (loss

50066265.2399669.36

indicated with "-")

Including: Investment income

from associated enterprises and joint 0.00 0.00

ventures

Gain on derecognition

of financial assets measured at amortized 0.00 0.00

cost (loss is indicated by a "-" sign)

Net open hedge gains (losses are 0.00 0.00

50Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

indicated by a "-" sign)

Income from changes in fair

0.008662388.50

value (loss is indicated by a "-" sign)

Credit impairment loss (loss is

0.000.00

indicated by a "-" sign)

Asset impairment losses (losses

0.000.00

are indicated by a "-" sign)

Gains from asset disposal (losses

0.000.00

are indicated by a "-" sign)

II. Operating profit (loss indicated with

31895648.18-13191029.25

"-")

Plus: Non-operating income 489.47 8398.00

Less: Non-operating expenses 0.00 32.50

III. Total profit (total loss indicated with

31896137.65-13182663.75

a "-" sign)

Less: Income tax expense 0.00 0.00

IV. Net profit (net loss indicated with a

31896137.65-13182663.75

"-" sign)

(I) Net profit from continuing

operations (net loss indicated with a "-" 31896137.65 -13182663.75

sign)

(II) Net profit from discontinued

operations (net loss indicated with a "-"

sign)

V. Net amount after tax of other

0.000.00

comprehensive income

(1) Other comprehensive income

that cannot be reclassified into profit and 0.00 0.00

loss

1. Remeasure the change amount

0.000.00

of the defined benefit plan

2. Other comprehensive income

that cannot be transferred to profit and 0.00 0.00

loss under the equity method

3. Changes in fair value of other

0.000.00

equity instrument investments

4. Changes in fair value of

0.000.00

enterprise's own credit risk

5. Others 0.00 0.00

(II) Other comprehensive income

reclassified into profit and loss

1. Other comprehensive income

that can be transferred to profit and loss 0.00 0.00

under the equity method

2. Changes in fair value of other

0.000.00

debt investments

3. Amount of financial assets

reclassified and recorded in other 0.00 0.00

comprehensive income

4. Provision for credit impairment

0.000.00

of other debt investments

5. Cash flow hedging reserve 0.00 0.00

6. Translation differences in

0.000.00

foreign currency financial statements

51Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

7. Others 0.00 0.00

VI. Total comprehensive income 31896137.65 -13182663.75

VII. Earnings per share:

(I) Basic earnings per share

(II) Diluted earnings per share

5. Consolidated cash flow statement

Unit: Yuan

project Half-yearly report for 2026 Half-yearly in 2025

I. Cash flows from operating activities:

Cash received from selling goods and

149907409.47107961865.12

providing services

Net increase in customer deposits and

0.000.00

interbank deposits

Net increase in borrowings from the

0.000.00

central bank

Net increase in funds borrowed from

0.000.00

other financial institutions

Cash received from premiums of

0.000.00

original insurance contracts

Net cash received from reinsurance

0.000.00

business

Net increase in policyholder deposits

0.000.00

and investment funds

Cash collected from interest handling

0.000.00

fees and commissions

Net increase in interbank borrowing 0.00 0.00

Net increase in funds for repurchase

0.000.00

business

Net cash received from securities

0.000.00

trading as an agent

Tax refund received 13450960.28 14257792.80

Received other cash related to

18815550.68120662833.73

operating activities

Subtotal of cash inflows from operating

182173920.43242882491.65

activities

Cash paid for purchasing goods and

84617506.2479091286.46

receiving services

Net increase in loans and advances to

0.000.00

customers

Net increase in deposits with central

0.000.00

bank and interbank deposits

Cash paid for compensation under the

0.000.00

original insurance contract

Net increase in funds lent out 0.00 0.00

Cash paid for interest fees and

0.000.00

commissions

Cash paid for policy dividends 0.00 0.00

Cash paid to and for employees 30986998.71 31933948.07

Various taxes and fees paid 23973777.86 65156436.59

Cash paid for other activities related to 17648538.14 154123062.11

52Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

operating activities

Subtotal of cash outflows from operating

157226820.95330304733.23

activities

Net cash flow from operating activities 24947099.48 -87422241.58

II. Cash flows from investing activities:

Cash received from investment

0.000.00

recovery

Cash received from investment

66265.2399669.36

income

Net cash received from disposal of

fixed assets intangible assets and other 0.00 0.00

long-term assets

Net cash received from the disposal of

0.000.00

subsidiaries and other business units

Received other cash related to

0.000.00

investing activities

Subtotal of cash inflows from investing

66265.2399669.36

activities

Cash paid for the acquisition and

construction of fixed assets intangible 38267.66 75475.40

assets and other long-term assets

Cash paid for investment 0.00 0.00

Net increase in pledge loans 0.00 0.00

Net cash paid to acquire subsidiaries

0.000.00

and other business entities

Cash paid for other activities related to

0.00110000000.00

investment

Subtotal of cash outflows from investing

38267.66110075475.40

activities

Net cash flow from investing activities 27997.57 -109975806.04

III. Cash flows from financing activities:

Cash received from investment

0.000.00

absorption

Including: cash received from

investments by minority shareholders in 0.00 0.00

subsidiaries

Cash received from loan acquisition 0.00 0.00

Received other cash related to

0.000.00

financing activities

Subtotal of cash inflows from financing

0.000.00

activities

Cash paid for debt repayment 0.00 33500586.60

Cash paid for distributing dividends

35408100.001448749.44

profits or servicing interest

Including: dividends and profits paid

0.000.00

by subsidiaries to minority shareholders

Cash paid for other financing-related

0.000.00

activities

Subtotal cash outflows from financing

35408100.0034949336.04

activities

Net cash flow from financing activities -35408100.00 -34949336.04

IV. Impact of exchange rate changes on

-148030.43-63892.72

cash and cash equivalents

V. Net increase in cash and cash

-10581033.38-232411276.38

equivalents

Plus: Balance of cash and cash 278891920.87 520910254.44

53Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

equivalents at the beginning of the period

VI. Closing balance of cash and cash

268310887.49288498978.06

equivalents

6. Cash flow statement of the parent company

Unit: Yuan

project Half-yearly report of 2026 Half-yearly in 2025

I. Cash flows from operating activities:

Cash received from selling goods and

32489773.1727636940.85

providing services

Tax refund received 54086.16 31866.46

Received other cash related to

22010845.69122029488.61

operating activities

Subtotal of cash inflows from operating

54554705.02149698295.92

activities

Cash paid for purchasing goods and

514055.95193118.60

receiving services

Cash paid to and for employees 19473806.76 17111206.32

Various taxes and fees paid 3685647.80 6276383.28

Cash paid for other activities related to

6793060.6734259333.81

operating activities

Subtotal of cash outflows from operating

30466571.1857840042.01

activities

Net cash flow from operating activities 24088133.84 91858253.91

II. Cash flows from investing activities:

Cash received from investment

0.005000000.00

recovery

Cash received from investment

66265.2399669.36

income

Net cash received from disposal of

fixed assets intangible assets and other 0.00 0.00

long-term assets

Net cash received from the disposal of

0.000.00

subsidiaries and other business units

Received other cash related to

36408100.000.00

investing activities

Subtotal of cash inflows from investing

36474365.235099669.36

activities

Cash paid for the acquisition and

construction of fixed assets intangible 641444.70 6884.96

assets and other long-term assets

Cash paid for investment 0.00 0.00

Net cash paid to acquire subsidiaries

0.000.00

and other business entities

Cash paid for other activities related to

0.00110000000.00

investment

Subtotal of cash outflows from investing

641444.70110006884.96

activities

Net cash flow from investing activities 35832920.53 -104907215.60

III. Cash flows from financing activities:

Cash received from investment

0.000.00

absorption

Cash received from loan acquisition 0.00 0.00

Received other cash related to

0.000.00

financing activities

54Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Subtotal cash inflows from financing

0.000.00

activities

Cash paid for debt repayment 0.00 62586.60

Cash paid for distributing dividends

35408100.001032614.31

profits or servicing interest

Cash paid for other financing-related

0.000.00

activities

Subtotal cash outflows from financing

35408100.001095200.91

activities

Net cash flow from financing activities -35408100.00 -1095200.91

IV. Impact of exchange rate changes on

0.000.00

cash and cash equivalents

V. Net increase in cash and cash

24512954.37-14144162.60

equivalents

Plus: Balance of cash and cash

69884281.8381754926.52

equivalents at the beginning of the period

VI. Closing balance of cash and cash

94397236.2067610763.92

equivalents

7. Consolidated statement of changes in equity

Current Amount

Unit: Yuan

Half-yearly report for 2026

Owners' equity attributable to the parent company

Other equity instruments Other

Minor Total

project Capita Less: compr Specia Surplu Gener Retain ity

share owner

prefer perpet l Treas ehensi l s al risk ed Subtot

shareh

capita Other olders' 's

red ual Other Reser ury ve reserv reserv provis Earnin al equityl equity

stock bond ve Stock incom es e ions gs

e

-

1. Ending balance 1011 9782 2331 2752 1323 3612 3469

1428

of the previous 6600 4491 5115. 5372 8494 0.00 3231 4791

4399

year 00.00 0.11 52 9.26 41.49 96.38 99.20

7.18

Plus:

Changes in

accounting

policies

Correcti

on of prior period

errors

Other

-

II. Opening 1011 9782 2331 2752 1323 3612 3469

1428

balance of the 6600 0.00 0.00 0.00 4491 0.00 5115. 0.00 5372 0.00 8494 3231 4791

4399

current year 00.00 0.11 52 9.26 41.49 96.38 99.20

7.18

III. Changes in

Amount for the - - -

61021215

Current Period 4396 3786 3665

0.000.000.000.000.000.00524.30.000.000.00493.2

(Decreases are 8210. 5685. 0192.

72

indicated by a "-" 26 89 67

sign)

55Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

---

(I) Total 6102 1215

856024571242

comprehensive 524.3 493.2

110.2585.8092.6

income 7 2

697

(II) Capital

invested and 0.00 0.00 0.00

reduced by owners

1. Common stock

invested by 0.00 0.00

owners

2. Capital invested

by holders of

0.000.00

other equity

instruments

3. Amount of

share-based

payments 0.00 0.00

recognized in

owners' equity

4. Others 0.00 0.00 0.00

---

(III) Profit 3540 3540 3540

distribution 8100. 8100. 8100.

000000

1. Withdrawal of

0.000.00

surplus reserves

2. Withdrawal of

general risk 0.00 0.00

provisions

---

3. Distribution to

354035403540

owners (or

8100.8100.8100.

shareholders)

000000

4. Others 0.00 0.00

(IV) Internal

transfer of owner's 0.00 0.00

equity

1. Capital reserves

converted into

0.000.00

capital (or share

capital)

2. Conversion of

surplus reserves

0.000.00

into capital (or

share capital)

3. Surplus

reserves used to 0.00 0.00

cover losses

4. Carry forward

the change amount

of the defined 0.00 0.00

benefit plan to

retained earnings

56Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

5. Transfer of

other

comprehensive 0.00 0.00

income to retained

earnings

6. Others 0.00 0.00

(V) Special

0.000.00

reserves

1. Current period

0.000.00

withdrawal

2. Current use 0.00 0.00

(VI) Others 0.00 0.00 0.00

-

IV. Closing 1011 9782 2941 2752 1279 3574 3432

1416

balance of the 6600 0.00 0.00 0.00 4491 0.00 7639. 0.00 5372 0.00 8812 4575 8290

2850

current period 00.00 0.11 89 9.26 31.23 10.49 06.53

3.96

Last year's amount

Unit: Yuan

Half-yearly in 2025

Owners' equity attributable to the parent company

Other equity Oth Min Tota

instruments Less er Gen ority l

project shar Capi : com Spe Surp eral Reta shar

e pref perp

own

tal Trea preh cial lus risk ined Oth Subt ehol er's

capi erre etua Oth Res sury ensi rese rese prov Earn er otal ders' equi

tal d l er erve Stoc ve rves rve isio ings equi

stoc bon tyk inco n ty

k d me

-

1. Ending 101 978 230 275 122 351 339

116

balance of 166 244 604 253 389 211 538

725

the previous 000 910. 16.3 729. 343 249 706

425.

year 0.00 11 1 26 7.74 3.42 7.67

75

Plus:

Changes in

accounting

policies

Co

rrection of

prior period

errors

Ot

her

-

II. Opening 101 978 230 275 122 351 339

116

balance of 166 244 604 253 389 211 538

0.000.000.000.000.000.00725

the current 000 910. 16.3 729. 343 249 706

425.

year 0.00 11 1 26 7.74 3.42 7.67

75

III. Amount 103 109 - 109636

of increase or 027 396 386 0090.00 0.00 0.00 0.00 0.00 0.00 889 0.00 0.00 0.00

decrease in 646. 543. 823. 720.7.45

the current 42 87 64 23

57Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

period

(decrease is

indicated by

a "-" sign)

(I) Total 636

027396386009

comprehensi 889

646.543.823.720.

ve income 7.45

42876423

(II) Capital

invested and

0.000.00

reduced by

owners

1. Common

stock

0.000.00

invested by

owners

2. Capital

invested by

holders of 0.00 0.00

other equity

instruments

3. Amount of

share-based

payments

0.000.00

recognized in

owners'

equity

4. Others 0.00 0.00

(III) Profit

0.000.00

distribution

1.

Withdrawal

0.000.00

of surplus

reserves

2.

Withdrawal

of general 0.00 0.00

risk

provisions

3.

Distribution

0.000.00

to owners (or

shareholders)

4. Others 0.00 0.00

(IV) Internal

transfer of

0.000.00

owner's

equity

1. Capital

reserves

converted 0.00 0.00

into capital

(or share

58Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

capital)

2. Surplus

reserves

converted

0.000.00

into capital

(or share

capital)

3. Surplus

reserves used

0.000.00

to cover

losses

4. Carry

forward the

change

amount of

0.000.00

the defined

benefit plan

to retained

earnings

5. Transfer

of other

comprehensi

0.000.00

ve income to

retained

earnings

6. Others 0.00 0.00

(V) Special

0.000.00

reserves

1.

Withdrawal

0.000.00

in current

period

2. Current

0.000.00

use

(VI) Others 0.00 0.00

-

IV. Closing 101 978 294 275 132 362 350

117

balance of 166 244 293 253 692 150 439

0.000.000.000.000.000.00112

the current 000 910. 13.7 729. 108 903 678

249.

period 0.00 11 6 26 4.16 7.29 7.90

39

8. Statement of Changes in Equity of the Parent Company

Current Amount

Unit: Yuan

Half-yearly report for 2026

Other equity instruments Other

Capita Less: compr Specia Surplu Retain Total

project share prefer perpet l Treas ehensi l s ed owner'Other

capital red ual Other Reser ury ve reserv reserv Earnin s

stock bond ve Stock incom es e gs equity

e

59Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

1. Ending

101196471928252110983328

balance of

66001193633.8241111125358

the previous

00.001.1365.8514.9395.77

year

Plus:

Changes in

accounting

policies

Co

rrection of

prior period

errors

Ot

her

II. Opening

101196471928252110983328

balance of

66000.000.000.0011930.00633.80.00241111120.005358

the current

00.001.1365.8514.9395.77

year

III. Changes

in Amount

for the - -

Current 3511 3511

0.000.000.000.000.000.000.000.000.000.00

Period 962.3 962.3

(Decreases 5 5

are indicated

by a "-" sign)

(I) Total 3189 3189

comprehensi 0.00 6137. 6137.ve income 65 65

(II) Capital

invested and

0.00

reduced by

owners

1. Common

stock

0.00

invested by

owners

2. Capital

contributed

by holders of 0.00

other equity

instruments

3. Amount of

share-based

payments

0.00

recognized in

owners'

equity

4. Others 0.00

--

(III) Profit 3540 3540

distribution 8100. 8100.

0000

60Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

1.

Withdrawal

0.00

of surplus

reserves

2.--

Distribution 3540 3540

to owners (or 8100. 8100.shareholders) 00 00

3. Others 0.00

(IV) Internal

transfer of

0.00

owner's

equity

1. Capital

reserves

converted

0.00

into capital

(or share

capital)

2. Surplus

reserves

converted

0.00

into capital

(or share

capital)

3. Surplus

reserves used

0.00

to cover

losses

4. Carry

forward the

change

amount of

0.00

the defined

benefit plan

to retained

earnings

5. Transfer

of other

comprehensi

0.00

ve income to

retained

earnings

6. Others 0.00

(V) Special

0.00

reserves

1.

Withdrawal

for the 0.00

current

period

2. Use in this

0.00

period

61Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(VI) Others 0.00

IV. Closing

101196471928252110943325

balance of

66000.000.000.0011930.00633.80.00241159920.000239

the current

00.001.1365.8552.5833.42

period

Last year's amount

Unit: Yuan

Half-yearly report for 2025

Other equity instruments Other

Capita Less: compr Specia Surplu Retain Total

project share prefer perpet l Treas ehensi l s ed owner'Other

capital red ual Other Reser ury ve reserv reserv Earnin s

stock bond ve Stock incom es e gs equity

e

1. Ending

101196472023252112373468

balance of

66001193005.8241167151906

the previous

00.001.1395.8562.0214.89

year

Plus:

Changes in

accounting

policies

Co

rrection of

prior period

errors

Ot

her

II. Opening

101196472023252112373468

balance of

66000.000.000.0011930.00005.80.00241167150.001906

the current

00.001.1395.8562.0214.89

year

III. Changes

in Amount

for the - -

Current 1318 1318

0.000.000.000.000.000.000.000.000.000.00

Period 2663. 2663.

(Decreases 75 75

are indicated

by a "-" sign)

--

(I) Total

13181318

comprehensi 0.00

2663.2663.

ve income

7575

(II) Capital

invested and

0.00

reduced by

owners

1. Common

stock

0.00

invested by

owners

62Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Capital

invested by

holders of 0.00

other equity

instruments

3. Amount of

share-based

payments

0.00

recorded in

owners'

equity

4. Others 0.00

(III) Profit

0.00

distribution

1.

Withdrawal

0.00

of surplus

reserves

2.

Distribution

0.00

to owners (or

shareholders)

3. Others 0.00

(IV) Internal

transfer of

0.00

owner's

equity

1. Capital

reserves

converted

0.00

into capital

(or share

capital)

2.

Conversion

of surplus

0.00

reserves into

capital (or

share capital)

3. Surplus

reserves used

0.00

to cover

losses

4. Carry

forward the

change

amount of

0.00

the defined

benefit plan

to retained

earnings

5. Transfer 0.00

of other

63Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

comprehensi

ve income to

retained

earnings

6. Others 0.00

(V) Special

0.00

reserves

1.

Withdrawal 0.00

in this period

2. Current

0.00

period usage

(VI) Others 0.00

IV. Closing

101196472023252112243455

balance of

66000.000.000.0011930.00005.80.00241148880.000079

the current

00.001.1395.8598.2751.14

period

III. Basic Information of the Company

Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd. (hereinafter referred to as the "Company"

or "our company") was established as a joint stock limited company through restructuring on the basis of the

former Shenzhen Special Economic Zone Real Estate Corporation with the approval of the General Office of

the People's Government of Shenzhen Municipality. It was registered with the Administration for Industry and

Commerce of Shenzhen Guangdong Province in July 1993 and its headquarters is located in Shenzhen

Guangdong Province. The company's unified social credit code is 91440300192179585N with a registered

capital of 1011660000.00 yuan and a total of 1011660000 shares (with a par value of 1 yuan per share).Among them there are 891660000 A shares and 120000000 B shares that are tradable without restrictions on

sales. The company's shares were listed and traded on the Shenzhen Stock Exchange on September 15 1993

and January 10 1994 respectively.Our company is in the real estate industry. Our main business activities include real estate development

and sales of commercial housing property leasing and management retail and trade of goods hotel business

equipment installation and maintenance construction interior decoration and other related businesses.This financial statement has been approved for external release by the second meeting of the ninth session

of the board of directors on August 25 2026.IV. Basis for Preparing Financial Statements

1. Basis of preparation

The financial statements of our company are prepared on a going concern basis.

2. Continuous operation

Our company does not have any matters or circumstances that may cast significant doubt on its ability to continue as a going

concern within 12 months from the end of the reporting period.

64Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

V. Significant accounting policies and accounting estimates

Specific accounting policies and accounting estimates tips:

Important Note: The Company has formulated specific accounting policies and estimates for transactions or events such as

impairment of financial instruments inventories depreciation of fixed assets construction in progress intangible assets and

revenue recognition based on its actual production and operation characteristics.

1. Statement of compliance with enterprise accounting standards

The financial statements prepared by our company comply with the requirements of enterprise accounting

standards and they truly and comprehensively reflect the company's financial position operating results cash

flows and other relevant information.

2. Accounting period

The accounting year begins on January 1st and ends on December 31st according to the Gregorian calendar.

3. Operating cycle

The operating cycle of the company's business operations is relatively short with 12 months serving as the

liquidity classification standard for assets and liabilities. The operating cycle of the real estate industry from

property development to sales realization is generally over 12 months with the specific cycle determined based

on the development project situation and its operating cycle is used as the liquidity classification standard for

assets and liabilities.

4. Bookkeeping base currency

The Renminbi (RMB) is adopted as the functional currency. Both the Company and its overseas subsidiary

in Hong Kong use RMB as the functional currency. The overseas subsidiary of Great Wall Real Estate Co. Ltd.in the United States engaged in overseas operations chooses the US dollar the currency of the primary

economic environment in which it operates as its functional currency. The currency used by the Company in

preparing these financial statements is RMB.

5. Method for determining importance criteria and basis for selection

□Applicable □ Not applicable

project Importance criteria

The recovery or reversal of significant bad debt reserves for

The individual amount exceeds 0.5% of the total assets

bills receivable

Important written-off notes receivable The individual amount exceeds 0.5% of the total asset value

Accounts receivable with significant individual provision for

The individual amount exceeds 0.5% of the total assets

bad debts

Recovery or reversal of significant bad debt reserves for

The individual amount exceeds 0.5% of the total assets

accounts receivable

Important written-off accounts receivable The individual amount exceeds 0.5% of the total asset value

Other receivables with significant individually assessed bad The individual amount exceeds 0.5% of the total assets

65Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

debt reserves

Reversal or recovery of bad debt reserves for significant other

The individual amount exceeds 0.5% of the total assets

receivables

Important write-off of other receivables The individual amount exceeds 0.5% of the total assets

Contract assets with significant individual impairment

The individual amount exceeds 0.5% of the total assets

provision

Recovery or reversal of impairment provision for significant

The individual amount exceeds 0.5% of the total assets

contract assets

Important written-off contract assets The individual amount exceeds 0.5% of the total assets

Significant changes in the book value of contract assets The amount of change exceeds 0.5% of the total asset value

Important prepayments with an aging of over 1 year The individual amount exceeds 0.5% of the total assets

The total investment in a single project exceeds 0.5% of the

Important projects under construction

total assets

Significant overdue loans The individual amount exceeds 0.5% of the total assets

Significant overdue interest payable The individual amount exceeds 0.5% of the total assets

Accounts payable with significant aging exceeding 1 year The individual amount exceeds 0.5% of the total assets

Other payables with significant aging exceeding 1 year The individual amount exceeds 0.5% of the total assets

Important advance receipts with an aging of over 1 year or

The individual amount exceeds 0.5% of the total assets

overdue

Contract liabilities with significant aging exceeding 1 year The individual amount exceeds 0.5% of the total assets

Significant changes in the book value of contract liabilities The amount of change exceeds 0.5% of the total asset value

Cash flow from significant investing activities The individual amount exceeds 5% of the total assets

The total assets/revenue/profit exceed 15% of the group's total

Important subsidiaries non-wholly-owned subsidiaries

assets/revenue/profit

The book value of a single long-term equity investment

exceeds 15% of the group's net assets or the investment

Important joint ventures and associated enterprises

income accounted for using the equity method exceeds 15% of

the group's total profit

6. Accounting treatment methods for business combinations under and not under common control

1. Accounting treatment method for business combinations under common control

The assets and liabilities acquired by the company in a business combination are measured at the carrying

amount of the combined party in the final controlling party's consolidated financial statements on the

combination date. The company adjusts the capital reserves based on the difference between the share of the

carrying amount of the owner's equity of the combined party in the final controlling party's consolidated

financial statements and the carrying amount of the consideration paid for the combination or the total par value

of the shares issued. If the capital reserves are insufficient to offset the retained earnings are adjusted.

