Seazen(SH:601155) EBSCN·2024-11-12 01:17Investment Rating - The report maintains a "Buy" rating for the company [5] Core Views - The company's sales performance in October was weaker than the market, with a significant year-on-year decline in sales and sales area [1] - Despite the sales pressure, the commercial operations are progressing steadily, with a high occupancy rate and rental income growth, indicating potential for achieving annual targets [2] - The overall revenue for the first three quarters showed a decline, but the gross profit margin remained stable, supported by the commercial business [3] Summary by Sections Sales Performance - For the period of January to October 2024, the company achieved sales of 34.45 billion yuan, a year-on-year decrease of 48.0%, with the decline in sales area reaching 4.39 million square meters [1] - The average selling price decreased by 7.3% to 7,363 yuan per square meter, with October sales alone dropping by 56.6% year-on-year [1] Commercial Operations - As of the end of October 2024, the company managed 168 commercial properties with a total area of 15.52 million square meters, reflecting a net increase of 6 properties and 490,000 square meters from the end of 2023 [2] - The overall occupancy rate of managed commercial properties reached 97.7%, an increase of 1.2 percentage points from the end of 2023, with rental income for the first ten months amounting to 9.88 billion yuan, a year-on-year increase of 15.5% [2] Financial Performance - In the first three quarters of 2024, the company reported revenue of 51.56 billion yuan, a year-on-year decline of 27.7%, with a gross profit margin of 20.2%, up 1.9 percentage points [3] - The net profit attributable to shareholders was 1.45 billion yuan, down 41.3% year-on-year, primarily due to reduced revenue and increased financial costs [3] Earnings Forecast and Valuation - The earnings per share (EPS) forecast for 2024-2026 has been adjusted to 0.24 yuan, 0.45 yuan, and 0.79 yuan respectively, with the current stock price corresponding to a price-to-book (PB) ratio of 0.57 for 2024 [5] - The company is expected to gradually improve its profit margins through steady commercial development and maintain a healthy financial position [5]