好春光，不辜负；上春山，齐迈步。本次活动一经推出，便引发保利置业业主和泉城各跑团朋友的广泛关注。仅仅4天时间名额便全部报 满。4月26日上午，在活动正式启动后，各位选手将从佛慧山北广场出发，沿路经过开元胜境坊、开元遗韵坊、悟德斋、静虚亭、开元寺 遗址、品茗山房及部分景区内部道路，最终返回北广场。 （赛事路 转自：大众报业·齐鲁壹点 齐鲁晚报·齐鲁壹点 慕鹏 4月26日上午8点30分，"乐动中国"2025保利佛慧山公益健步行活动将在济南佛慧山北门广场正式启动。前期已经成功报名的选手请注 意：4月24日-25日的每天9:00-20:00，可以前往济高保利·云上璟会所领取活动物资装备啦！ 本场赛事由山东省体育局指导，齐鲁晚报·齐鲁壹点和保利山东置业集团有限公司联合主办，旨在让健康生活方式融入大家的日常生活 中，一起享受运动的快乐和美好，同时激发全民运动、自我超越的进步精神，这不仅是保利置业的进步精神写照，也是齐鲁大地诉之于 美好、引领全民健身的动力之源。 线示意图） 需要注意的是，本次公益健步走活动不计时、不排名，所有参与者量力而行，不一味追求速度，重在体验和感受健康锻炼的方式与乐 趣。为增加活动趣味性，活动在沿途 ...

Core Viewpoint - Poly Real Estate Group Co., Ltd. received an "AAA" rating for its 2025 bond issuance from China Chengxin International, reflecting strong shareholder backing and brand influence, while also highlighting industry risks and high financial leverage [1][2]. Group 1 - The company is backed by China Poly Group, which provides a strong shareholder foundation [1]. - Poly Real Estate has extensive experience in real estate development and significant brand influence [1]. - The company's performance is supported by the value of properties in the Yangtze River Delta region [1]. Group 2 - Poly Real Estate was established in May 2001 and is primarily involved in real estate investment and operations in mainland China [2]. - In June 2018, Poly Developments completed the acquisition of a 50% stake in Poly Real Estate Group, with both Poly Group and Poly Developments holding equal shares [2]. - The company achieved total operating revenue of 39.601 billion yuan in 2023 [2].

Investment Rating - The report maintains a "Positive" rating for the real estate and property management sectors [2][3]. Core Insights - The report highlights the importance of stabilizing the real estate market in response to the ongoing trade war, emphasizing the need for domestic demand expansion [2][3]. - It notes a significant decline in both new and second-hand housing transactions, with new home sales in 34 key cities dropping by 23% week-on-week and 26% year-on-year in April [4][7]. - The report indicates that the government is implementing policies to stabilize the market, including the cancellation of housing transfer restrictions in Nanjing and the expansion of housing fund withdrawal policies [32][33]. Industry Data Summary New Housing Transaction Volume - New housing sales in 34 key cities totaled 3.093 million square meters last week, a week-on-week decrease of 23.4% [4]. - Year-on-year, new housing sales in April are down 26%, with first and second-tier cities seeing a 21% decline and third and fourth-tier cities experiencing a 49% drop [7][8]. Second-Hand Housing Transaction Volume - Second-hand housing sales in 13 key cities fell by 26.2% week-on-week, with April sales down 15% year-on-year [13]. - Cumulative sales for the year to date show a 26.5% increase compared to the previous year [13]. New Housing Inventory - In 15 key cities, 710,000 square meters of new housing were launched last week, with a sales-to-launch ratio of 2.08, indicating a continued trend of inventory reduction [21]. - The total available residential area in these cities is 88.71 million square meters, reflecting a 0.9% decrease week-on-week [21]. Policy and News Tracking - The report discusses macroeconomic policies, including the imposition of tariffs on U.S. imports and the rise in manufacturing PMI to 50.5%, indicating a recovery in manufacturing activity [32][33]. - It highlights local government initiatives, such as Nanjing's cancellation of housing transfer restrictions and the expansion of housing fund policies in various cities [32][33]. - The report also notes the active land market in core cities, with significant land sales and project launches reported in the first quarter of 2025 [32][33].