2. Accounting treatment methods for business combinations not under common control

On the acquisition date the company recognizes the difference between the merger cost and the fair value

of the identifiable net assets obtained from the acquiree in the merger as goodwill. If the merger cost is less than

the fair value of the identifiable net assets obtained from the acquiree in the merger the fair values of all

identifiable assets liabilities and contingent liabilities obtained from the acquiree as well as the measurement

of the merger cost are first reviewed. If after review the merger cost is still less than the fair value of the

identifiable net assets obtained from the acquiree in the merger the difference is recognized in the current profit

and loss.

66Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

7. Criteria for control judgment and method for preparing consolidated financial statements

1. Judgment of control

If an entity possesses power over an investee enjoys variable returns through participating in the relevant

activities of the investee and has the ability to use its power over the investee to affect the amount of its

variable returns it is deemed to have control.

2. Preparation method of consolidated financial statements

The parent company includes all its controlled subsidiaries in the consolidation scope of its consolidated

financial statements. The consolidated financial statements are prepared by the parent company based on the

financial statements of the parent company and its subsidiaries as well as other relevant information in

accordance with the Accounting Standards for Business Enterprises No. 33 - Consolidated Financial Statements.

8. Classification of joint venture arrangements and accounting treatment methods for joint operations

1. Joint arrangements are classified into joint operations and joint ventures.

2. When the company is a joint venturer in a joint operation the following items related to its share of

interest in the joint operation shall be recognized:

(1) Confirm assets held individually as well as assets held jointly based on the respective shares held;

(2) Confirm the liabilities solely assumed as well as the liabilities jointly assumed based on the share held;

(3) Recognize the revenue generated from the share of joint operating output enjoyed by the selling

company;

(4) Recognize the revenue generated from the sale of assets in joint operations based on the company's

shareholding;

(5) Confirm the expenses incurred individually as well as the expenses incurred in joint operations based

on the company's shareholding.

9. Criteria for determining cash and cash equivalents

The cash presented in the cash flow statement refers to cash on hand and deposits that can be used for

payment at any time. Cash equivalents refer to investments held by the enterprise that have short terms strong

liquidity are easily convertible into known amounts of cash and have little risk of value change.

10. Foreign currency transactions and foreign currency statement translation

1. Translation of foreign currency transactions

Upon initial recognition foreign currency transactions are translated into RMB amounts using the spot

exchange rate on the transaction date. At the balance sheet date foreign currency monetary items are translated

at the spot exchange rate on the balance sheet date. Exchange differences arising from different exchange rates

except for those related to the principal and interest of foreign currency borrowings specifically related to the

acquisition and construction of assets eligible for capitalization are recognized in the current profit and loss.Foreign currency non-monetary items measured at historical cost are still translated at the spot exchange rate on

the transaction date without changing their RMB amounts. Foreign currency non-monetary items measured at

fair value are translated at the spot exchange rate on the date when the fair value is determined with any

differences recognized in the current profit and loss or other comprehensive income.

67Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Translation of foreign currency financial statements

The assets and liabilities items in the balance sheet are translated at the spot exchange rate on the balance

sheet date; all owner's equity items except for the "undistributed profits" item are translated at the spot

exchange rate on the transaction date; the income and expense items in the income statement are translated at

the approximate exchange rate of the spot exchange rate on the transaction date. The translation differences

arising from the above translations of foreign currency financial statements are recorded in other comprehensive

income.

11. Financial instruments

1. Classification of financial assets and financial liabilities

Financial assets are classified into the following three categories upon initial recognition: (1) financial

assets measured at amortized cost; (2) financial assets measured at fair value with changes recognized in other

comprehensive income; and (3) financial assets measured at fair value with changes recognized in current profit

and loss.Financial liabilities are classified into the following four categories upon initial recognition: (1) financial

liabilities measured at fair value with changes recognized in current profit and loss; (2) financial liabilities

arising from the transfer of financial assets that do not meet the conditions for derecognition or continue to be

involved in the transferred financial assets; (3) financial guarantee contracts that do not fall under (1) or (2)

above as well as loan commitments that do not fall under (1) above and involve loans at below-market interest

rates; (4) financial liabilities measured at amortized cost.

2. Recognition basis measurement method and derecognition conditions for financial assets and financial

liabilities

(1) Recognition basis and initial measurement method of financial assets and financial liabilities

When a company becomes a party to a financial instrument contract it recognizes a financial asset or

financial liability. Upon initial recognition of a financial asset or financial liability it is measured at fair value.For financial assets and financial liabilities measured at fair value with changes recognized in current profit and

loss the related transaction costs are directly included in current profit and loss. For other types of financial

assets or financial liabilities the related transaction costs are included in the initial recognition amount.However if the accounts receivable initially recognized by the company do not contain significant financing

components or the company does not consider the financing components in contracts that are not expected to

exceed one year the initial measurement is based on the transaction price as defined in "Accounting Standards

for Business Enterprises No. 14 - Revenue".

(2) Subsequent measurement method for financial assets

1) Financial assets measured at amortized cost

The effective interest method is adopted for subsequent measurement at amortized cost. Gains or losses

arising from financial assets measured at amortized cost and not part of any hedging relationship are recognized

68Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

in the current period profit or loss when derecognized reclassified amortized using the effective interest

method or recognized as impaired.

2) Debt instrument investments measured at fair value with changes recognized in other comprehensive

income

Subsequent measurement is conducted using fair value. Interest impairment losses or gains and exchange

gains and losses calculated using the effective interest method are recognized in current profit and loss while

other gains or losses are recognized in other comprehensive income. Upon derecognition the cumulative gains

or losses previously recognized in other comprehensive income are transferred out of other comprehensive

income and recognized in current profit and loss.

3) Equity instrument investments measured at fair value with changes recognized in other comprehensive

income

Subsequent measurement is conducted using fair value. Dividends received (excluding those that are part

of the recovery of investment costs) are recorded in the current period profit and loss while other gains or

losses are recorded in other comprehensive income. Upon derecognition the cumulative gains or losses

previously recorded in other comprehensive income are transferred out of other comprehensive income and

recorded in retained earnings.

4) Financial assets measured at fair value with changes recognized in current profit and loss

Gains or losses (including interest and dividend income) arising from subsequent measurement using fair

value are recognized in the current period profit and loss unless the financial asset is part of a hedging

relationship.

(3) Subsequent measurement method for financial liabilities

1) Financial liabilities measured at fair value with changes recognized in current profit and loss

Such financial liabilities include trading financial liabilities (including derivative instruments classified as

financial liabilities) and financial liabilities designated to be measured at fair value with changes recognized in

current profit and loss. Subsequent measurements of such financial liabilities are made at fair value. Changes in

the fair value of financial liabilities designated to be measured at fair value with changes recognized in current

profit and loss which are attributable to changes in the company's own credit risk are recorded in other

comprehensive income unless such treatment would create or amplify an accounting mismatch in profit and

loss. Other gains or losses arising from such financial liabilities (including interest expenses and changes in fair

value other than those attributable to changes in the company's own credit risk) are recognized in current profit

and loss unless the financial liability is part of a hedging relationship. Upon derecognition the cumulative

gains or losses previously recorded in other comprehensive income are transferred out of other comprehensive

income and recognized in retained earnings.

2) The transfer of financial assets does not meet the conditions for derecognition or the financial liabilities

formed by continuing involvement in the transferred financial assets

69Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

The measurement shall be conducted in accordance with the relevant provisions of "Accounting Standards

for Business Enterprises No. 23 - Transfer of Financial Assets".

3) Financial guarantee contracts that do not fall under 1) or 2) above as well as loan commitments that do

not fall under 1) above and involve loans at below-market interest rates

After initial recognition subsequent measurement is conducted based on the higher of the following two

amounts: * the loss provision determined in accordance with the impairment provisions for financial

instruments; * the balance of the initially recognized amount after deducting the accumulated amortization

determined in accordance with the relevant provisions of "Accounting Standards for Business Enterprises No.

14 - Revenue".

4) Financial liabilities measured at amortized cost

It is measured at amortized cost using the effective interest method. Gains or losses arising from financial

liabilities that are measured at amortized cost and are not part of any hedging relationship are recognized in the

current period profit or loss when derecognized and amortized using the effective interest method.

(4) De-recognition of financial assets and financial liabilities

1) When any of the following conditions is met the recognition of financial assets shall be terminated:

* The contractual rights to receive cash flows from the financial asset have been terminated;

* The financial asset has been transferred and the transfer satisfies the provisions of "Accounting

Standards for Business Enterprises No. 23 - Transfer of Financial Assets" regarding the derecognition of

financial assets.

2) When the current obligation of a financial liability (or part thereof) has been discharged the financial

liability (or the relevant part of the financial liability) shall be derecognized accordingly.

3. Basis for recognition and measurement method of financial asset transfers

If the company transfers almost all risks and rewards related to the ownership of financial assets it shall

derecognize the financial assets and separately recognize the rights and obligations arising from or retained in

the transfer as assets or liabilities. If the company retains almost all risks and rewards related to the ownership

of financial assets it shall continue to recognize the transferred financial assets. If the company neither transfers

nor retains almost all risks and rewards related to the ownership of financial assets it shall handle it according

to the following situations: (1) If the company does not retain control over the financial assets it shall

derecognize the financial assets and separately recognize the rights and obligations arising from or retained in

the transfer as assets or liabilities; (2) If the company retains control over the financial assets it shall recognize

the relevant financial assets based on the degree of its continued involvement in the transferred financial assets

and correspondingly recognize the relevant liabilities.When the overall transfer of financial assets satisfies the conditions for derecognition the difference

between the following two amounts shall be included in the current profit and loss: (1) the book value of the

transferred financial assets on the derecognition date; (2) the sum of the consideration received from the transfer

of financial assets and the amount corresponding to the derecognized portion of the cumulative change in fair

value originally recognized directly in other comprehensive income (involving the transferred financial assets

70Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

being debt instrument investments measured at fair value with changes recognized in other comprehensive

income). When a portion of the financial assets is transferred and the transferred portion as a whole satisfies the

conditions for derecognition the book value of the entire financial assets before transfer shall be apportioned

between the derecognized portion and the portion that continues to be recognized based on their respective

relative fair values on the transfer date and the difference between the following two amounts shall be included

in the current profit and loss: (1) the book value of the derecognized portion; (2) the sum of the consideration

for the derecognized portion and the amount corresponding to the derecognized portion of the cumulative

change in fair value originally recognized directly in other comprehensive income (involving the transferred

financial assets being debt instrument investments measured at fair value with changes recognized in other

comprehensive income).

4. Method for determining the fair value of financial assets and financial liabilities

The company determines the fair value of relevant financial assets and financial liabilities using valuation

techniques that are applicable under the current circumstances and supported by sufficient available data and

other information. The company categorizes the input values used in valuation techniques into the following

levels and uses them in order:

(1) The first level input value refers to the unadjusted quoted price of the same asset or liability that can be

obtained in the active market on the measurement date;

(2) The second level of input values refers to the directly or indirectly observable input values of related

assets or liabilities other than those at the first level including: quotations of similar assets or liabilities in an

active market; quotations of identical or similar assets or liabilities in a non-active market; other observable

input values other than quotations such as observable interest rates and yield curves during normal quotation

intervals; market-validated input values etc;

(3) The third level of input values refers to the unobservable input values of related assets or liabilities

including interest rates stock volatility future cash flows of disposal obligations assumed in business

combinations and financial forecasts made using proprietary data which cannot be directly observed or verified

by observable market data.

5. Impairment of financial instruments

Based on expected credit losses the company performs impairment testing and recognizes loss provisions

for financial assets measured at amortized cost debt instrument investments measured at fair value with

changes recognized in other comprehensive income contract assets lease receivables loan commitments not

classified as financial liabilities measured at fair value with changes recognized in current profit and loss and

financial guarantee contracts that are not financial liabilities measured at fair value with changes recognized in

current profit and loss or financial liabilities arising from the transfer of financial assets that do not meet the

conditions for derecognition or continue to involve the transferred financial assets.Expected credit losses refer to the weighted average of credit losses on financial instruments with the risk

of default as the weight. Credit losses refer to the difference between all contractual cash flows receivable under

the contract discounted at the original effective interest rate and all expected cash flows received representing

the present value of all cash shortages. For financial assets that the company has purchased or originated and

have experienced credit impairment they are discounted at the credit-adjusted effective interest rate of the

financial asset.For financial assets that have undergone credit impairment whether acquired or originated internally the

company recognizes only the cumulative change in expected credit losses over the entire duration since initial

recognition as a loss provision on the balance sheet date.

71Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

For lease receivables receivables formed by transactions regulated by "Accounting Standards for Business

Enterprises No. 14 - Revenue" and contract assets the company applies a simplified measurement method to

measure the loss provision at an amount equivalent to the expected credit losses over the entire duration.For financial assets other than those measured using the aforementioned methods the company assesses

whether their credit risk has significantly increased since initial recognition on each balance sheet date. If the

credit risk has significantly increased since initial recognition the company measures the loss provision based

on the amount of expected credit losses over the entire duration. If the credit risk has not significantly increased

since initial recognition the company measures the loss provision based on the amount of expected credit losses

for the financial instrument within the next 12 months.The company utilizes available reasonable and well-founded information including forward-looking

information to compare the risk of default of financial instruments at the balance sheet date with the risk of

default at the initial recognition date in order to determine whether the credit risk of financial instruments has

significantly increased since initial recognition.As of the balance sheet date if the company determines that a financial instrument carries only a relatively

low credit risk it is assumed that the credit risk of that financial instrument has not significantly increased since

its initial recognition.The company assesses expected credit risk and measures expected credit losses based on individual

financial instruments or combinations of financial instruments. When assessing based on combinations of

financial instruments the company categorizes the financial instruments into different combinations based on

common risk characteristics.The company re-measures expected credit losses on each balance sheet date. The increase or reversal

amount of the resulting loss provision is recognized as impairment loss or gain in the current profit and loss. For

financial assets measured at amortized cost the loss provision offsets the carrying amount of the financial asset

presented in the balance sheet. For debt investments measured at fair value with changes recognized in other

comprehensive income the company recognizes its loss provision in other comprehensive income and does not

offset the carrying amount of the financial asset.

6. Offset of financial assets and financial liabilities

Financial assets and financial liabilities are presented separately on the balance sheet and are not offset

against each other. However if both of the following conditions are met the company presents the net amount

after offsetting on the balance sheet: (1) the company has the legal right to offset the recognized amount and

this legal right is currently enforceable; (2) the company intends to settle on a net basis or simultaneously

liquidate the financial asset and settle the financial liability.For transfers of financial assets that do not meet the conditions for derecognition the company does not offset

the transferred financial assets and related liabilities.

12. Recognition criteria and provisioning methods for expected credit losses of receivables and contract

assets

1. Accounts receivable and contract assets with expected credit losses calculated and withdrawn based on

combinations of credit risk characteristics

Combination Category The basis for determining the Method for measuring expectedcombination credit losses

72Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Based on historical credit loss

Receivable bank acceptance bill experience current conditions and

predictions of future economic

Document Type conditions the expected credit loss

Commercial acceptance bill is calculated through the exposure

receivable at default and the expected credit

loss rate over the entire duration

Accounts receivable - portfolio of

related parties within the Nature of Payment Based on historical credit loss

consolidation scope experience combined with current

Accounts receivable - portfolio of conditions and predictions of

property sales receivables Nature of Payment future economic conditions the

Accounts receivable - construction expected credit loss is calculated

portfolio Nature of Payment through the exposure at defaultand the expected credit loss rate

Accounts receivable - receivable over the entire duration

from other customer portfolios Nature of Payment

Other receivables - portfolio of

receivables from government Nature of Payment

departments By referencing historical credit

Other receivables - employee petty loss experience combining current

cash portfolio Nature of Payment conditions with predictions of

Other receivables - portfolio of future economic conditions and

receivables for collection and Nature of Payment using exposure at default and

payment expected credit loss rates withinthe next 12 months or throughout

Other receivables - portfolio of the entire duration the expected

amounts due from related parties Nature of Payment credit loss can be calculated

Other receivables - portfolio of other

current accounts receivable Nature of Payment

Contract assets - real estate sales Nature of Payment Based on historical credit lossportfolio experience current conditions and

forecasts of future economic

Contract assets - engineering conditions the expected credit loss

construction portfolio Nature of Payment is calculated through the exposureat default and the expected credit

loss rate over the entire duration

2. Recognition criteria for accounts receivable and contract assets with expected credit losses calculated on

an individual basis

For accounts receivable and contract assets with significant differences in credit risk and portfolio credit

risk the company accrues expected credit losses on an individual basis.

13. Inventory

1. Classification of inventory

Inventories include land held for development development products development products temporarily

leased with the intention of selling and development costs incurred during the development process.

2. Pricing method for issued inventory

(1) The specific identification method is adopted for the issued materials and equipment.

73Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(2) During project development the land used for development is allocated and included in the project's

development costs based on the floor area of the development product and the differential coefficient of the

occupied land parcel.

(3) The cost of the developed products is allocated using the cost coefficient method.

(4) Development products and turnover housing that are temporarily rented with the intention of sale shall

be amortized evenly over the expected useful life of similar fixed assets of the company.

(5) If the public supporting facilities are completed earlier than the relevant development products after

the completion and final settlement of the public supporting facilities the development costs shall be allocated

and included in the relevant development projects according to the construction area of the relevant

development projects. If the public supporting facilities are completed later than the relevant development

products the relevant development products shall first accrue the public supporting facility fees and after the

completion and final settlement of the public supporting facilities the costs of the relevant development

products shall be adjusted based on the difference between the actual amount and the accrued amount.

3. Inventory system for stock

The inventory system for goods is the perpetual inventory system.

4. Amortization method for low-value consumables and packaging materials

(1) Low-value consumables

Amortization is carried out in installments based on the number of times it is used.

(2) Packaging materials

Amortization is carried out in installments based on the number of uses.

5. Inventory falling price reserves

On the balance sheet date inventories are measured at the lower of cost and net realizable value and

inventory falling price reserves are accrued based on the difference between the cost and the net realizable value.For inventories directly intended for sale their net realizable value is determined by subtracting estimated

selling expenses and related taxes from the estimated selling price of the inventory in the normal course of

production and operation. For inventories that require processing their net realizable value is determined by

subtracting estimated costs to be incurred until completion estimated selling expenses and related taxes from

the estimated selling price of the finished product produced in the normal course of production and operation.On the balance sheet date if part of the same inventory has a contract price and the other part does not their net

realizable values are determined separately and compared with their corresponding costs to separately

determine the amount of inventory falling price reserves accrued or reversed.

14. Long-term equity investment

1. Judgment of joint control and significant influence

74Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Joint control is recognized when there is shared control over an arrangement in accordance with relevant

agreements and decisions related to the arrangement's activities must be unanimously agreed upon by the

parties sharing control rights. Significant influence is recognized when there is the power to participate in the

decision-making process regarding the financial and operating policies of the investee but not the ability to

control or jointly control the formulation of these policies with other parties.

2. Determination of investment cost

(1) For business combinations under common control where the acquirer pays cash transfers non-cash

assets incurs liabilities or issues equity securities as the consideration for the combination the initial

investment cost is determined on the combination date based on the share of the book value of the owner's

equity of the acquiree in the consolidated financial statements of the ultimate controlling party. The difference

between the initial investment cost of the long-term equity investment and the book value of the consideration

paid or the total par value of the shares issued is adjusted to capital reserves. If the capital reserves are

insufficient to offset the retained earnings are adjusted.The company realizes long-term equity investments through multiple transactions step by step under the

same control in business combinations and determines whether it is a "package deal". If it is a "package deal"

all transactions are accounted for as one transaction to obtain control. If it is not a "package deal" on the merger

date the initial investment cost is determined based on the share of the book value of the net assets of the

merged party in the consolidated financial statements of the ultimate controlling party after the merger. On the

merger date the difference between the initial investment cost of the long-term equity investment and the sum

of the book value of the long-term equity investment before the merger and the book value of the newly paid

consideration for further acquisition of shares on the merger date is adjusted to the capital reserve. If the capital

reserve is insufficient to offset the retained earnings are adjusted.

(2) For business combinations not under common control the initial investment cost is determined based

on the fair value of the consideration paid on the acquisition date.The company realizes long-term equity investments formed through business combinations not under

common control through multiple transactions in stages and distinguishes between individual financial

statements and consolidated financial statements for relevant accounting treatment:

1) In certain financial statements the initial investment cost calculated using the cost method is determined

by adding the book value of the originally held equity investment to the newly increased investment cost.

2) In consolidated financial statements it is necessary to determine whether a transaction constitutes a

"package deal." If it does all transactions should be accounted for as one transaction to obtain control. If it does

not the equity held in the acquiree before the acquisition date should be remeasured at its fair value on the

acquisition date and the difference between the fair value and its book value should be recorded in the current

investment income. If the equity held in the acquiree before the acquisition date involves other comprehensive

income accounted for under the equity method the related other comprehensive income should be transferred to

the current income to which the acquisition date belongs. However other comprehensive income arising from

the remeasurement of net liabilities or net assets changes in the defined benefit plan of the investee is excluded.

(3) Except for those formed through business combinations: For those acquired by paying cash the actual

purchase price paid shall be regarded as the initial investment cost; for those acquired by issuing equity

securities the fair value of the issued equity securities shall be regarded as the initial investment cost; for those

75Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

acquired through debt restructuring the initial investment cost shall be determined in accordance with

"Accounting Standards for Business Enterprises No. 12 - Debt Restructuring"; for those acquired through non-

monetary asset exchanges the initial investment cost shall be determined in accordance with "Accounting

Standards for Business Enterprises No. 7 - Non-monetary Asset Exchanges".

