华润置地：大资管平台转型步伐加快，带动业绩平稳实现

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 34, representing a potential upside of 65.8% from the current price of HKD 21.0 [1][2]. Core Insights - The company experienced a 4.7% year-on-year decline in core net profit for H1 2024, with total revenue reaching RMB 79.1 billion, an 8.4% increase compared to the previous year. The development business revenue was RMB 59.1 billion, up 8.3%, while recurring business revenue grew by 9.0% to RMB 20 billion, accounting for 25.3% of total revenue [1][2]. - The company’s sales performance showed resilience despite a 26.7% decline in sales revenue to RMB 124.7 billion, with a 69% equity ratio. The average selling price decreased by 1.4% to RMB 23,930 per square meter, but the company maintained a strong market position, ranking among the top four in the industry [1][2]. - The recurring business's profit contribution increased to 51.4%, becoming a significant growth driver for the company. The shopping center segment saw a 21.9% increase in retail sales, with a 30% rise in rental income [1][2]. Financial Performance Summary - For H1 2024, the company reported a gross margin of 25.2%, down 1 percentage point year-on-year, primarily due to a 4.6 percentage point decline in the development business gross margin to 12.4%. The net profit attributable to shareholders decreased by 25% to RMB 10.2 billion [1][2]. - The company’s financial structure remains robust, with a cash-to-short-term debt ratio of 1.54 and a total interest-bearing debt ratio of 38.9%. The average financing cost decreased by 32 basis points to 3.24%, positioning the company among the lowest in the industry [1][2]. - The company’s asset management scale increased by 5.1% to RMB 449.1 billion, supporting its value release and business transformation in the evolving industry landscape [1][2].