2019 Interim Results Presentation August 2019

Home , China Aoyuan Group, Yingde

1 Contents

1 Highlights & Outlook 3

2 Financial Overview 10

3 Business Operations 17

4 Land Bank Layout 30

5 Appendix 42

6 Investor Relations 48

2 1. Highlights & Outlook

Guangzhou Aoyuan International Center Aoyuan Tower（actual image） 3 1H2019 Results highlights

• Contracted sales in the first seven months of 2019 maintained robust growth momentum and Robust contracted increased by 30% yoy to RMB60.28bn (attributable: 84%), achieving 53% of the full-year target; sales growth with Aoyuan is named among “Top 30 PRC Developers” high earnings sustainability • 2016-2018 CAGR for contracted sales reached 89%. As of 30 Jun 2019, unbooked revenue amounted to approx. RMB139bn, which will be gradually recognized in the next 2 years

• Revenue in 1H2019 increased by 73% yoy to RMB23.67bn • Gross profit increased by 81% yoy to RMB7.05bn; gross profit margin was 29.8% Robust growth & profitability • Net profit increased by 90% yoy to RMB2.80bn; net profit margin was 11.8% • Core net profit increased by 79% yoy to RMB2.49bn; core net profit margin was 10.5% • Basic earnings per share increased by 87% to RMB84.8 cents

• Following the upgrades of corporate rating and rating outlook from all 3 major international rating agencies (Fitch, S&P and Moody’s) in 2016-2018, Aoyuan’s rating outlook was further upgraded Healthy financial by Moody’s and S&P to “positive” in Feb and Mar 2019 profile with • Domestic credit rating was upgraded to “AAA”, the highest credit rating in PRC, by United Credit continued credit Ratings in May 2019 rating upgrades & • As of 30 Jun 2019, net gearing ratio was 64.2%, at reasonable industry level; average borrowing sufficient liquidity cost maintained at 7.4%. Debt maturity profile and structure continued to improve • In 1H2019, cash collection rate was approx. 75%; total cash amounted to approx. RMB54.84bn, sufficient to cover short-term borrowings

4 1H2019 Results highlights (cont.)

• 2019YTD, successfully raised over US$1.65bn through diversified offshore channels including issuance of senior notes in public and private placement, as well as syndicated bank loans, further extending its debt maturity profile; redeemed offshore USD senior notes due Apr 2019 on time Outstanding • In 2019, opened the Asia USD bond market and subsequently launched the first fully marketed 3- financing capability year PRC property high yield issuance since Q4 2018; fully utilized its US$1.45bn NDRC quota with sufficient funds • In Apr and Jul 2019, successfully secured approx. HK$1.6bn 3-year syndicated loan in two tranches with an interest rate of HIBOR+4.95% per annum from 5 commercial banks • In 1H2019, established strategic cooperation with Minsheng Bank, Bank of Guangzhou, Huaxia Bank and secured credit facilities amounted to approx. RMB16.3bn

• Acquired a total of 34 new projects with newly added GFA of approx. 7.26mn sqm (72% through M&A) and newly added saleable resources of over RMB80bn, which helps to maintain reasonable land cost Capitalize on and stable margins traditional strength • As of 30 Jun 2019, total GFA of land bank was approx. 40.12mn sqm (attributable: 81%) with of M&A; saleable resources of approx. RMB425.5bn Strategic land bank • Full coverage of "Three Olds" urban redevelopment, including old towns, old villages and old replenishment factories; over 30 urban redevelopment projects at different phases, providing additional estimated saleable resources of approx. RMB219.7bn

• In 1H2019, both equity and bonds were actively traded, and Aoyuan was one of the best performing stocks in HK Widespread reputation • Upholding the highest standards of investor relations, Aoyuan’s reputation in the capital markets in capital markets; continues to grow. 2019YTD 10 leading investment banks and brokers have initiated equity research Successful IPO of coverage on Aoyuan and a total of 20 are currently covering Aoyuan’s equity and bonds Aoyuan Healthy Life • Aoyuan Healthy Life (3662.HK) was successfully listed on the Main Board HKEx on 18 Mar 2019, which is the first spin-off listco of Aoyuan’s sub-groups, opening up new financing channels and unlocking value

5 2H2019 Strategies

Key policies of China's real estate market remain as “housing is for living in, not for speculation; and implementation of city-specific policies”. Real estate credit policies will be tightened while the overall liquidity of financial market is expected to be loosened. In 2H2019, Aoyuan will continue its regional cultivation strategy with a focus on key cities and achieve “quick asset turnover, strong cash collection and speedy revenue recognition” to attain sustainable and quality growth

Investment (投资): Financing (融资): • Disciplined land bank replenishment, focus on Tier • Diversify onshore and offshore financing 1&2 core cities and strong Tier 3 cities channels and strengthen “HQ-to-HQ” strategic cooperation with commercial • Continue to capitalize on the traditional strength of banks M&A and increase attention to public land auction • Investment decision depends on funding • Accelerate the conversion of urban redevelopment availability. Priority to be given to projects into land bank projects supported by bank financing • Focus on investment return; acquire • Improve the efficiency of capital projects to be launched within the year; deployment keep a well-balanced profile of long- and 投融 • Strengthen risk management and short-term projects ensure listco’s funds safety

Management (管理): Collection (收款):

• Establish greater operation system, 管收 • Speed up the launch of new projects strengthen milestone management, effectively shorten development cycle and increase sell-through rate • Dual focus on design standardization and R&D, • Enhance inventory destocking and upgrade products with improved competitive clearance based on project and product advantages and premium type, age of inventory, etc. • Speed up presales with targets set in advance, facilitate standardized and precise marketing • Strengthen cash collection progress • Introduce resourceful talents, increase productivity per • Accelerate the settlement of accounts capita and optimize talent structure receivable 6 Aoyuan: One core business with vertical development

Benefiting from early strategic planning and initiatives, Aoyuan covers 8 business segments, including “property development, commercial property, health & wellness, technology, cultural tourism, finance, cross border e-commerce and urban redevelopment”. Aoyuan continues to strengthen its strategy of “one core business with vertical development” to build a healthy lifestyle ecosystem with a vision of becoming one of Global 500 companies

Property Development Urban Commercial Redevelopment Property

Cross Border Health & E-commerce Wellness

Finance Technology

Cultural Tourism

7 Aoyuan: One core business with vertical development (cont.)

Healthy Life Group

YoY Aoyuan Healthy Life Group (3662.HK) was successfully listed on the (RMB '000) 1H2019 • Change Main Board of Hong Kong Stock Exchange in Mar 2019. It is committed to becoming a leading healthy life service group in China Revenue 391,961 +47% with a brand philosophy of “Create the Joy of Life” Gross profit 155,103 +60% • Mainly engaged in two core businesses, i.e. property management Gross profit margin 39.6% +3.4 p.p. and commercial operation. Moreover, it takes initiative to develop in health & wellness-related businesses, to build a platform for light Net profit 90,051 +153% medical beauty service and community healthcare service. This is to be integrated with commercial operation business, so as to provide Net profit margin 23.0% +9.7 p.p. comprehensive and high-quality healthy life management services for customers from residential and commercial communities Basic earnings per share (RMB cents) 14.06 +65%

8 Aoyuan: One core business with vertical development (cont.)

Aomygod Group Finance Group

• Aomygod focuses on the innovative ecosystem of cross-border e- • Finance Group’s businesses mainly cover private equity investment fund and “ HQ-to-HQ” strategic cooperation with commercial banks commerce, including 3 business segments, i.e. global procurement, O2O shopping, and supply chain solutions • Aoyuan acquired 13.86% of Aeon Life Insurance in July 2019. The acquisition is currently under CBIRC’s review. Aoyuan is poised to become its single largest shareholder upon completion of acquisition • Aomygod Global Procurement has developed a complete mobile-end Aeon Life has been one of the fastest growing company in terms of shopping layout comprising mobile app and applet of WeChat, and has • CAGR of premium in PRC life insurance industry. With business established dual-line shopping stores to realize “online-to-offline” integrated footprint covering 20 provinces and cities in China, it is starting to reap development the benefits from its robust growth. It ranked 13th out of 91 Chinese and foreign life insurance companies in 2018 • Currently has over 20mn members; over 50,000 SKUs; products of approx. • The acquisition will provide opportunities for Aoyuan to cooperate with 3,000 brands on sale; and registration of over 100 intellectual properties Aeon Life in the health & wellness industry, achieving strategic synergies and complementary advantages in terms of business development, customer resources, and customer experience, etc.