Investment Rating - The report indicates a stable investment rating for the real estate sector, particularly highlighting the resilience of Poly Real Estate amidst market challenges [2]. Core Insights - Poly Real Estate achieved a total contract sales amount of 54.2 billion RMB in 2024, marking a 1.1% year-on-year increase, while the sales area decreased by 5.8% [4][7]. - The company faces increasing inventory pressure, with the value of completed sellable properties rising by 40% to 45.22 billion RMB, leading to a higher proportion of inventory value [4][8]. - The average contract sales price reached 25,546 RMB per square meter, a 7.3% increase compared to 2023, driven by a higher sales contribution from Hong Kong [8]. Sales Summary - In 2024, Poly Real Estate's total contract sales amounted to 54.2 billion RMB, with a sales recovery rate of 101%, indicating effective cash flow management [7]. - The company ranked 17th in the CRIC 2024 China Real Estate Enterprise Sales TOP 200, improving by 10 positions from the previous year [7]. Investment Summary - Poly Real Estate added six new projects in cities like Jinan, Ningbo, Shenzhen, and Shanghai, with a total land acquisition area of 964,000 square meters and a total land cost of approximately 19.9 billion RMB, maintaining a land acquisition-to-sales ratio of 0.37 [10][14]. - The total land reserve area decreased by 21.1% to 13.16 million square meters by the end of 2024 [14]. Profitability Summary - The company's operating revenue for 2024 was 40.21 billion RMB, a decrease of 1.8% year-on-year, with a significant drop in core net profit by 80.6% to 342 million RMB [5][17]. - The gross profit margin fell to 16.4%, down 4 percentage points from the previous year, primarily due to industry downturns [5][17]. Debt and Financial Health Summary - Poly Real Estate issued five bonds totaling 5 billion RMB in 2024, with an average financing cost reduced to 3.38%, reflecting improved financial conditions [6][18]. - The net debt ratio decreased by 16.2 percentage points to 76.9%, and the cash-to-short-term debt ratio improved to 1.77, indicating enhanced liquidity [19][22].

Core Viewpoint - In 2024, Poly Real Estate achieved a total contract sales amount of 54.2 billion yuan, with a contract sales area of 2.121 million square meters, marking a year-on-year increase of 1.1% and a decrease of 5.8% respectively, indicating a counter-trend growth amidst a general decline in sales among most real estate companies [3][7] Sales Performance - The company recorded a sales recovery amount of 54.8 billion yuan, with a sales recovery rate of 101%, which is an increase of 1 percentage point year-on-year [8] - The average contract sales price reached 25,546 yuan per square meter, up 7.3% from 2023, driven by a 15.1% sales contribution from the Hong Kong region, which is a 7 percentage point increase compared to 2023 [8] - The number of ongoing sales projects increased to 147 from 135 in 2023, while the number of projects under construction and awaiting construction decreased to 55 from 70, indicating a growing inventory pressure [8][6] Inventory and Land Acquisition - The company faced increased inventory pressure, with the value of completed and available properties rising by 40% year-on-year to 45.22 billion yuan, and the proportion of inventory value increasing from 24% to 36% [3][8] - In 2024, Poly Real Estate added 6 new projects in Jinan, Ningbo, Shenzhen, and Shanghai, with a total land acquisition area of 964,000 square meters and a total land cost of approximately 19.9 billion yuan, maintaining a land acquisition-to-sales ratio of 0.37, below the strategic target of 40% [9][11] Financial Performance - The company's operating revenue for 2024 was 40.21 billion yuan, a decrease of 1.8% year-on-year, while gross profit fell by 21.1% to 6.6 billion yuan, leading to a gross margin decline of 4 percentage points to 16.4% [4][16] - The core net profit attributable to shareholders plummeted by 80.6% to 342 million yuan, with a core net profit margin dropping by 3.5 percentage points to 0.8% [4][16] Financing and Debt Management - Poly Real Estate completed the issuance of 5 corporate bonds totaling 5 billion yuan in 2024, with interest rates below 3%, resulting in a reduction of the average financing cost by 0.5 percentage points to 3.38% [5][18] - The company's cash holdings increased by 8.8% to 34.67 billion yuan, while interest-bearing liabilities due within one year decreased by 6% to 19.54 billion yuan, improving the cash-to-short-term debt ratio to 1.77 [5][19] - The total interest-bearing debt decreased by 4.7% to 70.45 billion yuan, leading to a net debt ratio reduction of 16.2 percentage points to 76.9% [19]

