WOLONG REAL ESTATE(SH:600173)2020-04-23 16:00Financial Performance - The net profit attributable to shareholders for 2019 was RMB 510,458,617.30, a decrease of 11.51% compared to the previous year[21]. - The total revenue for 2019 was RMB 1,920,775,403.43, representing a decline of 32.13% from RMB 2,830,107,369.35 in 2018[20]. - The basic earnings per share for 2019 was RMB 0.7297, down 8.99% from RMB 0.8018 in 2018[20]. - The weighted average return on equity decreased to 20.09%, down 6.81 percentage points from 26.90% in 2018[20]. - The company reported a significant decrease in non-operating income from the disposal of non-current assets, reporting a loss of 2.09 million RMB in 2019 compared to a gain of 123.11 million RMB in 2018[25]. - The company's EBITDA for 2019 was CNY 671,845,515.93, a decrease of 19.05% compared to CNY 829,964,728.18 in 2018[160]. - The company achieved a total comprehensive income of 447,791.45 million in 2019, compared to 301,889.83 million in 2018, indicating strong overall performance[189]. Cash Flow and Liquidity - The net cash flow from operating activities increased significantly to RMB 1,642,740,712.18, a rise of 499.34% compared to RMB 274,093,375.62 in 2018[20]. - The company reported a significant increase in cash flow from operating activities, indicating improved liquidity and operational efficiency[20]. - The cash flow from operating activities was 403.44 million RMB in Q1 2019, 844.72 million RMB in Q2, 539.58 million RMB in Q3, and -144.99 million RMB in Q4[23]. - The cash interest coverage ratio surged by 537.90% from 7.82 in 2018 to 49.91 in 2019, primarily due to increased sales collections[160]. - The company maintained a loan repayment rate of 100% and an interest payment rate of 100% in both 2018 and 2019, demonstrating strong debt servicing capability[160]. Assets and Liabilities - The total assets as of the end of 2019 were RMB 7,692,091,131.54, an increase of 25.82% from RMB 6,113,623,913.43 at the end of 2018[20]. - Total liabilities increased to ¥4,928,590,076.00 in 2019, up from ¥3,794,020,539.62 in 2018, reflecting a growth of approximately 29.9%[177]. - The debt-to-asset ratio increased from 62.06% in 2018 to 64.07% in 2019, indicating a rise in leverage[160]. - The company's total equity rose to ¥2,763,501,055.54 in 2019, up from ¥2,319,603,373.81 in 2018, representing a growth of approximately 19.1%[177]. Market and Operational Insights - The company focused on real estate development and sales, with major projects located in Wuhan, Qingyuan, and Shaoxing[31]. - The total sales area of commercial housing in China decreased by 0.1% year-on-year, while the sales amount increased by 6.5% year-on-year, indicating a slowdown in growth[36]. - The company implemented a market-oriented management model to enhance refined management levels and improve product turnover rates[37]. - The company achieved a signed sales area of 262,100 square meters and a signed sales amount of 3.298 billion RMB in 2019, with cash recovery reaching 3.422 billion RMB[38]. Shareholder and Equity Information - The company plans to distribute a cash dividend of RMB 1.50 per 10 shares, totaling an estimated distribution of RMB 105,167,736.60[5]. - The company reported a total equity attributable to shareholders of 2.762 billion RMB[37]. - The controlling shareholder, Zhejiang Wolong Real Estate Investment Co., Ltd., increased its shareholding from 44.33% to 46.01%[116]. - The total number of ordinary shareholders increased from 22,852 to 24,259 during the reporting period[117]. Corporate Governance and Compliance - The company has not reported any non-standard audit opinions from its accounting firm during the reporting period[78]. - The company has established a complete and effective internal control system to promote standardized governance[141]. - The company maintained independence from its controlling shareholder in business, personnel, assets, and finance, with no violations reported regarding fund or asset occupation[143]. - The company actively engaged in community building and social responsibility, emphasizing environmental protection while pursuing development[142]. Future Outlook and Strategic Plans - The company expects total operating revenue of 2.203 billion and operating costs of 1.514 billion for the year[66]. - The company plans to focus on market expansion and new product development in the upcoming year[186]. - The company aims to enhance internal management and product quality while accelerating the liquidation of existing products[65]. - The real estate market is expected to remain stable, with policies allowing for marginal improvements amid ongoing regulatory measures[64].