3. Subsequent measurement and profit and loss recognition method

The long-term equity investment that exercises control over the invested entity is accounted for using the

cost method; the long-term equity investment in associated enterprises and joint ventures is accounted for using

the equity method.

4. Method for disposing of investments in subsidiaries through multiple transactions in stages until losing

control

(1) Judgment criteria for whether it belongs to a "package deal"

When disposing of equity investments in subsidiaries through multiple transactions until losing control the

company assesses whether the step-by-step transactions constitute a "package deal" based on various factors

such as the terms of the transaction agreements for each step the disposal consideration received separately the

party to whom the equity is sold the method of disposal and the timing of disposal. If the terms conditions

and economic impacts of each transaction meet one or more of the following criteria it generally indicates that

the multiple transactions are a "package deal":

1) These transactions are entered into simultaneously or with consideration of their mutual impact;

2) These transactions taken as a whole can achieve a complete business outcome;

3) The occurrence of one transaction depends on the occurrence of at least one other transaction;

4) A transaction may not be economical when viewed alone but it may be economical when considered

alongside other transactions.

(2) Accounting treatment for transactions not classified as "package deals"

1) Individual financial statements

For the disposed equity the difference between its book value and the actual acquisition price is recorded

in the current profit and loss. For the remaining equity if it still has significant influence on the invested entity

or exercises joint control with other parties it is accounted for using the equity method; if it can no longer

exercise control joint control or significant influence over the invested entity it is accounted for in accordance

with the relevant provisions of "Accounting Standards for Business Enterprises No. 22 - Recognition and

Measurement of Financial Instruments".

2) Consolidated financial statements

76Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Before losing control the difference between the disposal price and the share of net assets of the subsidiary

that corresponds to the disposal of long-term equity investment calculated continuously from the acquisition

date or consolidation date is adjusted to capital reserves (capital surplus). If the capital surplus is insufficient to

offset the retained earnings are offset.When losing control over a subsidiary the remaining equity is remeasured at its fair value on the date of

losing control. The difference between the sum of the consideration obtained from disposing of the equity and

the fair value of the remaining equity minus the share of the net assets of the original subsidiary that should be

enjoyed based on the original shareholding ratio and calculated continuously from the acquisition date or the

merger date is recorded in the current investment income when losing control and offset against goodwill.Other comprehensive income related to the equity investment in the original subsidiary should be transferred to

the current investment income when losing control.

(3) Accounting treatment for transactions classified as "package deals"

1) Individual financial statements

Account for each transaction as a disposal of a subsidiary and loss of control. However the difference

between the disposal price and the book value of the long-term equity investment corresponding to the disposal

investment prior to the loss of control is recognized as other comprehensive income in individual financial

statements and is transferred to the current profit and loss at the time of loss of control.

2) Consolidated financial statements

Each transaction is accounted for as a disposal of a subsidiary and the loss of control. However the

difference between the disposal price and the share of the subsidiary's net assets corresponding to the disposal

investment prior to the loss of control is recognized as other comprehensive income in the consolidated

financial statements and is transferred to the profit and loss for the period in which the control is lost.

15. Investment real estate

1. Investment properties include land use rights that have been leased land use rights that are held and

intended for transfer after appreciation and buildings that have been leased.

2. Investment properties are initially measured at cost and subsequently measured using the cost model.

Depreciation or amortization is accrued using the same method as for fixed assets and intangible assets.

16. Fixed assets

1. Recognition criteria for fixed assets

Fixed assets refer to tangible assets held for the production of goods provision of services leasing or

business management with a useful life exceeding one accounting year. Fixed assets are recognized when both

conditions are met: it is likely that economic benefits will flow in and the cost can be reliably measured.

2. Depreciation methods for various types of fixed assets

77Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Category depreciation Depreciation Residual value

Annual

method period (years) rate (%) depreciation rate(%)

Houses and buildings Straight-linemethod 30 5.00 3.17

transportation equipment Straight-linemethod 6 5.00 15.83

Electronic equipment and Straight-line

others method 5 5.00 19.00

17. Construction in progress

1. Construction in progress is recognized when it simultaneously meets the criteria of a high likelihood of

economic benefits flowing in and the cost being reliably measurable. Construction in progress is measured at

the actual cost incurred until the asset reaches its intended usable state.

2. When the construction in progress reaches the expected usable state it shall be transferred to fixed

assets at its actual cost. For those that have reached the expected usable state but have not yet undergone

completion settlement they shall be transferred to fixed assets at their estimated value. After completion

settlement the original provisional estimated value shall be adjusted based on the actual cost but the original

depreciation accrued will not be adjusted.

18. Borrowing costs

1. Recognition principle for capitalization of borrowing costs

Borrowing costs incurred by a company that are directly attributable to the acquisition construction or

production of assets eligible for capitalization are capitalized and included in the cost of the relevant assets.Other borrowing costs are recognized as expenses when incurred and recorded in the current period profit and

loss.

2. Capitalization period of borrowing costs

(1) Capitalization of borrowing costs begins when all of the following conditions are met simultaneously: 1)

asset expenditure has already occurred; 2) borrowing costs have already been incurred; 3) the acquisition

construction or production activities necessary to prepare the asset for its intended use or sale have already

begun.

(2) If the acquisition and construction or production of assets eligible for capitalization is interrupted

abnormally and the interruption period lasts for more than three consecutive months the capitalization of

borrowing costs shall be suspended; the borrowing costs incurred during the interruption period shall be

recognized as expenses for the current period until the acquisition and construction or production activities of

the assets recommence.

(3) When the assets eligible for capitalization under acquisition and construction or production reach the

expected usable or marketable state the capitalization of borrowing costs shall cease.

78Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Capitalization rate and capitalized amount of borrowing costs

For borrowings specifically incurred for the acquisition construction or production of assets eligible for

capitalization the amount of interest that should be capitalized is determined by subtracting the interest income

earned on the unused borrowing funds deposited in the bank or the investment income earned from temporary

investments from the actual interest expenses incurred in the current period of the special borrowings (including

the amortization of discounts or premiums determined using the effective interest method). For general

borrowings used for the acquisition construction or production of assets eligible for capitalization the amount

of interest that should be capitalized for general borrowings is calculated by multiplying the weighted average

of cumulative asset expenditure exceeding the expenditure on special borrowings by the capitalization rate of

the general borrowings.

19. Intangible assets

1. Intangible assets including software and land use rights are initially measured at cost.

2. Intangible assets with a limited service life shall be systematically and reasonably amortized during their

service life in accordance with the expected realization method of the economic benefits related to such

intangible assets. If the expected realization method cannot be reliably determined the straight-line method

shall be adopted for amortization. as follows:

project Service life and its determination basis Amortization method

The expected realization method of economic

software benefits related to intangible assets within 3- straight-line method

5 years

3. Intangible assets with uncertain service lives are not amortized and the company reviews the service life

of such intangible assets during each accounting period.

20. Impairment of certain long-term assets

For long-term assets such as long-term equity investments investment properties measured using the cost

model fixed assets construction in progress right-of-use assets and intangible assets with a limited useful life

if there are indications of impairment as of the balance sheet date their recoverable amounts are estimated. For

goodwill arising from business combinations and intangible assets with an uncertain useful life impairment

tests are conducted annually regardless of whether there are indications of impairment. Goodwill is tested for

impairment in conjunction with the asset group or combination of asset groups to which it is related.If the recoverable amount of the aforementioned long-term assets is lower than their book value the asset

impairment provision shall be recognized based on the difference and included in the current profit and loss.

21. Long-term deferred expenses

Long-term deferred expenses account for various expenses that have been paid and have an amortization

period of more than one year (excluding one year). Long-term deferred expenses are recorded at actual cost and

amortized evenly over the benefit period or within the prescribed period. If a long-term deferred expense item

79Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

does not benefit future accounting periods the remaining unamortized balance of the item's amortized value is

fully transferred to the current profit and loss.

22. Employee compensation

1. Employee compensation includes short-term compensation post-employment benefits termination

benefits and other long-term employee benefits.

2. Accounting treatment method for short-term compensation

During the accounting period in which employees provide services to the company the actual short-term

compensation incurred is recognized as a liability and recorded in the current profit and loss or related asset

costs.

3. Accounting treatment method for post-employment benefits

Post-employment benefits are divided into defined contribution plans and defined benefit plans.

(1) During the accounting period in which employees provide services to the company the amount of

contributions calculated based on the defined contribution plan is recognized as a liability and recorded in the

current period profit and loss or related asset costs.

(2) The accounting treatment for defined benefit plans typically involves the following steps:

1) Based on the expected cumulative benefit unit method unbiased and mutually consistent actuarial

assumptions are adopted to estimate relevant demographic and financial variables measure the obligations

arising from defined benefit plans and determine the period to which the relevant obligations belong. At the

same time the obligations arising from defined benefit plans are discounted to determine the present value of

the defined benefit plan obligations and the current service cost;

2) If there are assets in the defined benefit plan the deficit or surplus formed by subtracting the fair value

of the defined benefit plan assets from the present value of the defined benefit plan obligations shall be

recognized as a net liability or net asset of the defined benefit plan. If there is a surplus in the defined benefit

plan the net asset of the defined benefit plan shall be measured at the lower of the surplus and the asset cap of

the defined benefit plan;

3) At the end of the period the employee compensation costs arising from defined benefit plans are

recognized as three components: service costs net interest on net liabilities or net assets of the defined benefit

plans and changes arising from the remeasurement of net liabilities or net assets of the defined benefit plans.Among them service costs and net interest on net liabilities or net assets of the defined benefit plans are

recorded in the current profit and loss or related asset costs. Changes arising from the remeasurement of net

liabilities or net assets of the defined benefit plans are recorded in other comprehensive income and are not

allowed to be reversed to profit and loss in subsequent accounting periods. However these amounts recognized

in other comprehensive income can be transferred within equity.

4. Accounting treatment method for dismissal benefits

80Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

The employee compensation liabilities arising from the dismissal benefits provided to employees shall be

recognized and recorded in the current profit and loss when the earlier of the following occurs: (1) when the

company cannot unilaterally withdraw the dismissal benefits provided due to the termination of labor relations

plan or layoff proposal; (2) when the company recognizes the costs or expenses related to the restructuring

involving the payment of dismissal benefits.

5. Accounting treatment methods for other long-term employee benefits

For other long-term benefits provided to employees if they meet the conditions of defined contribution

plans accounting treatment shall be conducted in accordance with the relevant provisions of such plans. For

other long-term benefits not meeting the conditions of defined contribution plans accounting treatment shall be

conducted in accordance with the relevant provisions of defined benefit plans. To simplify the relevant

accounting treatment the employee compensation costs incurred shall be recognized as the total net amount of

service costs net interest on other long-term employee benefits net liabilities or net assets and changes arising

from the remeasurement of other long-term employee benefits net liabilities or net assets and included in the

current profit and loss or related asset costs.

23. Method for accounting of maintenance fund

According to the relevant regulations of the location where the development project is situated the

maintenance fund is collected from home buyers or accrued by the company and included in the development

costs of the relevant development products during the sale (pre-sale) of the products. The maintenance fund is

then uniformly submitted to the maintenance fund management department.

24. Method for calculating quality guarantee deposit

The quality assurance deposit shall be reserved from the construction unit's project funds according to the

provisions of the construction contract. The maintenance costs incurred during the warranty period of the

developed product shall be offset against the quality assurance deposit; upon the expiration of the agreed

warranty period of the developed product the remaining balance of the quality assurance deposit shall be

refunded to the construction unit.

25. Income

Disclose the accounting policies adopted for revenue recognition and measurement based on business types

1. Revenue recognition principle

On the contract start date the company evaluates the contract identifies each individual performance

obligation contained within it and determines whether each individual performance obligation is to be fulfilled

within a certain time period or at a certain point in time.When one of the following conditions is met it is considered fulfilling the performance obligation within a

certain period of time; otherwise it is considered fulfilling the performance obligation at a certain point in time:

(1) The customer obtains and consumes the economic benefits brought by the company's performance at the

same time as the company performs; (2) The customer has control over the goods in progress during the

81Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

company's performance; (3) The goods produced during the company's performance have irreplaceable uses

and the company has the right to collect payments for the performance completed to date throughout the

contract period.For performance obligations that are fulfilled within a certain period the company recognizes revenue

based on the progress of performance during that period. When the progress of performance cannot be

reasonably determined if the costs incurred are expected to be compensated revenue is recognized at the

amount of the costs incurred until the progress of performance can be reasonably determined. For performance

obligations that are fulfilled at a certain point in time revenue is recognized at the point when the customer

obtains control over the related goods or services. In determining whether the customer has obtained control

over the goods the company considers the following indicators: (1) the company has a current right to receive

payment for the goods meaning that the customer has a current obligation to pay for the goods; (2) the

company has transferred legal ownership of the goods to the customer meaning that the customer has legal

ownership of the goods; (3) the company has physically transferred the goods to the customer meaning that the

customer has physically possession of the goods; (4) the company has transferred the significant risks and

rewards of ownership of the goods to the customer meaning that the customer has obtained the significant risks

and rewards of ownership of the goods; (5) the customer has accepted the goods; (6) other indicators that

indicate the customer has obtained control over the goods.

2. Revenue measurement principle

(1) The company measures revenue based on the transaction price allocated to each individual performance

obligation. The transaction price represents the amount of consideration the company expects to be entitled to

receive for transferring goods or services to customers excluding amounts collected on behalf of third parties

and amounts expected to be refunded to customers.

(2) If there is variable consideration in the contract the company determines the best estimate of the

variable consideration based on the expected value or the most likely amount. However the transaction price

including the variable consideration shall not exceed the amount that is unlikely to result in a significant

reversal of the cumulative recognized revenue when the relevant uncertainties are resolved.

(3) If there is a significant financing component in the contract the company determines the transaction

price based on the amount payable assuming that the customer pays in cash upon obtaining control of the goods

or services. The difference between the transaction price and the contract consideration is amortized using the

effective interest method over the contract period.

(4) If a contract includes two or more performance obligations the company shall on the contract start

date allocate the transaction price to each individual performance obligation based on the relative proportion of

the separate selling prices of the promised goods for each individual performance obligation.

3. Specific methods for revenue recognition

(1) Specific method for recognizing revenue from sales of real estate development projects

The company's real estate sales business involves performance obligations that are fulfilled at a specific

point in time. Once the development product has been completed and accepted a sales contract has been signed

and the obligations stipulated in the contract have been fulfilled and after issuing an occupation notice or

82Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

announcement to the owner the property has been actually delivered to the owner or the contracted delivery

date has expired and the full amount of the house payment has been received and the related costs that have

occurred or will occur can be reliably measured the realization of sales revenue is confirmed.

(2) Provide specific methods for recognizing income from property service provision

The provision of property management services by the company constitutes a performance obligation that

is fulfilled over a certain period of time and revenue is recognized based on the progress of performance. The

company determines the progress of performance in providing services based on the passage of time.

(3) Method for recognizing construction revenue

The company provides construction engineering services. As the company fulfills its contract the

customer simultaneously obtains and consumes the economic benefits brought about by the company's

performance. Additionally the company has the right to collect payments for the performance completed to

date throughout the contract period. The company recognizes revenue based on the performance progress as a

performance obligation fulfilled within a certain period except when the performance progress cannot be

reasonably determined. The company determines the performance progress of service provision using the input

method. When the performance progress cannot be reasonably determined if the costs already incurred by the

company are expected to be compensated revenue is recognized based on the amount of costs already incurred

until the performance progress can be reasonably determined.

(4) Other methods for recognizing income

Other revenues include hotel operating income etc. For hotel room revenue as customers obtain and consume

the economic benefits brought by the company's performance while the company is fulfilling its contract the

company treats it as a performance obligation fulfilled within a certain period of time and recognizes revenue

based on the progress of performance during the accounting period in which services are provided. For other

revenues revenue is recognized when the customer obtains control over the relevant goods and the relevant

payment has been received or the right to receive payment has been obtained as stipulated in the relevant

contracts and agreements.The situation where similar businesses adopt different business models involving different revenue recognition methods and

measurement techniques

26. Contract acquisition costs and contract performance costs

If the incremental costs incurred by the company to obtain a contract are expected to be recoverable they

are recognized as contract acquisition costs and recognized as an asset.The costs incurred by a company for the performance of a contract which do not fall within the scope of

relevant standards such as inventory fixed assets or intangible assets and meet the following conditions are

recognized as contract performance costs and recognized as an asset:

1. The cost is directly related to a current or expected contract including direct labor direct materials

manufacturing expenses (or similar expenses) costs explicitly borne by the customer and other costs incurred

solely due to the contract;

2. This cost increases the resources that the company will use to fulfill its contractual obligations in the

future;

3. The cost is expected to be recoverable.

83Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

The company amortizes assets related to contract costs on the same basis as the recognition of revenue

from goods or services associated with those assets and records them in the current period profit and loss.If the carrying amount of an asset related to contract costs exceeds the remaining consideration expected to

be obtained from the transfer of goods or services associated with that asset less the estimated costs to be

incurred the company will make an impairment provision for the excess and recognize it as an asset impairment

loss. If factors that were previously impaired change in subsequent periods such that the remaining

consideration expected to be obtained from the transfer of goods or services associated with the asset less the

estimated costs to be incurred exceeds the carrying amount of the asset the previously made asset impairment

provision will be reversed and recorded in the current profit and loss. However the carrying amount of the asset

after reversal shall not exceed its carrying amount at the reversal date assuming no impairment provision was

made.

27. Contract assets and contract liabilities

The company presents contract assets or contract liabilities in the balance sheet based on the relationship

between the performance of contractual obligations and customer payments. The company offsets contract

assets and contract liabilities under the same contract and presents the net amount.The company presents the rights to charge customers for consideration that it owns and can be exercised

unconditionally (i.e. solely dependent on the passage of time) as accounts receivable and presents the rights to

charge customers for consideration that have been transferred to customers and are dependent on factors other

than the passage of time as contract assets.The company presents the obligation to transfer goods to customers for consideration received or receivable

from customers as a contractual liability.

28. Government subsidies

1. Government subsidies are recognized when both of the following conditions are met: (1) the company

can meet the conditions attached to the government subsidies; (2) the company can receive the government

subsidies. If the government subsidies are monetary assets they are measured at the received or receivable

amount. If the government subsidies are non-monetary assets they are measured at fair value; if the fair value

cannot be reliably obtained they are measured at nominal amount.

2. Basis for judging government subsidies related to assets and accounting treatment methods

Government documents stipulate that government subsidies used for the acquisition construction or other

formation of long-term assets are classified as asset-related government subsidies. In cases where government

documents are unclear judgments are based on the essential conditions necessary for obtaining the subsidy.Those subsidies that are essential conditions for the acquisition construction or other formation of long-term

assets are considered as asset-related government subsidies. Asset-related government subsidies are offset

against the carrying amount of the relevant assets or recognized as deferred income. If an asset-related

government subsidy is recognized as deferred income it is amortized into profit or loss over the useful life of

the relevant asset using a reasonable and systematic method. Government subsidies measured at their nominal

amounts are directly recognized in the current profit or loss. If the relevant asset is sold transferred scrapped

84Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

or damaged before the end of its useful life the unallocated balance of the related deferred income is transferred

to the profit or loss for the period in which the asset is disposed of.

3. Basis for determining government subsidies related to earnings and accounting treatment methods

Government subsidies other than those related to assets are classified as government subsidies related to

income. For government subsidies that contain both asset-related and income-related components and it is

difficult to distinguish whether they are related to assets or income they are generally classified as government

subsidies related to income. Government subsidies related to income if used to compensate for related costs or

losses in future periods are recognized as deferred income and recorded in the current profit and loss or offset

against related costs during the period when the related costs or losses are recognized. If used to compensate for

related costs or losses that have already occurred they are directly recorded in the current profit and loss or

offset against related costs.

4. Government subsidies related to the company's daily business activities shall be recorded in other

income or offset against related costs and expenses based on the substance of the economic transaction.Government subsidies unrelated to the company's daily activities shall be recorded in non-operating income and

expenses.

5. Accounting treatment method for policy-based preferential loan discount interest

(1) When the finance department allocates discount interest funds to the lending bank and the lending

bank provides loans to the company at a preferential policy interest rate the actual received loan amount shall

be regarded as the entry value of the loan and the relevant borrowing costs shall be calculated based on the loan

principal and the preferential policy interest rate.

(2) If the finance department directly allocates the discount interest funds to the company the

corresponding discount interest will be used to offset the relevant borrowing costs.

29. Deferred tax assets/deferred tax liabilities

1. The deferred tax assets or deferred tax liabilities are recognized based on the difference between the

carrying amount of assets and liabilities and their tax bases (for items not recognized as assets or liabilities their

tax bases can be determined according to tax law and the difference between such tax bases and their carrying

amounts). The calculation is based on the applicable tax rate during the expected period of asset recovery or

liability settlement.

2. The recognition of deferred tax assets is limited to the taxable income that is likely to be available for

offsetting deductible temporary differences. At the balance sheet date if there is conclusive evidence indicating

that sufficient taxable income is likely to be available in future periods for offsetting deductible temporary

differences the deferred tax assets that have not been recognized in previous accounting periods shall be

recognized.

3. On the balance sheet date the carrying amount of deferred tax assets is reviewed. If it is likely that

sufficient taxable income will not be available in future periods to offset the benefit of the deferred tax asset the

85Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

carrying amount of the deferred tax asset is reduced. When sufficient taxable income is likely to be available

the reduced amount is reversed.

4. The current income tax and deferred income tax of the company are recognized as income tax expenses

or income in the current profit and loss excluding income tax arising from the following circumstances: (1)

business combinations; (2) transactions or events directly recognized in owner's equity.When the following conditions are simultaneously met the company presents the deferred tax assets and

deferred tax liabilities at their net amount after offsetting: (1) having the legal right to settle current tax assets

and current tax liabilities at their net amount; (2) the deferred tax assets and deferred tax liabilities are related to

income taxes levied by the same tax authority on the same taxable entity or related to different taxable entities

but during the future reversal period of each significant deferred tax asset and deferred tax liability the involved

taxable entities intend to settle current tax assets and current tax liabilities at their net amount or simultaneously

acquire assets and settle liabilities.

30. Leasing

(1) Accounting treatment method for leasing as a lessee

On the commencement date of the lease term the company recognizes leases with a term not exceeding 12

months and excluding purchase options as short-term leases; it also recognizes leases where the individual

leased asset is a new asset with a relatively low value as low-value asset leases. If the company subleases or

expects to sublease the leased asset the original lease is not recognized as a low-value asset lease.For all short-term leases and low-value asset leases the company recognizes the lease payments as related

asset costs or current profit and loss using the straight-line method over each period of the lease term.Except for the short-term leases and low-value asset leases that have been simplified on the lease

commencement date the company recognizes the right-of-use assets and lease liabilities for the lease.