Financial Performance - For the year ended December 31, 2024, total revenue was RMB 40,208,482, a decrease of 1.77% compared to RMB 40,932,418 in 2023[3] - Gross profit for the year was RMB 6,595,522, down 21.06% from RMB 8,360,081 in the previous year[3] - Net profit for the year was RMB 95,814, a significant decline of 94.13% from RMB 1,631,908 in 2023[3] - Basic and diluted earnings per share decreased to RMB 4.79 from RMB 37.81 in the previous year, reflecting a decline of 87.34%[3] - Total comprehensive income for the year was RMB 312,172, down 84.06% from RMB 1,955,006 in 2023[5] - The profit before tax for 2024 was RMB 182,867,000, a significant decrease of 87.36% compared to RMB 1,444,626,000 in 2023[39] - The total tax expense for 2024 was RMB 2,145,823,000, a decrease of 10.59% from RMB 2,400,189,000 in 2023[32] - The financing costs for the year 2024 were RMB 1,583,371 thousand, slightly down from RMB 1,593,362 thousand in 2023[30] - The gross profit margin decreased by 4.0 percentage points to 16.4%, influenced by the market conditions and impairment provisions of RMB 708 million for development and held-for-sale properties[48] Assets and Liabilities - Non-current assets totaled RMB 19,739,400, a decrease from RMB 22,896,981 in the previous year[7] - Current assets decreased slightly to RMB 178,963,377 from RMB 182,913,971 in 2023[7] - Current liabilities decreased to RMB 99,641,533 from RMB 105,766,980 in the previous year, indicating a reduction of 5.36%[9] - The total assets as of December 31, 2024, amounted to RMB 198,702,777 thousand, with segment assets of RMB 154,510,286 thousand[26] - The total liabilities as of December 31, 2024, were RMB 152,155,467 thousand, with segment liabilities of RMB 71,976,714 thousand[26] - The total outstanding bank and other borrowings as of December 31, 2024, is RMB 70,454,106,000, with 27.7% due within one year[95] - The group's asset-liability ratio as of December 31, 2024, is 76.6%, down from 78.1% in 2023[94] Cash Flow and Investments - The company reported a significant increase in cash and cash equivalents to RMB 34,507,500 from RMB 31,631,917 in 2023[7] - Operating cash flow for 2024 was RMB 6.8 billion, contributing to a net reduction in total borrowings of RMB 3.4 billion or 4.7%[51] - The net debt ratio decreased by 16.2 percentage points to 76.9%, with the cash to short-term debt ratio increasing from 1.53 to 1.77[51] - The company has implemented financial risk management policies to ensure all payables do not exceed credit limits[41] Dividends and Shareholder Equity - The proposed final dividend for 2024 is HKD 0.021 per share, down from HKD 0.083 per share in 2023[37] - The total equity attributable to shareholders as of December 31, 2024, is RMB 34,209,353,000, an increase from RMB 34,100,270,000 in 2023, with a net asset value per share of RMB 8.95 compared to RMB 8.92 in 2023[94] Compliance and Governance - The company has adopted the Corporate Governance Code as per the Listing Rules Appendix C1, with specific deviations noted regarding the separation of roles between the Chairman and the CEO[106] - Following the resignation of Mr. Wang Jian as Executive Director and CEO on November 3, 2023, Mr. Hu Zaixin was appointed to fill the temporary vacancy on March 14, 2024[106] - The company has confirmed compliance with the Standard Code for Directors' Securities Transactions as per Listing Rules Appendix C3, with all directors affirming adherence for the year ending December 31, 2024[108] Market and Sales Performance - Total contracted sales amounted to RMB 54.2 billion, representing a year-on-year growth of 1%, making the company one of only two in the top 20 to achieve growth[49] - The company achieved a sales turnover amounting to RMB 37.918 billion in 2024, with ordinary residential properties accounting for 93% of the turnover[80][89] - The average turnover price for the completed projects is RMB 19,387 