Net Profit Up
38.6% to RMB1.86 billion

Contracted
Sales Hit Record High

Recently
Acquired Property Management Business to Boost Profitability

�

Financial Highlights:

�

2018FY Results Highlights:

• Record-High Sales:
  
  Contracted sales and contracted sales area of
  the Group amounted to approximately RMB20.18 billion and 1,787,209 sq.m.,
  representing a year-on-year increase of 95% and 52% respectively. Average price
  of contracted sales up 28.1% year on year to RMB11,292 per sq.m.Keeping
  a fast growing pace,for the two
  months ended 28 February 2019, the contracted sales and corresponding gross
  floor area sold was approximately RMB2,094.9 million and 190,725 sq.m.,
  representing a year-on-year increase of approximately 88% and 60% respectively.
• National Layout:
  
  The Group acquired 13 premium projects of total
  gross GFA reaching approximately 3,900,000 sq.m. at a low premium in 8 regions,
  including Hong Kong, Shanghai, Taizhou, Changzhou, Jiangmen, Guiyang, Urumqi
  and Cambodia.
• Layout of the Guangdong-Hong Kong-Macau Greater Bay Area Taking Shape:
  
  The Group took the lead in entering city clusters in the Greater Bay
  Area in 2016 and has obtained premium land parcels in Hong Kong, Macau, Shenzhen
  and other cities of Guangdong Province.
• Embarking upon Property Management Business:
  
  The Group intended to boost its profitability with property management assets.
  The managed properties totaled 121 projects, and arelocated mainly in provinces including Zhejiang, Jiangsu and Anhui.
• Broaden Financing
  Channels:
  
  The Group successively public issued
  senior notes through various channels to optimize debt structure, including the
  public issuance of USD350 million senior notes due 2019 and USD400 million
  senior notes due 2020.

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HONG KONG, CHINA -�Media
OutReach
�- 27 March
2019 -�Jiayuan International Group Limited

("Jiayuan International" or the "Group"; SEHK
stock code: 02768), an established property developer of both large-scale
residential and integrated commercial complex projects in China, announced
today its annual results for the year ended 31 December 2018.

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Leveraging on the forward-looking market layout and
competitive product strategies of Jiayuan International, the Group accurate
capture the demand for home purchases in important areas during the year,
leading to a significant growth in the Group's performance indicators. For the
year ended 31 December 2018, the Group's revenue increased by 37.5% to
approximately RMB10.46 billion. Net profit increased by 38.6% to RMB1.86
billion while profit attributable to the shareholders increased by 34.7% to RMB1.79
billion.Earnings per share amounted to
approximately RMB72.21 cents.The Board of
Directors recommended a final dividend of HK 11 cents, together with interim
dividend of HK10 cents, total dividend of the year is HK21 cents (2017: HK19
cents).

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To cope with the Chinese government's tighter
regulation of the property market in 2018, the Group implemented the development
model of "focusing on real estate with diversification" and leveraged on the synergy
effect among its various business segments. As a result, the Group precisely
captured the housing demand in the second- and third-tier cities, adjusted
sales strategy timely and accelerated cash collection cycle to ensure a steady
increase in its sales. As of 31 December 2018, the contracted sales of the
Group amounted to approximately RMB20.18 billion, representing a year-on-year increase
of 94.6%. Contracted sales area of the Group amounted to approximately 1,790,000
sq.m., representing a year-on-year increase of 51.8%. The average price of
contracted sales amounted to RMB11,292 per sq.m., representing a year-on-year
increase of 28.1%. For the two months ended 28 February 2019, the contracted
sales and corresponding gross floor area sold was approximately RMB2,094.9
million and 190,725 sq.m., representing a year-on-year increase of
approximately 88% and 60% respectively.

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In 2018, the increase in the Group's revenue was
mainly due to the delivery of properties pre-sold under Jiayuan Centurial City
in Yangzhou upon its completion in first half of 2018. During the year, revenue
derived from property development reached approximately RMB10,381.9 million,
representing a 37.9% increase year on year. Revenue generated from property
investment of the group amounted to approximately RMB77.0 million. The Group
recorded a 28.4% year-on-year increase in its gross profit, amounting to
RMB3.31 billion, with a gross profit margin of 31.6%.