Aeon Life insurance premium and net profit （）（ RMB bn 0.697 RMB bn) 45 0.8 40 0.351 0.6 35 0.240 0.4 30 0.032 0.2 25 0 -0.278 20 -0.369 38.6 -0.2 -0.524 15 28.2 -0.4 10 -0.6 15.9 18.3 5 3.5 4.7 8.5 -0.8 0 -1 2012 2013 2014 2015 2016 2017 2018

Insurance premium Net profit

9 2. Financial Overview

Zhuhai Aoyuan Plaza (actual image)10 Income statement highlights

(6 months ended 30 Jun) (RMB '000) 2019 2018 Change

Revenue (1) 23,669,677 13,666,552 +73%

Gross profit 7,045,685 3,902,123 +81%

Gross profit margin 29.8% 28.6% +1.2 p.p.

Net profit (2) 2,800,036 1,474,809 +90%

Net profit margin 11.8% 10.8% +1.0 p.p.

Core net profit (3) 2,489,652 1,392,268 +79%

Core net profit margin 10.5% 10.2% +0.3 p.p. Core net profit attributable to 2,025,182 1,160,100 +75% shareholders Core net profit attributable to 8.6% 8.5% +0.1 p.p. shareholders margin Basic earnings per share 84.8 45.4 +87% (RMB cents)

Note: (1) As of Jun 30 2019, property development accounted for 95% of revenue, while property investment, property management, sales of goods and others accounted for 5% (2) As of Jun 30 2019, profit attributable to shareholders accounted for 81%, while profit attributable to non-controlling shareholders accounted for 19% (3) Core net profit excludes non-recurring profit or loss items and their related tax expenses, comprising fair value gain on investment properties, and net exchange differences, etc. 11 Income statement highlights (cont.)

Revenue Gross profit & gross profit margin

(RMB mn) (RMB mn)

35,000 15,000 35% 31,006 31.1% 29.8% 27.7% 28.6% 30,000 26.7% 30% 23,670 12,000 25,000 9,634 25% 19,115 20,000 9,000 20% 13,667 7,046 15,000 11,827 6,000 5,111 15% 10,000 3,902 3,277 10% 5,000 3,000 5% 0 2016 2017 2018 1H2018 1H2019 0 0% 2016 2017 2018 1H2018 1H2019

Net profit & net profit margin Core net profit & core net profit margin

(RMB mn) (RMB mn) 11.8% 5,000 10.8% 12% 5,000 12% 10.2% 10.3% 10.2% 10.5% 9.5% 9.9% 9.9% 10% 4,000 8.5% 4,000 10% 3,074 2,939 2,800 8% 8% 3,000 3,000 2,490 6% 6% 1,952 1,889 2,000 1,475 2,000 4% 1,223 1,392 4% 1,007 1,000 2% 1,000 2%

0 0% 0 0% 2016 2017 2018 1H2018 1H2019 2016 2017 2018 1H2018 1H2019

12 Balance sheet highlights

(RMB '000) At 30 Jun 2019 At 31 Dec 2018 At 30 Jun 2018

Total cash (1) 54,836,768 39,621,544 25,823,281

Total assets 232,567,758 188,858,219 153,258,405

Total liabilities 197,200,473 158,124,373 124,831,959

Total debt (2) 77,556,358 57,721,511 45,014,410

Net debt (3) 22,719,590 18,099,967 19,191,129

Total equity 35,367,285 30,733,846 28,426,446

Note: (1) Total cash = Cash and cash equivalents + Restricted bank deposits + Structured deposits. Unrestricted cash accounted for 92% of total cash As of 30 Jun 2019, credit facilities amounted to approx. RMB148.6bn, of which approx. RMB63.0bn were unutilized (2) Total debt includes interest-bearing debts such as onshore & offshore bank and other borrowings, onshore corporate bonds and offshore senior notes etc. (please refer to page 15 for more details) (3) Net debt = Total debt - Total cash

13 Key financial ratios

Net debt (1) / Total equity Revenue / Net debt (1)

80% 2 1.8x 67.5% 1.7x 64.2% 1.6x 58.9% 1.4x 1.4x 60% 50.7% 51.0%

40% 1

20%

0% 0 2016 2017 2018 1H2018 1H2019 2016 2017 2018 1H2018 1H2019

Growth rate in Net debt (1) / Total capitalisation (2) total cash, total debt (3) and net debt (1)

142.2% 150% 30% 26.1% Total cash 22.5% Total debt 20.5% 20.5% 20.1% 119.6% Net debt 20% 100%

86.3% 49.3% 10% 50% 38.4% 43.0% 21.3% 34.4%

12.8% 30.9% 25.5% 0% 0% 2.2% 2016 2017 2018 1H2018 1H2019 As of 31 Dec As of 31 Dec As of 31 Dec As of 30 Jun 2016 2017 2018 2019 Note: (1) Net debt = Total debt - Total cash (2) Total capitalization = Total equity + Total debt (3) Total debt includes interest-bearing debts such as onshore & offshore bank and other borrowings, onshore corporate bonds and offshore senior notes etc. (please refer to page 15 for more details) 14 Debt profile and financing

Optimizing debt structure Continued credit rating upgrades

1H2019 total debt: 1H2019 short-term debt: ✓ Following the upgrades of corporate rating and rating outlook from all 3 RMB77.56bn RMB33.55bn major international rating agencies, Fitch (BB-), S&P (B+) and Moody’s (B1) By type Offshore By type in 2016-2018, Aoyuan’s rating outlook was further upgraded by Moody’s and senior notes S&P to “positive” in Feb and Mar 2019 9% Offshore ✓ Domestic credit rating was upgraded to “AAA”, highest credit rating in PRC, bank Offshore by United Credit Ratings in May 2019, which helps lowering borrowing costs borrowings senior notes 15% 23% Onshore Offshore Onshore bank bank Diversified onshore and offshore financing channels bank borrowings Onshore borrowings borrowings 52% corporate bonds 60% 12% 9% ✓ In Jan 2019, Aoyuan opened the Asia USD bond market and subsequently Onshore Trust loans launched the first fully marketed 3-year PRC property high yield issuance corporate bonds 7% since Q4 2018 by successfully completing issuances of US$275mn 7.95% 8% Trust loans senior notes due 2021 and US$500mn 8.50% senior notes due 2022 5% ✓ In Feb 2019, successfully issued US$225mn 7.95% senior notes due 2023 with more than 8x oversubscription, further extending debt maturity profile • Onshore: 65% • Onshore: 76% • 2H2019: 33% ✓ In Jun 2019, successfully issued US$200mn 7.35% 4-year senior notes at • Offshore: 35% • Offshore: 24% • 1H2019: 67% par to a Singaporean sovereign wealth fund through private placement. It was the sovereign wealth fund’s first time investing in USD bonds of a non- ✓ As of 30 Jun 2019, total debt amounted to approx. RMB77.56bn. Total investment grade PRC developer through private placement cash amounted to approx. RMB54.84bn, sufficient to cover short-term debt ✓ In Jul 2019, successfully further issued US$250mn 7.95% senior notes due of approx. RMB33.55bn 2023, achieving lowest yield to maturity of 6.5% among comparable peers ✓ In Jul and Aug 2019, short-term debt of approx. RMB2.54bn were repaid ✓ In Apr and Jul 2019, successfully secured an aggregate of approx. and accounted for <40% of total debt, alleviating short-term debt pressure HK$1.6bn three-year offshore syndicated bank loans with an interest rate of HIBOR+4.95% per annum, with Nanyang Commercial Bank, Hang Seng Bank, Industrial Bank Hong Kong Branch, Bank of East Asia and Bank of Declining average borrowing costs Shanghai Hong Kong Branch ✓ In 1H2019, established “HQ-to-HQ” strategic cooperation with Minsheng 12.0% 11.4% Bank, Bank of Guangzhou, and Huaxia Bank and secured credit facilities of 10.2% approx. RMB16.3bn with final approval by banking credit review 9.5% committees 10.0% 8.1% Value corporate credibility and 8.0% 7.2% 7.4% 7.4% redeem offshore bonds on time 6.0% 2013 2014 2015 2016 2017 2018 1H2019 ✓ Successfully redeemed US$250m offshore senior notes due Apr 2019 15 Cash flow & CAPEX

Aoyuan adheres to prudent financial management, recycling capital through rapid presales to ensure healthy cash flow and sustainable development

1H2019 Cash flow 1H2019 Cash collection

(RMB bn) (RMB bn)