per square meter, with a total turnover area of 195,600 square meters[80] Projects and Development - The company has a total of 55 real estate development projects across 24 cities, with 41 projects under construction and a total construction area of 5,699,000 square meters (equity area of 3,845,000 square meters) as of December 31, 2024[69] - The total planned construction area for projects awaiting construction is 7,465,000 square meters (equity area of 5,317,000 square meters)[69] - The company completed new construction area of approximately 1.555 million square meters and delivered approximately 4.553 million square meters during the year[55] - The company has acquired six development projects in 2024, with a total new land reserve area of approximately 964,000 square meters[59] Employee and Operational Metrics - The total number of employees as of December 31, 2024, is approximately 6,332, with total compensation for the year amounting to RMB 1.264 billion[101] - The average occupancy rate for the group's investment properties was 75% in 2024, compared to 76% in 2023[91]

Financial Performance - The company's revenue for the first half of 2024 was RMB 12.457 billion, a decrease of RMB 3.182 billion or 20.3% compared to RMB 15.639 billion in the same period of 2023[4] - Shareholders' profit for the first half of 2024 was RMB 373 million, down RMB 266 million or 41.6% from RMB 639 million in the same period of 2023[4] - The company achieved contract sales amounting to RMB 28.4 billion in the first half of 2024, a decrease of 24% year-on-year, outperforming the industry average decline of 39.5%[5] - The revenue recognized in the first half of 2024 amounted to approximately RMB 11,389 million, with the Yangtze River Delta region contributing 39%[13] - The company reported a net profit for the period of RMB 248,642,000, down from RMB 719,006,000 in the previous year[29] - Total comprehensive income for the period reached RMB 269,740,000, compared to RMB 1,012,895,000 in the previous period[30] - The profit before tax for the six months ended June 30, 2024, was RMB 373,227,000, a decrease from RMB 639,214,000 for the same period in 2023, representing a decline of approximately 41.7%[59] Asset Management - The company had a net asset value per share of RMB 8.95 as of June 30, 2024, compared to RMB 8.92 at the end of 2023, reflecting a slight increase of 0.3%[4] - The company reported a net asset value of RMB 75,435,909,000, compared to RMB 77,146,991,000 in the previous period[36] - The total assets as of June 30, 2024, amounted to RMB 206,867,018, with segment assets of RMB 147,149,250 in property development[46] - The company’s total assets decreased to RMB 16,157,020,000 as of June 30, 2024, from RMB 18,936,272,000 as of December 31, 2023, a decrease of about 14.7%[65] Debt and Liabilities - The group's debt-to-asset ratio was 78.2% as of June 30, 2024, slightly up from 78.1% as of December 31, 2023[21] - The total outstanding bank and other borrowings amounted to RMB 74,593,233,000, with RMB 22,620,929,000 (30.3%) due within one year[21] - Current liabilities increased to RMB 108,159,692,000 from RMB 105,766,980,000, primarily due to an increase in contract liabilities[36] - The total liabilities were RMB 161,725,260, with segment liabilities of RMB 77,057,923 in property development[46] - The total trade payables amounted to RMB 27,690,575,000 as of June 30, 2024, compared to RMB 29,913,119,000 as of December 31, 2023, indicating a decrease of about 7.4%[68] Cash Flow - For the six months ended June 30, 2024, the net cash flow from operating activities was RMB 2,735,959 thousand, a decrease from RMB 5,256,098 thousand in the same period of 2023, representing a decline of approximately 48.0%[40] - The net cash used in investing activities was RMB (804,247) thousand for the first half of 2024, compared to RMB (1,398,675) thousand in the same period of 2023, indicating an improvement of approximately 42.6%[40] - The net cash flow from financing activities was RMB 27,014 thousand in the first half of 2024, a significant recovery from RMB (1,359,141) thousand in the same period of 2023[40] - The company reported a significant decrease in cash flow from operating activities, which is a key indicator of financial health and operational efficiency[41] Investments