Good afternoon, ladies and gentlemen. Welcome to China Resources Land Limited interim results announcement for 2019. Today with us are Executive Director and Chairman of the Board, Mr. Tang Yong, Executive Director and President, Mr. Li Xin, Executive Director and Vice Chairman of Board, Mr. Zhang Dawei, Executive Director and Senior Vice President, Mr. Shen Tongdong, Executive Director and Senior Vice President, Mr. Wu Bingqi. Shall we invite Mr. Tang Yong, Chairman of the Board, to deliver a speech. Mr. Tang, please. Dear friends from investment, good afternoon. First of all, welcome to our interim sales announcement of China Resources Land Limited. Every year at this time, in the middle of August, I believe that this is the busiest season for you as well. On behalf of the company and the management team, I would like to extend our sincere gratitude for your support. Thank you very much.
I prepared for this speech, actually, I talked with Annie that in August of this year, we talked about the situation in the first half, the Hong Kong situation, as well as the future plan. Actually, we give it a title to the board. I call it that the deep water always run slightly, and there's the potential of the future out of uncertainties, we can also realize certainty. Perhaps this is also our core value of China Resources Land Limited. Looking at our interim results, you can see that we have been operating stably and healthily. First of all, in terms of our performance, the business revenue realized a steady growth by reaching RMB 45.8 billion as well overall revenue up by 4.7%, in which the investment property realized a lease revenue of RMB 5.7 billion, up by 30%.
In the first half, our development business realized a total settlement, but we believe that there will be a positive growth. By the end of a half of this year, there was a 11.2% of growth in terms of our development business. The rental increase was also reflected by our investment properties, which realized RMB 44.7 billion in total revenue up by 30%. If you can see, there was also a 39% of our growth in our investment development business. There was a 37% of our growth in the retailing business, et cetera. The growth margin also back to the normal, reaching at a high level in the industry, which was a 38%. In development business realized a 36% gross margin dropped a little slightly than 2018 back to the right normal. Investment properties realized a 37.6% of gross margin.
The shopping malls were put into operations consecutively and the management division source increased. There was a 37.2% of a growth in the retailing business. As for the net profit attributable to the shareholders, also increased steadily, accounting for 12.7% or RMB 12.7 billion. The core net profit to the shareholders also increased. This morning we had the board meeting and I think that the dividend payout, there was a 13.7% increase of our dividend payout, which was HKD 0.144 or RMB, increased by 10.8%. The DPS increase, as well as the contribution to the shareholders also increased steadily so that we can realize a steady growth in terms of the returns to the shareholders. The dividend payout ratio was a 37.5%. We have full confidence for reaching our goal at the end of the year.
In the first half this year, the total agreement also increased by 26%. We have confidence that we can finish all the contracts as I said for the whole year. As for the terms of our financials, our debt level has been very low in the industry, which was 43.6%, increased slightly than 2018, but dropped slightly than the mid of last year. Our financing capability has been stable, and overall financing cost was 4.45%, decreased by two percentage basis points than 2018. A good company must be able to endure a time and instead of their short-term growth. We have a long-term commitment to our shareholders. Facing with the uncertainties of political and geographical situation, we are good at finding opportunities so that we can realize a certainty out of uncertainties. We stick to the commitment that were made to the shareholders.
Out of a potential management, we can realize high quality and a steady growth. I would like to invite Mr. Shen Tongdong, our Executive Director, to share with you our highlights, as you may hear from him out of the presentation. Mr. Shen, please. Thank you.
Dear friends from investment, good afternoon. Coming next, I would like to share with you our midterm performance for 2019. There will be 6%. First of all, the company profile, business overview, financial overview, the business performance overview, X business, as well as appendix. Since you have already known very well about the company, and you also know very well about our business, so I would skip the first part. I would like to start from the second part of the company.
In the first half of this year, we realized overall revenue of 45.8%, increased by 4.7%, in which investment property realized 4.7% of rental increase, up by 30%. Recently, the rental has been increasing steadily, the fair value of investment properties also went up steadily. The net profit attributable to the shareholders was RMB 12.7 billion, up by 43.8%, and the earnings per share was RMB 1.84. The board suggested payout RMB 0.129 per share of a dividend, up by 17.3%, or if it is in HKD, it is HKD 0.144, up by 10.8%. In terms of our sales, in the first half, we realized contract amount for RMB 118.8 billion, and we have consolidated our position of top 10, realizing over 50% of our total target. The investment property scale also realized steady growth.