(1) Right-to-use assets

The right-of-use asset is initially measured at cost which includes: 1) the initial measurement amount of

the lease liability; 2) the lease payments made on or before the lease term commencement date after deducting

the amount related to any lease incentives already enjoyed; 3) the initial direct expenses incurred by the lessee;

4) the estimated costs that the lessee will incur for dismantling and removing the leased asset restoring the site

where the leased asset is located or restoring the leased asset to the condition specified in the lease terms.The company accrues depreciation for right-of-use assets using the straight-line method. If it is reasonably

certain that ownership of the leased asset will be obtained upon the expiration of the lease term the company

accrues depreciation over the remaining useful life of the leased asset. If it is not reasonably certain that

ownership of the leased asset will be obtained upon the expiration of the lease term the company accrues

depreciation over the shorter of the lease term or the remaining useful life of the leased asset.

(2) Lease liabilities

86Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

On the lease commencement date the company recognizes the present value of the lease payments that

have not yet been paid as the lease liability. When calculating the present value of the lease payments the lease

implicit interest rate is used as the discount rate. If the lease implicit interest rate cannot be determined the

company's incremental borrowing rate is used as the discount rate. The difference between the lease payments

and their present value is recognized as unrecognized financing expenses. Interest expenses are recognized

during each period of the lease term based on the discount rate used to recognize the present value of the lease

payments and are included in the current profit and loss. Variable lease payments that are not included in the

measurement of the lease liability are included in the current profit and loss when they are actually incurred.After the commencement date of the lease term when there are changes in the fixed payment amount

changes in the estimated payable amount of the residual value guarantee changes in the index or ratio used to

determine the lease payment amount or changes in the assessment results or actual exercise of purchase options

renewal options or termination options the company re-measures the lease liability based on the present value

of the changed lease payment amount and adjusts the book value of the right-of-use asset accordingly. If the

book value of the right-of-use asset has been reduced to zero but the lease liability still needs further reduction

the remaining amount will be included in the current profit and loss.

(2) Accounting treatment method for leasing as a lessor

On the lease commencement date the company categorizes leases that have essentially transferred almost

all risks and rewards related to the ownership of the leased asset as financing leases while all others are

classified as operating leases.

(1) Operating lease

During the various periods within the lease term the company recognizes the lease payment amounts as

rental income using the straight-line method. The initial direct expenses incurred are capitalized and amortized

on the same basis as the recognition of rental income and are recorded in the current profit and loss on a

periodic basis. The variable lease payments related to operating leases that are not included in the lease payment

amounts are recognized in the current profit and loss when they are actually incurred.

(2) Financial leasing

On the lease commencement date the company recognizes the financing lease receivables based on the net

investment in the lease (the sum of the unguaranteed residual value and the present value of the lease payments

not yet received at the lease commencement date discounted at the lease's effective interest rate) and

derecognizes the financing lease assets. During each period of the lease term the company calculates and

recognizes interest income based on the lease's effective interest rate.The variable lease payments obtained by the company that are not included in the measurement of net

investment in leases are recorded in the current profit and loss when they are actually incurred.

87Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

31. Changes in significant accounting policies and accounting estimates

(1) Changes in significant accounting policies

□ Applicable□Not Applicable

(2) Changes in significant accounting estimates

□ Applicable□Not Applicable

(3) Adjustments to relevant items in the financial statements at the beginning of the year for the first time implementing

the new accounting standards from 2026

□ Applicable□Not applicable

VI. Tax Items

1. Main tax categories and tax rates

tax category Taxable base tax rate

The output tax is calculated based on the

revenue from selling goods and taxable

services as stipulated by tax laws. After

Value-added tax deducting the input tax that is allowed to 9% 6% 5% 3%

be deducted in the current period the

remaining difference is the value-added

tax payable

Urban maintenance and construction tax The actual turnover tax paid 7%

corporate income tax Taxable income 25% 20% 16.5%

Education Surcharge The actual turnover tax paid 3%

Local education surcharge The actual turnover tax paid 2%

The appreciation amount generated from

the paid transfer of state-owned land use

Pay at progressive tax rates based on the

Land Value Increment Tax rights and the property rights of

excess rate of the appreciation amount

buildings and other attached objects on

the land

For ad valorem taxation the tax shall be

levied at 1.2% of the remaining value

after deducting 30% of the original value

property tax 1.2% 12%

of the property in one lump sum; for

rental taxation the tax shall be levied at

12% of the rental income

If there are taxpayers with different enterprise income tax rates disclose the relevant information and explanations

Tax payer name Income tax rate

Huazhan Company Shantou Songshan Company 20%

Subsidiary registered in Hong Kong 16.5%

Other taxpayers except those mentioned above 25%

88Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Tax incentives

According to the "Announcement of the Ministry of Finance and the State Taxation Administration on Preferential Income Tax

Policies for Small and Micro Enterprises and Individual Businesses" (Announcement No. 6 of the Ministry of Finance and the

State Taxation Administration in 2023) for small and micro-profit enterprises with an annual taxable income not exceeding 1

million yuan the taxable income shall be calculated at a reduced rate of 25% and the enterprise income tax shall be paid at a tax

rate of 20%. The implementation period is from January 1 2023 to December 31 2027. The subsidiary companies of our

company Huazhan Jianli and Shantou Songshan Company are subject to the preferential tax rate of 20% for small and micro-

profit enterprises.VII. Notes to items in the consolidated financial statements

1. Monetary funds

Unit: Yuan

project Closing balance Opening balance

Cash on hand 17651.07 19892.83

bank deposit 270630662.59 284666632.21

total 270648313.66 284686525.04

Including: total amount of funds

3687478.324242440.12

deposited overseas

Other instructions

As of June 30 2026 the restricted funds in bank deposits amounted to RMB 2337426.17 of which RMB 2201283.57 was

frozen due to litigation RMB 70010.20 was from suspended accounts and payment halts RMB 50000 was for regular project

deposits and RMB 16132.40 was from special accounts for migrant workers.

2. Trading financial assets

Unit: Yuan

project Closing balance Opening balance

Financial assets measured at fair value

with changes recognized in current profit 1057325314.70 1050256058.41

and loss

among which

fund 1057325314.70 1050256058.41

among which

total 1057325314.70 1050256058.41

Other instructions

3. Bills receivable

(1) Classification and presentation of notes receivable

Unit: Yuan

project Closing balance Opening balance

89Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Bank acceptance bill 200000.00

total 200000.00 0.00

(2) Disclosure by classification based on bad debt provision method

Unit: Yuan

Closing balance Opening balance

allowance for bad allowance for bad

Categor book balance book balance

debts

y book

debts book

proporti provisio value proporti provisio value

Amount Amount Amount Amount

on n ratio on n ratio

amon

g which

Notes

receivab

le with

provisio

n for bad 200000. 200000.

100.00%

debts 00 00

calculate

d based

on

portfolio

amon

g which

Bank

200000.200000.

acceptan 100.00%

0000

ce bill

Commer

cial

acceptan

ce bill

200000.200000.

total 100.00%

0000

Provision for bad debts of notes receivable is calculated and withdrawn based on the general model of expected credit losses as

follows:

□ Applicable□Not Applicable

4. Accounts receivable

(1) Disclosure by aging

Unit: Yuan

aging Closing book balance Opening book balance

Within 1 year (including 1 year) 35452965.40 35522470.19

1 to 2 years 11975678.17 11264782.88

2 to 3 years 5961304.83 5972759.94

More than 3 years 34324044.61 34599378.84

3 to 4 years 7945612.31 8220946.54

90Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

4 to 5 years 5252795.41 5252795.41

More than 5 years 21125636.89 21125636.89

total 87713993.01 87359391.85

(2) Disclosure by classification of bad debt provision method

Unit: Yuan

Closing balance Opening balance

allowance for bad allowance for bad

Categor book balance book balance

debts book debtsy book

proporti provisio value proporti provisio value

Amount Amount Amount Amount

on n ratio on n ratio

Account

s

receivab

le with

244470244470246138246138

individu 27.87% 100.00% 0.00 28.18% 100.00% 0.00

97.6097.6072.7072.70

al

provisio

n for bad

debts

amon

g which

Account

s

receivab

le with

provisio

632668178471454197627455178474448980

n for bad 72.13% 28.21% 71.82% 28.44%

95.4170.2525.1619.1535.4183.74

debts

calculate

d on a

portfolio

basis

amon

g which

877139422942454197873593424613448980

total 100.00% 48.22% 100.00% 48.61%

93.0167.8525.1691.8508.1183.74

Category name for individual provision for bad debts: accounts receivable with significant individual provision for bad debts

Unit: Yuan

Opening balance Closing balance

Name allowance for allowance for Reason for

book balance book balance provision ratio

bad debts bad debts accrual

Payment for

goods in It is expected

agency import 11574556.00 11574556.00 11574556.00 11574556.00 100.00% that it cannot be

and export recovered

business

Long-term It is expected

uncollected 10084109.60 10084109.60 9917334.50 9917334.50 100.00% that it cannot be

housing sales recovered

91Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

payment

Accounts

receivable of It is expected

the subsidiary 2314755.46 2314755.46 2314755.46 2314755.46 100.00% that it cannot be

have been recovered

written off

It is expected

Other customer

640451.64 640451.64 640451.64 640451.64 100.00% that it cannot be

payments

recovered

total 24613872.70 24613872.70 24447097.60 24447097.60

Category name for combined provision for bad debts: Closing balance book balance provision for bad debts ratio

Unit: Yuan

Closing balance

Name

book balance allowance for bad debts provision ratio

Accounts receivable from

63266895.4117847170.2528.21%

other customer portfolios

total 63266895.41 17847170.25

Explanation for determining the basis of this combination:

If the provision for bad debts of accounts receivable is calculated and withdrawn according to the general model of expected credit

losses:

□ Applicable□Not Applicable

(3) Provision for bad debts accrued recovered or reversed in the current period

Provision for bad debts in the current period:

Unit: Yuan

Current period change amount

Opening

Category Withdraw or Closing balancebalance accrue Write-off Other

reverse

Provision for

bad debts on an 24613872.70 -166775.10 24613872.70

individual basis

Provision for

bad debts based 17847435.41 -265.16 17680395.15

on portfolio

total 42461308.11 0.00 0.00 0.00 -167040.26 42294267.85

Among them the amounts of bad debt provisions recovered or reversed in the current period are significant:

Unit: Yuan

The basis for

determining the

Recover or reverse the

Unit Name Reason for reversal Collection method original provision ratio

amount

for bad debts and its

reasonableness

92Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(4) Accounts receivable and contract assets ranked by the top five ending balances aggregated by the

debtors

Unit: Yuan

Closing balance of

Proportion of total bad debt provision

Closing balance of

Closing balance of ending balance of for accounts

Closing balance of accounts

Unit Name accounts accounts receivable and

contract assets receivable and

receivable receivable and impairment

contract assets

contract assets provision for

contract assets

Shenzhen

Zhaoyang Real 13688684.24 0.00 13688684.24 12.10% 229508.17

Estate Co. Ltd

Shenzhen

Hongteng

Investment 11789376.23 837624.28 12627000.51 11.16% 12627000.51

Management Co.Ltd

Shenzhen Branch

of Jiangsu Huajian

6262026.983992794.5110254821.499.06%354132.67

Construction Co.Ltd

Shenzhen

Guangming

Construction

Engineering No.1 1044468.13 8607487.98 9651956.11 8.53% 662029.13

Construction

Engineering Co.Ltd

Shenzhen

Construction

5656888.11167955.455824843.565.15%1409486.39

Engineering Group

Co. Ltd

total 38441443.69 13605862.22 52047305.91 46.00% 15282156.87

5. Contract assets

(1) Contract asset status

Unit: Yuan

Closing balance Opening balance

project allowance for allowance for

book balance book value book balance book value

bad debts bad debts

Unsettled

project funds

25433846.733578124.6921855722.0432613380.973578124.6929035256.28

after

completion

total 25433846.73 3578124.69 21855722.04 32613380.97 3578124.69 29035256.28

(2) Disclosure by classification based on bad debt provision method

Unit: Yuan

93Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Closing balance Opening balance

allowance for bad allowance for bad

Categor book balance book balance

debts book debtsy book

proporti provisio value proporti provisio value

Amount Amount Amount Amount

on n ratio on n ratio

among which

Provisio

n for bad

254338357812218557326133357812290352

debts 100.00% 14.07% 100.00% 10.97%

46.734.6922.0480.974.6956.28

based on

portfolio

among which

254338357812218557326133357812290352

total 100.00% 14.07% 100.00% 10.97%

46.734.6922.0480.974.6956.28

Accrue bad debt reserves based on the general model of expected credit losses

□ Applicable□Not Applicable

(3) Provision for bad debts accrued recovered or reversed in the current period

Unit: Yuan

Withdrawn or reversed Current period write-

project Current period accrual reason

in the current period off/cancellation

Provision for

impairment based on 0.00

portfolio

total 0.00

Among them the amounts of bad debt provision recovered or reversed in the current period are significant:

Unit: Yuan

The basis for

determining the

Recover or reverse the

Unit Name Reason for reversal Withdrawal method original provision ratio

amount

for bad debts and its

reasonableness

Other instructions

6. Other receivables

Unit: Yuan

project Closing balance Opening balance

Interest receivable 0.00 0.00

Dividends receivable 0.00 0.00

Other receivables 729582117.04 747900491.52

total 729582117.04 747900491.52

94Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(1) Other receivables

1) Classification of other receivables by nature of payment

Unit: Yuan

Nature of Payment Closing book balance Opening book balance

Combination of accounts receivable from

850579354.54850579354.54

related parties

Portfolio of receivables from government

165460.00165460.00

departments

Employee petty cash portfolio receivable 108216.95 112443.24

Collection and payment portfolio

1098050.66596591.68

receivable

Portfolio of other receivables 172857914.62 193464111.43

total 1024808996.77 1044917960.89

2) Disclosure by aging

Unit: Yuan

aging Closing book balance Opening book balance

Within 1 year (including 1 year) 6793623.33 6291824.79

1 to 2 years 21034096.66 21982715.53

2 to 3 years 5913727.87 5885948.43

More than 3 years 991067548.91 1010757472.14

3 to 4 years 3267.40 3267.40

4 to 5 years 0.00 0.00

More than 5 years 991064281.51 1010754204.74

total 1024808996.77 1044917960.89

3) Disclosure by classification based on bad debt provision method

□Applicable □ Not applicable

Unit: Yuan

Closing balance Opening balance

allowance for bad allowance for bad

Categor book balance book balance

debts

y book

debts book

proporti provisio value proporti provisio value

Amount Amount Amount Amount

on n ratio on n ratio

Provide

for bad

debts on 101682 294871 721950 103738 296662 740719

99.22%29.00%99.28%28.60%

an 2174.91 895.50 279.41 1783.48 485.14 298.34

individu

al basis

among which

Provisio 798682 354984. 763183 753617 354984. 718119

n for bad 0.78% 4.44% 0.72% 4.71%1.86 23 7.63 7.41 23 3.18

debts

95Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

based on

portfolio

among which

102480295226729582104491297017747900

total 100.00% 28.81% 100.00% 28.42%

8996.77879.73117.047960.89469.37491.52

Provision for bad debts based on the general model of expected credit losses:

Unit: Yuan

Phase One Phase Two Phase Three

allowance for bad Expected credit losses Expected credit lossesExpected credit losses

debts over the entire duration over the entire duration

total

over the next 12

(no credit impairment (credit impairment has

months

has occurred) occurred)

Balance as of January

154410.2032976.66296830082.51297017469.37

12026

The balance as of

January 1 2026 is in

the current period

Accrued in current

0.00

period

Reversal in current

554041.03554041.03

period

Other changes -1236548.61 -1236548.61

Balance as of June 30

154410.2032976.66295039492.87295226879.73

2026

Basis for stage division and provision ratio for bad debt reserves

Changes in book balance of significant amounts in loss provisions during the current period

□ Applicable□Not Applicable

4) Provision for bad debts accrued recovered or reversed in the current period

Provision for bad debts in the current period:

Unit: Yuan

Current period change amount

Opening

Category Closing balance

balance Withdraw or Resale or write-accrue Other

reverse off

Provision for

bad debts on an 296662485.14 554041.03 -1236548.61 294871895.50

individual basis

Provision for

bad debts based 354984.23 354984.23

on portfolio

total 297017469.37 0.00 554041.03 0.00 -1236548.61 295226879.73

For those with significant amounts of bad debt provision reversed or recovered in the current period:

Unit: Yuan

Recovered or reversed Basis for determining

Unit Name Reason for reversal Collection method

amount the original provision

ratio for bad debts and

96Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

its reasonableness

5) Other receivables with the top five ending balances categorized by debtors

Unit: Yuan

Proportion of total

The nature of the Closing balance of

Unit Name Closing balance aging ending balance of

payment bad debt provision

other receivables

Guangdong

Within 1 year 1-2

Jianbang Group Related party

843296961.67 years 2-3 years 82.29% 102965447.05

(Huiyang) transactions

and over 5 years

Industrial Co. Ltd

Canada Great Wall

Related party

(Vancouver) Co. 89035748.07 More than 5 years 8.69% 89035748.07

transactions

Ltd

Related party

Baili Co. Ltd 19051233.49 More than 5 years 1.86% 19051233.49

transactions

Parker Tonneau Related party

12559290.58 More than 5 years 1.23% 12559290.58

Australia Pty Ltd transactions

Guangdong

Huizhou Luofu

Related party

Mountain Mineral 10465168.81 More than 5 years 1.02% 10465168.81

transactions

Water Beverage

Co. Ltd

total 974408402.62 95.09% 234076888.00

7. Prepayments

(1) Prepayments are presented by aging

Unit: Yuan

Closing balance Opening balance

aging

Amount proportion Amount proportion

within one year 19072.93 96.12% 30809.83 97.54%

1 to 2 years 0.00% 0.00 0.00%

2 to 3 years 0.00% 0.00 0.00%

More than 3 years 770.01 3.88% 778.62 2.46%

total 19842.94 31588.45

Explanation for the reasons why prepayments with an account age exceeding 1 year and significant amounts have not been settled

in a timely manner:

(2) Prepayments of the top five ending balances categorized by prepayment objects

Unit: yuan

Prepaid expenses

Unit Name book balance

Ratio of balance (%)

China Telecom Co. Ltd. Shenzhen 15072.93 75.96%

97Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Branch

Shenzhen ShunYiTong Information

Technology Co. Ltd 4000.00 20.16%

Shenzhen Shentou International Tourism

Development Co. Ltd 220.01 1.11%

Other 550.00 2.77%

Subtotal 19842.94 100.00%

Other notes:

8. Inventory

Does the company need to comply with the disclosure requirements of the real estate industry

is

(1) Inventory classification

The company is required to comply with the disclosure requirements for the "Real Estate Industry" as stipulated in the "Shenzhen

Stock Exchange Listed Companies Self-regulatory Guidelines No. 3 - Industry Information Disclosure"

Classified by nature:

Unit: Yuan

Closing balance Opening balance

Provision for Provision for

inventory inventory

project depreciation or depreciation or

book balance impairment of book value book balance impairment of book value

contract contract

performance performance

costs costs

development

28291908.1128291908.1128291908.110.0028291908.11

cost

develop 1125583917. 1071003579.

679864154.3554580338.25625283816.1054580338.25

products 83 58

Raw materials 0.00 0.00

Inventory

103486.9038891.9164594.99103023.4738891.9164131.56

Goods

1153978849.1099359619.

total 708259549.36 54619230.16 653640319.20 54619230.16

4125

Disclose the main items of "development costs" and their capitalization of interest in the following format:

Unit: Yuan

Includi

Transfe Increas Accum ng:

Other

rred to e in ulated capitali

Estimat Estimat decreas

Comme Openin develop current amount zed source

Project ed ed total es in Closing

ncemen g ment period of interest of

Name complet investm the balance

t time balance product (develo capitali amount funds

ion date ent current

s in this pment zed for the

period

period costs) interest current

period

Shanto 28291 28291

Other

u 908.11 908.11

98Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Xinfen

g

Buildin

g

2829128291

total

908.11908.11

Disclose the main project information of "development products" according to the following format:

Unit: Yuan

Among

them:

Accumulated

Decrease in capitalized

Completion Opening Increase in Closing amount of

Project Name current amount of

time balance this period balance capitalized

period interest for

interest

the current

period

Tianyue Bay June 30 413464613. 29457255.4 389433884.

5426526.35

Phase II 2021 48 4 39

Tianyue Bay December 184712889. 181833412.

2879477.25

Phase I 15 2017 98 73

Multi-level

apartment at

September 40000494.3 40000494.3

Haitian

16199755

Pavilion

Jinye Island

Deep House

and Emerald May 8th

8513102.378513102.370.00

Forest 2018

Garden

Yuejing

November

Dongfang 6121027.07 6121027.07

182014

Project

Phase 10 of December 2

5698558.255698558.25

Jinye Island 2010

Phase 11 of August 20

2239010.522239010.52

Jinye Island 2008

Beijing

Xinfeng 304557.05 304557.05

Building

Huangpu

140000.00140000.00

New Estate

In the bright

November 464389664. 19383625.9 429680080. 54093209.9

light of the 289401.37

292024765729

deep room

11255839124810152.3470529915.679864154.

total 289401.37 0.00

7.8307835

Disclose the "installment collection of development products" "rental development products" and "turnover housing" by item in

the following format:

Unit: Yuan

Project Name Opening balance Increase in this period Decrease in this period Closing balance

(2) Provision for inventory depreciation and impairment provision for contract performance costs

Disclose the provision for inventory depreciation reserves in the following format:

99Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Classified by nature:

Unit: Yuan

Increased amount in this Amount reduced in this

Opening period period Closing

project Remark

balance Reversal or balance

accrue Other Other

write-off

development

0.00

cost

develop 54580338.2 54580338.2

products 5 5

Inventory

38891.9138891.91

Goods

54619230.154619230.1

total

66

Classified by major projects:

Unit: Yuan

Increased amount in this Amount reduced in this

Opening period period Closing

Project Name Remark

balance Reversal or balance

accrue Other Other

write-off

(3) Interest capitalization rate in the ending balance of inventory

As of June 30 2026 the amount of capitalized borrowing costs included in the inventory balance of the Group was RMB

289401.37.

9. Other current assets

Unit: Yuan

project Closing balance Opening balance

Pay additional or prepaid income tax 1051054.28 1310041.90

Prepaid value-added tax amount 21523623.38 35023855.49

Input tax to be deducted 1821677.73 407250.18

Land Value Increment Tax 28840880.17 27906656.73

Prepay urban construction tax and

0.001431668.71

surcharges

Other 0.00 53992.23

total 53237235.56 66133465.24

Information related to compensatory assets

Other notes:

10. Other equity instrument investments

Unit: Yuan

Gains Losses Gains Losses Dividend Reasons for

Project Opening Closing

recognized recognized accumulate accumulate income designating

100Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Name balance in other in other d in other d in other recognized balance items as

comprehen comprehen comprehen comprehen in the measured

sive sive sive sive current at fair

income in income in income at income at period value with

the current the current the end of the end of changes

period period the period the period recognized

in other

comprehen

sive

income

Shantou

Small and

Medium -

14571511.11729520.