and Projects - The company acquired approximately 668,000 square meters of new land reserves in Ningbo and Jinan during the first half of 2024[5] - The company plans to launch six new projects in the second half of 2024, including projects in Shanghai, Suzhou, and Jinan[10] - In the first half of 2024, the company commenced six new projects with a total construction area of approximately 667,000 square meters[11] - The company added three new land reserves in the first half of 2024, with a total planned construction area of approximately 668,000 square meters[15] Corporate Governance and Management - The company confirmed compliance with the standard code of conduct for securities transactions by all directors during the reporting period[90] - The audit committee has reviewed the accounting principles and practices used by the group and approved the unaudited interim financial statements for the six months ending June 30, 2024[100] - The company is actively seeking a suitable candidate to fill the CEO position following Mr. Wang Jian's resignation, with Mr. Hu Zaixin appointed as the new CEO effective March 14, 2024[99] Shareholder Information - The major shareholder, China Poly Group Co., Ltd., holds 253,788,246 shares, representing 48.09% of the total issued shares[93] - Poly Development Holdings Group Co., Ltd. holds 1,583,738,058 shares, accounting for 41.45% of the total issued shares[93] - Ting Shing Holdings Limited indirectly holds 1,463,356,514 shares, which is 38.30% of the total issued shares[93] - The group’s basic and diluted earnings per share for the six months ended June 30, 2024, remained the same as there were no potential dilutive ordinary shares[59]

Financial Performance - Revenue for the six months ended June 30, 2024, was RMB 12,456,641, a decrease of 20.3% compared to RMB 15,639,163 for the same period in 2023[2] - Gross profit for the period was RMB 1,775,918, down from RMB 3,940,136 in the previous year, reflecting a significant decline in profitability[2] - Net profit attributable to the company’s owners was RMB 373,227, a decrease of 41.6% from RMB 639,214 in the same period last year[3] - Basic and diluted earnings per share were RMB 9.77, down from RMB 16.73 in the previous year, indicating a decline of 41.5%[3] - Total comprehensive income for the period was RMB 269,740, compared to RMB 1,012,895 in the previous year, representing a decrease of 73.4%[4] - The group reported a profit before tax of RMB 579,360,000 for the period, with a net profit of RMB 248,642,000 after tax expenses of RMB 330,718,000[14] - The company reported a net profit of RMB 719,006 for the period[17] - The company incurred a total tax expense of RMB 330,718, compared to RMB 1,378,938 in the previous year[19] Assets and Liabilities - Non-current assets totaled RMB 23,271,417 as of June 30, 2024, an increase from RMB 22,896,981 at the end of 2023[5] - Current assets increased slightly to RMB 183,595,601 from RMB 182,913,971 at the end of 2023, indicating stable liquidity[5] - Current liabilities rose to RMB 108,159,692 from RMB 105,766,980, reflecting an increase in financial obligations[6] - Non-current liabilities decreased to RMB 53,565,568 from RMB 54,883,339, showing a reduction in long-term debt[7] - The total assets of the group as of June 30, 2024, amounted to RMB 206,867,018,000, with segment assets of RMB 160,416,862,000, including RMB 147,149,250,000 from property development and RMB 9,355,845,000 from property investment and management[15] - The total liabilities of the group as of June 30, 2024, were RMB 161,725,260,000, with segment liabilities of RMB 78,449,658,000, including RMB 77,057,923,000 from property development[15] - The total outstanding bank and other borrowings amounted to RMB 74,593,233,000, with 30.3% due within one year[45] - The total value of mortgaged assets as collateral for credit financing was RMB 30,298,966,000, down from RMB 33,710,440,000 as of December 31, 2023[47] Revenue Segmentation - Total revenue for the six months ended June 30, 2024, was RMB 12,456,641,000, with a breakdown of RMB 11,416,234,000 from property development, RMB 890,202,000 from property investment and management, RMB 177,000,000 from hotel operations, and RMB 22,935,000 from other operations[14] - The group operates in four segments: property