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Jiayuan International is currently in a stage of
rapid expansion where the Group's abundant land reserves can ensure consistent
growth in its operating results in the future.Deeply rooted in the Yangtze River Delta Region for many years, the
Group took the lead in entering city clusters of the Guangdong-Hong Kong-Macau
Greater Bay Area in 2016. The Group acquired various property projects in core
cities of the Greater Bay Area through project merger and acquisition and joint
development. Meanwhile, the Group deployed in provincial capital cities with
strong fundamentals and planned for high-quality projects in regions along the
"Belt and Road" initiative, with abundant land reserves. As of 31 December
2018, the Group had 45 projects in total, spanning across 16 domestic and
foreign cities. The Group has land reserves with a total GFA of approximately 9.2
million sq. m., of which 65%, 15%, 13% and 7% are in Yangtze River Delta
Region, the Guangdong-Hong Kong-Macau Greater Bay Area, other key provincial
capital cities and regions along the "Belt and Road" initiative, respectively,
which will be enough to meet the development needs for the next three to five
years.

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The Group
announced its acquisition of Zhejiang Jia Yuan Property Management Co., Ltd.
from its major shareholders in September 2018 and the transaction was initially
approved by shareholders in early 2019. The acquired property management assets
are expected to boost Jiayuan International's profitability and provide strong
support towards the Group's property sales business.The property projects managed by Zhejiang Jiayuan
Property Management Services Group Co., Ltd. are located mainly in provinces
including Zhejiang, Jiangsu and Anhui.In
2018, the managed properties totaled 121 projects, covering residential,
commercial offices and urban complexes, including 104 residential communities,
14 commercial properties and 3 other properties, with total contracted GFA
under management of over 30,000,000 sq. m.

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Recently, Jiayuan
International announced that it has entered into a memorandum of?understanding with Mr. Shum, the chairman of the
group, to acquire a number of privately held projects in key cities in Anhui
Province, thereby rapidly expanding its business footprint to Anhui Province
and plans to pay for the acquisition price through the issuance of new shares.
In order to increase the shareholding ratio of major shareholders. The Group
expects that the increase in net assets will further optimize the structure of
assets and liabilities, making the financial situation more stable.

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Solid financial strengths
are important pillars to support a diversified business development. The Group
strove to speed up cash recovery from property sales and fortified capital
budget management during the year, and issued senior notes through various
channels to optimize debt structure, including the public issue of USD350
million senior notes due 2019 and USD400 million senior notes due 2020, thereby
further boosting the Group's capital strengths.

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Looking ahead, the
Group expects that the government will continue to implement differentiating
control policies and speed up the establishment of a long-term mechanism for
the real estate market to promote its steady and healthy development. On the
other hand, the county and township dwellers have an ongoing desire to improve
their living conditions since urbanization is far from over.To embrace the challenges and opportunities brought
by the change of the market, the Group will continue to strictly uphold prudent
financial policies and risk control measures, ensure construction quality and
safety, strengthen its contracted sales and cash collection and apply strict
cost control to strengthen operating cash flows and ensure investment returns.

�

Mr. Shum Tin Ching, Founder and Chairman of Jiayuan International

said, "The Group will continue to adopt pragmatic
strategies to replenish its premium land bank, optimize the strategic layout of
various key regions, and develop respective investment portfolio to suit the
different urbanization stages of the PRC with a view to capturing market
demands in different regions. Going forward, while maintaining healthy
development, the Group will make flexible adjustments according to market
condition and seek to achieve high-quality and well-coordinated development for
overall uplift of profitability in order to maximize value for its
shareholders."

About Jiayuan International

Jiayuan International is an established
property developer of large-scale residential and integrated commercial complex
projects in different major cities in the People's Republic of China ("PRC").
With over 20 years of experience in property development, the Group develops
property projects through comprehensive planning, meticulous quality control,
sophisticated operating systems and experienced professional teams to meet the
needs of different regions and strengthen the Group's brand image. As of December 31, 2018, the Group has a portfolio
of more than 45 property projects in China, covering the cities of Nanjing,
Yangzhou, Changzhou, Nantong, Taizhou, Zhenjiang and Suzhou. Since 2016, the
Group has taken the lead in entering Guangdong-Hong Kong-Macao Greater Bay
Area, and has successively obtained a number of quality projects in Shenzhen,
Jiangmen and Macau. In 2018, it established a joint venture company in Hong
Kong to formally enter the Hong Kong real estate market; and purchased the
quality properties of Shanghai from Mr. Shum Tin Ching, Chairman of the Group,
thus enhancing its brand influence in the Yangtze River Delta Region. In
addition, the Group also succeeded in expanding its business coverage to key
provincial capital cities, including Guiyang and Urumqi. The Group also
ventured into countries and regions along the "Belt and Road" initiative, such
as acquiring fine and parcels in Cambodia. In addition, the Group is pending to
acquire various projects located in major cities of Anhui province from
Chairman Shum, signifying a new level in the Group's international development.