恒达集团控股(03616) - 2025 - 年度业绩

Consolidated Financial Statements Consolidated Statement of Profit or Loss In FY2024, the company turned from profit to loss with revenue decreasing by 22.5% to RMB 2.76 billion and a net loss of RMB 264 million Key Profit or Loss Items for FY2024 | Indicator | 2024 (RMB thousands) | 2023 (RMB thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Revenue | 2,762,136 | 3,565,598 | -22.5% | | Gross Profit | 123,111 | 434,203 | -71.6% | | Operating (Loss) / Profit | (160,663) | 133,728 | From profit to loss | | (Loss) / Profit for the Year | (263,971) | 36,817 | From profit to loss | | (Loss) / Profit Attributable to Owners of the Company | (270,424) | 40,944 | From profit to loss | | (Loss) / Earnings Per Share (RMB fen) | (22.54) | 3.41 | From profit to loss | Consolidated Statement of Comprehensive Income Total comprehensive expense for the year was RMB 264 million, consistent with the net loss, indicating no other significant comprehensive items - Total comprehensive expense for the year was RMB 264 million, matching the net loss, indicating no other significant gains or losses not recognized in the profit or loss statement[5] Consolidated Statement of Financial Position As of end-2024, total assets decreased by 13.1% to RMB 7.90 billion, and total equity by 14.2% to RMB 1.59 billion, with persistent short-term borrowing pressure Key Balance Sheet Items as of End-2024 | Indicator | 2024 (RMB thousands) | 2023 (RMB thousands) | YoY Change | | :--- | :--- | :--- | :--- | | Total Assets | 7,896,525 | 9,085,205 | -13.1% | | Total Liabilities | 6,302,455 | 7,227,164 | -12.8% | | Total Equity | 1,594,070 | 1,858,041 | -14.2% | | Net Current Assets | 1,674,036 | 1,772,534 | -5.6% | | Cash and Cash Equivalents | 253,342 | 274,808 | -7.8% | - The company's core asset, 'Properties held for sale or under development', decreased from RMB 7.52 billion to RMB 6.60 billion, reflecting the impact of property sales and value impairment[6] - Of total borrowings, current liabilities due within one year amounted to RMB 647 million, accounting for 60.8% of total borrowings, indicating short-term repayment pressure[7][64] Notes to the Financial Statements Basis of Preparation and Going Concern Auditors highlighted material uncertainty regarding going concern due to annual loss, low cash, high short-term liabilities, and potential financial guarantee outflows - The auditor's report highlighted significant doubts about the company's going concern ability, primarily due to: an annual loss of approximately RMB 264 million, cash and equivalents of only RMB 253 million, short-term borrowings of RMB 647 million due within the next 12 months, and potential cash outflows of approximately RMB 6.84 billion from financial guarantees[11][89] - Management plans to implement four measures to address liquidity risks: 1. Actively adjust sales and pre-sale activities to accelerate cash collection 2. Negotiate payment arrangements with major contractors and suppliers 3. Actively communicate with banks to obtain project loans or discuss better repayment plans 4. Obtain written funding commitments from related parties and non-controlling shareholders, who will not demand repayment of approximately RMB 47.12 million in payables[13] Revenue and Segment Information 2024 total revenue was RMB 2.76 billion, dominated by property sales, with all revenue and non-current assets originating from China 2024 Revenue Breakdown | Revenue Source | 2024 (RMB thousands) | 2023 (RMB thousands) | | :--- | :--- | :--- | | Property Sales | 2,746,959 | 3,554,210 | | Service Income | 5,371 | 2,668 | | Rental Income | 9,806 | 8,720 | | Total | 2,762,136 | 3,565,598 | - The Group's business is highly concentrated, primarily engaged in property development in China, thus no operating segments are identified. All revenue and non-current assets are located in China[20] Earnings per Share and Dividends Basic and diluted loss per share for 2024 was RMB 22.54 fen, a turn from prior year's profit, with no dividend recommended - Basic and diluted loss per share was RMB 22.54 fen, compared to a profit of RMB 3.41 fen in the prior year[24] - The Board did not recommend any dividend for the year 2024[25] Capital Commitments and Contingent Liabilities As of end-2024, the Group had RMB 840 million in capital commitments and significant contingent liabilities including mortgage and shareholder loan guarantees - Total capital expenditures committed but not yet incurred by the Group amounted to RMB 842 million, primarily for properties under development for sale[32] - The Group has several contingent liabilities, including: - Mortgage loan guarantees provided to homebuyers - Guarantees for the repayment of a shareholder loan of approximately RMB 229 million for an associate - Pledges of investment properties and properties under development for third-party borrowings of approximately RMB 101 million[68][69] Management Discussion and Analysis Chairman's Statement The Chairman's Statement highlights 2024 as a challenging year, with focus on 'ensuring timely delivery' and utilizing financing mechanisms, expecting market stabilization in 2025 - Facing industry difficulties, the