CHINA OVERSEAS(00688)2024-08-28 04:10Financial Performance - The group's total revenue was RMB 86.94 billion, with a year-on-year increase in commercial property revenue of 19.8% to RMB 3.54 billion[2]. - The profit attributable to shareholders was RMB 10.31 billion, with a core profit of RMB 10.64 billion, resulting in a basic earnings per share of RMB 0.94[3]. - The group's net profit for the six months ended June 30, 2024, was RMB 11.53 billion, compared to RMB 14.21 billion in the same period last year[5]. - The company reported total revenue of RMB 88,979,659 thousand for the six months ended June 30, 2024, compared to RMB 92,764,537 thousand for the same period in 2023, indicating a decrease of about 4.23%[12][13]. - The profit from segments, including share of profits and losses from associates and joint ventures, was RMB 16,256,120 thousand for the first half of 2024, compared to RMB 21,035,863 thousand for the same period in 2023, reflecting a decline of approximately 22.7%[12][13][14]. - The company's profit before tax for the six months ended June 30, 2024, was RMB 16,183,761, a decrease of 18.3% compared to RMB 19,815,172 for the same period in 2023[15]. - The total financial expenses for the six months ended June 30, 2024, were RMB 4,870,350, down from RMB 5,241,304 in the previous year, reflecting a reduction of 7.1%[16]. - The income tax expense for the six months ended June 30, 2024, totaled RMB 4,656,955, compared to RMB 5,603,764 in the same period of 2023, indicating a decrease of 16.8%[17]. - Basic and diluted earnings per share attributable to shareholders for the six months ended June 30, 2024, were RMB 10,313,630, down 23.8% from RMB 13,489,777 in 2023[19]. Sales and Revenue - The group's property sales amounted to RMB 148.38 billion, with a corresponding sales area of 5.44 million square meters[2]. - In the first half of 2024, the company's contracted property sales amounted to RMB 148.38 billion, with a market share increase of 0.49 percentage points to 3.15%[25]. - The company focused on first-tier cities, generating RMB 74.4 billion in sales contracts from Beijing, Shanghai, Guangzhou, and Shenzhen, accounting for 62.7% of total sales[25]. - The commercial property revenue grew by 19.8% year-on-year, reaching RMB 3.54 billion in the first half of 2024[25]. - The company reported commercial property revenue of RMB 3.54 billion for the first half of 2024, a year-on-year increase of 19.8%[37]. - Office building revenue was RMB 1.76 billion, while shopping center revenue surged by 57.6% to RMB 1.11 billion[38]. Assets and Liabilities - The group's total assets less current liabilities amounted to RMB 645.47 billion as of June 30, 2024[6]. - The company's total liabilities and equity amounted to RMB 645,474,448 thousand as of June 30, 2024, compared to RMB 637,903,574 thousand at the end of 2023, showing an increase of approximately 1.78%[7]. - The company's reserves rose to RMB 304,504,500 thousand as of June 30, 2024, up from RMB 298,982,385 thousand at the end of 2023, representing an increase of approximately 1.74%[7]. - Non-current liabilities, including bank and other borrowings due after one year, increased to RMB 153,229,362 thousand from RMB 144,139,899 thousand, marking an increase of about 6.5%[7]. - The company's total land reserve area increased by 1.17 million square meters, bringing the total land reserve to 49.05 million square meters as of June 30, 2024[2]. - The company's total land reserve construction area, including subsidiaries, reached 49.05 million square meters as of June 30, 2024[36]. Dividends and Shareholder Returns - The board declared an interim dividend of HKD 0.30 per share[2]. - The interim dividend declared for the six months ended June 30, 2024, is approximately RMB 2,971,536,000, with a per share dividend of HKD 0.30[20]. - The interim dividend declared is HKD 0.30 per share, down from HKD 0.35 per share in 2023[45]. Financial Position and Ratios - The group's total borrowings stood at RMB 255.57 billion, with cash and bank balances of RMB 100.24 billion, resulting in a net gearing ratio of 38.7%[2]. - The company maintained a debt-to-asset ratio of 56.1% and a net gearing ratio of 38.7%, indicating a strong financial position[26]. - The company achieved a gross profit margin of 22.1% and a weighted average financing cost of 3.5%, maintaining one of the lowest financing costs in the industry[26][28]. - The company's weighted average financing cost was 3.5%, positioning it within the lowest range in the industry[40]. - The company achieved a net asset value of RMB 376.08 billion and a current ratio of 2.4 times as of June 30, 2024[40]. Debt Management - The company repaid debts totaling RMB 46.87 billion during the first half of 2024, resulting in a net debt repayment of RMB 3.04 billion[40]. - The group reported a bank balance and cash of RMB 100.24 billion, with available funds reaching RMB 144.21 billion[41]. - The proportion of RMB borrowings increased to 74.8%, up 4.5 percentage points from the end of 2023[41]. Sustainability and ESG - The group has committed to reducing carbon emissions intensity by over 30% by 2030, based on 2019 levels[43]. - The group has received the highest ESG ratings from major domestic rating agencies, including AAA from Zhiding and AA from Wind[43]. - The group has added 17 new projects meeting green building standards, totaling 2.22 million square meters, bringing the cumulative total to 653 projects with a total area of 10.9 million square meters[43]. Corporate Governance - The company has complied with the corporate governance code as of June 30, 2024[50]. - The company has adopted a code of conduct for directors regarding securities trading, confirming compliance as of June 30, 2024[51]. - The audit and risk management committee reviewed the unaudited interim results for the six months ending June 30, 2024[52]. - The interim report will be published on the company's website and the Hong Kong Stock Exchange at an appropriate time[54].