Executive Summary

Q2 2022 revenue fell sharply to $4.30M from $18.16M in Q2 2021; net income declined to $0.73M from $2.22M; diluted EPS was $0.01 vs $0.10 prior year .
Gross margin improved materially to ~46.4% from ~20.3% YoY, reflecting mix/cost dynamics, but management provided no drivers in filings .
Balance sheet liquidity strengthened: cash and restricted cash reached $13.59M with $28.94M raised via private placements in H1; prepayment for energy equipment of $18.46M signals new capital allocation outside core real estate .
Corporate changes: CFO resignation and new CFO appointment in April; company rebranded from China HGS (HGSH) to Green Giant (GGE) in March, effective for trading as of Mar 23, 2022 .

What Went Well and What Went Wrong

What Went Well

Gross margin expansion: gross profit was $1.998M on $4.303M revenue (~46.4% GM), up from $3.689M on $18.163M (~20.3% GM) in Q2 2021 .
Liquidity improved: cash and restricted cash ended H1 at $13.59M (vs $3.85M prior year), supported by $28.94M proceeds from private placements .
Strategic repositioning: company completed rebranding to Green Giant and maintained Nasdaq listing under new ticker GGE as of Mar 23, 2022 .

What Went Wrong

Top-line contraction: Q2 revenue dropped ~76.3% YoY to $4.30M, with operating income down to $1.32M from $3.13M .
Earnings compressed: net income fell to $0.73M from $2.22M YoY; diluted EPS decreased to $0.01 from $0.10 .
Limited transparency: no formal guidance or earnings call transcript available for Q2, reducing visibility into drivers and outlook (press release content only); ListDocuments returned no Q2 transcript for GGE [ListDocuments: earnings-call-transcript returned 0].

Financial Results

Metric	Q2 2021	Q1 2022	Q2 2022
Revenue ($USD Millions)	$18.163	$2.879	$4.303
Gross Profit ($USD Millions)	$3.689	$1.363	$1.998
Gross Margin (%)	20.3% (3.689/18.163)	47.3% (1.363/2.879)	46.4% (1.998/4.303)
Operating Income ($USD Millions)	$3.129	$0.512	$1.318
Net Income ($USD Millions)	$2.221	$0.364	$0.733
Basic EPS ($USD)	$0.10	$0.01	$0.02
Diluted EPS ($USD)	$0.10	$0.01	$0.01
Weighted Avg Shares (Basic, Millions)	22.525	25.618	35.143
Weighted Avg Shares (Diluted, Millions)	22.525	25.618	56.524

Segment breakdown (reported):

Segment	Q2 2022 Revenue ($USD Millions)
Real estate sales (net of sales tax)	$4.303

Balance sheet and operating KPIs:

KPI	Sep 30, 2021	Dec 31, 2021	Mar 31, 2022
Cash ($USD Millions)	$0.170	$2.446	$10.311
Restricted Cash ($USD Millions)	$3.295	$3.263	$3.281
Construction Loans ($USD Millions)	$119.636	$120.965	$121.601
Real Estate Property Under Development ($USD Millions)	$265.770	$270.668	$278.286
Customer Deposits ($USD Millions)	$19.804	$21.802	$23.068
Contract Liabilities ($USD Millions)	$1.886	$1.687	$1.744
Total Assets ($USD Millions)	$385.001	$388.519	$419.757
Total Stockholders’ Equity ($USD Millions)	$190.698	$193.229	$223.937

Cash flow highlights (H1 FY2022):

Net cash provided by operating activities: $0.007M .
Prepayment for energy equipment: $(18.462)M .
Proceeds from private placements: $28.937M .
Cash and restricted cash at period end: $13.591M .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Revenue	FY/Quarter	Not disclosed	Not disclosed	Maintained (no formal guidance)
Margins	FY/Quarter	Not disclosed	Not disclosed	Maintained (no formal guidance)
OpEx / Tax Rate	FY/Quarter	Not disclosed	Not disclosed	Maintained (no formal guidance)
Segment-specific	FY/Quarter	Not disclosed	Not disclosed	Maintained (no formal guidance)

Note: No explicit guidance was provided in the Q2 2022 press release/exhibit; no earnings call transcript was available to clarify outlook ; ListDocuments returned no GGE transcripts for 2022 (earnings-call-transcript: 0).

Earnings Call Themes & Trends

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q2 2022)	Trend
AI/technology initiatives	Not discussed in available filings	Not discussed; filings limited to financials	No datapoints
Supply chain/tariffs/macro	Not discussed in available filings	Not discussed; no call transcript	No datapoints
Product performance (deliveries/mix)	Financials only; no narrative	Financials only; no narrative	Insufficient data
Regional trends	Company is a leading regional developer in Hanzhong City (descriptor)	Same descriptor	Stable descriptor
Regulatory/legal	Name change to Green Giant; ticker change to GGE (Mar 23)	Corporate changes persisted	Rebranding completed
R&D execution/health features	Not applicable to core business; no mentions	Not applicable; no mentions	N/A

Management Commentary

“Green Giant Inc. (NASDAQ: GGE)… today filed its financial results for the Second quarter of fiscal 2022 ended March 31, 2022…” .
Corporate changes: “On March 23, 2022, Green Giant Inc. completed the change of its name from China HGS Real Estate Inc. to Green Giant Inc.… common stock will begin trading under the ticker symbol ‘GGE’ as of March 23, 2022.” .
Executive transition: “On April 25, 2022, Mr. Samuel Shen resigned as CFO… Effective April 27, 2022, the Board appointed Ms. Rongrong Dai as the Chief Financial Officer… and a Director of the Board.” .

Q&A Highlights

No Q2 2022 earnings call transcript or Q&A was found in the filings/documents catalog; thus no management Q&A or clarifications are available .

Estimates Context

Wall Street consensus from S&P Global was unavailable for GGE Q2 2022 due to missing SPGI mapping; therefore, comparisons vs estimates cannot be made at this time [SpgiEstimatesError on GetEstimates for 'GGE'].
If consensus becomes available, key comparison metrics would be Revenue Consensus Mean and Primary EPS Consensus Mean for Q2 2022.

Key Takeaways for Investors

Revenue volatility and earnings compression underscore lumpy project delivery dynamics; absent guidance and call commentary, near-term visibility is limited .
Margin expansion in Q2 (gross margin ~46%) is notable; monitor sustainability as mix/cost drivers were not disclosed .
Liquidity has improved via substantial private placements ($28.94M) and rising cash; note potential dilution from prior unit offering with warrants (10.25M units; warrants to purchase 3 shares per unit at $2.375) .
Strategic capital allocation includes a sizable prepayment for energy equipment ($18.46M); assess execution risk and return profile outside core real estate development .
Corporate transitions (rebranding, CFO change) may be catalysts but also add execution complexity; audit and governance continuity should be monitored .
Without S&P Global consensus and no call transcript, stock reaction will likely hinge on liquidity actions, corporate changes, and subsequent filings; prioritize tracking subsequent 10-Q/8-Ks for project pipeline and any guidance initiation .
Watch balance sheet leverage (construction loans $121.6M) against development pipeline and cash position to gauge refinancing and delivery cadence risks .

Green Giant Inc. (GGE)·Q2 2022 Earnings Summary