Enterprise 2841991.4

8139

Financing 2

Guarantee

Co. Ltd

-

14571511.11729520.

total 2841991.4

8139

2

There is derecognition in the current period

Unit: Yuan

Accumulated gains Accumulated losses

Project Name transferred to retained transferred to retained Reason for derecognition

earnings earnings

Disclose the non-trading equity instrument investments for the current period by item

Unit: Yuan

Reasons for

being

The amount Reasons for

designated as

transferred transferring

measured at fair

Confirmed from other other

Accumulated Accumulated value with

Project Name dividend comprehensive comprehensive

gains loss changes

income income to income to

recognized in

retained retained

other

earnings earnings

comprehensive

income

Other notes:

11. Long-term equity investment

Unit: Yuan

Changes in the current period

Openi Invest Adjust Closin

Openi ng Annoument ment Closin g

ng balanc nce the g balanc

Investe to

balanc e of Additi Reduc

gains Chang distrib Provisi

d and other

balanc e of

e impair onal e es in ution on for e impair

entity losses compr Other

(book ment invest invest other of cash impairrecogn ehensi (book ment

value) provisi ment ment equity divide mentized ve value) provisi

on nds orunder incom onprofits

the e

101Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

equity

metho

d

1. Joint venture

Guang

dong

Huizh

ou

Luofu

Mount

9969996999699969

ain

206.09206.09206.09206.09

Minera

l

Water

Bevera

ge Co.Ltd

Fengk

ai

9455945594559455

Xingh

465.38465.38465.38465.38

ua

Hotel

19424194241942419424

Subtot

671.4671.4671.4671.4

al

7777

II. Associated enterprises

Shenz

hen

Rongh

ua

Electro

1076107610761076

mecha

954.64954.64954.64954.64

nical

Engine

ering

Co.Ltd

Shenz

hen

Runhu

a

Autom 1445 1445 1445 1445

obile 425.56 425.56 425.56 425.56

Tradin

g

Compa

ny

Dongy

i Real 30376 30376 30376 30376

Estate 084.8 084.8 084.8 084.8

Co. 9 9 9 9

Ltd

32898328983289832898

Subtot

465.0465.0465.0465.0

al

9999

52323523235232352323

total

136.5136.5136.5136.5

102Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

6666

The recoverable amount is determined by the net amount after deducting disposal expenses from the fair value

□ Applicable□Not Applicable

The recoverable amount is determined based on the present value of estimated future cash flows

□ Applicable□Not Applicable

The reasons for the significant inconsistency between the aforementioned information and the information or external information

used in previous annual impairment tests

The reasons for the significant discrepancies between the information used in the company's previous annual impairment tests and

the actual situation of the current year

Other instructions

12. Investment real estate

(1) Investment properties measured using the cost model

□Applicable □ Not applicable

Unit: Yuan

construction in

project Houses and buildings land use right total

progress

1. Original book value

1. Opening

1074585741.12108339610.721182925351.84

balance

2. Increased

429680080.72429680080.72

amount in this period

(1)

0.00

Outsourcing

(2) Transfer-

in of inventory fixed

429680080.72429680080.72

assets and projects

under construction

(3) Increase

due to business 0.00

combination

(4) Others (Exchange

0.00

rate fluctuations)

3. Amount

5169411.333256908.688426320.01

reduced in this period

(1) Disposal 2795100.60 2795100.60

(2) Other

0.00

transfers out

(3) Others (Exchange

2374310.733256908.685631219.41

rate fluctuations)

4. Ending balance 1499096410.51 105082702.04 1604179112.55

II. Accumulated

depreciation and

accumulated

amortization

1. Opening 557323389.37 557323389.37

103Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

balance

2. Increased

amount in current 12806788.11 12806788.11

period

(1) Accrual

12806788.1112806788.11

or amortization

(2) Others (Exchange

0.00

rate changes)

3. Amount

reduced in the current 3764926.76 3764926.76

period

(1) Disposal 2081291.00 2081291.00

(2) Other

0.00

transfers out

(3) Others (Exchange

1683635.761683635.76

rate changes)

4. Ending balance 566365250.72 566365250.72

III. Impairment

0.00

provision

1. Opening

14047929.5988919373.71102967303.30

balance

2. Increased

0.00

amount in this period

(1) Accrual 0.00

(2) Others (Exchange

0.00

rate changes)

3. Amount

reduced in the current 2673096.93 2673096.93

period

(1)

0.00

Disposition

(2) Other

0.00

transfers-out

(3) Others (Exchange

2673096.932673096.93

rate fluctuations)

4. Ending balance 14047929.59 86246276.78 100294206.37

IV. Book value 0.00

1. End-of-period

918683230.2018836425.26937519655.46

book value

2. Opening book

503214422.1619420237.01522634659.17

value

The recoverable amount is determined by the net amount after deducting disposal expenses from the fair value

□ Applicable□Not Applicable

The recoverable amount is determined based on the present value of estimated future cash flows

□ Applicable□Not Applicable

The reasons for the significant inconsistencies between the aforementioned information and the information or external data used

in previous annual impairment tests

The reasons for the significant discrepancies between the information used in the company's previous annual impairment tests and

the actual situation of the current year

104Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Other notes:

13. Fixed assets

Unit: Yuan

project Closing balance Opening balance

Fixed assets 13578063.33 14949900.45

total 13578063.33 14949900.45

(1) Fixed assets

Unit: Yuan

transportation Electronic equipment

project Houses and buildings total

equipment and others

1. Original book value:

1. Opening

99635904.767154488.618454075.76115244469.13

balance

2. Increased

47198.0547198.05

amount in this period

(1)

47198.0547198.05

Acquisition

(2) Transfer-

in of projects under

construction

(3) Increase

due to business

combination

3. Amount

reduced in the current 80402.22 80402.22

period

(1) Disposal

57210.4957210.49

or scrapping

(2) Other decreases 23191.73 23191.73

4. Ending balance 99635904.76 7154488.61 8420871.59 115211264.96

II. Accumulated

depreciation

1. Opening

87812935.925986756.726494876.04100294568.68

balance

2. Increased

1065596.76118452.90232798.321416847.98

amount in this period

(1) Accrual 1065596.76 118452.90 232798.32 1416847.98

3. Amount

78215.0378215.03

reduced in this period

(1) Disposal

55023.3055023.30

or scrapping

(2) Other decreases 23191.73 23191.73

4. Ending balance 88878532.68 6105209.62 6649459.33 101633201.63

105Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

III. Provision for

impairment

1. Opening

balance

2. Increased

amount in this period

(1) Accrual

3. Amount

reduced in the current

period

(1) Disposal

or scrapping

4. Closing balance

IV. Book value

1. End-of-period

10757372.081049278.991771412.2613578063.33

book value

2. Opening book

11822968.841167731.891959199.7214949900.45

value

(2) Impairment test of fixed assets

□ Applicable□Not applicable

14. Construction in progress

Unit: Yuan

project Closing balance Opening balance

construction in progress 571822.67

total 0.00 571822.67

(1) Status of projects under construction

Unit: Yuan

Closing balance Opening balance

project provision for provision for

book balance book value book balance book value

impairment impairment

Restoration and

renovation

project of the

398222.670.00398222.67

heliport at

Shenfang

Square

Renovation and

upgrading

project of

173600.000.00173600.00

elevators in the

atrium of the

podium

106Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

building at

Shenfang Plaza

total 571822.67 0.00 571822.67

(2) Impairment test of projects under construction

□ Applicable□Not Applicable

15. Intangible assets

(1) Intangible assets

Unit: Yuan

Non-patented

project land use right patent right software total

technology

1. Original book

value

1. Opening

2192000.002192000.00

balance

2. Increased

amount in current

period

(1)

Purchase

(2)

Internal research

and development

(3)

Increase due to

business

combination

3. Amount

reduced in this

period

(1)

Disposal

4. Ending

2192000.002192000.00

balance

II. Accumulated

amortization

1. Opening

2192000.002192000.00

balance

2. Increased

amount in this

period

(1)

Accrual

107Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Amount

reduced in the

current period

(1)

Disposal

4. Ending

2192000.002192000.00

balance

III. Impairment

provision

1. Opening

balance

2. Increased

amount in this

period

(1)

Accrual

3. Amount

reduced in this

period

(1)

Disposal

4. Ending

balance

IV. Book value

1. End-of-

period book value

2. Opening

book value

The proportion of intangible assets formed through internal research and development in the balance of intangible assets at the end

of the period is 0.00%

(2) Impairment test of intangible assets

□ Applicable□Not applicable

16. Long-term deferred expenses

Unit: Yuan

Amortization

Increased amount Other reductions in

project Opening balance amount for the Closing balance

in this period amount

current period

Renovation costs 1615683.92 1622045.41 531186.81 2706542.52

total 1615683.92 1622045.41 531186.81 2706542.52

Other instructions

108Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

17. Deferred tax assets/deferred tax liabilities

(1) Deferred tax assets not offset

Unit: Yuan

Closing balance Opening balance

project Deductible temporary Deductible temporary

Deferred tax assets Deferred tax assets

difference difference

Asset impairment

17373070.564343267.6417373070.564343267.64

provision

Deductible loss 8289185.76 2072296.44 9058968.76 2264742.19

total 25662256.32 6415564.08 26432039.32 6608009.83

(2) Deferred income tax liabilities not offset

Unit: Yuan

Closing balance Opening balance

project Taxable temporary Taxable temporary Deferred income tax

Deferred tax liabilities

difference difference liabilities

Changes in fair value

of other equity 2571511.84 642877.96 2571511.84 642877.96

instrument investments

Unfired interest 2778907.00 694726.75 2778907.00 694726.75

total 5350418.84 1337604.71 5350418.84 1337604.71

(3) Deferred tax assets or liabilities presented at net amount after offsetting

Unit: Yuan

Closing balance of Opening balance of

Closing offset amount Opening offset amount

deferred tax assets or deferred tax assets or

project of deferred tax assets of deferred tax assets

liabilities after liabilities after

and liabilities and liabilities

offsetting offsetting

Deferred tax assets 6415564.08 469690.21 6138319.62

Deferred tax liabilities 1337604.71 469690.21 867914.50

(4) Details of unrecognized deferred tax assets

Unit: Yuan

project Closing balance Opening balance

Deductible temporary difference 1176975484.48 1176975484.48

Deductible loss 141671346.86 142018237.92

total 1318646831.34 1318993722.40

(5) The deductible losses of unrecognized deferred tax assets will expire in the following years

Unit: Yuan

year final amount Opening Balance Remark

109Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2026346891.06

202748904614.3848904614.38

202818354716.2418354716.24

202924953841.5124953841.51

203049458174.7349458174.73

2031

total 141671346.86 142018237.92

Other instructions

18. Assets with restricted ownership or use rights

Unit: Yuan

final beginning of period

project Limitedbook Restricted book Restricted Constraine

book value circumstan book value

balance type balance type d situations

ces

Constructio

n Funds for

Public

Facilities

Funds in Projects

the special within and

Monetary fund 5674439.7 5674439.7

16132.40 16132.40 account for detain Surroundin

Funds supervision 8 8

migrant g the Urban

workers Renewal

Project in

Longgang

District

Shenzhen

Monetary 2201283.5 2201283.5 Litigation Litigation

freeze freeze

Funds 7 7 freeze freeze

Constructio

Monetary Constructio

50000.00 50000.00 detain n security 50154.19 50154.19 detain

Funds n deposit

deposit

Stop Stop

Monetary payment payment

70010.20 70010.20 detain 70010.20 70010.20 detain

Funds suspend suspend

account account

Pledge of Pledge of

accounts 7651398.7 7651398.7 7379890.1 7158493.4

staking short-term staking short-term

receivable 8 8 5 5

loan loan

9988824.99988824.913174494.12953097.

total

553262

Other notes:

19. Short-term borrowings

(1) Classification of short-term loans

Unit: Yuan

project Closing balance Opening balance

Accounts receivable factoring 1065508.63 50000.00

total 1065508.63 50000.00

110Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Explanation of classification of short-term loans:

20. Accounts payable

(1) Presentation of accounts payable

Unit: Yuan

project Closing balance Opening balance

construction payment 168578885.71 171738333.04

total 168578885.71 171738333.04

(2) Important accounts payable with an aging of over 1 year or overdue

Unit: Yuan

project Closing balance Reasons for non-repayment or carry-over

Shenzhen Guangming Construction

Engineering No.1 Construction 66975438.51 Not settled yet

Engineering Co. Ltd

Shenzhen Municipal Engineering

16073112.33 Not settled yet

Corporation

total 83048550.84

Other notes:

21. Other payables

Unit: Yuan

project Closing balance Opening balance

Interest payable 16535277.94 16535277.94

Dividends payable 0.00 0.00

Other payables 102541729.28 127745131.22

total 119077007.22 144280409.16

(1) Interest payable

Unit: Yuan

project Closing balance Opening balance

Interest on borrowings from non-

financial institutions (interest payable to 16535277.94 16535277.94

the parent company)

total 16535277.94 16535277.94

Important overdue and unpaid interest:

Unit: Yuan

Borrowing entity overdue amount Reason for Delay

Shenzhen Investment Holding Co. Ltd 16535277.94 Postpone payment

total 16535277.94

Other notes:

111Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(2) Other payables

1) List other payables by nature of payment

Unit: Yuan

project Closing balance Opening balance

Non-related party transactions 18375108.87 26581817.09

Related party transactions 9065673.97 9065673.97

deposit 25247983.88 23487225.44

Other 49852962.56 68610414.72

total 102541729.28 127745131.22

22. Advance receipts

(1) Presentation of advance receipts

Unit: Yuan

project Closing balance Opening balance

rent 3417122.84 722042.14

total 3417122.84 722042.14

23. Contract liabilities

Unit: Yuan

project Closing balance Opening balance

Advance receipts from housing sales 17207929.34 15710437.24

Advance receipts for engineering

8115281.04

projects

Other 4218370.69 4574940.92

total 21426300.03 28400659.20

Significant contractual liabilities with an aging of over 1 year

Unit: Yuan

project Closing balance Reasons for non-repayment or carry-over

The amount and reasons for significant changes in book value during the reporting period

Unit: Yuan

Change

project in Reason for change

amount

The company must comply with the disclosure requirements for the "Real Estate Industry" as stipulated in the "Shenzhen Stock

Exchange Listed Companies Self-regulatory Guidelines No. 3 - Industry Information Disclosure"

Collection information for the top five projects based on pre-sale amount:

Unit: Yuan

Estimated

Serial number Project Name Opening balance Closing balance Pre-sale ratio

completion date

112Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

24. Payroll payable

(1) Presentation of payroll payable

Unit: Yuan

Decrease in current

project Opening balance Increase in this period Closing balance

period

1. Short-term

29667810.0827005481.6227171750.0129501541.69

compensation

II. Post-employment

benefits - defined 1838.80 4420223.65 4420223.65 1838.80

contribution plans

III. Dismissal benefits 3087694.00 31625.00 2356381.00 762938.00

total 32757342.88 31457330.27 33948354.66 30266318.49

(2) Presentation of short-term compensation

Unit: Yuan

project Opening balance Increase in this period Decrease in this period Closing balance

1. Salary bonus

29550437.5222102472.9622244877.8129408032.67

allowance and subsidy

2. Employee welfare

0.001001147.801001147.800.00

expenses

3. Social insurance

0.001271268.811271268.810.00

premiums

Among them:

medical insurance 0.00 1094895.11 1094895.11 0.00

premiums

work-

related injury insurance 0.00 89905.63 89905.63 0.00

premium

Maternity

0.0086468.0786468.070.00

Insurance Premium

4. Housing provident

0.002175518.372175518.370.00

fund

5. Labor union

expenditure and

117372.56455073.68478937.2293509.02

employee education

expenditure

6. Short-term paid

0.000.00

absence

total 29667810.08 27005481.62 27171750.01 29501541.69

(3) Presentation of defined contribution plans

Unit: Yuan

project Opening balance Increase in this period Decrease in this period Closing balance

1. Basic endowment

2884390.222884390.22

insurance

113Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Unemployment

159605.75159605.75

insurance premium

3. Enterprise annuity

1838.801376227.681376227.681838.80

contribution

total 1838.80 4420223.65 4420223.65 1838.80

Other instructions

25. Taxes payable

Unit: Yuan

project Closing balance Opening balance

Value-added tax 1097045.85 937306.31

corporate income tax 5055003.31 16169391.23

individual income tax 336254.38 2139885.12

Urban maintenance and construction tax 1489975.59 1336686.83

Land Value Increment Tax 4646137.48 4645184.15

property tax 4985855.12 537531.44

Education Surcharge 639984.87 577466.85

Local education surcharge 414204.17 368675.16

Other 162381.33 209955.49

total 18826842.10 26922082.58

Other instructions

26. Other current liabilities

Unit: Yuan

project Closing balance Opening balance

Pending output tax to be written off 467449.67 235112.72

Accounts receivable factoring 6585890.15 7329890.15

total 7053339.82 7565002.87

Increase and decrease of short-term bonds payable:

Unit: Yuan

Is

Accru Amort

Repay there

Issuan Openi e izatio Closin

deno Coup Relea Bond Issued ment a

Bond ce ng intere n of g

minati on se Tenur in this in this breac

name amou balanc st at excess balanc

on rate Date e issue install h of

nt e par /disco e

ment contra

value unt

ct

total

Other notes:

27. Share capital

Unit: Yuan

Opening Increase or decrease in this change (+-) Closing

114Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

balance Convert balance

housing

Issue new

bonus share provident Other Subtotal

shares

fund into

shares

Total number 101166000 101166000

of shares 0.00 0.00

Other notes:

28. Capital reserves

Unit: Yuan

project Opening balance Increase in this period Decrease in this period Closing balance

Capital surplus (share

557433036.93557433036.93

premium)

Other capital reserves 420811873.18 420811873.18

total 978244910.11 978244910.11

Other explanations including changes in the current period and explanations for the reasons for such changes:

29. Other comprehensive income

Unit: Yuan

current period amount

Less:

Amount

Less:

previously

Transfer

Amount recognized

from other

incurred in other After-tax After-tax

Opening comprehen

project before comprehen Less: attributable attributable

Closing

balance siveincome tax sive Income tax to the to minority balance

income to

in the income and expense parent shareholder

profit and

current transferred company s

loss in the

period to retained

current

earnings in

period

the current

period

1. Other

comprehen

sive

--

income that 2344838.1 -

2841991.40.000.000.002841991.40.00

cannot be 0 497153.32

22

reclassified

into profit

and loss

Chang

es in fair

value of

--

other 2344838.1 -

2841991.42841991.4

equity 0 497153.32

22

instrument

investment

s

115Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

II. Other

comprehen

sive

20970277.10607567.8944515.71663051.729914793.

income 0.00 0.00 0.00

42519221

reclassified

into profit

and loss

Transl

ation

difference

20970277.10607567.8944515.71663051.729914793.

in foreign

42519221

currency

financial

statements

Total other

comprehen 23315115. 7765576.0 6102524.3 1663051.7 29417639.

0.000.000.00

sive 52 9 7 2 89

income

Other explanations including the adjustment of the initial recognized amount of the hedged item resulting from the conversion of

the effective portion of the cash flow hedging gains and losses:

30. Surplus reserve

Unit: Yuan

project Opening balance Increase in this period Decrease in this period Closing balance

Statutory surplus

275253729.26275253729.26

reserve

total 275253729.26 275253729.26

Explanation of surplus reserves including changes in the current period and explanations for the reasons for such changes:

31. Undistributed profit

Unit: Yuan

project this issue previous issue

Undistributed profit at the end of the

1323849441.491223893437.74

previous period before adjustment

Adjust the beginning undistributed profit

1323849441.491223893437.74

in the later period

Plus: Net profit attributable to the owners

of the parent company for the current -8560110.26 103027646.42

period

Payable common stock dividends 35408100.00

Undistributed profit at the end of the

1279881231.231326921084.16

period

Adjusted beginning undistributed profit details:

Due to the retroactive adjustments made to the "Accounting Standards for Business Enterprises" and its related new regulations

the beginning undistributed profit was affected by RMB 0.00.

2) Due to changes in accounting policies the beginning undistributed profit was affected by RMB 0.00.

3) Due to the correction of significant accounting errors the beginning undistributed profit was affected by RMB 0.00.

4) Due to changes in the consolidation scope resulting from the same control the beginning undistributed profit was affected by

116Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

0.00 yuan.

5) The total impact of other adjustments on the beginning undistributed profit is 0.00 yuan.

