Based on sustainable development, the revenue of Longyuan Construction will increase 9.9% year on year in 2021

Longyuan Construction(600491)4月14日晚间披露2021年报，公司In 2021, the operating revenue will be 19.548 billion yuan, up 9.9% year on year.归母净利润6.67亿元，基本每股收益0.44元，拟每10股派现金0.42元(含税)。在挑战和机遇并存的2021年，Longyuan Construction积极调整经营策略，以实现可持续发展。

Longyuan Construction是国内领先的民营基础设施投资和工程总包企业。对于公司而言，The challenges in 2021 mainly come from the system environment and industry environment. The company actively adjusted its business strategy, did a good job in shifting the focus of work at different stages, made overall efforts to manage the stock projects, improved the quality of incremental projects, appropriately slowed down the pace of investment, improved quality and efficiency, and at the same time made assembly and photovoltaic building integration (BIPV) a new growth pole to achieve sustainable development.

Steady development Both asset size and operating income increased

Longyuan Construction作为长三角建筑市场最大的民营施工企业之一，在建筑施工领域经过四十多年的实践，主营业务实现了由传统施工建设向城市基础设施及公共服务设施投资-The transformation and upgrading of construction operators have formed all-round competitiveness in industrial layout, brand, construction and risk control.

2021年，面临新冠疫情和“房住不炒”成为常态化的调控基调下，市场竞争也更加激烈。以Longyuan Construction为代表的大型民营企业，机制更具活力，善于进行成本把控，具有决策效率高、适应能力强的优点，有能力承接中小型公共建筑和住宅项目，可以利用较好的市场口碑和细分施工领域优势抢占市场先机。

The company deeply cultivates the main track of urban development, devotes itself to providing the government with one-stop professional services covering the whole life cycle of projects in the field of infrastructure and public services, as well as providing high-quality EPC services for various investors, and actively explores new development in the field of photovoltaic and steel structure prefabricated buildings. Through continuous efforts, the total assets of the Company and the net assets attributable to shareholders of the listed company have been rising.

Taking the traditional building construction sector as an example,2021年公司严控增量项目的质量，优化业务结构。公司提高民营房地产企业的项目筛选标准，主动放弃资金保障力度弱或项目付款条件不佳的项目，轻数量，重质量；积极参与非民营房地产企业和优质民营企业的项目；加强公开招投标市场的竞争，如学校、医院、市政基础设施建设类项目；重点拓展经济发达地区的业务，如长三角、珠三角等经济发达地区。同时，加强存量项目清欠力度，及时回笼资金。提升项目全过程管控水平。Longyuan Construction紧紧把握住传统建筑施工业务板块，新承接项目 189.85 亿元，非民营项目占比 53.60%，非房建类项目占比 28.10%。

By improving the quality and efficiency of various businesses, the companyIn 2021, the operating revenue will be 19.548 billion yuan, up 9.9% year on year.

The company said that,In 2021, the company did not undertake new infrastructure construction investment business, but took steadily and orderly promoting the performance of PPP projects and accelerating the efficiency of government payment collection as its core task. During the reporting period, the construction income of PPP projects was 3.297 billion yuan, the new financing approval was 3.094 billion yuan, and the PPP project payment collection was 3.017 billion yuan. There were 12 new projects entering or partially entering the operation period. Considering the market environment and the balance between capital investment and investment return, the company actively controls the construction rhythm of PPP projects, and the income and profits contributed by PPP projects have declined. The announcement shows that in 2021, the net profit attributable to the parent company will be 667 million yuan, a year-on-year decrease of 17.51%.

As a leading private construction enterprise, the company has taken a leading position in the industry in the fields of construction business, infrastructure construction investment business, and steel structure assembly business, and has been successively listed in Fortune China Top 500, top 80 Chinese contractors, top 100 private enterprises in Zhejiang Province, AAA "contract abiding and credit worthy" enterprises in Zhejiang Province, etc., have won more than 800 provincial and above quality engineering awards, including Luban Award, National Excellence Award, Zhan Tianyou Award, Magnolia Award, Qianjiang Cup, China Installation Engineering Quality Award, Water Conservancy Engineering Quality (Dayu) Award, Steel Structure Gold Award, etc., and also won the long-term credit rating of AA subject.

