LJZ(SH:600663)2017-07-28 16:00Financial Performance - The company achieved a net profit attributable to shareholders with a double-digit growth rate compared to the same period last year[5]. - The company's operating revenue for the first half of 2017 reached ¥5,623,392,695.22, representing a 25.00% increase compared to ¥4,498,750,862.00 in the same period last year[29]. - Net profit attributable to shareholders was ¥1,153,682,662.79, an increase of 18.39% from ¥974,448,180.26 in the previous year[29]. - The basic earnings per share for the first half of 2017 was ¥0.3432, up 18.39% from ¥0.2899 in the same period last year[30]. - The company reported a total comprehensive income of ¥1,498,015,514.65 for the first half of 2017, compared to ¥1,043,498,478.50 in the previous year, marking a significant increase[137]. - The company reported a significant increase in financial expenses, totaling approximately ¥402.67 million, compared to ¥289.73 million in the previous year, an increase of 39%[139]. Revenue Sources - The real estate sales segment generated revenue of ¥2,905,621,432.40, with a gross margin of 35.57%, but saw a decrease in gross margin by 17.48 percentage points compared to the previous year[32]. - Revenue from real estate leasing was ¥1,436,155,973.87, with a gross margin of 83.83%, reflecting a 15.55% increase in revenue compared to the previous year[33]. - The financial services segment reported revenue of ¥647,879,435.91, with a gross margin of 49.24%, despite a 10.06% decline in revenue compared to the previous year[33]. - Revenue from mainland China was ¥5,491,805,050.52, representing a 22.12% increase compared to the previous year[34]. - Real estate business revenue accounted for 4.975 billion RMB, while financial business revenue was 648 million RMB[52]. Asset and Liability Management - The total assets of the company at the end of the reporting period were ¥79,943,720,889.11, a slight increase of 0.15% from ¥79,825,754,920.48 at the end of the previous year[29]. - The company's total interest-bearing liabilities as of June 30, 2017, amounted to 29.262 billion yuan, representing 36.60% of total assets, an increase of 4.72% from the end of the previous year[69]. - The total inventory increased by 121.31% to RMB 20,300,247,094.37, mainly due to the acquisition of Shenyuan Real Estate and the Suzhou Green Shore project, which added approximately RMB 3.4 billion and RMB 9 billion to inventory, respectively[80]. - The company’s total liabilities increased significantly, with non-current liabilities rising by 409.03% to RMB 5,435,457,796.28, primarily due to financing for the acquisition of the Suzhou Green Shore project[81]. Strategic Initiatives - The company is focusing on a dual-driven strategy of "real estate + finance" to enhance its market position and resource management[4]. - The company is actively participating in the new round of development in the Pudong area, optimizing ecological space layout[4]. - The company aims to achieve a synergistic development of real estate, finance, and retail sectors, focusing on the opening of two L+ malls in Shanghai and Tianjin in 2018[72]. - The company is leveraging financial leverage to facilitate large-scale project acquisitions, marking a strategic shift in its operational approach[49]. Risk Management - The company emphasizes risk prevention in its financial sector while accelerating the development of multiple projects[4]. - The financial sector is undergoing a transformation with an emphasis on risk prevention and resource allocation efficiency[42]. - The company is facing a complex internal and external operating environment, with ongoing economic adjustments domestically and internationally[96]. - The company has committed to strengthen internal control systems and risk prevention measures following regulatory scrutiny[102]. Shareholder Relations - The company plans to ensure cash dividends of no less than 50% of the average distributable profit over the next three years[5]. - The company has set a target for steady profit growth while enhancing investor relations and shareholder returns[5]. - The company distributed CNY 948,783,472.00 to shareholders during the period, impacting retained earnings[149]. Acquisitions and Investments - The company completed the acquisition of 95% equity in Suzhou Green Coast for a total transaction amount of 8.525 billion RMB, enhancing its land reserves significantly[43]. - The company has committed to compensate any losses incurred by the listed company due to administrative penalties related to the investigation of the major asset restructuring case[102]. - The company plans to acquire 88.2% of the equity of Shanghai Lujiazui Financial Development Co., Ltd., reinforcing its control over the financial services sector[101]. Operational Efficiency - The company has established a stable and mature professional marketing team to effectively manage its property leasing and sales[47]. - The company aims to complete a construction area of 1.1 million square meters within the year and ensure steady progress on 2.2 million square meters of ongoing projects[76]. - The company plans to continue expanding its commercial real estate projects and improve management systems, safety measures, and quality control[76].