

Core Viewpoint - The company reported a decline in contract sales for the first eight months of 2025, indicating a challenging market environment, but it maintains a strong brand advantage and steady commercial operations [1][2]. Sales Performance - In August 2025, the company's contract sales amounted to 18.33 billion yuan, a year-on-year decrease of 0.7%, while the sales area increased by 27.7% to 889,000 square meters [1]. - For the period of January to August 2025, the total contract sales reached 150.33 billion yuan, down 16.5% year-on-year, with a sales area of 6.669 million square meters, a slight decrease of 0.2% [1][2]. Pricing Strategy - The company adopted a price-for-volume strategy, with an average sales price of 22,500 yuan per square meter, reflecting a 16.3% decrease compared to the same period in 2024 [2]. - The company’s revenue for the first half of 2025 was 83.22 billion yuan, a decline of 4.27% year-on-year, with the real estate development segment accounting for 77.96 billion yuan, down 4.97% [2]. Financial Management - As of June 30, 2025, the company had total borrowings of 227.45 billion yuan, a reduction of 14.12 billion yuan from the end of 2024, with cash and bank deposits amounting to 108.96 billion yuan [3]. - The asset-liability ratio stood at 53.7%, and the net debt ratio was 28.4%, indicating a strong financial position [3]. Commercial Operations - The company is focused on comprehensive asset management, with commercial property revenue of 3.54 billion yuan in the first half of 2025, including 1.7 billion yuan from office buildings and 1.17 billion yuan from shopping centers [2]. - The occupancy rate for mature shopping center projects over three years was 96.2%, with foot traffic increasing by 11.0% year-on-year [2]. Profit Forecast and Valuation - The company revised its net profit forecasts for 2025-2027 to 13.86 billion, 13.95 billion, and 14.04 billion yuan, respectively, down from previous estimates [3]. - The current stock price corresponds to a price-to-earnings ratio of 10.1, 10.0, and 9.9 for 2025-2027 [3].