SMC(SH:600823)2023-04-28 16:00Financial Performance - The company's operating revenue for 2022 was ¥5,746,588,415.92, a decrease of 70.37% compared to ¥19,391,616,442.61 in 2021[26]. - The net profit attributable to shareholders of the listed company was -¥4,530,858,036.10, representing a decline of 571.47% from ¥961,016,789.82 in the previous year[26]. - The net cash flow from operating activities was ¥604,109,224.16, a decrease of 96.25% compared to -¥16,112,872,190.03 in 2021[26]. - The total assets at the end of 2022 were ¥130,445,892,674.77, down 8.77% from ¥142,983,457,047.13 at the end of 2021[26]. - The net assets attributable to shareholders of the listed company decreased by 19.67% to ¥20,732,666,156.44 from ¥25,809,346,744.87 in 2021[26]. - The basic earnings per share for 2022 was -¥1.21, a decrease of 565.38% compared to ¥0.26 in 2021[27]. - The weighted average return on net assets was -19.24%, a decrease of 22.85 percentage points from 3.61% in 2021[27]. - The company reported a net profit of -RMB 7.304 billion, a decline of 442.04% compared to the previous year, with net profit attributable to shareholders at -RMB 4.531 billion, down 571.47%[36]. - The comprehensive gross profit of RMB 1.396 billion, down 80.33% year-on-year[36]. Revenue Sources - Real estate sales revenue was RMB 3.948 billion, down 77.20% year-on-year, while rental income increased by 4.43% to RMB 1.447 billion[36]. - The sales revenue of managed commercial projects decreased by 21% year-on-year, while foot traffic declined by 24%[39]. - The occupancy rate of managed commercial projects fell by about 4 percentage points year-on-year, reaching a historical low[39]. - The occupancy rate of managed office buildings decreased by 5 percentage points compared to the same period in 2021, with 56% of the area vacated due to poor tenant performance[40]. Market Conditions - The company reported a significant risk related to the forced execution of assets amounting to ¥16.288 billion, which accounts for 39.91% of the company's net assets[4]. - The company achieved total operating revenue of RMB 5.747 billion in 2022, a year-on-year decrease of 70.37%[36]. - Total sales contracts signed amounted to RMB 9.2 billion, a decrease of 68% year-on-year, achieving 70% of the annual target[37]. - The area of sales contracts signed was 700,000 square meters, down 56% year-on-year, with a reduction in the decline rate of approximately 15 percentage points compared to the first half of the year[37]. - The company is actively seeking policy support and has applied for credit enhancement to issue bonds for financing[40]. Cost Management - Real estate costs significantly decreased to CNY 3,922,057,226.85, accounting for 91.33% of total costs, a 67.24% decline compared to the previous year[61]. - Total costs for the period amounted to CNY 4,294,150,803.77, down 64.71% from CNY 12,169,799,259.82 in the same period last year[61]. - Marketing expenses decreased by 65.49% to CNY 451,973,431.42 due to reduced property sales revenue[65]. - Management expenses were reduced by 16.20% to CNY 715,042,362.34 as the company implemented strict cost controls[65]. Strategic Initiatives - The company plans to optimize its dual-driven operational model of "real estate development and sales + commercial operation and management" to reduce reliance on traditional real estate operations[50]. - The company aims to enhance its service ecosystem by integrating supply chain resources to provide better user experiences[51]. - The company is focusing on diversifying its product offerings to meet various customer needs in lifestyle, office, and entertainment sectors[50]. - The company is committed to integrating green operations into its business model, aligning with national "dual carbon" strategies[137]. Governance and Compliance - The board of directors operates independently, ensuring major decisions are made by the shareholders' meeting and the board, without interference from the controlling shareholder[100]. - The audit committee effectively supervises the regular reporting process through communication with the finance department and accounting firms[99]. - The company has established a system for insider information management, ensuring no insider trading occurs before sensitive information disclosure[100]. - The company respects the rights of stakeholders, including banks and employees, to promote stable business development[99]. Future Outlook - The company plans to focus on cash flow management, emphasizing collection and operational efficiency to enhance financial health[91]. - The company anticipates a weak recovery in the commercial market at least until mid-2023, as tenant confidence remains fragile[94]. - The company aims to deliver 14,000 housing units in 2023, with key projects like Jiangcun, Fuzhou, and Changsha expected to contribute over 1,000 units each[90]. - The company is exploring new business opportunities driven by social changes such as consumption upgrades and urban renewal projects[88]. Related Party Transactions - The company reported a total of 19,051,000 RMB in transactions with related parties, with the largest being 9,710,000 RMB for property management services[150]. - The company has reported a significant increase in related party transactions compared to the previous year, with a total of 5,102,000 RMB in expected amounts[149]. - The company’s financial dealings with related parties show a mix of increases and decreases in funding, indicating a dynamic relationship with its affiliates[155]. Debt Management - The total amount of guarantees provided by the company, including those to subsidiaries, is RMB 115.83 billion, which accounts for 57.52% of the company's net assets[164]. - The company has provided a guarantee of RMB 10.38 billion for a loan to Jinan Junmao Real Estate, with a maturity date of August 21, 2023[164]. - The company is actively managing its debt repayment strategies to maintain financial stability amid market challenges[190]. - The company has successfully held meetings with bondholders to discuss the extension of repayment schedules for four bonds, including 19 Shimao G3 and 20 Shimao G2[193].