Financial Performance - Revenue for the six months ended June 30, 2020, was RMB 21,066,011 thousand, a decrease of 20.85% compared to RMB 26,616,331 thousand in 2019[10]. - Gross profit decreased by 50.63% to RMB 3,140,410 thousand from RMB 6,361,400 thousand in the previous year[10]. - Profit attributable to owners of the company was RMB 908,431 thousand, down 54.09% from RMB 1,978,627 thousand in 2019[10]. - Profit before tax decreased by 58.41% to RMB 2,480,674 thousand from RMB 5,964,372 thousand in the previous year[10]. - The gross profit margin decreased to 14.9%, down 37.66% from 23.9% in the previous year[40]. - The net profit margin was 7.8%, a decline of 40.91% from 13.2% in the previous year[40]. - Operating profit decreased to RMB 2,289,468 thousand, a decline of 56.1% from RMB 5,221,549 thousand in the previous year[129]. - Net profit for the period was RMB 1,645,496 thousand, representing a 53.1% decrease from RMB 3,509,880 thousand in 2019[131]. - Basic earnings per share for the company owners was RMB 0.53, down from RMB 1.19 in the same period last year[129]. Assets and Liabilities - Total assets as of June 30, 2020, increased by 3.05% to RMB 220,740,541 thousand from RMB 214,208,038 thousand at the end of 2019[10]. - Total liabilities rose by 3.78% to RMB 179,448,629 thousand compared to RMB 172,919,808 thousand at the end of 2019[10]. - The company's equity attributable to owners decreased slightly by 0.77% to RMB 16,279,451 thousand from RMB 16,405,865 thousand[10]. - The debt-to-equity ratio increased to 0.91 as of June 30, 2020, from 0.70 as of December 31, 2019, primarily due to the increase in borrowings[87]. - The group's total borrowings as of June 30, 2020, were RMB 68,937.00 million, up from RMB 63,177.81 million as of December 31, 2019[82]. Project Development - The company had a total of 219 property development projects as of June 30, 2020[12]. - The company reported a total construction area of 1,200,000 square meters across various projects, with an estimated total saleable area of 500,000 square meters remaining[13]. - The project in Zhengzhou, Jiangwan City, has a completion rate of 87% and an estimated completion date of January 26, 2025[13]. - The company is expanding its market presence with new residential projects in cities like Chengdu and Fuzhou, indicating a strategic focus on urban development[13]. - The company is focusing on residential properties, with all listed projects categorized under this segment, reflecting market demand[13]. Sales and Revenue - The group achieved a contract sales amount of RMB 60.4 billion and a contracted building area of approximately 2.57 million square meters, with an average contract selling price of RMB 23,457 per square meter[26]. - The total contracted sales amounted to RMB 60,357.85 million, representing a growth of approximately 6.49% compared to RMB 56,677.99 million for the same period last year[40]. - Property sales generated revenue of RMB 20,571.78 million, with a total delivered area of 1,271,770 square meters and an average selling price of RMB 16,176 per square meter[62]. - The revenue from construction services increased by 10.68% to RMB 263.05 million compared to RMB 237.67 million in the previous year[61]. Cost Management - The group's sales cost decreased by 11.50% from RMB 20,254.93 million for the six months ended June 30, 2019, to RMB 17,925.60 million for the six months ended June 30, 2020[63]. - Employee costs, including director remuneration, were RMB 623,275,000, down 22.7% from RMB 806,312,000 in the previous year[170]. - Selling and marketing costs decreased by 10.39% from RMB 549.62 million to RMB 492.51 million[67]. - Administrative expenses reduced by 7.22% from RMB 743.92 million to RMB 690.22 million[68]. Financing Activities - The group issued RMB 12.90 billion and RMB 11.06 billion of asset-backed securities in March and April 2020, respectively, at an interest rate of 5.9%[29]. - The group issued USD 250 million of 7.35% senior notes due in 2023 in June 2020, achieving the lowest long-term debt interest rate in the company's history[29]. - The company reported a significant increase in cash advances from related parties, totaling RMB 1,896,630 thousand compared to RMB 1,008,169 thousand in the previous year[142]. Shareholder Information - The company did not declare any interim dividend for the six months ended June 30, 2020, consistent with the previous year[122]. - The company repurchased a total of 15,896,500 shares at a total cost of HKD 125,370,340 during the period[123]. - The company’s major shareholder, Dingxin Company Limited, holds 1,123,974,411 shares, representing 65.90% of the total shares issued[119]. Market Conditions - The company faced challenges due to the COVID-19 pandemic, impacting financial performance and operations, including delays in property construction and delivery[144]. - In the first half of 2020, the total sales area of commercial housing in China was 69.404 million square meters, a year-on-year decrease of 8.4%, while the sales amount was RMB 668.95 billion, down 5.4% year-on-year[25].
融信中国(03301) - 2020 - 中期财报