Binjiang Group(002244) 光大证券·2024-11-11 07:31Investment Rating - The report maintains a "Buy" rating for Binjiang Group (002244 SZ) [1][5] Core Views - Binjiang Group's October sales performance was strong, with a significant improvement in sales margins [1] - The company's new land reserves in 2024 are of high quality, concentrated in core urban areas of Hangzhou [1] - Despite a slight pressure on full-year performance, the company's financial position remains stable [1] Financial Performance - Revenue for the first three quarters of 2024 was RMB 40 78 billion, down 12 1% YoY [1] - Gross profit margin for the first three quarters was 10 4%, a decrease of 4 6 percentage points YoY [1] - Net profit attributable to shareholders was RMB 1 63 billion, down 34 0% YoY [1] Sales Performance - Cumulative sales from January to October 2024 reached RMB 92 2 billion, down 30 3% YoY [1] - October sales alone were RMB 12 billion, up 18 9% YoY and 54 6% MoM [1] - In Hangzhou, the company achieved sales of RMB 60 37 billion, maintaining its leading position in the local market [1] Land Acquisition - In 2024, the company acquired 12 land parcels in Hangzhou with a total construction area of 963,000 square meters [1] - The total investment in land acquisition was RMB 26 9 billion, with an average floor price of RMB 27,900 per square meter [1] - 76 6% of the investment was concentrated in core urban areas of Hangzhou [1] Financial Health - As of the end of Q3 2024, the company's short-term debt decreased by RMB 1 5 billion compared to the end of H1 2024 [1] - Cash on hand was RMB 29 1 billion, an increase of RMB 2 7 billion from the end of H1 2024 [1] - The debt-to-asset ratio after deduction was 59 1%, indicating a stable financial position [1] Valuation and Forecast - The report revised the EPS forecast for 2024-2026 to RMB 0 74, RMB 0 95, and RMB 0 97, respectively [1] - The current stock price corresponds to a PE ratio of 13 8x, 10 8x, and 10 5x for 2024-2026 [1] Market Position - Binjiang Group ranked first in Hangzhou's real estate sales rankings for both flow and equity sales in 2024 [2] - The company's sales in Hangzhou accounted for 65 5% of its total sales, with a flow sales of RMB 38 billion and equity sales of RMB 30 6 billion [1]