Detailed explanation of using capital reserves to cover losses:

32. Operating income and operating costs

Unit: Yuan

current period amount previous period amount

project

income cost income cost

main business 144879781.19 121947149.35 633729460.42 462450321.86

Other businesses 4377171.85 1865565.32 3636760.93 1267668.76

total 149256953.04 123812714.67 637366221.35 463717990.62

Decomposition information of operating income and operating costs:

Unit: Yuan

Contract Section 1 Section 2 total

Classificati Operating Cost of Operating Cost of Operating Cost of Operating Cost of

on Revenue goods sold Revenue goods sold Revenue goods sold Revenue goods sold

Business

Type

among

which

Classified

by business

region

Among

them:

Market or

customer

type

Among

them:

Contract

Type

Among

them:

Classified

by the time

of

commodity

transfer

Among

them:

Classificati

117Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

on by

contract

duration

Among

them:

Classified

by sales

channels

Among

them:

total

Information related to performance obligations:

The type of

The amount

The nature of quality

The time for that the

the goods Is it the primary assurance

fulfilling the Important company

project promised to be responsible provided by the

performance payment terms anticipates will

transferred by person company and

obligation be refunded to

the company related

customers

obligations

Other instructions

Information related to the transaction price allocated to the remaining performance obligations:

The revenue amount corresponding to the performance obligations that have been contracted but not yet fulfilled or not fully

fulfilled at the end of this reporting period is RMB 146349196.60. Among them RMB 42877997.17 is expected to be

recognized as revenue in 2026 RMB 51606583.28 is expected to be recognized as revenue in 2027 and RMB 51864616.19 is

expected to be recognized as revenue in 2028.Relevant information on variable consideration in the contract:

Significant contract modifications or substantial transaction price adjustments

Unit: Yuan

project Accounting treatment method The amount of impact on income

Other instructions

The company must comply with the disclosure requirements for the "Real Estate Industry" as stipulated in the "Shenzhen Stock

Exchange Listed Companies Self-regulatory Guidelines No. 3 - Industry Information Disclosure"

Information on the top five projects with confirmed revenue amounts during the reporting period:

Unit: Yuan

Serial number Project Name income amount

1 Tianyue Bay Phase II 31747234.89

2 Cui Lin Yuan 12470285.73

3 Shenfang Square 4549393.58

4 Tianyue Bay Phase I 3600905.72

33. Taxes and surcharges

Unit: Yuan

project current period amount previous period amount

118Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

consumption tax 0.00 0.00

Urban maintenance and construction tax 539317.30 4144830.19

Education Surcharge 236278.82 1776669.74

resource tax 0.00 0.00

property tax 4738435.68 4768158.41

Land use tax 105256.22 271873.96

Vehicle and vessel use tax 660.00 960.00

stamp duty 94909.80 58163.90

Land Value Increment Tax 1068668.67 2849850.98

Local education surcharge 154893.11 1185178.70

Other taxes and fees 456597.73 506322.00

total 7395017.33 15562007.88

Other notes:

34. Management expenses

Unit: Yuan

project current period amount previous period amount

employee compensation 23309343.66 24927288.22

Intermediary agency fee 662967.93 1209357.11

litigation costs 27040.76 2954044.71

Business entertainment expenses 13038.41 103909.17

depreciation expense 1575069.11 1504235.97

office expenses 203522.08 213586.59

repair cost 46135.89 52743.99

Travel expenses 12017.70 28848.79

Other amortization expenses 67700.16 4248.82

utility bill 137844.84 194412.02

Other 1057992.22 982713.60

total 27112672.76 32175388.99

Other instructions

35. Sales expenses

Unit: Yuan

project current period amount previous period amount

Sales agency fees and commissions 1201116.96 3010956.72

employee compensation 1937722.53 2408841.45

property management fee 354478.69 285730.36

business expenses 7493.00 160856.24

advertising fee 1091393.97 1558393.61

Other 1773861.78 2283933.55

total 6366066.93 9708711.93

Other notes:

36. Financial expenses

Unit: Yuan

119Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

project current period amount previous period amount

interest expense 2788711.79

Less: Interest income 925667.62 2154378.05

exchange gain or loss 1212747.58 504473.51

handling fee 83261.97 74499.37

total 370341.93 1213306.62

Other instructions

37. Other income

Unit: Yuan

Sources of generating other income current period amount previous period amount

Refund of handling fee for withholding

52026.6431652.46

individual income tax

Government subsidies related to earnings 2000.00

38. Gain from changes in fair value

Unit: Yuan

The source of income from changes in

current period amount previous period amount

fair value

Trading financial assets 7069256.29 8662388.50

total 7069256.29 8662388.50

Other notes:

39. Investment income

Unit: Yuan

project current period amount previous period amount

Investment income generated from

66265.2399669.36

disposal of long-term equity investments

Dividend income earned from other

equity instrument investments during the

holding period

total 66265.23 99669.36

Other instructions

40. Credit impairment loss

Unit: Yuan

project current period amount previous period amount

Bad debt losses on accounts receivable -75507.93

Bad debt losses on other receivables 554041.03 -2275.00

total 554041.03 -77782.93

Other instructions

120Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

41. Asset impairment loss

Unit: Yuan

project current period amount previous period amount

XI. Impairment loss on contract assets -15230.21

total 0.00 -15230.21

Other notes:

42. Income from asset disposal

Unit: Yuan

The source of asset disposal income current period amount previous period amount

Gain on disposal of fixed assets 357.10

43. Non-operating income

Unit: Yuan

Amount included in non-

project current period amount previous period amount recurring profit and loss for

the current period

Other 491.27 20130.74 491.27

total 491.27 20130.74 491.27

Other notes:

44. Non-operating expenses

Unit: Yuan

Amount included in non-

project current period amount previous period amount recurring profit and loss for

the current period

Losses on destruction and

scrapping of non-current 1744.29 1634.14 1744.29

assets

total 1744.29 1634.14 1744.29

Other notes:

45. Income tax expense

(1) Income tax expense statement

Unit: Yuan

project current period amount previous period amount

Current income tax expense 758055.70 20343093.32

Deferred income tax expense 192445.75 1153045.36

total 950501.45 21496138.68

121Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(2) Adjustment process of accounting profit and income tax expense

Unit: Yuan

project current period amount

Total Profit -8057167.31

Income tax expense calculated at statutory/applicable tax rate -2014291.83

The impact of applying different tax rates to subsidiaries -96426.00

Adjust the impact of income tax from previous periods 1293905.20

Impact of non-taxable income 1767314.07

Income tax expense 950501.45

Other instructions

46. Other comprehensive income

See Note 29 for details

47. Items in the cash flow statement

(1) Cash related to operating activities

Cash received from other sources related to operating activities

Unit: Yuan

project current period amount previous period amount

interest income 925667.62 2175358.84

Accounts receivable and payable and

17889883.06118487474.89

others

total 18815550.68 120662833.73

Explanation of other cash received related to operating activities:

Cash paid for other activities related to operating activities

Unit: Yuan

project current period amount previous period amount

Financial expenses - handling fees 83261.97 74499.37

Cash operating expenses 11085040.62 15509077.29

Accounts receivable and payable and

6480235.55138539485.45

others

total 17648538.14 154123062.11

Explanation of other cash payments related to operating activities:

(2) Cash related to investing activities

Cash received from other sources related to investing activities

Unit: Yuan

project current period amount previous period amount

total 0.00 0.00

Cash received that is significant and related to investing activities

Unit: Yuan

122Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

project current period amount previous period amount

Explanation of other cash received related to investing activities:

Cash paid for other investment-related activities

Unit: Yuan

project current period amount previous period amount

Purchase money market fund 110000000.00

total 0.00 110000000.00

Cash paid for important investment-related activities

Unit: Yuan

project current period amount previous period amount

Explanation of cash paid for other investment-related activities:

(3) Cash related to financing activities

Cash received from other financing-related activities

Unit: Yuan

project current period amount previous period amount

total 0.00 0.00

Explanation of other cash received related to financing activities:

Cash paid for other financing-related activities

Unit: Yuan

project current period amount previous period amount

total 0.00 0.00

Explanation of other cash payments related to financing activities:

Changes in various liabilities arising from fundraising activities

□ Applicable□Not Applicable

(4) Explanation of presenting cash flows on a net basis

Relevant factual Basis for adopting net

project Financial impact

circumstances presentation

(5) Significant activities and financial impacts that do not involve current cash receipts and payments but

affect the financial position of the enterprise or may affect the enterprise's cash flows in the future

48. Supplementary Information to the Cash Flow Statement

(1) Supplementary information to the cash flow statement

Unit: Yuan

Supplementary materials Current Amount Previous Period Amount

1. Adjust net profit to cash flow from

operating activities:

Net profit -9007668.76 102211870.41

123Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Plus: asset impairment provision -554041.03 93013.14

Depreciation of fixed assets

depletion of oil and gas assets and

14223636.0913605503.22

depreciation of productive biological

assets

Depreciation of right-to-use

assets

Amortization of intangible assets

Amortization of long-term

531186.81386870.04

deferred expenses

Losses on disposal of fixed

assets intangible assets and other long-

-357.10

term assets (gains are indicated with a "-"

sign)

Losses on disposal of fixed assets

1744.291634.14

(gains are indicated with a "-" sign)

Loss on changes in fair value

-7069256.29-8662388.50

(gains are indicated with a "-" sign)

Financial expenses (gains are

1212747.58504473.51

indicated with a "-" sign)

Investment losses (gains are

-66265.23-99669.36

indicated with a "-" sign)

Decrease in deferred tax assets

-277244.46-302510.63

(increase is indicated by a "-" sign)

Increase in deferred tax liabilities

469690.21

(decrease is indicated by a "-" sign)

Decrease in inventory (increase is

40849835.06454142123.69

indicated by a "-" sign)

Decrease in operating receivables

37684242.4926902502.38

(increase is indicated by a "-" sign)

Increase in operating payables

-53051150.18-676205663.62

(decrease is indicated by a "-" sign)

Other

Net cash flow from operating

24947099.48-87422241.58

activities

2. Significant investing and financing

activities not involving cash receipts and

payments:

Debt converted into capital

Convertible corporate bonds maturing

within one year

Fixed assets under financing lease

3. Net changes in cash and cash

equivalents:

Closing balance of cash 268310887.49 288498978.06

Less: opening balance of cash 278891920.87 520910254.44

Plus: Closing balance of cash

equivalents

Less: opening balance of cash

124Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

equivalents

Net increase in cash and cash

-10581033.38-232411276.38

equivalents

(2) Composition of cash and cash equivalents

Unit: Yuan

project Closing balance Opening balance

1. Cash 268310887.49 278891920.87

Among them: cash on hand 17651.07 19892.83

Bank deposits that can be used

268293236.42278872028.04

for payment at any time

III. Closing balance of cash and cash

268310887.49278891920.87

equivalents

(3) Monetary funds not classified as cash and cash equivalents

Unit: Yuan

Reasons for not classifying as

project Current Amount Previous Period Amount

cash and cash equivalents

Construction funds for public

facilities projects within and

surrounding the urban

renewal project in Longgang

Monetary Funds 5817217.78

District Shenzhen; land

reclamation costs for the

Shenfang Guangmingli

project

Funds in the special account

Monetary Funds 16132.40

for migrant workers

Monetary Funds 2201283.57 58428.69 Litigation freeze

Monetary Funds 50000.00 50000.00 Construction deposit

Stop payment suspend

Monetary Funds 70010.20 158549.08

account

total 2337426.17 6084195.55

Other notes:

49. Foreign currency monetary items

(1) Foreign currency monetary items

Unit: Yuan

Closing balance in foreign Year-end converted RMB

project conversion exchange rate

currency balance

Monetary Funds

Among them: US dollar 12084.05 6.8175 82382.56

euro

Hong Kong Dollar 4905150.10 0.8692 4263556.47

125Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

accounts receivable

Among them: US dollar

euro

Hong Kong Dollar

long-term loans

Among them: US dollar

euro

Hong Kong Dollar

Other receivables

Among them: US dollar

euro

Hong Kong Dollar 20692378.86 0.8692 17985815.71

Other payables

Among them: US dollar 733761.87 6.8175 5002421.55

euro

Hong Kong Dollar 18623481.77 0.8692 16187530.35

Other notes:

(2) The nature of the lack of currency convertibility and its financial impact the spot exchange rate

adopted and its estimation process as well as the risks faced by the enterprise due to the lack of currency

convertibility

□ Applicable□Not Applicable

(3) Description of overseas operating entities including for significant overseas operating entities the

main overseas operating locations the functional currency and the basis for selection should be disclosed.If there is a change in the functional currency the reasons for the change should also be disclosed.□ Applicable□Not applicable

(4) The lack of convertibility between the functional currency of overseas operations and the presentation

currency of the enterprise

□ Applicable□Not Applicable

VIII. Research and development expenditure

Unit: Yuan

project current period amount previous period amount

126Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

IX. Changes in the scope of consolidation

1. Business combination not under common control

(1) Business combinations not under common control that occurred in the current period

Unit: Yuan

The

Net profit Cash flow

revenue

of the of the

Time Basis for of the

Name of Cost of Method acquiree acquiree

point of Equity determini acquiree

the equity of equity Acquisiti from the from the

equity acquisitio ng the from the

purchased acquisitio acquisitio on Date acquisitio acquisitio

acquisitio n ratio acquisitio acquisitio

party n n n date to n date to

n n date n date to

the end of the end of

the end of

the period the period

the period

Other notes:

(2) Merger cost and goodwill

Unit: Yuan

Merger cost

--Cash

--Fair value of non-cash assets

-- Fair value of debts issued or assumed

--Fair value of equity securities issued

-- Fair value of contingent consideration

-- The fair value of the equity held prior to the acquisition date

on the acquisition date

--Others

Total merger cost

Less: fair value share of identifiable net assets acquired

The amount where the goodwill/combination cost is less than

the fair value share of the identifiable net assets acquired

Method for determining the fair value of the merger cost:

Explanation of contingent consideration and its changes

The main reasons for the formation of significant goodwill are:

Other notes:

(3) Identifiable assets and liabilities of the acquiree on the acquisition date

Unit: Yuan

Fair value on acquisition date Book value on the purchase date

Assets:

Monetary Funds

Receivables

127Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

inventory

Fixed assets

intangible assets

Liabilities:

loan

Accounts payable

Deferred tax liabilities

net assets

Less: minority shareholders' equity

Net assets acquired

Method for determining the fair value of identifiable assets and liabilities:

Contingent liabilities assumed by the acquirer from the acquiree in a business combination:

Other notes:

(4) Gains or losses arising from the remeasurement of equity held prior to the acquisition date at fair value

Is there any transaction that achieves business combination step by step through multiple transactions and obtains control during

the reporting period

□ Yes□No

(5) Explanation on the inability to reasonably determine the merger consideration or the fair value of the identifiable assets

and liabilities of the acquiree on the acquisition date or at the end of the current merger period

(6) Other descriptions

2. Business combination under common control

(1) Business combinations under common control that occurred in the current period

Unit: Yuan

Consolidat Consolidat

e the e the net

revenue of profit of

the the

The Basis for Income of Net profit

combined combined

proportion constituting the of the

Basis for party from party from

Name of of equity business combined combined

Merger determinin the the

the merged acquired in combinatio party party

date g the beginning beginning

party a business ns under during the during the

merger date of the of the

combinatio common comparison comparison

current current

n control period period

period to period to

the the

consolidati consolidati

on date on date

Other notes:

128Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

(2) Merger cost

Unit: Yuan

Merger cost

--Cash

--Book value of non-cash assets

--Book value of debts issued or assumed

--Par value of equity securities issued

-- Contingent consideration

Explanation of contingent consideration and its changes:

Other notes:

(3) The book value of the assets and liabilities of the combined party on the combination date

Unit: Yuan

Merger date End of last period

Assets:

Monetary Funds

Receivables

inventory

Fixed assets

intangible assets

Liabilities:

loan

Accounts payable

net assets

Less: Minority shareholders' equity

Net assets acquired

Contingent liabilities assumed by the acquirer in a business combination:

Other notes:

3. Reverse purchase

Basic transaction information basis for the transaction constituting a reverse purchase whether the assets and liabilities retained

by the listed company constitute a business and the basis for this determination of the merger cost and the amount and calculation

of equity adjustments when treated as equity transactions:

4. Disposal of subsidiaries

Is there any transaction or matter in the current period where control over a subsidiary has been lost

□ Yes□No

Is there a situation where the investment in a subsidiary is disposed of step by step through multiple transactions and control is lost

in the current period

129Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

□ Yes□No

5. Changes in consolidation scope due to other reasons

Explain the changes in the consolidation scope caused by other reasons (such as the establishment of new subsidiaries liquidation

of subsidiaries etc.) and their related circumstances:

6. Others

X. Equity in other entities

1. Equity in subsidiaries

(1) Composition of enterprise group

Unit: Yuan

subsidiary Main shareholding ratio

registered Place of Nature of acquisition

company business

capital registration Business

name location directly indirect

method

Shenzhen

Shenfang

Group 30000000.0

Shenzhen Shenzhen real estate 95.00% 5.00% establish

Longgang 0

Development

Co. Ltd

Great Wall

Real Estate

500000.001 America America real estate 70.00% establish

Co. Ltd.USA

Shenzhen Property

30000000.0

Haiyan Hotel Shenzhen Shenzhen leasing and 68.10% 31.90% establish

0

Co. Ltd management

Shenzhen

Zhentong 10000000.0

Shenzhen Shenzhen construction 73.00% 27.00% establish

Engineering 0

Co. Ltd

Shenzhen

Huazhan

Construction 8000000.00 Shenzhen Shenzhen construction 75.00% 25.00% establish

Supervision

Co. Ltd

Shenzhen

Lianhua 10000000.0

Shenzhen Shenzhen construction 95.00% 5.00% establish

Enterprise 0

Co. Ltd

Xinfeng

Investment

Enterprise 500000.002 Hong Kong Hong Kong 100.00% establish

management

Co. Ltd

Shenzhen

Shenfang

import and

Bonded 5000000.00 Shenzhen Shenzhen 95.00% 5.00% establish

export trade

Trading Co.Ltd

Shenzhen 10000000.0 Shenzhen Shenzhen investment 90.00% 10.00% establish

130Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Shenfang 0

Investment

Co. Ltd

Beijing

Xinfeng Real

Estate

10000000.0

Development 3 Beijing Beijing real estate 75.00% 25.00% establish0

and

Operation

Co. Ltd

Shenzhen

Shenfang

Chuanqi Real

3000.00 Shenzhen Shenzhen real estate 100.00% establish

Estate

Development

Co. Ltd

Note: 1 US dollar

2 Hong Kong dollars

3 dollars

Explanation of the difference between the shareholding ratio and the voting right ratio in subsidiaries:

Not applicable.The basis for holding half or less of the voting rights but still controlling the invested entity and holding more than half of the

voting rights but not controlling the invested entity:

Not applicable.For significant structured entities included in the consolidation scope the basis for control is as follows:

Not applicable.The basis for determining whether a company is an agent or a principal:

Not applicable.Other notes:

(1) The company has three subsidiaries that are included in the consolidation scope which have been suspended for a long time

and are in a status of revoked but not cancelled in the industrial and commercial registration. These subsidiaries are Guangzhou

Huangpu Xincun Real Estate Development Co. Ltd. a secondary subsidiary held by Beijing Xinfeng Real Estate Development

and Operation Co. Ltd. and Xinfeng Real Estate Development and Construction (Wuhan) Co. Ltd. These three subsidiaries are

reported on a discontinued operations basis.

(2) Jianbang Company went bankrupt and liquidated on November 30 2025 and was taken over by the bankruptcy administrator.

Since that date it has no longer been included in the consolidation scope.

(2) Important non-wholly-owned subsidiaries

Unit: Yuan

subsidiary company Shareholding ratio of Profit and loss Dividends declared and Closing balance of

131Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

name minority shareholders attributable to minority distributed to minority minority shareholders'

shareholders in the shareholders in the equity

current period current period

Great Wall Real Estate

30.00%-46857.750.00-22019887.97

Co. Ltd. USA

Xinfeng Investment

45.00%0.000.00-115584425.07

Co. Ltd

Bai Wei Real Estate

20.00%0.000.00-3623490.16

Co. Ltd

Explanation of the difference between the shareholding ratio and voting right ratio of minority shareholders in subsidiaries:

Not applicable.Other notes:

Not applicable.

(3) Main financial information of significant non-wholly-owned subsidiaries

Unit: Yuan

subsidi Closing balance Opening balance

ary Non- Non-

compa Non- current Total Non- current Totalcurrent Total current current Total current

ny current liabiliti Liabili current liabiliti Liabiliassets Assets liabiliti assets Assets liabiliti

name assets es ties assets es tieses es

Great

Wall

Real 18836 19191 10838 10838 19420 19946 11174 11174

3551552605

Estate 425.2 575.8 5384. 0.00 5384. 237.0 289.0 5358. 0.00 5358.

0.572.05

Co. 6 3 02 02 1 6 13 13

Ltd.USA

Xinfen

g

25685256852581625816

Invest 2292. 2790. 2292. 2810.

497.798980.0.008980.517.264218.0.004218.

ment 80 59 80 06

79795656

Co.Ltd

Bai

Wei

31576315763281232812

Real

0.000.000.00848.10.00848.10.000.000.00021.60.00021.6

Estate

4488

Co.Ltd

Guang

dong

Jianba

ng

Group

(Huiya

ng)

Industr

ial Co.Ltd

132Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Unit: Yuan

current period amount previous period amount

subsidiary Total Cash flow Total Cash flow

company Operating comprehen from Operating comprehen from

name Net profit Net profitRevenue sive operating Revenue sive operating

income activities income activities

Great Wall

Real Estate - 2605260.8 - -

361888.66350938.54140037.29331378.89

Co. Ltd. 156192.49 8 123837.00 201536.70

(USA)

Xinfeng

1305735.5

Investment 0.00 0.00 0.00 0.00 0.00 510769.05 0.00

6

Co. Ltd

Bai Wei

1235173.5

Real Estate 0.00 0.00 0.00 0.00 -96.81 483073.62 0.00

4

Co. Ltd

Guangdong

Jianbang

Group - -

0.000.000.000.000.000.00

(Huiyang) 356947.04 356947.04

Industrial

Co. Ltd

Other notes:

(1) Jianbang Company was taken over by the bankruptcy administrator for bankruptcy liquidation on November 30 2025 and was

no longer included in the consolidation scope from November 30 2025.

2. Transactions where there is a change in the owner's equity share of a subsidiary and the parent

company still controls the subsidiary

3. Equity in joint ventures or associated enterprises

(1) Summary financial information of insignificant joint ventures and associated enterprises

Unit: Yuan

Closing balance / Amount incurred in the Opening balance / Amount incurred in

current period the previous period

Joint venture:

The total calculated based on the

shareholding ratio of each item listed

below

Joint ventures:

The total of the following items

calculated based on the shareholding

ratio

Other instructions

(2) Excess losses incurred by joint ventures or associated enterprises

Unit: Yuan

133Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Unrecognized losses for the

Name of joint venture or Accumulated unrecognized Accumulated unrecognized

current period (or net profit

associated enterprise losses from prior periods losses at the end of the period

shared for the current period)

Shenzhen Xinfeng Real

2217955.892217955.89

Estate Consulting Co. Ltd

Other instructions

XI. Government subsidies

1. Government subsidies recognized based on the amount receivable at the end of the reporting period

□ Applicable□Not Applicable

Reasons for failing to receive government subsidies of the expected amount at the expected time

□ Applicable□Not Applicable

2. Liability items involving government subsidies

□ Applicable□Not applicable

3. Government subsidies included in current profit and loss

□Applicable □ Not applicable

Unit: Yuan

accounting subject current period amount previous period amount

Other income 2000.00 0.00

Other notes:

XII. Risks related to financial instruments

1. Various risks arising from financial instruments

The objective of our company's risk management is to strike a balance between risk and return minimize

the negative impact of risk on our operating performance and maximize the interests of shareholders and other

equity investors. Based on this risk management objective our basic strategy for risk management is to identify

and analyze various risks faced by our company establish appropriate risk tolerance thresholds conduct risk

management and supervise various risks in a timely and reliable manner to keep risks within a defined range.The Company faces various risks related to financial instruments in its daily activities primarily including

credit risk liquidity risk and market risk. The management has reviewed and approved policies to manage

these risks which are summarized as follows.(I) Credit risk

Credit risk refers to the risk that one party to a financial instrument fails to fulfill its obligations resulting

in financial losses to the other party.

1. Credit risk management practices

(1) Evaluation method of credit risk

The company assesses whether the credit risk of relevant financial instruments has significantly increased

since initial recognition on each balance sheet date. In determining whether credit risk has significantly

134Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

increased since initial recognition the company considers obtaining reasonable and well-founded information

without unnecessary additional cost or effort including qualitative and quantitative analysis based on historical

data external credit risk ratings and forward-looking information. The company uses individual financial

instruments or portfolios of financial instruments with similar credit risk characteristics as the basis and

compares the risk of default on the balance sheet date with the risk of default on the initial recognition date to

determine the changes in default risk during the expected duration of the financial instruments.When one or more of the following quantitative and qualitative criteria are triggered the company deems

that the credit risk of financial instruments has significantly increased:

1) The quantitative criterion primarily involves a rise in the probability of default during the remaining

duration as of the balance sheet date exceeding a certain percentage compared to the initial recognition;

2) The qualitative criteria primarily involve significant adverse changes in the debtor's operational or

financial situation as well as existing or anticipated changes in the technological market economic or legal

environment that will have a material adverse impact on the debtor's repayment ability to the company.

