Zhi Tong Cai Jing·2025-08-28 08:09Core Viewpoint - China Resources Land (01109) reported a 6.9% year-on-year decline in core profit for the first half of the year, primarily due to a reduction in one-time gains, but maintained stable interim dividends, indicating robust shareholder returns [1] Financial Performance - The profit margin for development properties improved for the first time in years despite the overall profit decline [1] - The contribution from recurring business increased to 60% in the first half of 2025 [1] Future Outlook - The company is expected to achieve a profit recovery in 2026, driven by the increased contribution from recurring business and improved profit margins from development properties [1] - The valuation benchmark has been shifted to the 2026 forecasted earnings per share, with the target price raised from HKD 32.2 to HKD 35.4, implying a 2026 price-to-earnings ratio of 8.5 times [1] Investment Recommendation - China Resources Land remains the preferred stock for the firm, with an outperform rating [1]