By the end of last year, we are operating 53 shopping malls, 37 are our own, and 18 are leasing. Financing costs, as well as leverage levels are maintained at the low level. At the end of the reporting period, the weighted average finance cost was 4.45%, dropped by two basic points than the end of last year. Net interest-bearing debt increased by 9.7%, reaching 43.6% than the end of last year. In the second half, it is estimated that the debt level at the end of the year will drop. The slide nine is a year breakdown of our P&L. You can see that even though the settlement cycle was influenced by different factors, and there was a slight increase so far. However, we benefited from the strong growth of our rental income, as well as the joint operations.
Putting aside the valuation factor, there was 11.3% to RMB 8.1 billion for the net profit attributable to the shareholders. We think that the balance sheet management is very important to maintain steady financial healthiness. Within the reporting period, we enhanced our cash management and improved capital utilization rate. By the end of June, there was a 10.4% of our growth of interest-bearing debt to RMB 146 billion. The cash balance decreased by 11% than the end of last year. The leverage level also increased slightly than the end of last year, but still maintained at the very level at the end of last year and mid last year. The total interest-bearing debt and the net interest-bearing debt dropped by 2.7 and 3.6 percentage points. In the first half, our equity financing cost has been stable, and the maturity periods also distributed evenly.
Because of the influence of 4.5 and a 10-year newly issued USD debts, the average debt maturity is extended to 4.7 years. RMB exchange fluctuation increased. The company has been actively managing the foreign exchange exposure and the non-RMB net debt exposure further reduced to 19%. Let's look at different business segments. In the first half, we realized RMB 36.6 billion in our Development Property because of the high basic figure in the first half of last year, as well as the distribution of the second half of such properties. In the first half, our settled revenue basically maintained at the same level. In Tier 1 cities, the settlement amount reduced to 28%, back to the right normal. For a long time, we focus on the high energy level of cities. This strategy remained unchanged.
In the top 10 cities in the first half are the Tier 1 cities, Tier 2 cities and the core Tier 3 cities. In terms of our development cost, we enhanced our cost control and basically, the single site cost was maintained at the same level. In terms of our contracts, in the first half, there was a 26%, 11.6% of our growth, reaching RMB 118.8 billion and RMB 81.5 billion. We have confidence that we can realize the target of RMB 242 billion of total contracts. The top five cities covered all the 4 Tier 1 cities increasing the unit amount, increasing to 15%, reaching RMB 190,000 per sq m, reaching the high level in the recent years. Generally speaking, 80% of the contracts happened in Tier 1 city and the Tier 2 cities. Investment property is one of the core competitivenesses. Recently, this core competitiveness has been gradually reflected and enhanced.
In the first half, our total rental revenue increased by 30.4%, reaching RMB 5.7 billion, in which shopping malls realized 75% of our total rental revenue. Investment property also realized a steady increase in terms of fair value, and their book value was valuated over RMB 140 billion, in which shopping malls contributed 75% of our total capital valuation value. In the reporting period, the property valuation capitalization rate basically maintained the same level. Basically, they are driven by the market environment as well as the growth of our revenue income. In terms of our shopping malls, by the end of June, we are holding 35% of our shopping malls, in which 22 MixC and 30 MixC, and the total number of our members also increased to 8.45 million people or 25%, and the traffic also increased dramatically.
The total revenue out of our retail and business was RMB 29.3 billion, up by 37%. The rental income as well as gross margin both increased to nearly 40%. Gross margin was maintained at a stable and high level. In the first half, their total retailing amount per unit increased by 18%. The growth mainly was from the steady growth of our business as well as better management efficiency. We can see that the first leasing cycle in those shopping malls increased strongly, including the MixC in Shenzhen and the Shanghai MixC. In Zhengzhou and Wuxi, the performance in the past was not satisfied enough, but recently, the performance is much better.
What is more important is that even though the competition in the market is fierce, however, the shopping malls all increased a very good growth, including the ones in Shenyang, Chongqing, and the Hangzhou MixC. In terms of financials and returns, based on our experience in the past, we made a comparison between the shopping malls by the operating years. Before 2014, there was five, the MixC cities and the MixC, and the average operating years was 8.8 years. These are mature ones. Through improvement of the operations efficiency, the rental return rate also increased by 2.5 percentage points, reaching 36%. Between 2014 to 2019, the first half of 2019, we gradually opened 11 other the MixC cities and the MixC, and the average operating years was 2.6 years, and these are the young ones.
However, the rental income realized 70%, as well as the retailing amount also increased about 70%, with the rental return rate up by 2.3 percentage points, reaching 12.4%. These 28 shopping malls contributed RMB 16.8 billion or 57%, which was much higher than the whole year for 2018. The contribution capability also dramatically increased. This slide shows our plan for the upcoming years of our self-run shopping malls. From the second half this year to 2021, there will be seven, two, and nine new properties. By the end of 2018, there will be 53 shopping malls altogether. After 2021, there will be 30 new shopping malls that will be opened gradually. Along with the size of our business, particularly those shopping malls, increased, our advantage of the two-wheel drive strategy will be able to show itself better.