140 60 2.99 -13.25 53.63 120 32.03 -18.11 100 50 -3.89 41.15 -1.96 -2.76 80 -14.55 40.22 -2.45 -3.98 40 60 54.84 39.62 40 30 20 Landacquisition Interest Interest payment SG&A Payment to non Opening cash balance non Other cash outflow domestic issuance domestic bonds from proceedssenior notes/ borrowingsNewbank and Construction expenses Debt repayment 0 Operating cash flow Taxexpenses Ending cash balance 20 75% Capital injection from (as of 30Jun) - controlling shareholder (as of Jan)1 shareholders

10 - (1) (2) (1) controlling

0 Cash collected Contracted sales

Note: (1) : Aoyuan adheres to disciplined land bank replenishment. Land premium paid in 1H2019 accounted for 25% of total contracted sales in the period (2) : As of 30 Jun 2019, the outstanding land premium was approx. RMB6.24bn which is expected to be fully paid within a year 16 3. Business Operations

Guangzhou Aoyuan Lianfeng State (actual image)17 Robust and sustainable contracted sales growth

Yearly contracted sales (RMB mn) 125,000 +25% yoy Sales target completion 100,000 91,280 rate in 73,000 2016-2018: 75,000 125%-150% 45,590 50,000 33,300 Completed 25,602 53% of full-year 25,000 17,000 60,280 sales target in 7M2019 0 2016 2017 2018 7M2019 CRIC sales rankings 65th 40th 38th 26th of PRC developers Original full-year target Actual completion

Monthly contracted sales (RMB mn) First half of the year Second half of the year 20,000

18,000 17,390 16,000 15,299 14,000 11,971 11,971 12,000 11,196 10,021 10,000 9,573 7,876 7,876 7,503 7,501 7,501 7,209 7,209 6,853 6,853 6,650 6,491 6,491 8,000 6,356 6,021 6,021 5,625 5,600 5,505 5,505 5,320 5,320 4,322 4,322 6,000 4,280 4,081 4,081 4,055 4,055 4,050 4,050 3,631 3,631 3,393 3,393 2,967 2,967 2,886 2,886 2,655 2,655 2,630 2,630 2,531 2,531 2,511 2,511 2,505 2,505

4,000 2,266 2,104 2,104 2,073 2,073 1,732 1,732 1,688 1,688 1,546 1,546 1,503 1,503 1,433 1,433 1,225 1,225 2,000 707 0 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

2016 2017 2018 2019 18 Contracted and recognized sales

Attributable contracted sales accounted for 84% in 1H2019 at relatively high industry level. As of 30 Jun 2019, unbooked revenue amounted to approx. RMB139.0bn, which will be gradually recognized in the next 2 years, demonstrating high earnings visibility and sustainability

Contracted and recognized sales Contracted and recognized GFA sold (RMB mn) (000's sqm)

100,000 91,280 10,000 8,863 80,000 8,000 53,626 5,320 60,000 6,000 4,487 45,590 40,290 3,938 29,740 4,000 2,980 3,302 40,000 25,602 22,421 2,428 2,079 17,960 1,607 1,646 20,000 11,240 12,950 2,000 0 0 2016 2017 2018 1H2018 1H2019 2016 2017 2018 1H2018 1H2019

Contracted sales Recognized sales Contracted GFA sold Recognized GFA sold

Contracted and recognized ASP 2019E saleable resources: approx. RMB190bn (RMB/sqm) By region By product

Offshore 12,000 10,158 10,300 10,231 10,785 Bohai Rim 4% 10% 8,591 9,000 10,080 9,007 Commercial 7,868 properties 6,000 6,993 7,397 East 30% China South China 20% 41% Residential 3,000 properties Core region of 70% 0 Central & Western China 2016 2017 2018 1H2018 1H2019 25%

Contracted ASP Recognized ASP

19 Contracted sales breakdown

1H2018 contracted sales: RMB40.29bn 1H2019 contracted sales: RMB53.63bn

By region Bohai Rim Offshore By region Offshore 3% 2% 2%

Bohai Rim 10%

East China 22% East China 19% South China South China 42% 54% Core region of Central & Core region Western of Central & China Western 19% China 27%

1H2018 contracted sales: RMB40.29bn 1H2019 contracted sales: RMB53.63bn By product By product

Commercial Commercial properties properties 23% 21%

Residential Residential properties properties 77% 79%

20 Recognized sales breakdown

1H2018 recognized sales: RMB12.95bn 1H2019 recognized sales: RMB22.42bn

By region Bohai Rim By region Bohai Rim 1% 3% Offshore Core region of Core region of 7% Central & East Central & Western China China Western China 15% 7% 7%

East China South China 15% South China 77% 68%

1H2018 recognized sales: RMB12.95bn 1H2019 recognized sales: RMB22.42bn By product By product

Commercial properties Commercial 15% properties 27%

Residential Residential properties properties 73% 85%

21 New starts GFA and completed GFA

Aoyuan maintains flexible CAPEX management and sound cash flows via managing new starts GFA and completed GFA dynamically to adapt to market changes

(000’s sqm) Zhuhai Aoyuan Seaview Mountain 10,000 9,620

8,000

6,650 6,393

6,000

4,580

Huizhou Aoyuan Yushan Lake 4,000 3,605

2,858

2,000

0 2017 2018 1H2019

New starts GFA Completed GFA

(The above are actual images) 22 Full upgrade in product competitiveness

Aoyuan establishes a multi-dimensional customer research model on cities, customers, products and markets, and sets up a regional design platform to promote effective resource allocation and form diversified product lines so as to build brand recognition. The product upgrades have been recognized with onshore and offshore industry awards

✓ Subdivide customers and perform nationwide in-depth interviews Urban Onshore ✓ Categorize customers into 11 studies groups based on family structure, affordability and needs

Regional analysis

Product diversification

Customer Customer subdivision

Investment Product proposition map Build a healthy lifestyle Create a smart society

Offshore Land Product Strategic pricing ✓ Perform multi-dimensional analysis ✓ R&D 4 product lines, satisfying on cities based on 168 data and facts customers’ all-around home ✓ Research on key metropolises experience including Guangdong, Greater ✓ Build showroom models and Review and Shanghai, Chengdu, etc. samples, as well as R&D for evaluation new products 23 Full upgrade in product competitiveness (cont.)

Aoyuan achieves differential innovation based on standardization to cater to customers’ increasingly diversified living and accommodation needs. The product upgrades have been recognized with industry awards

Guangzhou Aoyuan Lianfeng State Foshan Aoyuan Peach City Foshan Aoyuan The Shenzhen Aoyuan Jade Bay Prime Palace

Dongguan Aoyuan Guanlan Glorious Mansion Huizhou Aoyuan Yushan Lake Chongqing Aoyuan Panlong Yihao Shopping Mall

(The above are actual images)

24 Full upgrade in product competitiveness (cont.)

Xi’an Aoyuan Glorious Mansion Xinhua Town, Yingde Aoyuan International Resort Kunming Aoyuan

Chengdu Aoyuan Tangyue Mansion Huizhou Aoyuan Champion City Jiangmen Aoyuan Precious Palace

Jiangmen Aoyuan Tianyue Bay Zhuhai Aoyuan Bay Area Sydney One30 Hyde Park

(The above are actual images) 25 Asset-light commercial development model

Aoyuan maintains its commercial development strategy of “primarily saleable properties supplemented by investment properties” to diversify income streams and add values to saleable properties

Successful model: Guangzhou Panyu Aoyuan Plaza Successful replication: Chongqing Aoyuan Panlong Yihao • Total GFA: approx. 250,000 sqm (Commercial: 100%) • Total GFA: approx. 460,000 sqm (Residential: 70%, Commercial: 30%) • Development model: Shopping street/ Apartments (sold: 68%) + • Development model: Residential/ Shopping street/ Offices/ Commercial apartments Shopping mall (owned: 32%) (sold: 89%) + Shopping mall (owned: 11%) • Accumulated contracted sales: approx. RMB1.8bn • Accumulated contracted sales: approx. RMB3.7bn • The shopping mall was opened in Dec 2012. Occupancy rate is 98% • The shopping mall was opened in Dec 2017. Occupancy rate is 95%

Successful replication: Zhuhai Aoyuan Plaza Successful replication: Guangzhou Luogang Aoyuan Plaza • Total GFA: approx. 270,000 sqm (Residential: 30%, Commercial: 70%) • Total GFA: approx. 300,000 sqm (Residential: 25%, Commercial: 75%) • Development model: Residential/ Shopping street/ Offices (sold: 76%) + • Development model: Residential/ Apartments/ Shopping street (sold: 88%) + Shopping mall (owned: 24%) Shopping mall (owned: 12%) • Accumulated contracted sales: approx. RMB4.4bn • Accumulated contracted sales: approx. RMB4.6bn • The shopping mall was opened in Jul 2018. Occupancy rate is 97% • The shopping mall was opened in May 2019. Occupancy rate is 95%

(The above are actual images) 26 Asset-light commercial development model (cont.)

