Financial Performance - The total revenue for the year ended December 31, 2021, was RMB 3,317.6 million, an increase of 18.2% compared to RMB 2,807.7 million in 2020[4]. - The company recorded a loss attributable to owners of RMB 4,086.4 million for the year, compared to a profit of RMB 81.0 million in the previous year[4]. - The group achieved real estate sales revenue of RMB 6,838.0 million in 2021, a year-on-year increase of 0.4%[15]. - The total sales revenue for 2021 was RMB 6,838.0 million, with a slight increase from RMB 6,811.7 million in 2020[19]. - The group recorded a net loss of RMB 4,100,184,000 for the year ended December 31, 2021, compared to a profit of RMB 67,089,000 in 2020, indicating a significant decline in profitability[36]. - The group reported a loss before tax of RMB 3,858,436,000 for the year ended December 31, 2021[61]. - The group recorded a comprehensive gross loss of RMB 973.8 million in 2021, compared to a gross profit of RMB 1,148.9 million in 2020, resulting in a gross margin of -29.4%[92]. - The company reported a significant increase in total assets from RMB 51,813,827,000 as of December 31, 2020, to RMB 51,126,780,000 as of December 31, 2021[61]. - The company reported a loss attributable to shareholders of RMB (4,086,367,000) in 2021, a significant decline from a profit of RMB 81,003,000 in 2020[71]. Sales and Revenue - The real estate sales reached RMB 6,838.0 million, with a total sold area of 334,612 square meters[3]. - The average selling price per square meter decreased by 29.3% from RMB 13,317 in 2020 to RMB 9,421 in 2021[8]. - 23.7% of the sales revenue came from projects in Shanghai, while 37.8% came from the rest of the Yangtze River Delta region, and 38.5% from Northeast China[9]. - The average confirmed selling price for residential properties in Shanghai exceeded RMB 100,000 per square meter for certain projects[10]. - The sales revenue from first-tier cities (Shanghai and Beijing) was RMB 4,988.6 million, accounting for 73.0% of total sales, while second and third-tier cities contributed RMB 1,849.4 million, or 27.0%[17]. - The area of sold and delivered properties increased by 73.2%, from 202,019 square meters in 2020 to 349,820 square meters in 2021[88]. - The sales revenue from the Shanghai region accounted for 23.7% of the total confirmed sales revenue, with a contribution of RMB 467.3 million from the Hengsheng • Shanghaibay project[89]. Debt and Liabilities - The total borrowings amounted to RMB 20,084.0 million[3]. - The company's current liabilities exceeded its current assets by RMB 22,121,315,000 as of December 31, 2021, compared to RMB 18,095,971,000 in 2020[44]. - The group reported a significant increase in contract liabilities to RMB 12,151,831,000 in 2021, up from RMB 9,469,448,000 in 2020, indicating a growth of approximately 28.3%[40]. - The overdue loans amounted to RMB 3,512,549,000, including overdue principal of RMB 2,162,549,000 and overdue interest of RMB 1,199,727,000[45]. - The company has reclassified borrowings totaling RMB 12,220,602,000 as current liabilities due to cross-default events[46]. - The total current liabilities as of December 31, 2021, were RMB 47,401.3 million, an increase of 8.0% from RMB 43,894.2 million as of December 31, 2020[104]. Operational Strategy - The group plans to launch 12 projects in 2022, with a total saleable floor area of approximately 1.3 million square meters[20]. - The group plans to accelerate the leasing capabilities of office and commercial properties to enhance cash flow and support financial stability[33]. - The group plans to accelerate the pre-sale and sale of its developing and completed properties, with expectations to launch three to four major projects starting in March 2022[49]. - The group aims to control administrative costs through various channels, including optimizing human resources and adjusting management salaries[49]. - The group plans to continue implementing operational plans in 2022 to enhance cash inflows through project construction and sales[112]. Market Conditions - The central government aims to stabilize market expectations in 2022, continuing the "housing is for living, not for speculation" policy, which will influence the real estate financing environment[30]. - The global economic recovery in 2022 faces significant uncertainty, with ongoing supply chain challenges and inflation impacting growth prospects[29]. - The group anticipates that the sales area and prices of commercial housing will show increased differentiation across cities, with overall sales revenue and area expected to present a trend of lower first half followed by higher second half[31]. Financial Management - The group aims to enhance its financial management capabilities while reducing debt levels and strengthening debt structure adjustments to mitigate financial risks[34]. - The group will continue to adopt a prudent financial policy to ensure the safety of overall financial resources and achieve sustainable development[34]. - The company is actively negotiating with lenders regarding overdue loans and is confident in reaching agreements to extend the repayment terms[48]. - The group is negotiating with multiple commercial banks to extend and refinance bank loans and credit facilities[109]. Employee and Governance - As of December 31, 2021, the group had 628 employees, a decrease from 672 employees in 2020[121]. - The company has established a competitive salary structure for its employees, along with various benefits including pension, insurance, and medical coverage[121]. - The company has a share option plan in place to attract and retain senior executives and key employees[123]. - The company has adhered to the corporate governance code but deviated from the guideline that the roles of Chairman and CEO should be separate[128]. Audit and Compliance - The audit procedures for the financial results for the year ended December 31, 2021, have not been completed due to the impact of COVID-19, affecting the availability of management and employees for the audit process[135]. - The independent auditor's report indicates significant uncertainty regarding the group's ability to continue as a going concern, which may impact the consolidated financial statements[137]. - The company plans to issue a further announcement regarding any significant discrepancies between the audited and unaudited financial results for the year ending December 31, 2021, after the completion of the audit process[138].
恒盛地产(00845) - 2021 Q4 - 年度财报