In terms of our land bank, by the end of June this year, we are holding 57.7 million sq m, including 43.65 million sq m for equity reserves, particularly in the Yangtze River Delta, the Greater Bay Area, as well as the Beijing-Tianjin-Hebei area, which account for 15%, 9%, and 7% out of our 76% of equity reserves. We have been very strategic and cautious about land reserves, and in the reporting period, we invested land reserves of 9.7 million sq m, or the equity area of 9.6 million sq m.
By the end of last year, the land reserve increased very slightly, in which Tier 1 cities and the Tier 2 cities account for 82% of our total land reserves, and 55% of our land reserves are for shopping malls. In our business growth model of DP + IP + X, and based on our long-term strategy and deployment, as well as the escalated development model, we have reserved great energy for our transformation and growth. X business include the municipal renovation, property management, agency services, civil construction operations, long-term rental apartment, the senior caring properties, and so forth. Different business sectors are at different development stages. Now, I would like to share with you more details about the X business. First of all, the municipal renovation business. We started early in this sector and have accumulated great experience.
Based on our own outstanding capability for the complex development, we have built up the old landmark projects such as the Shenzhen CR City. With a triple one operations model, according to our initial estimation, 87% of the land reserves in Shenzhen are in the Greater Bay Area, including the 55% of land reserves in Shenzhen, Guangzhou. Currently, we are implementing a follow-up of 18 projects, which account for about 24 million square meters in the total floor areas, and it is estimated that from 2022, there will be contribution out of the agreements. In terms of property management, the customer satisfaction has been increasing steadily. Based on the good quality as well as the good word of mouth, we have wide recognition in the market.
In the first half, we expanded our business channels, and in the period, we increased our total management area of 10 million sq m. Two-thirds of them are from externals, from outside. It is estimated that by 2020, the total managed land reserve will reach 200 million sq m. Meanwhile, we also participated in the high-tech area, particularly in building up smart communities, and by adopting cloud computing, artificial intelligence, big data, IoT connection, so that we can connect people, things, and the measurement, so that we can build up a strong connection between different parties. In many years, the company has been focusing on the agency services of construction operations in Shenzhen area. It is also one of the channels for us to acquire diversified projects.
The purpose is to make use of our capability and advantages of construction operations to improve the value and overall competitiveness, so that we can build ourselves into the first-rate municipal operators. So far, we are holding 100 projects for such services, these represent RMB 57 billion for total contract amount, which will contribute to RMB 1.5 billion in our revenue. These projects cover parks, schools, roads, hospitals, and so forth. In the future, we can duplicate the examples to other areas. The long-term rental apartments has been supported greatly by the national government and national policies. By sticking to the steady growth principle, we are actively exploring the long-term profit-making model. We make use of the SOE background and acquire the low-cost, long-term leasing land.
So far, for those sorts of properties, beyond three months of leasing, and the total leasing rate is over 90%, it is estimated that there will be a two-digit revenue. By the end of this year, we will be able to manage the apartments, over 40,000 of them. In terms of senior caring properties, we are facing with the biggest senior caring market in the world, and we're actively building up the business model. By the end of this year, we will be able to lock about 8,000 beds for the senior caring purposes. In terms of our sports and culture area, we are also a leader in the industry. We have already formed mature culture and sports facilities as well as the business model and a profit-making model. We have already made it a unique and effective channel to supplement our land reserves.
We have already got deployments in Shenzhen, Shanghai, Hangzhou, and Xi'an. Shenzhen One stream has been a very successful case, and it has laid a good foundation for our continuous growth in the future. The industrial fund has the purpose of realizing the CSI's land maximum capability and value export so that we can capture the opportunity in the secondary market. In October last year, together with China Life, as well as the Shibus Holdings, we set up the first industrial fund of RMB 15 billion, with a focus in the hotels in Shanghai, office buildings, as well as commercial properties. In the future, the fund will be an important platform for us to deliver services, as well as the capital operations to realize the full lease of capital values. Along with the better life, we see also great demands for culture and entertainment consumptions.
Theaters has been a very important ones. Last year, we set up our own theater brand for the MixC Cinema. In the first half, our total box revenue was over 88 million RMB. By the end of this year, we will be running 19 theaters with 155 screens. In the upcoming five years, we are dedicated to be a high-end theater operator in terms of the scale, the quality, as well as the profit-making capability. That is about our X business. The sixth part of the presentation is appendix. It is for your reference. I will not elaborate about those figures. With that, I would like to conclude my report. Thank you very much.