Successful model of county complex : Major investment properties Wuhua Aoyuan Plaza Product GFA Interest Project Location Status (1) type (sqm) (%) In support of the national poverty alleviation initiative, Aoyuan Guangzhou Panyu Panyu, 1 Leased C, S 80,500 54% has developed county complexes to facilitate China’s new Aoyuan Plaza Guangzhou urbanization progress and to achieve corporate social Guangzhou Luogang Huangpu, 2 Leased C 34,575 60% responsibility by adopting a poverty alleviation model of Aoyuan Plaza Guangzhou “enterprise + peasants + shopping mall + e-commerce”. Guangzhou Aoyuan Panyu, 3 Leased C, CH 13,796 100% Main strategies are as follows: City Plaza Guangzhou ✓Target counties with large population and unique resources Panyu, 4 Guangzhou Aoyuan Leased C, S 8,600 100% Guangzhou ✓Develop the only large shopping mall in core location, promote Zhuhai, residential sales via commercial to reach high sell-through rate 5 Zhuhai Aoyuan Plaza Leased C, S 64,996 93% Guangdong ✓Target customers who return to their hometown to conduct precise Chongqing Panlong 6 Chongqing Leased C, S 51,854 60% sales and marketing Aoyuan Plaza Chongqing Chayuan 7 Chongqing Leased C 52,680 51% Aoyuan Plaza Wuhua Aoyuan Plaza is a key development project for Panyu District in Guangzhou to help Wuhua county in Meizhou Meizhou, 8 Wuhua Aoyuan Plaza Leased C, S 27,217 100% Guangdong • Location: Central Wuhua, 2km from local government HQ Meizhou, Total GFA: 140,000 sqm (Residential: 35%, Commercial: 65%) 9 Jiaoling Aoyuan Plaza Leased C, S 19,122 100% • Guangdong • Development model: Residential/ Commercial/ Offices (sold: Shenyang Aoyuan Shenyang, 10 Leased H 1,527 100% 81%) + Shopping mall (owned: 19%) The Metropolis Liaoning • Average land cost: RMB1,250 per sqm Guangzhou Aoyuan Zengcheng, 11 Leasing C, S 60,000 51% Accumulated contracted ASP: RMB7,610 per sqm Kangwei Plaza Guangzhou • Accumulated contracted sales: RMB1.0bn Chongqing Aoyuan • 12 Chongqing Leasing C 19,250 100% The Metropolis • Gross profit margin/ Net profit margin: 30%/ 20% Shenyang Aoyuan Shenyang, 13 Leasing C, S 124,846 100% Convention Plaza Liaoning Actual image Changsha, 14 Liuyang Aoyuan Plaza Leasing C, S 27,640 100% Hunan Bengbu, 15 Bengbu Aoyuan Ginza Leasing C, S 35,500 100% Anhui Chengdu Cheunghua Chengdu, 16 Leasing C, S 65,000 100% Aoyuan Plaza Sichuan Note (1): C = Commercial; S = Retail shop; CH = Club house; H = Hotel 27 Remarkable offshore development through localization strategies

Through localization strategies, Aoyuan has established itself as a genuine local developer It helps to facilitate source of revenue, diversify asset portfolio and operational risks when developing offshore projects Aoyuan has achieved remarkable performance and established internationalized brand recognition

As one of the few outbound PRC developers Sydney Esplanade Norwest Lake with access to local bank financing channels, Aoyuan’s offshore projects are all supported by local bank financings with annual interest rate of 3%-5.5%: ✓ Sydney projects were supported by local banks including Commonwealth Bank of Australia, Westpac Bank and ANZ Bank, providing loans for land acquisition and Sydney Gordon Altessa 888 construction ✓ Canadian projects were supported by local banks including Bank of Montreal and HSBC Canada ✓ Hong Kong projects were supported by local banks including Hang Seng Bank and Nanyang Commercial Bank

Vancouver Surrey One Central Toronto North York M2M Hong Kong AOffice46

28 Offshore projects completed full development cycle

Aoyuan's offshore projects have completed full development cycles and realized cash collection and reinvestment One of the few PRC developers who have successfully entered offshore property markets and achieved delivery of projects

Case Study 1: Sydney One30 Hyde Park Case study 2: Sydney Maison 188 Maroubra (Aoyuan's first offshore project) (70% owned) (Aoyuan's first independent offshore project) (100% owned)

Actual image • Total GFA: 15,000 sqm, 140 luxury residential • Total GFA: 5,800 sqm, 60 high-end apartments and shops residential apartments and shops • Acquisition date: Mar 2015 • Acquisition date: Nov 2015 • Launch date: Aug 2015 • Launch date: Aug 2016 • Delivery date: Dec 2018 • Delivery date: Mar 2019 • Accumulated contracted sales: • Accumulated contracted sales: approx. RMB2bn approx. RMB300mn • Accumulated ASP: approx. RMB128,000 per sqm • Accumulated ASP: approx. • Net profit margin: 15% RMB56,700 per sqm • Principal bank: Commonwealth Bank of Australia. • Net profit margin: 13% Sydney Branch of BOC, ICBC and CCB • Principal bank: Westpac Bank

Case study 3: Sydney Mirabell Turramurra (100% owned)

• Total GFA: 6,700 sqm, 80 high-end Actual image residential apartments • Acquisition date: Nov 2016 • Launch date: Mar 2017 • Delivery date: Nov 2018 • Accumulated contracted sales: approx. RMB400mn • Accumulated ASP: approx. RMB55,200 per sqm • Net profit margin: 12% • ANZ Bank Rendering Actual image Principal bank: 29 4. Land Bank Layout

Jiangmen Aoyuan Greenland Golden Town (actual image)30 Operation strategy and land bank layout in 3 stages

In 2019, Aoyuan will focus on major cities to cultivate regional development, while maintaining quick-turnover strategy, consolidating and expanding market share

Stage 3 30 ˣ 4 Stage 2 30 ˣ 3 Stage 1

15 ˣ 3 • Cultivate core regions, Tier 1+2 major cities and strong Tier 3 cities to enhance productivity and market share • Realize 30 x 4 (i.e. each of the 30 city-level subsidiaries to achieve annual contracted sales of RMB4bn or above)

• Focus on core and major cities and achieve expansion from cities to city clusters • Achieve 30 x 3 breakthrough (i.e. each of the 30 city-level subsidiaries to achieve annual contracted sales of RMB3bn or above)

• Complete the strategic framework of 4 major regions and strengthen development foundation • Form a 15 x 3 layout (i.e. each of the 15 city-level subsidiaries to achieve annual contracted sales of RMB3bn or above)

31 Well-balanced regional layout with niche focus on GBA

Based in Guangdong with a niche focus on the Greater Bay Area, Aoyuan has a strategic layout in South China, East China, core region of Central & Western China and Bohai Rim As of 30 Jun 2019, Aoyuan had 230 projects across 75 onshore and offshore cities, with a total GFA of approx. 40.12mn sqm (attributable: 81%) and total saleable resources of approx. RMB425.5bn. Total saleable resources including urban redevelopment projects(1) amounted to RMB645.2bn