company prioritized 'ensuring timely delivery of properties' as its primary social responsibility[34] - The company actively utilized the real estate financing coordination mechanism, ensuring all 'white list' projects were approved to alleviate funding pressure[34] - Looking ahead to 2025, the company believes policy support is expected to stabilize the market, and it will focus on project delivery, quality services, and integration of the entire industry chain resources[40] Industry Review The report reviews the severe downturn in China's and Henan's real estate markets in 2024, with significant declines across key indicators despite policy support Key National Real Estate Market Data Changes in 2024 | Indicator | YoY Change | | :--- | :--- | | Real Estate Development Investment | -10.6% | | New Construction Starts Area | -23.0% | | Completed Construction Area | -27.7% | Key Henan Province Real Estate Market Data Changes in 2024 | Indicator | YoY Change | | :--- | :--- | | Real Estate Development Investment | -7.5% | | Completed Construction Area | -44.5% | | New Commercial Property Sales Area | -11.0% | | New Commercial Property Sales Value | -13.8% | Business Overview In 2024, the Group achieved RMB 1.87 billion in contracted sales, a 29.1% decrease, with a land bank of 3.03 million sqm primarily in Xuchang - In 2024, the Group's cumulative contracted sales amounted to approximately RMB 1.87 billion, with a contracted sales area of approximately 324 thousand square meters[48] - As of end-2024, the Group's total land bank was approximately 3.03 million square meters, primarily concentrated in various districts and counties under Xuchang City, Henan Province[49] 2024 Contracted Sales Performance | Indicator | 2024 | 2023 | YoY Change | | :--- | :--- | :--- | :--- | | Contracted Sales Value (RMB millions) | 1,867.9 | 2,634.2 | -29.1% | | Contracted Sales Area (square meters) | 323,710 | 437,621 | -26.0% | | Average Selling Price (RMB per square meter) | 5,608 | 5,822 | -3.7% | Financial Review FY2024 saw significant financial deterioration with revenue down 22.5%, gross margin plummeting, and gearing ratio rising to 66.8%, intensifying financial risks Financial Performance Summary | Indicator | 2024 | 2023 | Change | | :--- | :--- | :--- | :--- | | Revenue (RMB millions) | 2,762.1 | 3,565.6 | -22.5% | | Gross Profit (RMB millions) | 123.1 | 434.2 | -71.6% | | Gross Profit Margin | 4.5% | 12.2% | -7.7 percentage points | | (Loss) / Profit for the Year (RMB millions) | (264.0) | 36.8 | -817.4% | - Property sales gross profit margin decreased from 12.0% in 2023 to 4.2% in 2024, primarily due to the residential property sales gross profit margin falling from 12.8% to 4.7%[56][57] Key Financial Ratios | Ratio | 2024 | 2023 | | :--- | :--- | :--- | | Return on Assets | -3.1% | 0.4% | | Return on Equity | -15.3% | 2.0% | | Gearing Ratio | 66.8% | 51.1% | | Debt-to-Equity Ratio | 50.9% | 36.3% | Key Risk Factors Main risks include high reliance on Henan's property market, intense competition, macroeconomic impacts, and interest/exchange rate fluctuations - Business is highly dependent on the property market performance in Xuchang City and Henan Province, making it susceptible to local economic, policy, and market supply-demand changes[72] - The real estate market is highly competitive, and the company faces challenges in land acquisition, brand recognition, pricing, and design quality[72] - The Group faces interest rate risk (primarily from borrowings) and foreign exchange risk (primarily from HKD bank deposits), but currently has no hedging policy in place[73] Future Outlook For 2025, the Group anticipates market stabilization, focusing on flexible sales, efficient fund management, strategic land acquisition, and high-quality project development - Sales Strategy: Focus on accelerating sales of commercial properties and parking spaces, and expanding customer reach through online and offline integration[81] - Fund Management: Fully utilize government stimulus policies to shorten subscription, signing, and cash collection cycles, reducing capital tie-up[81] - Development Strategy: Adhere to the strategy of 'deepening presence in Henan, intensive cultivation in Xuchang', steadily acquiring new land reserves guided by market demand and profit[82] Other Important Matters Suspension of Trading and Resumption Guidance Shares suspended since April 2, 2024, with Stock Exchange requiring independent investigation, management integrity proof, internal control review, and outstanding financial results for resumption - The company's shares have been suspended from trading since April 2, 2024, pending fulfillment of the Stock Exchange's resumption guidance[92] - The core requirements of the Stock Exchange's resumption guidance include: an independent investigation into prepayment issues, demonstration of management integrity, an independent internal control review, publication of all outstanding financial results, and demonstration of compliance with Listing Rule 13.24 (sufficient business operations or assets)[94][99] - The company's former auditor, PricewaterhouseCoopers, has resigned, and the new auditor is Evergreen (Hong Kong) CPA Limited[93][97]