Contracted Sales Reached Record High of Approx. RMB 23.2 Billion

Final Dividend Increased 31.9% YoY to HK$0306 per Share

Notwithstanding the Implementation of Deleverage Exercises, Reduced Debt Financing and Stabilised Sales Dedicated to Improve Operation Efficiency

Continue Cultivating the Yangtze River Delta Megalopolis Promising Comprehensive Strengths and Development Prospects

Yincheng International is pleased to announce its audited consolidated annual results for the year ended 31 December 2020 (the “Year”).In the Year, the Group achieved a revenue of approximately RMB10.68 billion, representing an increase of 17.5% YoY. Gross profit was approximately 1157 billion, gross profit margin was approximately 10.8%. The Group’s profit for the year increased by 7.1% YoY to approximately RMB386 million, net profit margin was approximately 3.6%. Profit attributable to owners of the parent for the Year was approximately RMB183 million, representing an increase of approximately 21.5% YoY. The Board recommended the payment of final dividend of HK$0.0306 per Share for the year ended 31 December 2020, representing an increase of 31.9% as compared to HK$0.0232 per Share for the year ended 31 December 2019.

Continue to Maintain Regional Market Penetration Strategy with Ample Land Reserve Resources

In 2020, under the influence of the COVID 19 pandemic, commencement of construction, investments and sales of the real estate industry were susceptible to certain constraints. Nevertheless Yincheng International responded proactively and in a timely manner by adjusting its project launch schedule and promoting its business through multiple channels including the adoption of cloud property viewing, cloud sales and cloud delivery through online live broadcasting and small applications of the new media. Through such appr oaches, while property owners could enjoy convenience on the one hand, the Group could develop its online customer base and undergo digital transformation on the other hand. Relying on the Group’s steady project launch strategy,

the accumulated positive brand image and high market recognition, the Group achieved a historic breakthrough in the total amount of contracted sales for the Y ear. The Group’s total contracted sales reached a record high of approximately RMB23208 billion, representing an increase of approximately 17.1% YoY. The total contracted sales GFA amounted to approximately 1,153,237 sq.m., representing an increase of approximately 2.1% YoY. Attributable to the higher average selling price (“ASP”) recognised for projects in Nanjing and Hangzhou , ASP recorded in the contracted increased by approximately 14.6% to approximately RMB20,125.

The Group is focusing on developing quality residential properties in the Yangtze River Delta Megalopolis while expanding its footprint to other cities in the Yangtze River Delta Megalopolis. During the Year, the Group extended its business presence to Wenzhou to further develop the five regional markets of Nanjing, Southern Jiangsu, Zhejiang, Huaihai and Anhui. Nearly 60% of contracted sales for the Year was derived from two new first tier cities, namely Nanjing and Hangzhou, which are under the Group’s key market establishment strategy; approximately 10.5% of total contracted sales was derived from and after the Group’s first entry in Wenzhou. Along with the improving pandemic conditions, the Group gradually stepped up its project launch effort. During the second half of 2020, various project launches were well received and the Group had excellent overall sales performance. As regards the breakdown by projects, Lanshili (瀾仕里) and Qingshanhupan (青山湖畔) in Hangzhou and Bejoy Villa (鉑悅源墅) in Nanjing, are the top three projects of the Group which contributed the highest amount of contracted sales. It is worth noting that sales of approximately RMB1121 billion were generated in the fourth quarter, being a record high for one single quarter. Among which, the initial launch of the Zhi Lu (知廬 ) in Hefei and Jin Ling Jiu Yuan 金陵玖園 ) in Nanjing were well received by the market as demonstrated by their respective overall sales rates of 80% and 92%. Other projects which were subsequently delivered, namely Huijian Weilai (薈見未來) in Nanjing, Sheltered Mansion (東樾府) in Wuxi and Town City (依瀾郡) in Maanshan, also reached a delivery rate upon property purchasers visits of 100%, 99.5% and 96%, respectively.