development, property investment and management, hotel operations, and other operations, with detailed revenue contributions from each segment[13] - The revenue from property management for the first half of 2024 was RMB 586 million, representing a 3.0% increase year-on-year[44] Contractual and Future Obligations - The company reported a significant increase in contract liabilities, rising to RMB 44,536,720 from RMB 40,802,298, indicating growth in future revenue obligations[6] - The company completed contract sales amounting to RMB 28.4 billion in the first half of 2024, a decrease of 24% year-on-year, outperforming the industry average decline of 39.5%[29] - The total contracted sales amount for the first half of 2024 reached RMB 28,443 million, with the Yangtze River Delta region contributing 40% of the total[32] Corporate Governance and Compliance - The company maintained compliance with the corporate governance code, with some deviations explained due to management changes[53] - The company confirmed adherence to the standard code of conduct for securities trading by directors during the six months ended June 30, 2024[54] - The audit committee consists of one non-executive director and four independent non-executive directors, ensuring oversight of financial reporting and risk management[55] - The committee has reviewed the accounting principles and practices adopted by the group, approving the unaudited interim financial statements for the six months ended June 30, 2024[55] Employee and Compensation - The group had 6,124 employees as of June 30, 2024, with total compensation of approximately RMB 358,380,000 during the period[50] Future Projects and Developments - The company plans to launch six new projects in the second half of 2024, including locations in Shanghai, Suzhou, and Jinan[33] - In the first half of 2024, the company commenced six new projects with a total construction area of approximately 667,000 square meters[34] - The new projects include the Ningbo Lianhu Road project, which has a planned total construction area of 206,000 square meters[39] - The Jinan CBD West project is planned to have a total construction area of 66,000 square meters, enhancing the company's presence in the Jinan market[40] Miscellaneous - The company did not declare an interim dividend for the six months ended June 30, 2024[21] - There are no significant post-reporting period events that have materially affected the group since June 30, 2024[56] - The interim results announcement and report will be available on the company's website and the Hong Kong Stock Exchange website in September 2024[56]

Financial Performance - Total assets reached RMB 205.8 billion, while turnover was RMB 40.9 billion[16]. - The Group recorded a profit attributable to shareholders of RMB1,445 million for the year, representing a year-on-year increase of 77.0%[20]. - The core net profit attributable to the parent company, after adjustments, was RMB1,761 million, reflecting a year-on-year increase of 15.9%[20]. - For the year ended December 31, 2023, the Group recorded a revenue of RMB 40,932 million, representing a slight decrease of 0.5% compared to the previous year[54]. - Profit attributable to shareholders amounted to RMB 1,445 million, an increase of 77.0% year-on-year[54]. - Contracted sales amounted to RMB53.6 billion, with an average selling price of RMB23,805 per square meter, representing year-on-year increases of 7% and 14%, respectively[23]. - The total debt decreased by 7.7% year-on-year to RMB73.9 billion, and the net gearing ratio decreased by 22.8 percentage points to 93.1%[24]. - The average cost of funds decreased by 39 basis points to 3.88% due to the issuance of RMB4.0 billion in corporate bonds and RMB3.0 billion in medium-term notes[24]. Market Overview - China's GDP exceeded RMB 126 trillion, with a year-on-year growth of 5.2%, contributing over 30% to global economic growth[18]. - The domestic economy is showing signs of recovery despite ongoing challenges, with a firmer pace towards high-quality development[18]. - The real estate market is expected to continue experiencing loose regulation and control policies, with room for optimization in first-tier and strong second-tier cities[27]. Business Operations - The Group operates in 25 major cities, including Shanghai, Hong