Avg. Total Saleable Province/ Contribution Total GFA Region land cost Resources City (by total GFA) (000’s sqm) (RMB/sqm) (RMB bn) China GBA (excl. Hong Kong, Macao) 3,402 7,557 113.4 South Guangdong (excl. GBA) 797 5,061 35.4 China Guangxi (Nanning, Yulin, etc.) 1,078 4,758 38.1 Bohai Hainan (Haikou) 3,322 163 3.6 Rim Subtotal 44% 2,019 17,539 190.5 Chongqing 2,103 1,354 10.6 Sichuan (Chengdu, Guanghan, etc) 3,540 2,331 30.3 Central Hunan (Changsha, Zhuzhou, etc.) 1,871 3,007 Core 21.2 & East region of Hubei (Wuhan, Jingzhou, etc.) 4,699 615 5.8 Western China Central & Shaanxi (Xi’an) 2,647 1,450 13.1 China Western Henan (Zhengzhou) 2,429 240 4.4 China Jiangxi (Jiujiang, Ganzhou) 658 1,001 5.5 South Guizhou (Bijie) 532 302 1.6 China Yunnan (Kunming) 1,867 268 2.8 Subtotal 26% 2,399 10,568 95.3 Zhejiang (Ningbo, Jiaxing, etc.) 3,828 1,289 16.1 Jiangsu (Nanjing, Yangzhou, etc.) 3,189 2,110 24.3 East China Anhui (Hefei, Bengbu,etc.) 1,976 1,294 17.5 City tiers Avg. land cost to expected ASP Fujian (Fuzhou, Quanzhou, etc.) 2,558 1,142 8.6 Subtotal 15% 2,938 5.835 66.5 By land cost (RMB/sqm) Liaoning (Shenyang) 338 1,318 8.6 Beijing 15,000 176 5.3 Bohai Rim Tianjin 8,568 154 2.4 1:5 Hebei (Shijiazhuang, etc.) 1,622 2,085 26.1 Shandong (Qingdao) Tier 3&4 cities Tier 1&2 + 3,231 524 7.9 34% satellite & Subtotal 10% 2,227 4,257 50.3 Sydney, Vancouver, Toronto, international Offshore 5% 2,976 1,918 22.9 cities Hong Kong, Macao 66% Total 100% 2,321 40,117 425.5

Note (1) : Estimated saleable resources from urban redevelopment projects amounted to RMB219.7bn (please refer to page 36 for more details) 32 Land bank breakdown

Land bank breakdown by region Land bank breakdown by region (by land cost) (by saleable resources)

Offshore Offshore 7% 5%

Bohai Bohai Rim Rim 10% 12%

South China East China 38% East China South China 18% 16% 45%

Core region of Core region of Central & Central & Western China Western China 27% 22%

Land bank breakdown by type Land bank breakdown by status (by GFA) (by GFA)

Completed and sold, but yet Investment Auxilliary to be delivered/ Completed and properties facilities Auxiliary facilities held for sale 2% 2% 2% 7%

Commercial properties 16% Held for future development Residential Under 43% properties development 80% 48%

33 Aoyuan’s projects on sale in GBA at a glance

Based in the Greater Bay Area, Aoyuan has a total GFA of 7.56mn sqm with estimated saleable resources of approx. RMB110bn As a key developer in GBA, Aoyuan has been included in the Hang Seng Stock Connect Big Bay Area Composite Index

Aoyuan Lingyu Aoyuan Tianxiang Yufeng Aoyuan Yushan Lake Aoyuan Yuhu Bay Aoyuan Deming Garden Aoyuan Lianfeng State Aoyuan Capital of Kaesong Aoyuan Glorious Mansion Aoyuan Champion City Luogang Aoyuan Plaza Aoyuan Oasis Aoyuan Mansion Guangzhou Aoyuan Shenzhen Lianfeng State Aoyuan Jade Bay Hong Kong Aoyuan AOffice46

Aoyuan The Prime Palace Aoyuan Central Parkview Guang Aoyuan Shanglin Yipin zhou Aoyuan Peach City Huizhou Nanhai Aoyuan Champion City Sanhui Champion City Foshan Dong guan Foshan Aoyuan Zhuhai Aoyuan Aoyuan Precious Palace The Prime Palace Seaview Mountain Zhuhai Aoyuan Bay Area Aoyuan Green Land Golden Town Shen Heshan Aoyuan Huiyuan Xindu Zhong zhen Aoyuan Yicheng International Plaza shan

Aoyuan Seaview Mountain Jiang Hong Zhuhai Aoyuan Plaza men Kong Aoyuan Bay Area Aoyuan Xianghai Scenery Zhuhai Aoyuan Haiquan Huating Dongguan Aoyuan City Plaza Huizhou Aoyuan Yushan Lake

Aoyuan Lingshang Aoyuan AOffice46 Aoyuan Garden Life Aoyuan Xiangshan Scenery

Aoyuan Guanlan Glorious Mansion Aoyuan City Plaza Jiangmen Aoyuan Zhongshan Macao Aoyuan San Green Land Golden Town Aoyuan Lingshang Francisco Heights Aoyuan Jade Bay Aoyuan SOHO

34 Full coverage of “Three Olds” urban redevelopment

Benefiting from early strategic planning and initiatives, Aoyuan has a full coverage of “Three Olds” urban redevelopment, including old towns, old villages and old factories. Aoyuan has over 30 urban redevelopment projects at different phases with planned total GFA of approx. 16.04mn sqm and saleable resources of approx. RMB219.7bn. Urban redevelopment projects can generate considerable profits through primary and/or secondary development, as well as disposal of interest at project level

Urban redevelopment layout Aoyuan urban redevelopment projects in Zhuhai

Shen- zhen Zhuhai North Station

Greater Langfang, Hebei Beijng Shenzhen-Zhongshan Bridge Shenzhen Baoan

Area S268 International Airport Zhuhai Golf Resort To Shenzhen ProvincialHighway Cuihu Central Xiaxu Village Golf Club & Xi’an, Shaanxi Tangjiawan Qi’ao Western Station Tangjia Island China Xiaxu Industrial and Trade Project

Guangzhou Shenzhen Shuiwengkeng Plaza Zhuhai Zhuhai Greater Foshan Aoyuan Plaza Xiangzhou Port Passenger Station South Bay Dongguan Xiangzhou China Zhuhai Area Xiangzhou Municipal Zhuhai Opera House District Government Mingzhu Government Island of Wild Foxes Qingyuan, Guangdong Doumen Royal Park Station Meizhou, Guangdong Nanning, Guangxi Qianshan Cuiwei Village Doumen Anlian Road Statue of Fisher Girl in Zhuhai Qianshan Nanping Station Jiuzhou Port Pingsha Aoyuan Plaza Jinwan District Estimated saleable resources (by region) Government Gongbei Hong Central & Zhuhai Avenue Lian’an Village Kong Western China Gongbei Gongbei Guanzha & Hong Kong Greater 1% Gaosha Village International Airport Beijing Area Jinwan 11% Artificial Zhuhai Station Gongbei Port Island of Zhuhai-Macao Pearl River Delta Ring Highway South China Jinwan Project Port (excl. GBA) Wanzai Port 14% Greater Dingjiawan Project Bay Area Hengqin Hengqin Port 74% Zhuhai Jinwan Airport Macao

Macao International Airport 35 Full coverage of “Three Olds” urban redevelopment (cont.)

Estimated saleable Estimated saleable Site area Planned total GFA Project City Type Status GFA resources (‘000 sqm) (‘000 sqm) (000’s sqm) (RMB mn)

Expected conversion of first phase/all into land bank in 2019

Redevelopment proposal 1 Guangzhou Panyu Nitrogen Fertilizer Plant Guangzhou, Guangdong Old factory 100 300 300 15,000 approved by Government Approved project implementation by 2 Zhuhai Doumen Royal Park Zhuhai, Guangdong Old town 10 70 60 1,200 Government; commenced demolition 3 Zhuhai Qianshan Anlian Road Zhuhai, Guangdong Old factory Redevelopment plan under approval 10 80 80 1,800 4 Zhuhai Pingsha Aoyuan Plaza Zhuhai, Guangdong Old factory Redevelopment plan under approval 150 320 290 4,500 Approved as project developer 5 Zhuhai Cuiwei Village Zhuhai, Guangdong Old village 350 1,260 570 20,000 by Government Approved as project developer 6 Zhuhai Gongbei Lian’an Village Zhuhai, Guangdong Old village 60 260 120 5,400 by Government 7 Dongguan Shimei Village Dongguan, Guangdong Old village Signing of demolition agreement 150 740 450 9,500 Completed Phase 1 of 8 Nanning Nantang Project Nanning, Guangxi Old village 280 720 720 7,900 acquisition and demolition 9 Xi’an Yahe Project Xi’an, Shaanxi Old village Completed demolition and conversion 40 220 190 2,700 10 Langfang Xihutun Project Langfang, Hebei Old village Completed demolition and conversion 60 130 100 1,600 11 Hong Kong Robinson Road Project Mid-levels, Hong Kong Old building Compulsory sale for redevelopment 1 5 5 2,200 Subtotal 1,211 4,105 2,885 71,800

