CMSK(SZ:001979) Huachuang Securities·2024-11-01 17:39Investment Rating - The report maintains a "Recommended" investment rating for the company with a target price of 13 yuan, compared to the current price of 11.57 yuan [1]. Core Insights - The company reported a revenue of approximately 780.09 billion yuan for the first three quarters of 2024, representing a year-on-year growth of 2.88%. However, the net profit attributable to shareholders decreased by 31% to approximately 26.01 billion yuan [1]. - The gross profit margin has declined significantly, with the margin for the first three quarters at 9.95%, down from 18.25% in the same period last year and 11.98% in the first half of 2024 [1]. - The company has focused on high-quality land reserves, acquiring 14 plots of land with a total construction area of approximately 139.98 million square meters and a total land price of 288.84 billion yuan [2]. - Financing channels remain open, with a total of 140 billion yuan in credit bonds issued and a public debt of 15 billion yuan maturing in 2024, indicating manageable debt pressure [3]. Financial Performance Summary - Total revenue for 2023 is projected at 175,008 million yuan, with an expected growth of 5.4% in 2024 [4]. - The net profit attributable to shareholders is expected to decrease to 5,655 million yuan in 2024, reflecting a decline of 10.5% [4]. - Earnings per share (EPS) is projected to be 0.62 yuan in 2024, down from 0.70 yuan in 2023 [4]. - The company’s asset-liability ratio stands at 68.63%, indicating a relatively high level of debt [4]. Sales and Market Position - The company’s equity sales amount to 1,002 billion yuan for the first nine months of 2024, a decrease of 29% year-on-year [2]. - The sales area signed for the same period is 6.4244 million square meters, down 30% compared to the previous year [2]. - The company has strategically focused on core urban areas, with 99.8% of land acquisition occurring in first and second-tier cities, particularly in Shanghai [2].