Financial Performance - In 2021, the company recorded sales revenue of RMB 3,317.6 million, with a delivered floor area of 349,820 square meters[10]. - The real estate sales amounted to RMB 6,838.0 million, with a sales area of 334,612 square meters in 2021[15]. - The company reported a loss attributable to shareholders of RMB 5,150.0 million for the year[10]. - The group's total sales 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[26]. - The company achieved real estate sales revenue of RMB 6,838.0 million, a year-on-year increase of 0.4%, with a sales area of 334,612 square meters, up 23.0% year-on-year[37]. - The company recorded a comprehensive gross loss of RMB 1,091.1 million for 2021, compared to a gross profit of RMB 1,148.9 million in 2020, resulting in a gross margin of -32.9%[90]. - The company reported a net loss of RMB 1,160.4 million for the year ended December 31, 2021, compared to a net profit of RMB 2,009.5 million in 2020[94]. - The total sales cost for the year was RMB 4,408.7 million, a significant increase of 165.8% from RMB 1,658.8 million in 2020[87]. Assets and Liabilities - As of December 31, 2021, total borrowings were RMB 20,084.0 million, with a capital debt ratio of 6,483.4%[18]. - The total assets decreased to RMB 49,889.2 million from RMB 51,813.8 million in the previous year[18]. - The total liabilities increased to RMB 49,464.5 million from RMB 46,225.3 million in the previous year[18]. - Total current assets decreased by 6.8% to approximately RMB 24,042.4 million as of December 31, 2021, down from RMB 25,798.2 million in 2020[104]. - Total current liabilities as of December 31, 2021, were RMB 47,227.3 million, an increase of 7.6% from RMB 43,894.2 million as of December 31, 2020[108]. - The contract liabilities balance increased by 28.3% to RMB 12,151.8 million as of December 31, 2021, from RMB 9,469.4 million as of December 31, 2020, due to ideal property pre-sales[108]. - The total amount of properties pledged as collateral for borrowings increased from RMB 28,580.2 million in 2020 to RMB 33,565.0 million in 2021[128]. Sales and Market Strategy - The company plans to launch 12 projects in 2022, with a total saleable floor area of approximately 1.3 million square meters, distributed across various regions[47]. - The company expects to maintain a balanced sales strategy across first-tier and second/third-tier cities, with 73.0% of sales coming from first-tier cities in 2021[42]. - The company plans to expedite the pre-sale and sale of its development and completed properties, with expectations to launch two to three existing projects after obtaining pre-sale permits in July 2022[116]. - The company has focused on promoting inventory sales, particularly garages, which have lower sales prices compared to residential properties[86]. - The company aims to enhance cash flow management and reduce debt through targeted sales efforts and structural adjustments[23]. Operational Challenges - The group faced challenges in the second half of the year due to delays in the launch of major projects and increased government regulation affecting pre-sale permits[22]. - The company is navigating the challenges posed by the ongoing COVID-19 pandemic while focusing on economic recovery strategies[20]. - The ongoing challenges in the global economy, including supply chain issues and inflation, are expected to impact recovery efforts, particularly in China[75]. Corporate Governance - The company has maintained compliance with the corporate governance code as per the Hong Kong Stock Exchange, except for the separation of roles between the Chairman and CEO, which is a deviation from the code[152]. - The company emphasizes the importance of high standards of corporate governance for its development and shareholder protection[150]. - The company has a commitment to transparency, accountability, and integrity in its corporate governance practices[151]. - The board structure is believed to benefit the overall interests of the company and its shareholders, as the current Chairman and CEO has been in both roles since 2018[152]. - The company has adopted the standard code for securities transactions by directors, confirming compliance during the review period[154]. Employee and Management - The group employed a total of 628 employees as of December 31, 2021, down from 672 employees in 2020, indicating a reduction in workforce[133]. - The company has implemented a performance-based compensation system for employees, which includes annual bonuses for outstanding performers[133]. - The company is focused on enhancing employee training programs to develop professional skills and knowledge among its workforce[133]. - The company’s executive team has extensive experience in real estate and financial management, with key executives having over 20 years of industry experience[135][136][137]. Future Outlook - The company anticipates that the sales area and prices of commercial housing will show increased differentiation among cities in 2022, with a potential trend of lower sales initially followed by recovery[76]. - The company plans to maintain a prudent financial policy, focusing on reducing debt levels while enhancing the management of financial resources[77]. - The company plans to continue advancing property project construction and sales in 2022 to increase cash inflows[119].
恒盛地产(00845) - 2022 - 年度财报