The leading position is stable, and "double carbon" provides new opportunities

The investment and integration model has the advantages of building construction business, landing a number of large-scale comprehensive engineering projects, and the potential of housing construction and infrastructure overseas business is huge. In recent years, the company has continuously deepened cooperation with strategic customers such as local governments and large enterprises, continued to innovate business models, flexibly used EPC+F, ABO, PPP and other new business models to undertake a number of urban renewal, overall development and other major engineering projects. It has successfully opened up the industrial chain of investment and financing, design, construction, operation and operation in the whole life cycle of the project or a combination of various formats. Relying on the advantages of the whole industry chain of the project, the company has won the bid for more than 10 billion large-scale projects since 2020, and its market influence continues to improve. The number of housing construction orders continues to grow rapidly, and the number of new housing construction orders signed in 2022 is 666.2 billion yuan, an increase of 9%; The housing construction sector achieved revenue of 287.4 billion yuan, a sharp increase of 26%. According to the company's annual report, in 2022, the company undertook the eco-environment-oriented development (EOD) project of Huangshi section of the Yangtze River, and in 2021, the company won the tender of the eco-environment-oriented area comprehensive development (EOD) project of Dongdao Industrial Park (Expansion Park) of Zhanjiang Economic Development Zone, with a contract amount of more than 20 billion yuan, the highest scale of the winning project in history. The EOD project model has been piloted since last year. In April this year, the Ministry of Ecology and Environment officially issued the Guide for the Storage of Ecological and Environmental Protection Financial Support Project Reserve (Trial), which requires the promotion of the planning of major ecological and environmental protection projects suitable for financial support and the construction of ecological and environmental protection financial support project reserve. Eco-oriented development (EOD) model projects are explicitly listed as support objects. The EOD model is implemented in three stages: 1) reconstruction of ecological network; 2) Overall improvement of the urban environment; 3) Industry introduction and talent introduction, the main source of project income is land premium income and industry feeding share income. EOD projects usually have a large volume and are government-led projects, and the project mode is mainly PPP, ABO, EPC+F, which requires high capital strength and comprehensive construction ability of enterprises, and most of the winning enterprises are central construction enterprises. Driven by subsequent policies, the volume of related projects is expected to increase. The company has built an integrated whole industry chain layout of project investment, financing, construction and transportation, and has significant advantages in undertaking large-scale projects such as EOD. With the continuous advancement of large-scale projects and comprehensive trends, the company's housing construction orders are expected to continue to grow steadily.