Binjiang Group(002244) Guotai Junan Securities·2024-09-02 05:56Investment Rating - The report maintains a "Buy" rating for the company, with a target price raised to 9.83 yuan from the previous 8.75 yuan [2][3]. Core Insights - The company's performance in the first half of 2024 was temporarily under pressure due to low-margin settlement projects and settlement rhythm, but an improvement is expected in the second half of the year [3]. - The company reported a revenue of 24.2 billion yuan in the first half of 2024, a year-on-year decline of 10.5%, and a net profit attributable to shareholders of 1.17 billion yuan, down 28.7% year-on-year [3]. - The company plans to deliver 22 projects in the second half of the year, primarily in the fourth quarter, with a total planned deliverable area of 4.425 million square meters, an increase of 6.8% year-on-year [3]. - The gross profit margin decreased significantly in the first half of 2024, down 8.7 percentage points to 9.6%, but is expected to improve as low-margin projects are settled and housing prices stabilize [3]. - The company has a substantial amount of unrecognized pre-sale funds amounting to 139.44 billion yuan, providing support for future performance [3]. - The company has been actively acquiring land, with a land acquisition-to-sales ratio of 0.38, ranking second among the top 10 real estate companies in terms of equity sales [3]. - The company aims to maintain financial stability and has reduced its average financing cost to a historical low of 3.7% [3]. Financial Summary - For the first half of 2024, the company reported a revenue of 24.2 billion yuan and a net profit of 1.17 billion yuan [3]. - The projected earnings per share (EPS) for 2024, 2025, and 2026 are 0.98 yuan, 1.10 yuan, and 1.22 yuan, respectively [3]. - The company’s total assets are projected to reach 343.85 billion yuan by 2024, with total liabilities of 282.57 billion yuan [11]. - The net asset value per share is 8.47 yuan, with a price-to-book ratio of 1.0 [5]. Market Data - The company's stock price has ranged from 5.78 to 11.00 yuan over the past 52 weeks, with a total market capitalization of 26.198 billion yuan [4]. - The company has a total share capital of 3.111 billion shares, with 2.682 billion shares in circulation [4]. Comparative Analysis - The company’s P/E ratio is projected to be 8.57 for 2024, compared to an industry average of 9.3 [12]. - The company ranks favorably in terms of land acquisition among its peers, indicating a strong competitive position in the market [3].