(2) Definition of defaulted and credit impaired assets

When a financial instrument meets one or more of the following conditions the company defines the

financial asset as having defaulted and its criteria are consistent with the definition of credit impairment:

1) The debtor encounters significant financial difficulties;

2) The debtor violates the restrictive clauses imposed on the debtor in the contract;

3) The debtor is likely to go bankrupt or undergo other financial restructuring;

4) The creditor due to economic or contractual considerations related to the debtor's financial difficulties

grants concessions that the debtor would not otherwise make.

2. Measurement of expected credit losses

The key parameters for measuring expected credit losses include probability of default loss given default

and exposure at default. The company takes into account quantitative analysis of historical statistical data (such

as counterparty ratings types of guarantees and collateral repayment methods etc.) and forward-looking

information to establish models for probability of default loss given default and exposure at default.

3. For the detailed reconciliation statement of the beginning and ending balances of provisions for losses

on financial instruments please refer to the explanations provided in Notes 7(3) 7(4) 7(5) and 7(6) to the

financial statements.

4. Credit risk exposure and credit risk concentration

The credit risk of our company primarily arises from monetary funds and receivables. To mitigate the

aforementioned risks we have implemented the following measures.

(1) Monetary funds

The company deposits its bank deposits and other monetary funds with financial institutions with high

credit ratings thus its credit risk is relatively low.

(2) Accounts receivable and contract assets

Our company regularly conducts credit assessments on customers who engage in transactions using credit

methods. Based on the credit assessment results we choose to conduct transactions with approved customers

who have good credit and monitor their accounts receivable balances to ensure that our company does not face

significant bad debt risks.Due to the distribution of our company's accounts receivable risk points across multiple partners and

customers credit risk is managed on a customer-by-customer basis. As of June 30 2026 our company faces a

certain degree of credit concentration risk with 46% (as of December 31 2025: 38.71%) of our accounts

135Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

receivable and contract assets stemming from the top five customers by balance. Our company does not hold

any collateral or other credit enhancements for the balances of accounts receivable and contract assets.The maximum credit risk exposure borne by our company is the book value of each financial asset in the

balance sheet.(II) Liquidity risk

Liquidity risk refers to the risk of experiencing a shortage of funds when the company fulfills its

obligations to settle transactions by delivering cash or other financial assets. Liquidity risk may arise from the

inability to sell financial assets at fair value as soon as possible; or from the counterparty's inability to repay its

contractual debts; or from early maturity of debts; or from the inability to generate expected cash flows.To control this risk our company comprehensively utilizes various financing methods such as bill

settlement and bank loans and adopts a method that appropriately combines long-term and short-term financing

to optimize the financing structure maintaining a balance between financing continuity and flexibility. Our

company has obtained bank credit lines from multiple commercial banks to meet its working capital needs and

capital expenditures.Financial liabilities are classified based on their remaining maturity

Ending Balance

Project (or Item)

book value Undiscountedcontract amount within one year 1-3 years More than 3 years

short-term borrowing 1065508.63 1065508.63 1065508.63

accounts payable 168578885.71 168578885.71 168578885.71

Other payables 119077007.22 119077007.22 119077007.22

Other current liabilities 7053339.82 7053339.82 7053339.82

Subtotal 295774741.38 295774741.38 295774741.38 0.00 0.00

(Continued from the previous table)

Project (or Item) "Year-end balance of the previous year"

book value Undiscountedcontract amount within one year 1-3 years More than 3 years

short-term borrowing 50000.00 50000.00 50000.00

accounts payable 171738333.04 171738333.04 171738333.04

Other payables 144280409.16 144280409.16 144280409.16

Other current liabilities 7329890.15 7329890.15 7329890.15

Subtotal 323398632.35 323398632.35 323398632.35 0.00 0.00

(III) Market risk

Market risk refers to the risk that the fair value or future cash flows of a financial instrument fluctuate due

to changes in market prices. Market risk primarily includes interest rate risk and foreign exchange risk.

1. Interest rate risk

Interest rate risk refers to the risk of fluctuations in the fair value or future cash flows of financial

instruments due to changes in market interest rates. Fixed-rate interest-bearing financial instruments expose the

Company to fair value interest rate risk while floating-rate interest-bearing financial instruments expose the

Company to cash flow interest rate risk. The Company determines the proportion of fixed-rate and floating-rate

financial instruments based on market conditions and maintains an appropriate portfolio of financial instruments

through regular review and monitoring. The cash flow interest rate risk faced by the Company is primarily

related to the Company's bank loans with floating-rate interest accrual.

136Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

As of June 30 2026 the Company had no bank loans with floating interest rates (as of December 31 2025:

no bank loans with floating interest rates). Assuming that other variables remain unchanged a 50 basis point

change in interest rates would not have a significant impact on the Company's total profit and shareholders'

equity.

2. Foreign exchange risk

Foreign exchange risk refers to the risk of fluctuations in the fair value or future cash flows of financial

instruments due to changes in foreign exchange rates. The Company's exposure to exchange rate fluctuations is

primarily related to its foreign currency monetary assets and liabilities. In the event of short-term imbalances in

foreign currency assets and liabilities the Company will when necessary trade foreign currencies at market

exchange rates to ensure that its net risk exposure remains at an acceptable level.The exchange rate risk primarily arises from the impact of foreign exchange rate fluctuations on the

Company's financial position and cash flow. Apart from the assets held by its subsidiary in Hong Kong which

are denominated in Hong Kong dollars the Company only has minor investments in the Hong Kong market.The foreign currency assets and liabilities held by the Company do not constitute a significant proportion of its

overall assets and liabilities. Therefore the Company believes that the exchange rate risk it faces is not material.For details of the Company's foreign currency monetary assets and liabilities at the end of the period

please refer to the explanation provided in Note VII (49) of the financial report.

2. Financial assets

(1) Classification of transfer methods

□ Applicable□Not Applicable

(2) Financial assets derecognized due to transfer

□ Applicable□Not Applicable

(3) Financial assets transferred with continued involvement

□ Applicable□Not Applicable

Other instructions

Not applicable.XIII. Disclosure of fair value

1. The closing fair value of assets and liabilities measured at fair value

Unit: Yuan

Closing fair value

project Level 1 fair value Level 2 fair value Level 3 fair value

total

measurement measurement measurement

1. Continuous fair

--------

value measurement

1. Financial assets 1057325314.70 1057325314.70

measured at fair value

137Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

with changes

recognized in current

profit and loss

Fund investment and

1057325314.701057325314.70

financial management

2. Designate financial

assets measured at fair

value with changes 11729520.39 11729520.39

recognized in current

profit and loss

(III) Other equity

11729520.3911729520.39

instrument investments

II. Non-continuous fair

--------

value measurement

Total assets not

measured at fair value 1069054835.09 1069054835.09

on a continuous basis

2. For items measured at fair value at the third level both on an ongoing and non-ongoing basis the

valuation techniques employed as well as the qualitative and quantitative information regarding key

parameters

For fund financial products not traded in an active market their remaining maturity is relatively short and their

fair value is determined by the sum of book value and expected return. For other equity instrument investments

not traded in an active market the investment amount is small and the changes in the net assets of the investee

are minimal with the book value and fair value being close. Therefore their fair value is determined by the

book value.XIV. Related parties and related transactions

1. Information about the parent company of this enterprise

The shareholding The voting right

Name of the parent Place of ratio of the parent proportion of the

Nature of Business registered capital

company registration company in the parent company in

enterprise the enterprise

Investment real

Shenzhen

Shenzhen estate

Investment 3358600.001 54.79% 54.79%

Guangdong development and

Holding Co. Ltd

guarantee

Note: 10000 Renminbi

Explanation of the parent company of this enterprise

The ultimate controlling party of this enterprise is the State-owned Assets Supervision and Administration Commission of the

People's Government of Shenzhen Municipality.Other notes:

2. Information about the subsidiaries of the enterprise

For details of the subsidiaries of the Company please refer to Note IX.

138Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Information on the joint ventures and associated enterprises of the enterprise

For details of the significant joint ventures or associated enterprises of the Company please refer to Note IX.The status of other joint ventures or associated enterprises that have conducted related-party transactions with the Company in the

current period or have balances from related-party transactions with the Company in previous periods is as follows:

Name of joint venture or associated enterprise Relationship with the enterprise

Other instructions

4. Information on other related parties

Name of other related parties Relationship between other related parties and the enterprise

Shenzhen Oriental New World Department Store Co. Ltd Equity-accounted company

Shenzhen Shenxi Architectural Decoration Company The company has not consolidated its holding company

Shenzhen Zhentongxin Electromechanical Industrial

The company has not consolidated its holding company

Development Co. Ltd

Shenzhen Nanyang Hotel Co. Ltd The company has not consolidated its holding company

Shenzhen Real Estate Electromechanical Management

The company has not consolidated its holding company

Company

Shenzhen Longgang Henggang Huagang Industrial Co. Ltd The company has not consolidated its holding company

Shenzhen Property Management Co. Ltd A holding subsidiary of the parent company

Guoren Property and Casualty Insurance Company Limited The holding subsidiary of the parent company

Shenzhen Water Planning and Design Institute Co. Ltd A holding subsidiary of the parent company

Shenzhen Institute of Architectural Design and Research Co.The holding subsidiary of the parent company

Ltd

Shenzhen Shenfang Property Cleaning Co. Ltd The holding subsidiary of the parent company

Shenzhen Property Management Co. Ltd. Shantou Branch The holding subsidiary of the parent company

Shenzhen Guomao Property Management Co. Ltd A holding subsidiary of the parent company

Shenzhen Xinfeng Real Estate Consulting Co. Ltd Joint venture

Guangdong Huizhou Luofu Mountain Mineral Water Beverage

Joint venture

Co. Ltd

Shenzhen Runhua Automobile Trading Company Joint venture

Canada Great Wall (Vancouver) Co. Ltd The company has not consolidated its holding company

Parker & Co. Ltd. Australia The company has not consolidated its holding company

Baili Co. Ltd The company has not consolidated its holding company

Shenzhen Shenfang Department Store Co. Ltd The company has not consolidated its holding company

Shenzhen Ronghua Electromechanical Engineering Co. Ltd Joint venture

Xi'an Xinfeng Property Trade Co. Ltd The company has not consolidated its holding company

Lianfeng Cement Manufacturing Co. Ltd. Fengkai County

The company has not consolidated its holding company

Guangdong Province

Beijing Shenfang Property Management Co. Ltd Equity-accounted company

Other instructions

5. Related party transactions

(1) Related transactions involving the purchase and sale of goods and the provision and acceptance of

labor services

Table of Purchased Goods/Received Labor Services

Unit: Yuan

Content of related- Current period Approved

Related party Is the transaction

Previous period

party transactions amount transaction limit amount over the amount

139Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

limit

Guoren Property

and Casualty

Insurance Service 11819.26 11584.31

Insurance

Company Limited

Shenzhen Property

Management Co. Property service 509217.67 331127.32

Ltd

Shenzhen

Shenfang Property Cleaning Service 203113.22 246815.10

Cleaning Co. Ltd

Shenzhen Property

Management Co.property service 1001426.51 1174174.96

Ltd. Shantou

Branch

Statement of Goods Sold/Services Provided

Unit: Yuan

Content of related-party

Related party Current period amount Previous period amount

transactions

Guoren Property and Casualty

rental service 209525.40 212377.14

Insurance Company Limited

Shenzhen Property

rental service 2996354.61 2206302.45

Management Co. Ltd

Shenzhen Shenfang Property

rental service 21784.57 19999.98

Cleaning Co. Ltd

Explanation of related transactions involving the purchase and sale of goods and the provision and acceptance of labor services

(2) Related lease situation

As the lessor our company:

Unit: Yuan

Lease income recognized in Lease income recognized in

Lessee Name Type of leased asset

the current period the previous period

Shenzhen Property

Houses and buildings 2996354.61 2206302.45

Management Co. Ltd

Shenzhen Shenshanfang

Houses and buildings 21784.57 19999.98

Property Cleaning Co. Ltd

Guoren Property and Casualty

Houses and buildings 209525.40 212377.14

Insurance Company Limited

As the lessee our company:

Unit: Yuan

Rental expenses Variable lease

for simplified payments not

Interest expense on

short-term leases included in the Increased right-of-

Rent paid lease liabilities

Type of and low-value measurement of use assets

Lessor undertaken

leased asset leases (if lease liabilities (if

Name

asset applicable) applicable)

current previou current previou current previou current previou current previou

period s period period s period period s period period s period period s period

amount amount amount amount amount amount amount amount amount amount

140Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Explanation of Associated Leasing Situation

(3) Remuneration of key management personnel

Unit: Yuan

Project Current period amount Previous period amount

Remuneration of key management

2943096.003124891.50

personnel

6. Receivables and payables from/to related parties

(1) Accounts receivable

Unit: Yuan

Closing balance Opening balance

Project Name Related party Allowance for bad Allowance for bad

Book balance Book balance

debts debts

Shenzhen

accounts

Investment 648391.56

receivable

Holding Co. Ltd

Shenzhen Property

accounts

Management Co. 657978.50 500000.00

receivable

Ltd

Shenzhen Xinfeng

accounts Real Estate

1174956.311174956.311212232.731212232.73

receivable Consulting Co.Ltd

Guangdong

Jianbang Group

Other receivables 843296961.67 102965447.05 843296961.67 102965447.05

(Huiyang)

Industrial Co. Ltd

Guangdong

Huizhou Luofu

Other receivables Mountain Mineral 10465168.81 10465168.81 10465168.81 10465168.81

Water Beverage

Co. Ltd

Shenzhen Runhua

Other receivables Automobile 3072764.42 3072764.42 3072764.42 3072764.42

Trading Company

Canada Great Wall

Other receivables (Vancouver) Co. 89035748.07 89035748.07 89035748.07 89035748.07

Ltd

Parkerton

Other receivables 12559290.58 12559290.58 12559290.58 12559290.58

Australia Pty Ltd

Other receivables Baili Co. Ltd 19051233.49 19051233.49 19363348.69 19363348.69

Shenzhen

Shenfang

Other receivables 237648.82 237648.82 237648.82 237648.82

Department Store

Co. Ltd

Shenzhen

Ronghua

Other receivables Electromechanical 475223.46 475223.46 475223.46 475223.46

Engineering Co.Ltd

141Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Xi'an Xinfeng

Other receivables Property Trade 8075450.40 8075450.40 8391333.18 8391333.18

Co. Ltd

Shenzhen Shenxi

Architectural

Other receivables 7660529.37 7660529.37 7660529.37 7660529.37

Decoration

Company

Shenzhen

Other receivables Nanyang Hotel 3168721.00 3168721.00 3168721.00 3168721.00

Co. Ltd

Beijing Shenfang

Property

Other receivables 6905673.69 6533817.09 6905673.69 6533817.09

Management Co.Ltd

(2) Payable items

Unit: Yuan

Project Name Related party Closing book balance Opening book balance

Shenzhen Investment Holding

Interest payable 16535277.94 16535277.94

Co. Ltd

Shenzhen Property

accounts payable 4806559.84 8127082.22

Management Co. Ltd

Guoren Property and Casualty

Other payables 74332.00 0.00

Insurance Company Limited

Shenzhen Property

Other payables 165460.14 171466.20

Management Co. Ltd

Shenzhen Dongfang New

Other payables World Department Store Co. 902974.64 902974.64

Ltd

Lianfeng Cement

Manufacturing Co. Ltd.Other payables 1867348.00 1867348.00

Fengkai County Guangdong

Province

Shenzhen Real Estate

Other payables Electromechanical 14981420.99 14981420.99

Management Company

Shenzhen Zhentongxin

Other payables Electromechanical Industrial 8260832.50 8260832.50

Development Co. Ltd

Shenzhen Shenshanfang

Other payables 639360.38 639360.38

Department Store Co. Ltd

Shenzhen Longgang

Other payables Henggang Huagang Industrial 165481.09 165481.09

Co. Ltd

XV. Share-based payments

1. Overall situation of share-based payments

□ Applicable□Not Applicable

142Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2. Share-based payments settled with equity

□ Applicable□Not Applicable

3. Share-based payments settled in cash

□ Applicable□Not Applicable

4. Share-based payment expenses in the current period

□ Applicable□Not Applicable

XVI. Commitments and Contingencies

1. Important commitments

Significant commitments existing as of the balance sheet date

As of June 30 2026 the company has no significant commitments that need to be disclosed.

2. Contingencies

(1) Significant contingent matters existing on the balance sheet date

1. Contingent liabilities arising from pending litigation and arbitration and their financial impacts

Plaintiff Defendant Cause of Court ofAction jurisdiction Amount in dispute Remark

In the bankruptcy

liquidation

process the

administrator has

Zhongshan Shengtang Guangdong Jianbang Apply for Huizhou In the process of taken over

Advertising Co. Ltd Group (Huiyang) bankruptcy Intermediate reviewing claims JianbangIndustrial Co. Ltd liquidation People's Court and debts Company.Case details: [Note

1]

Case progress:

This enforcement

procedure is

terminated.Huizhou Mingxiang The principal Jianbang Company

Economic Information amount is has entered into

Consulting Co. Ltd. Litigation over 177.1514 million bankruptcy

Huizhou Huiyang Guangdong Jianbang disputes over Huizhou yuan and the liquidation

Hongfa Industry and Group (Huiyang) the right to Intermediate interest proceedings and

Trade Co. Ltd. and Industrial Co. Ltd claim payment People's Court creditors have

Huizhou Jinlongsheng of bills RMB 2.8482 declared their

Industrial Co. Ltd million claims to theadministrator.Case details: [Note

2]

Guangzhou Bopi Dispute over Huizhou Case progress:

Shenzhen Special Enterprise Management joint venture Intermediate Under retrial.Economic Zone Real Consulting Co. Ltd. or cooperative People's 743.575 million Guangzhou Bopi

Estate (Group) Co. Ltd Evergrande Real Estate real estate Court yuan and EvergrandeGroup Pearl River Delta development Guangdong Pearl River Delta

Real Estate contract Province have entered

143Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Development Co. Ltd. bankruptcy

Shenzhen Qijin liquidation

Investment Co. Ltd. procedures and

and the third party are have declared their

Guangdong Jianbang claims to the

Group (Huiyang) administrator.Industrial Co. Ltd Shenzhen Qijin is

currently

undergoing

liquidation and

deregistration and

has declared its

claims to the

liquidation team.Case details: [Note

3]

Case progress:

Termination of

enforcement

proceedings.Jianbang Company

has entered into

Shenzhen Special Guangdong Jianbang People's Court The principal and bankruptcy

Economic Zone Real Group (Huiyang) Loan contract of Luohu interest amount to liquidation

Estate (Group) Co. Ltd Industrial Co. Ltd dispute District 395.6885 million proceedings andShenzhen yuan has declared its

claims to the

administrator.Case details: [Note

4]

Case Progress:

Jianbang

Company

Guangzhou Bopi

and Evergrande

Pearl River Delta

Guangdong Jianbang have all entered

Group (Huiyang) bankruptcy

Industrial Co. Ltd. liquidation

Guangzhou Bopi procedures and

Enterprise have declared their

Shenzhen Special Management People's Court The principal and claims to the

Economic Zone Real Consulting Co. Ltd. Dispute over of Huiyang interest amount to administrators

Estate (Group) Co. Ltd Evergrande Real Estate loan contract District 419.5229 million respectively.Group Pearl River Delta Huizhou City yuan Shenzhen Qijin is

Real Estate currently

Development Co. Ltd. undergoing

Shenzhen Qijin liquidation and

Investment Co. Ltd deregistration and

has declared its

claims to the

liquidation team.Case details: [Note

5]

[Note 1] On October 27 2025 Jianbang Company received the "Civil Ruling Paper" and "Decision Paper"

issued by the Huizhou Intermediate People's Court. The court ruled to accept the bankruptcy liquidation

application filed by Zhongshan Shengtang Advertising Co. Ltd. (hereinafter referred to as "Shengtang

Company") against Jianbang Company and appointed a manager. For details please refer to the

"Announcement on the Court's Ruling to Accept the Bankruptcy Liquidation Application against the Holding

Subsidiary and the Appointment of the Manager" (Announcement No. 2025-030) issued by our company on

October 30 2025. On December 8 2025 our company submitted creditor's rights declaration materials to the

manager of Jianbang Company based on the confirmed creditor's rights amount creditor's rights and debts

144Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

confirmation document transfer vouchers etc. obtained from the effective civil judgment. Our company

actively participated in the creditors' meeting and exercised creditor's rights in accordance with the law.[Note 2] Jianbang Company a subsidiary of our company holding 51% of its shares was unable to honor

commercial acceptance bills due in January 2022 with a total amount of RMB 177.1514 million. The plaintiff

company filed a lawsuit for dispute over the right to demand payment of bills with the Huiyang District Court.On March 14 2023 the court issued a judgment ordering Jianbang Company to pay the three companies the

commercial bills and overdue interest (including litigation and preservation costs of approximately RMB 1.03

million) within 15 days. The case involved the sealing of 153 properties estimated at RMB 220 million based

on the recorded price in Buildings 2 and 4 of the first phase of the Shenfang Linxinyuan project. The plaintiff

has applied for enforcement with the Huizhou Intermediate People's Court which issued an "Enforcement

Ruling" in February 2026 terminating the enforcement procedure. As of December 31 2025 considering

Jianbang Company has entered bankruptcy liquidation the administrator has taken over the company and is

handling all litigation and enforcement cases in a unified manner.[Note 3] On April 30 2021 our company signed the "Cooperative Development Agreement" and

"Entrusted Management Agreement" with Guangzhou Bopi Evergrande Pearl River Delta and Jianbang

Company. Guangzhou Bopi promised Jianbang Company that the cumulative net profit from 2021 to 2025

would not be less than 1.25 billion yuan. If Guangzhou Bopi failed to fulfill its profit commitment it would

make up the difference. On June 30 2021 due to Shenzhen Qijin's acquisition of 51% of Guangzhou Bopi's

equity our company Guangzhou Bopi Evergrande Pearl River Delta and Shenzhen Qijin jointly signed

Supplementary Agreement I to the "Cooperative Development Agreement" agreeing that Shenzhen Qijin would

bear joint and several liability with Evergrande Pearl River Delta for Guangzhou Bopi's profit commitment and

the payment of the difference as stipulated in the "Cooperative Development Agreement". Now due to the

fundamental breach of contract by Guangzhou Bopi and Evergrande Pearl River Delta and their actual loss of

ability to perform our company's contractual purpose and expected interests cannot be realized. Our company

has filed a lawsuit. On January 8 2025 our company received the first-instance "Civil Judgment" in this case.The judgment made by the Huizhou Intermediate People's Court the court of first instance supported some of

our company's claims but the part regarding profit payment was not supported due to the unexpired deadline.On January 22 2025 our company filed an appeal against the unsupported claims. In June 2026 the

Guangdong Provincial Higher People's Court the court of second instance issued a "Civil Ruling Paper" ruling

to revoke the first-instance judgment and remand the case for retrial. Given that Guangzhou Bopi and

Evergrande Pearl River Delta have entered bankruptcy liquidation procedures our company has declared its

creditor's rights to the administrator. Meanwhile Shenzhen Qijin is undergoing liquidation and deregistration

and our company has declared its creditor's rights to the liquidation team.[Note 4] In 2021 our company acquired 51% of Jianbang Company's equity held by Guangzhou Bopi. At

the time of the acquisition it was agreed that our company would provide Jianbang Company with interest-

bearing loans based on the equity ratio. Subsequently Jianbang Company borrowed money from our company

in two installments and signed a "Loan Agreement". After signing the agreement our company provided the

loans to Jianbang Company as agreed fulfilling its lending obligations. Now both loans have expired but

Jianbang Company has not repaid them constituting a breach of contract. As a state-owned listed company in

order to protect state-owned assets from losses our company filed this lawsuit. In January 2024 our company

received the "Civil Judgment" issued by the People's Court of Luohu District Shenzhen City Guangdong

Province: Jianbang Company was judged to repay the loan principal of 344696200.26 yuan and pay interest to

our company within ten days from the effective date of the judgment; Jianbang Company was also judged to

pay liquidated damages to our company within ten days from the effective date of the judgment. Our company

145Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

has applied for compulsory enforcement and received the "Enforcement Ruling" on December 2 2025 ruling to

terminate the enforcement procedure. In view of Jianbang Company's entry into bankruptcy liquidation

proceedings our company has declared its creditor's rights to the administrator.[Note 5] In 2021 our company acquired 51% of Jianbang Company's equity held by Guangzhou Bopi. At

the time of the acquisition it was agreed that interest-bearing loans would be provided to Jianbang Company in

proportion to the equity ratio. Subsequently an agreement was signed by the five parties stipulating that our

company would provide loans to Jianbang Company and Jianbang Company would provide corresponding

collateral. Meanwhile Guangzhou Bopi Hengda Zhujiang Delta and Shenzhen Qijin would bear joint and

several liability for 49% of the total loan amount as well as interest and penalties. After the agreement was

signed our company provided loans to Jianbang Company as agreed fulfilling its lending obligations. However

Jianbang Company was unable to repay the loans. As a state-owned listed company in order to protect state-

owned assets from losses our company initiated this lawsuit. On June 7 2024 our company received a

judgment in favor of us in the first instance. On June 24 2024 Guangzhou Bopi filed an appeal but failed to

pay the case acceptance fee on time. In October 2024 the Huizhou Intermediate People's Court issued a "Civil

Ruling Paper" treating it as a withdrawal of the appeal and the first-instance judgment became effective. Our

company applied for compulsory enforcement with the court in January 2025. Given that Jianbang Company

Guangzhou Bopi and Hengda Zhujiang Delta have all entered bankruptcy liquidation procedures our company

has declared its claims to the administrators while Shenzhen Qijin is in the process of handling liquidation and

deregistration. Our company has declared its claims to the liquidation team.