Expected conversion of first phase/all into land bank in 2020-2021

Government approval; signing of 12 Zhuhai Gongbei Guanzha & Gaosha Village Zhuhai, Guangdong Old village 120 570 260 13,400 compensation agreement 13 Zhuhai Xiaxu Village Zhuhai, Guangdong Old village Redevelopment plan under approval 140 430 350 10,500 14 Zhuhai Xiaxu Industrial & Trade Project Zhuhai, Guangdong Old factory Redevelopment plan under approval 40 120 70 1,800 15 Zhuhai Jinwan Project Zhuhai, Guangdong Old village Redevelopment plan under approval 50 170 130 2,600 16 Dongguan Zhongtang Project Dongguan, Guangdong Old factory Signing of demolition agreement 10 30 30 600 17 Dongguan Gaobu Project Dongguan, Guangdong Old village Project approval application in progress 70 270 150 3,200 18 Foshan Nanhai Luo Village Foshan, Guangdong Old village Demolition completed 200 640 490 10,000 19 Guangzhou Zengcheng Nantang Village Guangzhou, Guangdong Old village Redevelopment plan under approval 270 950 550 11,100 20 Shenzhen Pingshan Project Shenzhen, Guangdong Old factory Project approval application in progress 30 130 120 5,000 21 Shenzhen Nanxian Project Shenzhen, Guangdong Old factory Project approval application in progress 7 40 40 3,300 22 Qingyuan Xinyi Project Qingyuan, Guangdong Old factory Redevelopment plan under approval 40 100 100 1,200 23 Meizhou Xingning Project Meizhou, Guangdong Old village Redevelopment plan under approval 180 620 490 4,900 24 Nanning Chendong Village Nanning, Guangxi Old village Redevelopment plan under approval 1,070 2,370 1,570 17,300 25 Langfang Taihe Project Langfang, Heibei Old village Demolition plan under approval 860 2,410 2,100 19,000 Subtotal 3,087 8,850 6,450 103,900

Expected conversion into land bank in 2022 or later

Other projects (Guangzhou, Shenzhen, Zhuhai, etc.) Subtotal 1,150 3,080 1,370 44,000

Grand total 5,448 16,035 10,705 219,700 36 Full coverage of “Three Olds” urban redevelopment (cont.)

Old factory redevelopment: Old town redevelopment: Guangzhou Panyu Nitrogen Fertilizer Plant Zhuhai Doumen Royal Garden

• Location: Located in the north of Xinzao Town, Panyu District of • Location: Located in the prime location of Doumen District of Zhuhai, Guangzhou, next to Xinhua Expressway, close to Guangzhou Higher near Huangyang River Education Mega Center • Estimated saleable GFA and resources: approx. 60,000 sqm and • Estimated saleable GFA and resources: approx. 300,000 sqm and RMB1.2bn RMB15bn • Status: Aoyuan officially became the developer of project implementation • Status: Approved by the Government and signed compensation in Mar 2019. Demolition has already commenced. It is the first successful agreement urban redevelopment of unfinished building in Zhuhai

珠江

Old village redevelopment: Old village redevelopment: Zhuhai Cuiwei Village Zhuhai Gongbei Lian’an Village

• Location: Located in Xiangzhou District of Zhuhai, close to Mingzhu • Location: Next to Gongbei Port, Zhuhai Station of the Guangzhou-Zhuhai Station of inter-city railway, 5-min ride from Zhuhai Aoyuan Plaza; the Railway, and Hong Kong-Zhuhai-Macao Bridge; Lian’an Village is a major largest urban village in Zhuhai redevelopment of the Zhuhai Government Estimated saleable GFA and resources: approx. 570,000 sqm and • approx. 120,000 sqm and RMB20bn • Estimated saleable GFA and resources: RMB5.4bn • Status: Over 90% of villagers approved the demolition & relocation plan, and in process of examining contracts and determining area, Expected to • Status: Aoyuan officially became the project developer in Mar 2019 obtain the qualification for project implementation in Sep 2019

37 Case study of urban redevelopment projects

Successful case study 1: Zhuhai Aoyuan Plaza (old factory redevelopment)

• Total GFA: 271,000 sqm • Avg. land cost: RMB2,732 per sqm • Accumulated ASP: RMB20,100 per sqm • Accumulated contracted sales: approx. RMB4.38bn

• Gross profit margin/ net profit margin: 38%/ 18% • Redevelopment timetable: ✓ Dec 2014: Redevelopment planning application submitted ✓ Mar 2015: Applied for redevelopment planning to Zhuhai City Planning Commission ✓ Jun 2015: Land transfer contract signed ✓ Jul 2015: Obtained land ownership certificate ✓ Oct 2015: Launched for presales ✓ Sep 2017: Started to deliver

(The above are actual images)

Redevelopment timetable for old factories (Zhuhai) Confirm Redevelopment planning State-owned Cooperation agreement redevelopment plan application land ownership certificate

1-3 months 1-3 months 1-3 months 1-3 months Redevelopment timetable for old villages (Zhuhai)

Villagers’ general Villagers’ general Government approval; State-owned Redevelopment planning assembly to decide on assembly to decide on Compensation land ownership application redevelopment early-stage developer agreement certificate 1-3 months 1-3 months 6-9 months 3-6 months 1-3 months 38 Case study of urban redevelopment projects (cont.)

Successful case study 2: Guangzhou Luogang Aoyuan Plaza Successful case study 2: Guangzhou Aoyuan Int’l Center (old factory + old village redevelopment) (old village redevelopment)

• Total GFA: 334,000 sqm • Total GFA: 248,000 sqm • Avg. land cost: RMB4,858 per sqm • Avg. land cost: RMB6,698 per sqm • Accumulated ASP: RMB16,500 per sqm • Accumulated ASP: RMB19,100 per sqm • Accumulated contracted sales: approx. RMB4.60bn • Accumulated contracted sales: approx. RMB2.26bn 41%/ 15% • Gross profit margin/ net profit margin: 30%/ 17% • Gross profit margin/ net profit margin: Redevelopment timetable: • Redevelopment timetable: • ✓ Dec 2011: Cooperation agreement with platform company ✓ Jun 2012: Cooperation agreement with village signed of Panyu district Government signed ✓ Dec 2012: Redevelopment plan approved ✓ Dec 2013: Land consolidation completed ✓ Jun 2013: Old village Phase 1 tendered for auction ✓ Jul 2015: obtained land ownership certificate ✓ Jun 2014: Launched for presales ✓ Mar 2016: Launched for presales ✓ Jun 2016: Started to deliver ✓ Dec 2017: Started to deliver

(The above are actual images) 39 Strategic land bank replenishment

In 1H2019, Aoyuan acquired 34 projects with newly added GFA of approx. 7.26mn sqm (attributable: 78%), attributable land cost was approx. RMB15.8bn with newly added saleable resources of over RMB80bn, maintaining reasonable land cost and stable margins

Avg. Attributable Attributable Total GFA Interest Regional distribution Region Province/ City land cost GFA land cost (000’s sqm) (%) (RMB/sqm) (000’s sqm) (RMB mn) (by GFA) (by land cost)

GBA 8,293 258 258 2,144 100% Bohai Rim South Guangdong 8% 1,319 871 714 588 82% China (excl. GBA) Guangxi 2,181 728 405 899 56% Subtotal 2,514 1,857 1,377 3,631 74% South China Bohai Rim South China 23% Core Chongqing 3,572 112 112 400 100% 25% 26% region of Sichuan 4,833 854 510 3,042 60% East China Central & Hunan 7,267 76 76 559 100% Core region 36% Core region East China Western Shaanxi 5,728 261 133 763 51% of Central & of Central & 23% Western Western China Jiangxi 846 610 610 515 100% China China Subtotal 3,709 1,913 1,441 5,279 75% 26% 33% Zhejiang 6,227 322 248 1,350 77% Jiangsu 4,687 741 521 2,604 70% East China Anhui 3,209 436 360 1,068 83% Fujian 5,566 206 113 631 55% Subtotal 4,706 1,705 1,242 5,653 73% Acquisition channels Project scale Bohai Rim Hebei 1,467 1,782 1,574 1,283 88% Subtotal 1,467 1,782 1,574 1,283 88% (by GFA) (by land cost) Grand total 3,087 7,257 5,634 15,846 78% Urban redevelopment 3% • In 1H2019, Tier 1&2 plus satellite cities accounted for 65% in terms of newly 64% 22 projects acquired projects by GFA, while Tier 3&4 accounted for 35% < 0.2mn sqm • In 1H2019, M&A accounted for 72% in terms of newly acquired projects by Public land auction 10 projects GFA, public land auction accounted for 25% and urban redevelopment 25% 33% 0.2mn to 0.5mn sqm accounted for 3% M&A 72% • Aoyuan continues to capitalize on solid track record, resourceful networking, 3% 2 projects strong team and efficient decision-making when replenishing land bank via > 0.5mn sqm M&A, while adequately increasing public land auction proportion