Kong, and Guangzhou, focusing on high-quality residential and commercial properties[14]. - The Group's major businesses include property development, investment, and management, emphasizing its role as a leading property developer in China[14]. - The Group's projects are strategically located in economically vibrant regions, including the Yangtze River Delta and Pearl River Delta[15]. - The Group aims to safeguard the country and serve the people while striving for excellence in its operations[8]. - The establishment of the Environmental, Social and Governance Committee reflects the Group's commitment to sustainable development[11]. Project Development - As of December 31, 2023, the Group had 70 projects under construction and planning, representing a total GFA of approximately 16,691,000 square meters[55]. - The Group incurred new land reserve costs of approximately RMB22.1 billion, with 48% of land reserves in the Yangtze River Delta and Greater Bay Area, an increase of five percentage points from the end of 2022[22]. - The company acquired several new land reserves in 2023, with a total planned GFA of approximately 1,823,000 square metres across various projects[64]. - The total site area for the newly acquired projects in 2023 is approximately 594,000 square metres[64]. - The company is focusing on high-rise residential buildings across its new projects, indicating a strategic shift towards urban residential development[66]. Sales and Revenue - The sales collection amounted to RMB53.7 billion, achieving a collection rate of 100%[23]. - The Yangtze River Delta region accounted for 43% of total contracted sales, amounting to RMB 23,273 million[60]. - Total sales recognized in 2023 amounted to RMB 38,722 million, with ordinary residential properties contributing 90% of the total[105]. - The Yangtze River Delta Region generated sales of RMB 12,923 million, with the Ningbo Poly Riverview Mansion alone accounting for RMB 3,510 million[100]. Corporate Governance - The Company has complied with the Corporate Governance Code throughout the reporting period, except for code provision C.2.1 regarding the separation of roles between the Chairman and Managing Director[193]. - Following the resignation of Mr. Wang Jian as Managing Director on November 3, 2023, Mr. Hu Zaixin was appointed to the position on March 14, 2024[196]. - The Company has established effective mechanisms to ensure Board independence, which is considered key to good corporate governance[200]. Employee and Remuneration - The Group employed about 7,748 employees as of December 31, 2023, with total remuneration for the year amounting to approximately RMB 1,378 million[188].

Investment Rating - The report maintains a "Buy" rating for the company [3][11]. Core Views - The company's performance in 2023 exceeded expectations, with revenue of 40,932 million yuan, a year-on-year decrease of 0.5%. The gross profit was 8,360 million yuan, down 24.6%, resulting in a gross margin of 20.4%, a decline of 6.5 percentage points. The net profit attributable to shareholders was 1,445 million yuan, a year-on-year increase of 77.0%, while the core net profit was 1,761 million yuan, up 15.9% [6][5]. - The company's land reserve structure continues to improve, with total equity land reserves of 11.52 million square meters as of the end of 2023. The proportion of reserves in the Yangtze River Delta and Greater Bay Area increased by 5 percentage points to 48%, while the proportion in first-tier cities rose by 4 percentage points to 26% [6][5]. - Contract sales showed steady growth, with a total sales amount of 53.6 billion yuan in 2023, a year-on-year increase of 7%. The company achieved a sales recovery rate of 100%, indicating good cash flow management [6][5]. Financial Summary - For the fiscal year 2023, the company reported a revenue of 40,932 million yuan, with a projected revenue of 41,060 million yuan for 2024, indicating a slight growth of 0.3% [4][10]. - The core net profit is expected to decline to 1,517 million yuan in 2024, a decrease of 13.9% year-on-year, before slightly recovering to 1,520 million yuan in 2026 [5][9]. - The average financing cost decreased to 3.88% by the end of 2023, down 0.39 percentage points from the end of 2022, and the net debt ratio fell by 22.8 percentage points to 93.1% [4][6].