2. Contingent liabilities arising from providing debt guarantees to other entities and their financial impacts

As of June 30 2026 the Company following real estate business practices provided mortgage loan

guarantees for commercial housing buyers and loan guarantees for its subsidiaries totaling RMB 132.2161

million.Guaranteed entity Loan financial Guaranteed loan Guarantee expirationinstitution amount (10000 yuan) date Remark

Until the property

China Construction ownership certificate isHouse purchaser Bank 36.4 registered for mortgage Shanglin Gardenand handed over to the

bank for safekeeping

Until the property

ownership certificate is

House purchaser China Construction 631.55 registered for mortgage Chuanqi DonghuBank and handed over to the Mingyuan

bank for safekeeping

China Construction

Bank Bank of

Communications Until the property

House buyer Industrial and

ownership certificate is

Commercial Bank of 2580.00 registered for mortgage Tianyue Bay

China Bank of China and handed over to the

Postal Savings Bank of bank for safekeeping

China

Huaxia Bank Rural Until the property

Commercial Bank ownership certificate is

House purchaser Postal Savings Bank 9973.66 registered for mortgage Guangmingli

China Merchants Bank and handed over to the

Bank of China bank for safekeeping

Subtotal 13221.61

(2) Even if the company has no significant contingencies to disclose it should still provide an explanation

The company has no significant contingent matters that require disclosure.

146Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Others

XVII. Events after the balance sheet date

1. Significant non-adjusting events

Unit: Yuan

The impact on financial The reason for being unable

project Content

position and operating results to estimate the impact number

2. Profit distribution

3. Sales returns

4. Explanation of other events after the balance sheet date

18. Other important matters

1. Correction of accounting errors in the early stage

(1) Retroactive restatement method

Unit: Yuan

Name of affected report items

The content of accounting

handler during various comparison Cumulative impact count

error correction

periods

(2) Prospective application method

The content of accounting error Reasons for adopting the prospective

Approval procedure

correction application method

2. Debt restructuring

3. Asset replacement

(1) Exchange of non-monetary assets

(2) Replacement of other assets

4. Annuity plan

5. Discontinued operations

Unit: Yuan

project income cost Total Profit Income tax Net profit Profit from

147Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

expense discontinued

operations

attributable to

owners of the

parent company

Other instructions

6. Segment information

(1) Basis for determining reportable segments and accounting policies

(2) Financial information of the reporting segment

Unit: Yuan

project Inter-segment offset total

(3) If the company has no reportable segments or cannot disclose the total assets and total liabilities of

each reportable segment it should explain the reasons

(4) Other descriptions

7. Other significant transactions and matters that have an impact on investors' decisions

8. Others

XIX. Notes to main items in the parent company's financial statements

1. Accounts receivable

(1) Disclosure by aging

Unit: Yuan

aging Closing book balance Opening book balance

Within 1 year (including 1 year) 8787912.33 8724709.94

1 to 2 years 1585100.10 1992924.09

More than 3 years 4450138.62 4450138.62

More than 5 years 4450138.62 4450138.62

total 14823151.05 15167772.65

(2) Disclosure by classification of bad debt provision method

Unit: Yuan

Closing balance Opening balance

Categor allowance for bad allowance for bad

book balance book book balancey debts debts book

value value

Amount proporti Amount provisio Amount proporti Amount provisio

148Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

on n ratio on n ratio

Account

s

receivab

le with

individu 990252 990252 100692 100692

66.80%100.00%66.39%100.00%0.00

al 0.96 0.96 96.06 96.06

provisio

n for bad

debt

reserves

amon

g which

Account

s

receivab

le with

provisio

492063254923.466570509847254923.484355

n for bad 33.20% 5.18% 33.61% 5.00%

0.09836.266.59832.76

debts

calculate

d based

on

portfolio

amon

g which

148231101574466570151677103242484355

total 100.00% 68.52% 100.00% 68.07%

51.0544.796.2672.6519.892.76

If the provision for bad debts of accounts receivable is calculated and withdrawn according to the general model of expected credit

losses:

□ Applicable□Not Applicable

(3) Provision for bad debts accrued recovered or reversed in the current period

Provision for bad debts in the current period:

Unit: Yuan

Current period change amount

Opening

Category Withdraw or Closing balancebalance accrue Write-off Other

reverse

Provision for

bad debts on an 10069296.06 0.00 0.00 0.00 -166775.10 9902520.96

individual basis

Provision for

bad debts based 254923.83 0.00 0.00 0.00 0.00 254923.83

on portfolio

total 10324219.89 0.00 0.00 0.00 -166775.10 10157444.79

Among them the amount of bad debt provision recovered or reversed in the current period is significant:

Unit: Yuan

Recovered or reversed The basis for

Unit Name Reason for reversal Collection method

amount determining the

original provision ratio

149Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

for bad debts and its

reasonableness

(4) Accounts receivable and contract assets ranked by the top five ending balances categorized by the

debtors

Unit: Yuan

Closing balance of

The proportion of

bad debt provision

Closing balance of the total ending

Closing balance of for accounts

Closing balance of accounts balance of

Unit Name accounts receivable and

contract assets receivable and accounts

receivable impairment

contract assets receivable and

provision for

contract assets

contract assets

Shenzhen Huatang

Famous Wine City

2239384.002239384.0015.11%154008.10

Investment Co.Ltd

Daxing Auto Parts

1974974.511974974.5113.32%1974974.51

Co. Ltd

Wang Weidong 1200000.00 1200000.00 8.10% 1200000.00

Shenzhen Xinfeng

Real Estate

1174956.311174956.317.93%1174956.31

Consulting Co.Ltd

Wang Guodong 876489.98 876489.98 5.91% 876489.98

total 7465804.80 7465804.80 50.37% 5380428.90

2. Other receivables

Unit: Yuan

project Closing balance Opening balance

Interest receivable 0.00 0.00

Dividends receivable 37814622.88 24222722.88

Other receivables 1804167419.28 1856205185.25

total 1841982042.16 1880427908.13

(1) Dividends receivable

1) Classification of dividends receivable

Unit: Yuan

Project (or invested entity) Closing balance Opening balance

Shenzhen Shenfang Group Longgang

24222722.8824222722.88

Development Co. Ltd

Shenzhen Shenfang Chuanqi Real Estate

13591900.00

Development Co. Ltd

total 37814622.88 24222722.88

150Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

2) Important dividends receivable with an aging of over 1 year

Unit: Yuan

Whether there is

Project (or invested The reason for not

Closing balance aging impairment and the

entity) being recovered

basis for the judgment

Shenzhen Shenfang

Group Longgang 24222722.88 3-4 years Postpone payment No

Development Co. Ltd

total 24222722.88

3) Disclosure by classification based on bad debt provision method

□ Applicable□Not Applicable

4) The situation of bad debt reserves accrued recovered or reversed in the current period

Unit: Yuan

Current period change amount

Opening

Category Withdraw or Resale or write- Closing balancebalance accrue Other changes

reverse off

For those with significant amounts of bad debt provision recovered or reversed in the current period:

Unit: Yuan

The basis for

determining the

Recovered or reversed

Unit Name Reason for reversal Withdrawal method original provision ratio

amount

for bad debts and its

reasonableness

Other notes:

(2) Other receivables

1) Classification of other receivables by nature of payment

Unit: Yuan

Nature of Payment Closing book balance Opening book balance

Portfolio of receivables from related

2641486472.552633214641.39

parties

Combination of accounts receivable from

165460.00165460.00

government departments

Combination of receivables collections

499682.89500018.15

and payments

Combination of other current accounts

75645207.08144601238.67

receivable

total 2717796822.52 2778481358.21

2) Disclosure by aging

Unit: Yuan

151Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

aging Closing book balance Opening book balance

Within 1 year (including 1 year) 232067586.14 258963768.91

1 to 2 years 390600385.16 424416517.52

2 to 3 years 6128046.38 6100266.94

More than 3 years 2089000804.84 2089000804.84

3 to 4 years 243411.53 243411.53

4 to 5 years 456845625.71 456845625.71

More than 5 years 1631911767.60 1631911767.60

total 2717796822.52 2778481358.21

3) Disclosure by classification based on bad debt provision method

Unit: Yuan

Closing balance Opening balance

allowance for bad allowance for bad

Categor book balance book balance

debts book debtsy book

proporti provisio value proporti provisio value

Amount Amount Amount Amount

on n ratio on n ratio

Provide

for bad

debts on 165367 913454 740218 166243 922101 740331

60.85%55.24%59.83%55.47%

an 2925.83 314.25 611.58 2598.59 083.97 514.62

individu

al basis

amon

g which

Provisio

n for bad

106412175088.106394111604175088.111587

debts 39.15% 0.02% 40.17% 0.02%

3896.69998807.708759.62993670.63

based on

portfolio

amon

g which

271779913629180416277848922276185620

total 100.00% 33.62% 100.00% 33.19%

6822.52403.247419.281358.21172.965185.25

Provision for bad debts based on the general model of expected credit losses:

Unit: Yuan

Phase One Phase Two Phase Three

allowance for bad Expected credit losses Expected credit lossesExpected credit losses

debts over the entire duration over the entire duration

total

over the next 12

(no credit impairment (credit impairment has

months

has occurred) occurred)

Balance as of January

122167.7652921.23922101083.97922276172.96

12026

The balance as of

January 1 2026 is in

the current period

Other changes -8646769.72 -8646769.72

152Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Balance as of June 30

122167.7652921.23913454314.25913629403.24

2026

Basis for dividing each stage and proportion of bad debt provision

Changes in book balance of significant amounts in loss provisions during the current period

□ Applicable□Not Applicable

4) Provision for bad debts accrued recovered or reversed in the current period

Provision for bad debts in the current period:

Unit: Yuan

Current period change amount

Opening

Category Withdraw or Resale or write- Closing balancebalance accrue Other

reverse off

Provide for bad

debts on an 922101083.97 0.00 -8646769.72 913454314.25

individual basis

Provision for

bad debts based 175088.99 0.00 175088.99

on portfolio

total 922276172.96 0.00 0.00 0.00 -8646769.72 913629403.24

For those with significant amounts of bad debt provision reversed or recovered in the current period:

Unit: Yuan

The basis for

determining the

Reversal or recovery

Unit Name Reason for reversal Withdrawal method original provision ratio

amount

for bad debts and its

reasonableness

5) Other receivables with the top five ending balances categorized by debtors

Unit: Yuan

Proportion of total

The nature of the Closing balance of

Unit Name Closing balance Aging ending balance of

payment bad debt provision

other receivables

Guangdong

Subsidiary Within 1 year 1-2

Jianbang Group

company 843296961.67 years 2-3 years 31.03% 102965447.05

(Huiyang)

transactions over 5 years

Industrial Co. Ltd

Shantou Huafeng

Subsidiary

Real Estate 1-2 years over 5

company 714160642.87 26.28%

Development Co. years

transactions

Ltd

Subsidiary

Xinfeng Enterprise 1-2 years over 5

company 529778002.10 19.49% 529778002.10

Co. Ltd years

transactions

Shenzhen

Shenfang Chuanqi Subsidiary Within 1 year 1-2

Real Estate company 263075988.15 years and over 5 9.68%

Development Co. transactions years

Ltd

153Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Great Wall Real Subsidiary

Estate Co. Ltd. company 101050900.17 More than 5 years 3.72% 101050900.17

USA transactions

total 2451362494.96 90.20% 733794349.32

3. Long-term equity investment

Unit: Yuan

Closing balance Opening balance

project provision for provision for

book balance book value book balance book value

impairment impairment

Investment in 1265520833. 1132181561. 1265520833. 1132181561.

133339271.15133339271.15

subsidiaries 00 85 00 85

Investment in

associated and 11977845.58 11977845.58 11977845.58 11977845.58

joint ventures

1277498678.1132181561.1277498678.1132181561.

total 145317116.73 145317116.73

58855885

(1) Investment in subsidiaries

Unit: Yuan

Opening Opening Changes in the current period Closing Closing

The

balance balance of

invested Provision

balance balance of

(book impairment Additional Reduce for Other (book impairmententity

value) provision investment investment impairment value) provision

Shenzhen

Haiyan 20605047. 20605047.

0.000.00

Hotel Co. 50 50

Ltd

Shenzhen

Shenfang 9000000.0 9000000.0

0.000.00

Investment 0 0

Co. Ltd

Xinfeng

Enterprise 556500.00 0.00 556500.00 0.00

Co. Ltd

Xinfeng

22717697.22717697.

Real Estate 0.00 0.00

7373

Co. Ltd

Shenzhen

Zhentong 11332321. 11332321.

0.000.00

Engineerin 45 45

g Co. Ltd

Great Wall

Real Estate 1435802.0 1435802.0

0.000.00

Co. Ltd. 0 0

(USA)

Shenzhen

Shenfang

4750000.04750000.0

Bonded 0.00 0.00

00

Trading

Co. Ltd

154Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Shenzhen

Huazhan

Constructio 6000000.0 6000000.0

0.000.00

n 0 0

Supervisio

n Co. Ltd

Shenzhen

Lianhua 13458217. 13458217.

0.000.00

Enterprise 05 05

Co. Ltd

Shenzhen

Shenfang

Group 30850000. 30850000.

0.000.00

Longgang 00 00

Developme

nt Co. Ltd

Beijing

Xinfeng

Real Estate

64183888.64183888.

Developme 0.00 0.00

9090

nt and

Operation

Co. Ltd

Shantou

Huafeng

16467021.16467021.

Real Estate 0.00 0.00

0202

Developme

nt Co. Ltd

Baili Co.

0.00201100.000.00201100.00

Ltd

Parker

Tonneau 0.00 906630.00 0.00 906630.00

Australia

Shenzhen

Shenfang

9500000.09500000.0

Department 0.00 0.00

00

Store Co.Ltd

Shantou

58547652.58547652.

Xinfeng 0.00 0.00

2525

Building

Shenzhen

Shenfang

Chuanqi 99500000 99500000

0.000.00

Real Estate 0.00 0.00

Developme

nt Co. Ltd

Hualin Co.

8955.100.008955.100.00

Ltd

11321815133339271132181513333927

total

61.851.1561.851.15

(2) Investment in associated and joint ventures

Unit: Yuan

Invest Openi Openi Changes in the current period Closin Closin

155Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

ment ng ng Invest g g

unit balanc balanc ment balanc balanc

e e of Adjustgains Annou e e of

(book impair mentand nce the (book impair

value) ment toAdditi Reduc losses Other distrib Provisi value) ment

provisi otheronal e recogn change ution on for provisi

on compr Otherinvest invest ized s in of cash impair on

ehensi

ment ment under equity divide ment

ve

the nds or

incom

equity profits

e

metho

d

1. Joint venture

Fengk

ai

94559455

Xingh

465.38465.38

ua

Hotel

Subtot 9455 9455

al 465.38 465.38

II. Associated enterprises

Shenz

hen

Rongh

ua

Electro

10761076

mecha

954.64954.64

nical

Engine

ering

Co.Ltd

Shenz

hen

Runhu

a

Autom 1445 1445

obile 425.56 425.56

Tradin

g

Compa

ny

Subtot 2522 2522

al 380.20 380.20

1197711977

total 845.5 845.5

88

The recoverable amount is determined by the net amount after deducting disposal expenses from the fair value

□ Applicable□Not Applicable

The recoverable amount is determined based on the present value of estimated future cash flows

□ Applicable□Not Applicable

The reasons for the significant discrepancies between the aforementioned information and the information or external data used in

previous annual impairment tests

156Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

The reasons for the significant discrepancies between the information used in the company's previous annual impairment tests and

the actual situation of the current year

4. Operating income and operating costs

Unit: Yuan

current period amount previous period amount

project

income cost income cost

main business 27174732.10 16126535.40 23097122.00 15530601.07

Other businesses 491681.23 487871.70 95.24

total 27666413.33 16614407.10 23097217.24 15530601.07

Breakdown information of operating income and operating costs:

Unit: Yuan

Contract Division 1 Section 2 total

Classificati Operating Cost of Operating Cost of Operating Cost of Operating Cost of

on Revenue goods sold Revenue goods sold Revenue goods sold Revenue goods sold

Business

Type

Among

them:

Classified

by business

region

Among

them:

Market or

customer

type

Among

them:

Contract

Type

Among

them:

Classified

by the time

of

commodity

transfer

Among

them:

Classified

by contract

duration

157Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

Among

them:

Classified

by sales

channels

Among

them:

total

Information related to performance obligations:

The type of

The amount

The nature of quality

The time for that the

the goods Is it the primary assurance

fulfilling the Important company

project promised by the responsible provided by the

contractual payment terms expects to

company for person company and

obligations refund to

transfer related

customers

obligations

Other instructions

Information related to the transaction price allocated to the remaining performance obligations:

The revenue amount corresponding to the performance obligations that have been contracted but not yet fulfilled or not fully

fulfilled at the end of this reporting period is RMB 129141267.30. Of this amount RMB 25670067.83 is expected to be

recognized as revenue in 2026 RMB 51606583.28 is expected to be recognized as revenue in 2027 and RMB 51864616.19 is

expected to be recognized as revenue in 2028.Significant contract modifications or substantial adjustments to transaction prices

Unit: Yuan

project Accounting treatment method Impact amount on income

Other notes:

5. Investment income

Unit: Yuan

project current period amount previous period amount

Long-term equity investment income

50000000.00

accounted for using the cost method

Investment income generated from

66265.2399669.36

disposal of long-term equity investments

Interest income earned during the

holding period of other debt investments

total 50066265.23 99669.36

XX. Supplementary Information

1. Detailed statement of non-recurring profit and loss for the current period

□Applicable □ Not applicable

Unit: Yuan

158Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

project Amount Instructions

Government subsidies included in

current profit and loss (excluding those

closely related to the company's normal

business operations in compliance with

2000.00

national policies and regulations enjoyed

according to established standards and

having a continuous impact on the

company's profit and loss)

Except for effective hedging activities

related to the normal business operations

of the same company the profit and loss

from changes in fair value arising from

Fair value changes arising from

non-financial enterprises holding 7069256.29

investments in money market funds

financial assets and financial liabilities

as well as the profit and loss arising from

the disposal of financial assets and

financial liabilities

Other non-operating income and

expenses excluding the aforementioned -1253.02

items

Less: Income tax impact 186.75

total 7069816.52 --

Specific details of other profit and loss items that meet the definition of non-recurring profit and loss:

□ Applicable□Not Applicable

The company does not have any other specific situations where profit and loss items meet the definition of non-recurring profit

and loss.Explanatory Statement on Defining Non-recurring Gain and Loss Items Listed in "Explanatory Announcement No. 1 on

Information Disclosure by Companies that Offer Securities to the Public - Non-recurring Gain and Loss" as Recurring Gain and

Loss Items

□Applicable □ Not applicable

project Involved amount (yuan) reason

It occurs continuously in each year and is

Refund of handling fee for withholding

52026.64 not sporadic thus it is identified as a

individual income tax

recurrent profit and loss

2. Return on net assets and earnings per share

Earnings Per Share

Profit during the reporting Weighted average return on

period net assets Basic earnings per share Diluted earnings per share

(yuan/share) (yuan/share)

Net profit attributable to

common shareholders of the -0.24% -0.0085 -0.0085

company

Net profit attributable to

ordinary shareholders of the

-0.43%-0.0154-0.0154

company after deducting non-

recurring gains and losses

159Shenzhen Special Economic Zone Real Estate (Group) Co. Ltd’s Semi-Annual Report of Year 2026

3. Differences in accounting data under domestic and foreign accounting standards

(1) The differences in net profit and net assets between financial reports disclosed under international

accounting standards and those disclosed under Chinese accounting standards

□ Applicable□Not applicable

(2) Differences in net profit and net assets between financial reports disclosed under foreign accounting

standards and those disclosed under Chinese accounting standards

□ Applicable□Not Applicable

(3) Explanation of the reasons for differences in accounting data under domestic and foreign accounting

standards. For data that has been adjusted for differences after being audited by an overseas audit

institution the name of the overseas institution should be indicated

160