40 Strategic land bank replenishment (cont.)

High-quality projects Breakdown of land bank acquired since IPO successfully acquired since IPO (by GFA)

Urban Avg. Offshore redevelopment Total GFA Total cost 4% No. land cost 2% (‘000 sqm) (RMB mn) Bohai Rim (RMB/sqm) 11%

2008 2 369 341 126 East Public land China auction 2009 4 876 3,583 3,138 South China 30% 15% 44% M&A 2011 7 2,933 1,268 3,721 Core region of 68% Central & Western China 2012 8 2,178 1,875 4,084 26%

2013 8 2,245 2,233 5,013

8 1,715 2,657 4,557 2014 • Since IPO, M&A accounted for 68% in terms of newly acquired 2015 13 2,312 2,492 5,761 projects by GFA, public land auction accounted for 30% and urban redevelopment accounted for 2% 2016 17 3,170 3,139 9,950 • Adhering to a well-balanced city layout, Aoyuan focus on South China, particularly in Greater Bay Area, and expand into core region 2017 58 2,446 12,861 31,458 of Central and Western China and East China 2018 64 2,418 12,584 30,432 • Continues to capitalize traditional strengths of M&A and track public land auction market, while paying great attention to other channels 1H2019 34 3,087 7,258 22,405 including the integration of industry and city, urban redevelopment Total 223 2,400 50,291 120,645 and cooperation with village in the long term

41 5. Appendix

Huizhou Aoyuan Champion City (actual image)42 Shareholding structure

While maintaining a stable and generous dividend policy, Aoyuan and its Chairman have demonstrated strong confidence in Aoyuan’s long term development through rounds of share purchases and buybacks, totalling an aggregate consideration of over HK$900mn since IPO

(As of 16 Aug 2019) ✓ In Jul 2019, Chairman GUO Zi Wen acquired 2mn shares at an average price of approx. HK$10.72 per share, with a GUO Zi Wen/ GUO Zi Ning Public total consideration of HK$21.4mn, and his shareholding *Deemed interests increased to approx. 55% Approx. 55.2% Approx. 44.8% ✓ In Jan-Oct 2018, Chairman GUO Zi Wen acquired 37.90mn shares at an average price of approx. HK$4.81 per share, with a total consideration of HK$180mn, and his shareholding increased to approx. 55% ✓ In Jun 2018, Aoyuan repurchased approx. 3.69mn shares at an average price of approx. HK$5.29 per share, with a total consideration of HK$19.51mn (approx. 0.14% of the issued share capital) ✓ In Mar 2017, Chairman GUO Zi Wen acquired approx. 53.43mn shares at an average price of approx. HK$2.40 per share, with a total consideration of HK$128mn, and his Chairman: GUO Zi Wen shareholding increased to approx. 54% Approx. 54.6% ✓ In Nov 2016, Aoyuan repurchased approx. 112mn shares at an average price of approx. HK$1.68 per share, with a total consideration of HK$188mn (approx. 4% of the issued share capital) ✓ In Aug 2015, Chairman GUO Zi Wen acquired approx. 55.12mn shares at an average price of approx. HK$1.65 per share, with a total consideration of HK$91.41mn, and his shareholding increased to approx. 50% Chairman: GUO Zi Ning ✓ In Jul 2014, Chairman GUO Zi Wen acquired approx. 56.23mn shares at an average price of approx. HK$1.55 per share, with a total consideration of HK$86.97mn, and his shareholding increased to approx. 48%

43 Stock performance and dividend policy

Aoyuan is a member of MSCI China Index, Hang Seng Composite LargeCap & MidCap Index, Hang Seng Stock Connect Hong Kong Index and Hang Seng Stock Connect Big Bay Area Composite Index

Outperforming stock price with active turnover Stable and generous dividend policy

Source: Bloomberg (RMB cents per share) Aoyuan HSI 60 46% 41% 41% 36% 50 30%

40 36.0 2017 2018 2019 30 25.0 Evergrande 458% CR Land 31% 113% 20 15.0 Sunac 402% Zhenro 28% Times 59% 10.6 36.0 243% Shimao 23% 56% 8.7 5.3 25.0 Country Garden Powerlong 10 1.8 Future Land 208% Logan 21% China SCE 51% 8.7 8.8 9.7 Agile 200% Longfor 20% China Jinmao 45% 0 Logan 176% 16% Sunac 40% 2014 2015 2016 2017 2018 141% Times 13% Gemdale 27% 25% (1) CIFI 125% Future Land 9% Longfor Ordinary dividend Special dividend Payout ratio KWG 108% COLI 7% Future Land 24% Times 103% Ronshine 6% Yuexiu 24% Note (1): Payout ratio = Total dividend / Profit attributable to shareholders Longfor 99% China Jinmao 2% Logan 22% GZ R&F 88% Yuexiu -1% CIFI 21% Vanke - H 76% Gemdale -9% GZ R&F 21% Key research coverage 21% Gemdale 71% CMSK -11% Vanke - A (2) Shimao 68% CIFI -12% Poly A 21% on Aoyuan equity and bonds Powerlong 66% Evergrande -13% CMSK 19% China Jinmao 65% Vanke - H -15% POLY H 19% Greentown 60% China SCE -15% Yuzhou 15% ✓ ABCI ✓ AMTD ✓ BAML ✓ CIMB Bank POLY H 58% Poly A -17% CR Land 12% Sino-Ocean 55% Powerlong -19% Country Garden 12% Poly A 55% SZIH -20% Vanke - H 11% ✓ CMBI ✓ CMS(HK) ✓ CICC ✓ Citigroup Ronshine 55% Sunac -21% Ronshine 11% Yuzhou 54% Agile -22% Agile 11% ✓ Credit Suisse ✓ CRIC Sec. ✓ DBS ✓ DB Vanke - A 51% Yuzhou -23% SZIH 9% China SCE 45% Vanke - A -23% KWG 6% BC Land 40% SH Shimao -24% SH Shimao 5% ✓ Essence Int’l ✓ GTJA ✓ Haitong Int’l ✓ HSBC Yuexiu 38% KWG -24% Shimao 5% 3% CR Land 32% BC Land -31% BC Land ✓ Huatai Int’l ✓ J.P. Morgan ✓ Nomura ✓ UBS COLI 22% GZ R&F -33% Greentown 1% CMSK 19% Sino-Ocean -36% COLI 0% SZIH 4% Country Garden -36% Sino-Ocean -8% Zhenro 0% POLY H -40% Zhenro -11% Note (2): In alphabetical order SH Shimao-30% Greentown -42% Evergrande -11% Note (3): For details of research coverage, please refer to company website of 2017 2018 As of 31 Jul 2019 Aoyuan – Investor Relations 44 Aoyuan: Breakthrough to success as Top 30 PRC developer

Founded in 1996, Aoyuan first introduced the “Sports + Property” development concept partnering with China Sports under General Administration of Sport of China and successfully developed the first Pioneer sports-themed community in China, namely Guangzhou Olympic Garden, establishing itself as the pioneer in composite real estate in China. Aoyuan (3883.HK) was listed on the Main Board of Hong (开创) Kong Stock Exchange in Oct 2007 with branding philosophy of “Building a Healthy Lifestyle” and keeps promoting composite real estate upgrades.

Aoyuan received approx. HK$3.2bn in cash and recorded special gains of HK$1.1bn by successfully Breakthrough exiting 8 Chang’an Ave Beijing project in 2012. Aoyuan started to unleash its potential and persist with further breakthroughs. In the same year, Aoyuan successfully issued its first USD senior notes in the (破茧) international capital markets. In 2013, contracted sales exceeded RMB10bn and more professional managers joined Aoyuan. 2016-2018 CAGR for contracted sales reached 89%.

In 2018, Aoyuan achieved contracted sales of RMB91.3bn with a yoy growth rate of 100%, which is one of the fastest growing PRC developers. In 1H2019, Aoyuan ranks 26th in CRIC sales rankings of Take-off property developers. Aoyuan has received upgrades of corporate rating and rating outlook from all 3 major international rating agencies, Fitch, S&P and Moody’s during 2016-2019. In May 2019, its (起飞) domestic corporate credit rating has been upgraded to “AAA”, the highest credit rating in PRC, by United Credit Ratings.

