LJZ(SH:900932)2020-03-27 16:00Financial Performance - In 2019, the company achieved operating revenue of CNY 14.773 billion, a growth of 16.89% compared to 2018, and a net profit attributable to shareholders of approximately CNY 3.677 billion, an increase of 9.76% year-on-year[5]. - The company's operating revenue for 2019 was CNY 14.77 billion, an increase of 16.89% compared to CNY 12.64 billion in 2018[40]. - The net profit attributable to shareholders for 2019 was CNY 3.68 billion, reflecting a growth of 9.76% from CNY 3.35 billion in the previous year[40]. - The total assets of the company reached CNY 91.44 billion at the end of 2019, marking a 17.06% increase from CNY 78.11 billion in 2018[40]. - The basic earnings per share for 2019 was CNY 0.9115, up 9.76% from CNY 0.8305 in 2018[41]. - The weighted average return on equity for 2019 was 21.66%, a slight decrease of 0.37 percentage points from 22.03% in 2018[41]. - The net cash flow from operating activities for 2019 was CNY 517.37 million, a significant decline of 88.02% compared to CNY 4.32 billion in 2018[40]. - The company's net assets attributable to shareholders increased to CNY 18.12 billion by the end of 2019, a rise of 12.58% from CNY 16.09 billion in 2018[40]. - The company reported a total of CNY 238.17 million in non-recurring gains and losses for 2019, significantly higher than the previous year's CNY 47.05 million[45]. Real Estate Operations - The average occupancy rate of mature Grade A office buildings in Shanghai was approximately 91%, with an average rent of CNY 8.66 per square meter per day, reflecting a year-on-year increase of over 2%[6]. - The total building area of commercial properties exceeded 450,000 square meters, with Shanghai L+MALL achieving a rental rate of 98% and an average rent of CNY 10 per square meter per day[10]. - The company has 22 Grade A office buildings in operation, totaling approximately 1.73 million square meters, primarily located in key areas of Shanghai[6]. - The company aims to enhance its real estate operation platform, focusing on professional services to optimize the business environment[4]. - The company’s residential property sales revenue reached RMB 3.97 billion in 2019, with an overall sell-through rate of approximately 67%[18]. - The company has a total of 286,795 square meters of completed commercial properties and 298,018 square meters of ongoing projects, with a significant portion expected to be completed by 2024[11]. - The company’s total equity area for completed commercial properties is 424,488 square meters, while the total equity area for ongoing projects is 319,139 square meters[11]. - The company has several ongoing projects, including the Qiantan Center super high-rise office building, with a planned completion in 2020 and a total building area of 195,441 square meters[9]. Market Conditions - The real estate market in Shanghai faced challenges in 2019, with a decline in rental rates and occupancy due to increased competition and economic pressures[51]. - The average vacancy rate in the Shanghai office market increased from 12.6% in 2017 to 19.5% in 2019, indicating a significant decline in market conditions[118]. - The net absorption of office space in Shanghai was only 296,000 square meters in 2019, compared to an average of 750,000 square meters over the past decade, reflecting a substantial decrease in demand[118]. - The total supply of new residential properties in Shanghai was approximately 7,653,000 square meters in 2019, a year-on-year decrease of 8%[121]. - The transaction volume of commodity residential properties in Shanghai increased by 17% year-on-year in 2019, with a total transaction area of 7,537,000 square meters[121]. Investment and Development Strategy - The company plans to continue its investment and development strategy, focusing on the "1 trillion to 2 trillion" growth plan for the Pudong New Area[5]. - The company is actively involved in the development of five projects in the Zhangjiang Science City, aiming for completion within 60 months to support the growth of hard technology[4]. - The company plans to maintain a strategy of long-term holding of quality properties in core areas while selectively selling or transferring non-core properties[50]. - The company has significant land reserves for future development, including 236,398 square meters in Shanghai and 409,448 square meters in Suzhou[97]. - The company has expanded its presence in emerging areas such as the Lujiazui Financial Trade Zone and the Zhangjiang Science City, enhancing its competitive advantage[56]. Financial Services - Financial services revenue for 2019 was CNY 1.946 billion, accounting for 13.18% of total operating revenue[69]. - The financial services segment aims to integrate deeply into the regional industrial chain, enhancing business collaboration and fostering new growth points[50]. - The financial sector is adapting to a complex economic environment, focusing on risk control and enhancing financial service efficiency[52]. - The financial services segment aims to grow by leveraging the "real estate + finance" dual-drive model, with projected total inflows of CNY 2.380 billion for 2020[82]. Corporate Governance and Shareholder Value - The company plans to distribute a cash dividend of RMB 4.56 per 10 shares, totaling RMB 1.839 billion, subject to shareholder approval[24]. - The company has maintained a consistent cash dividend policy since 2002, with total cash dividends amounting to RMB 10.5 billion, approximately 262% of total share capital[144]. - The company is committed to enhancing its financial performance and shareholder value through strategic initiatives and operational improvements[39]. - The company guarantees that the listed company will have independent operational capabilities and will not rely on the parent company for production, supply, and sales[152]. Social Responsibility - The company provided a total of 40,000 RMB in poverty alleviation funding for the years 2018 and 2019, with an annual allocation of 20,000 RMB for each of the four targeted villages[179]. - The company invested 12.05 million RMB in agricultural and forestry industry poverty alleviation projects, with one project initiated[180]. - The company supported 24 impoverished students with a total funding of 1.46 million RMB for educational assistance[180]. - The company plans to continue targeted poverty alleviation efforts in Ying Shan County, Hubei Province, through its subsidiary, Aijian Securities[182].