Integration of prefabricated and photovoltaic buildings（BIPV) will become a new growth pole of the company

Fabricated buildings are the main technical means to achieve green and environment-friendly buildings. Different from the traditional building mode, most of the building components of the prefabricated building are manufactured by the factory and finally assembled at the project site. It has significant advantages in building quality, construction period, energy conservation and environmental protection, and is the most suitable"Carbon neutral" concept. In recent years, many national and local policies have been issued intensively, and prefabricated building related industries have developed rapidly. The prefabricated construction industry chain has been rapidly improved, with strong mass production capacity. The industry is in a high boom, and the penetration rate of prefabricated construction continues to increase.

As a national prefabricated construction industry base,In 2021, the company's assembly business will expand the market from three aspects of market bidding, industrial cooperation and strategic product development, among which 8 projects will win the bid in the whole year, with a contract amount of 1.179 billion yuan; Expand and reserve future orders with 58 industrial cooperation regions and 8 strategic cooperation customers. During the reporting period, 24 authorized patents were obtained in the whole year, and S system was awarded the second prize of Science and Technology Progress Award of Shanghai Society of Civil Engineering in 2021 and the third prize of Science and Technology Innovation Achievement Award of Zhejiang Construction Industry Association, and was rated as a demonstration project of research, development and application of prefabricated buildings in Shanghai. At the same time, S system has become the first complete steel structure prefabricated residential system that has passed the evaluation of scientific and technological achievements of the Ministry of Housing and Urban Rural Development in the industry and the national construction industry scientific and technological achievements promotion project.

Issued by the Ministry of Housing and Urban Rural Development《The Fourteenth Five Year Plan for Building Energy Efficiency and Green Building Development proposes that by 2025, more than 350 million square meters of existing buildings will be transformed into energy-saving buildings, more than 50 million square meters of ultra-low energy and near zero energy buildings will be built, and prefabricated buildings will account for 30% of new urban buildings that year. The installed capacity of solar photovoltaic in new buildings nationwide will be more than 50 million kilowatts, and the application area of geothermal energy in buildings will be more than 100 million square meters, The replacement rate of renewable energy for urban buildings reached 8%, and the proportion of electricity consumption in building energy consumption exceeded 55%.

At present, the company has completed In the first stage of BIPV's technology and market research, BIPV had a clear understanding of the mainstream technology, capabilities and development direction of the current industry, and started resource allocation and integration, entering the stage of substantive cooperation and research and development. BIPV technology has a high degree of technical commonality and coordination with the curtain wall enclosure technology and steel structure technology already possessed by the company. Longyuan Mingzhu S system will be incorporated into the new "green energy" system on the basis of the existing four systems of "structural system", "enclosure system", "electromechanical system" and "interior decoration system", which will bring green self energy supply, reliable performance and acceptable cost to the market A new generation of integrated green building solutions that keep pace with the times, and bring new market competitive advantages to the company's business.

In order to conform to the building industrialization, the prefabricated buildings and For the needs of BIPV manufacturing, the company's prefabricated building technology industrial park has been set up in Xuancheng City, Anhui Province. The first phase covers an area of 300 mu. It is estimated that it can serve the construction of 1 million square meters of prefabricated green buildings in the Yangtze River Delta, with an annual output value of more than 1.5 billion yuan. The company will build a comprehensive green building enterprise with the ability to research, develop, produce and sell BIPV products, as well as have the capacity of green low-carbon building general contracting and professional contracting delivery, and strive to cultivate the green building business sector into a new growth pole of the company.

2021年，Longyuan Construction深耕城市发展主赛道，致力于为政府提供覆盖基础设施和公共服务领域项目全生命周期的一站式专业服务，以及为各类投资人提供高品质的工程总包服务，积极探索光伏和钢结构装配式建筑领域新发展，为推动城市高质量发展提供助力，实现公司的可持续发展。