Aoyuan is a member of MSCI China Index, Hang Seng Composite LargeCap & MidCap Index, Hang Seng Stock Connect Hong Kong Index and Hang Seng Stock Connect Big Bay Area Composite Index. Upgrade One of its sub-groups, namely Aoyuan Healthy Life (3662.HK), has been spun off and listed on the Main Board of the Hong Kong Stock Exchange in Mar 2019. Aoyuan was named among “Forbes Asia’s (跃升) Fab 50 in 2018”. It was also named among “Fortune China 500” for 3 consecutive years since 2017 and recognized as “Fortune China Top 50 Board of Directors in 2019”.

In Jul 2019, the headquarters of Aoyuan Group was relocated to Aoyuan Tower in Panyu Wanbo CBD, Guangzhou. Upholding the corporate values of “efficiency, integrity and responsibility”, Aoyuan Vision keeps enhancing its strategy of “one core business with vertical development” by strengthening its (愿景) core business and extending its business segments, so as to strengthen its internationalized position in the RMB100bn sales club and become one of Global 500 companies.

45 Effective Board of Directors with high standards of corporate governance

The Board of Directors is committed to upholding high standards of corporate governance and transparency, so as to ensure that Aoyuan can maintain resilience and outperform in complex environments while achieving sustainable and high-quality development

Board of Directors

GUO Zi Wen TSUI King Fai

Executive Director, Independent Non- Chairman, Group Founder executive Director

GUO Zi Ning CHEUNG Kwok Keung

Executive Director, Independent Non- Vice Chairman, CEO executive Director

MA Jun HU Jiang

Executive Director, Independent Non- COO executive Director

Jacky CHAN

Executive Director, Senior Vice President

Aoyuan was named among “Fortune China Top 50 Board of Directors in 2019” and “The Asset Corporate Gold Awards in Corporate Governance and Investor Relations in 2018”

46 Stable and outstanding professional management team

Aoyuan attracts outstanding and experienced talents, strengthen professional management team as well as core competitiveness, so as to ensure that Aoyuan can maintain resilience and outperform in complex environments while achieving sustainable and high-quality development

Senior Management

Project Capital Markets, Operations & Product HR & Admin, Strategic Financial Financial & Risk Commercial Business Investment and International Safety Management & Brand Investment Group Management Group Development Fund Management Investment Group Management R&D Management

RUAN Yong Xi CHEN Yong HUANG Bang Hua CHEN Zhi Bin Jacky CHAN MA Jun ZHANG Jun HU Hao HU Ran GUO Shi Guo

Assistant to Vice President, Executive Director, Executive Director, Senior Senior Vice President Vice President Senior Vice President Vice President President CFO COO Vice President Vice President Vice President

279th

nd 382 2019 th 485 2018 Aoyuan was named among “Fortune China 500” 2017 for 3 consecutive years with improving ranking, and recognized as “Forbes Asia’s Fab 50 in 2018”

47 6. Investor Relations

View from Sydney Aoyuan One30 Hyde Park48 Professional IR management

Committed to professional investor relations management, Aoyuan strives to maintain a long-term interactive relationship with investors. Aoyuan upholds an open and candid attitude to listen to the capital markets and maintain a high-level corporate transparency and corporate governance Frequent and two-way Investor relations activities in 1H2019 1H2019 investor relations calendar communication with investors

Date Conference/ Presentation City ✓ Organized and participated in a total of Investor 288 investor relations activities in 1H2019, Jan UBS Greater China Conference 2019 Shanghai roadshow Investor briefing Jan DBS Pulse of Asia Conference 2019 Singapore including 215 management meetings, 28 Project 6 times and press site visit Jan dbAccess China Conference 2019 Shenzhen telephone & video conferences, 2 investor conference BNP Paribas Asia Pacific Financials & Property briefings and press conferences, 14 14 times 2 times Jan Hong Kong Investor Conference 2019 project site visits, 23 investor conferences conference Feb Citi Asia Pacific Investor Conference 2019 Singapore China Aoyuan 2018 Annual Results and 6 investor roadshows held in Beijing, 23 times Mar Hong Kong Shanghai, Shenzhen, Hong Kong, Investor Presentation China Aoyuan AR2018 Post Results Singapore, Frankfurt, etc. Telephone/ Mar Hong Kong Non-deal Roadshow video China Aoyuan AR2018 Post Results ✓ Met and communicated with 811 Mar Singapore conference Non-deal Roadshow institutional investors from 508 investment 28 times Management Mar Morgan Stanley PWM China Credit Corporate Day Hong Kong institutions in 1H2019 to enhance China Aoyuan AR2018 Post Results meeting Apr Beijing investor’s awareness of latest 215 times Non-deal Roadshow development in business performance, China Aoyuan AR2018 Post Results Apr Shanghai operating conditions and development Non-deal Roadshow China Aoyuan AR2018 Post Results strategies, to understand capital market Apr Shenzhen views and provide timely feedback to top Non-deal Roadshow management Apr Huatai HK Equity Property Corporate Day 2019 Hong Kong Industrial Securities Overseas Investor Apr Shenzhen Conference Spring 2019 Barclays China Property Week - China Property Apr Hong Kong Investment institutions by region Investment institutions by investor type Corporate Day May 15th J.P. Morgan Annual Global China Summit Beijing Others 3rd Guotai Junan International Investor May Shanghai 1% Conference May 10th Annual dbAccess Asia Conference Singapore Europe May UBS HK/China Property Conference 2019 Hong Kong America 10% May Aoyuan Annual General Meeting 2019 Hong Kong 11% May Morgan Stanley 5th Annual China Summit Beijing May BNP Paribas Property Corporate Day Hong Kong Equity Jun Haitong International Property Corporate Day Hong Kong Asia Pacific Bond Mainland China 51% Deutsche Bank 23rd Annual European Leveraged (excl. Mainland 49% Jun London & Hong Kong Finance Conference China & Hong 58% Jun China Aoyuan Non-deal Roadshow Frankfurt Kong ) Deutsche Bank China Property High-yield Jun Hong Kong 20% Corporate Day Jun Cathay Securities 2019 Q2 Corporate Day Taipei Jun Everbright Securities Interim Conference Shenzhen Jun CGS-CIMB 2019 China/HK Property Conference Hong Kong Jun Citi Asia Pacific Property Conference 2019 Hong Kong 49 Professional IR management (cont.)

Upholding highest standard of investor relations management, Aoyuan’s reputation and influence in capital markets are increasing Awarded “The Asset Corporate Gold Awards in Corporate Governance and Investor Relations in 2018”

Annual General Meeting Results Briefing Reverse Roadshow

Annual General Meeting Results Briefing Investor Roadshow

Investor Site Visit Results Briefing Investor Site Visit

50 IR key contacts

Jacky Chan Ben Chen Anthony Cheng

Group Vice President Executive Director Financial Controller Group Senior Vice President Chief Financial Officer

HK: (852) 2180 9566 HK: (852) 2180 9566 HK: (852) 2180 6981

China: (86 20) 3868 6666 China: (86 20) 3868 6666 China: (86 20) 3868 6666

Email: [email protected] Email: [email protected] Email：[email protected]

Emma Qi Sarah Wong Heng Tam

Deputy Head of Corporate Finance and Company Secretary Investor Relations Manager Investor Relations

HK: (852) 2180 9566 HK: (852) 2180 9599 HK: (852) 2180 9556

China: (86 20) 3868 6666 China: (86 20) 3868 6666 China: (86 20) 3868 6666

Email: [email protected] Email: [email protected] Email: [email protected]

Unit 1901-02, 19/F, One Peking, HK Office No.1 Peking Road, T.S.T, Hong Kong

E-mail [email protected] Aoyuan WeChat Aoyuan Club WeChat Official Account Subscription Account

51 Disclaimer

This presentation was prepared by China Aoyuan Group Limited (the “Group” or the “Company”) for reference only. This presentation may not be reproduced or redistributed to any persons without explicit authorization from the Company.

Neither the Company nor any of its respective subsidiaries, directors, employees or advisors, directly or indirectly, gives any representation or warranty as to the completeness and accuracy of all the information contained in this presentation (including all forward-looking statements). The information contained in this presentation should be considered in the context of the circumstances prevailing at the time of presentation and has not been, and will not be, updated to reflect material developments which may occur after the date of the presentation.

This presentation contains statements that reflect the Company’s beliefs and expectations about the future. These forward- looking statements are based on a number of assumptions about the Company’s operations and factors which are beyond the Company’s control, and accordingly, actual results may differ materially from these forward-looking statements. The Company does not undertake to revise forward-looking statements to reflect future events or circumstances.

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The materials and information in this presentation are for informational purposes only and do not constitute an offer or solicitation for the purchases or sale of any securities or financial instruments or to provide any investment service or investment advice.