The Group had acquired a total of 17 land parcels within the Year through various means, including tendering, mergers and acquisitions, and bidding at property exchange centres, which contributed to an increase of approximately 2.16 million sq.m. and over RMB33148 billion in total GFA and sales, respectively. As of 31 December 2020, the Group had 49 projects located in 10 cities in the PRC, of which 33 projects are developed and owned by the Group. GFA of the Group’s total land bank amounted to approximately 5.99 million sq.m., of which, approximately 4.78 million sq.m. was attributable to the Group, and the sales value of such completed properties held for sale was approximately RMB55.484 billion. The Group’s land bank is mainly situated in core land parcels in the core cities of the Yangtze River Delta Me galopolis, including Nanjing, Hangzhou and Wuxi. Such geographical advantage has provided strong support for its future development and continued growth in contracted sales.

Heightened Turnover Strategy Achieved Further Result Significant Improvement in Operating Efficiency

The Group has adopted standardised property development procedures in order to speed up property turnover and promote efficient operations. During 2020 , both the average duration for the obtaining of the four certificates and the aver age initial sales period were shortened by approximately one month to approximately 3.8 months and 6.1 months, respectively, demonstrated that the development efficiency has improved significantly and the pace of operation has been further accelerated. Meanwhile, the Group has always

focused on the development of quality residential properties, and quality, livable and environmentally friendly property products for customers of all ages. It constantly perfects the product design system and enhance s customer service. With excellent design and quality engineering capabilities, residential projects as developed by the Group have won

12 major local and international awards, including a total of four design awards in respect of architectural engineering design, u rban housi ng and residential community design in the selection of the 2020 Provincial Urban and Rural Construction System Outstanding Survey and Design Award as announced by Housing and Urban Rural Development Office of Jiangsu Province ( 江蘇省住房和城鄉建設廳 ) in early January 2021. These awards will inspire the Group to make persistent efforts to maintain its excellent product or service specification, standard and quality.

More Diversified Financing Channels with Promising Comprehensive Strengths and Development Prospects

Since the listing in 2019, with the aim to become a leading real estate enterprise in the region, Yincheng International has been striving to enhance its capabilities in all aspects. Relying on its stable business growth, excellent financial performance and results of operations, it has gradually gained recognition and reputation from the capital market.

In 2020, the shares of Company were given buy ratings by numerous brokerages. The Group was also rated by two major international authoritative credit rating agencies, namely Moody’s Investors Service, Inc. and Lianhe Ratings Global Limited, as having a stable outlook with an issuer credit rating of “B2” and “B+” respectively. At the same time, the Group actively expanded its external financing channels and enhanced overseas financing capabilities. It successfully issued US$140 million and US$200 million senior notes, all of which were over subscribed in the Year. With the Group’s solid corporate strength and stable and substantial investment returns on US$ denominated senior notes, the Group was awarded the 2020 Outstanding Chinese Offshore Bonds Issuer Real Estate Category prize from Golden Duration (金久期) and was listed by BNP Paribas as one of the recommended investment targets for US$ denominated bonds in the real estate sector , fully demonstrated the capital market's affirmation of the Group's future development prospects.

Optimize and Improve Comprehensive Strength to Achieve Stable and Sustainable Development

Mr. Huang Qingping, the Chairman of Yincheng International, said “2020 was an extraordinary year for the real estate industry, also a year of preparati on for our Group. We have overcome numerous challenges and consistently adhered to the development strategy of based in Nanjing, cultivate the Yangtze River Delta Megalopolis, pursued the product philosophy which places equal emphasis on both quality and service, and maintained robust de velopment for our business in general. Looking forward, even though there may be uncertainties as regards the macro environment, we will actively overcome challenges, continue to focus on the Yangtze River Delta Megalopolis, and based on the five major regional markets, expand our business presence in new cities when opportunities arise. We will persist in making targeted investments and maintain diversified channels for the acquisition of land parcels . We will a lso persist in optimising the financial indicators, maintain the current size of debt and debt ratio, lower the net debt ratio and strive to achieve stable development under the three red lines policy. Further, we will improve our cashflow turnove r, proactively look for both local and international financing sources, expand our financing channels and minimise financing costs. At the same time, in addition to continue optimising and improving product offerings and services, and maintain our benchmar ked customer satisfaction rate, we will

continue to improve our operation and management efficiency. We will further practice our culture of honesty, responsibility, cooperation and innovation strive to become a leading real estate enterprise and bring continuous and stable returns to our shareholders.