Huafa Properties(600325) 长江证券·2025-03-18 11:10Investment Rating - The investment rating for the company is "Buy" and is maintained [5]. Core Views - In the short term, the company has ample sellable land reserves, which will support future sales once market demand improves [3][8]. - In the long term, the industry supply structure is expected to optimize, allowing the company to focus on its core cities and pursue quality growth [3][8]. - The company is actively repurchasing shares for employee stock ownership plans or equity incentives, effectively aligning shareholder interests with management [3][8]. Financial Performance Summary - In 2024, the company reported revenue of 59.99 billion (-16.8%) and a net profit attributable to shareholders of 0.95 billion (-48.2%), with a comprehensive gross margin of 14.3% (-3.8 percentage points) [3][8]. - The company maintained a dividend payout ratio of 30.0% and a dividend yield of 1.8% [3][8]. - The company’s sales volume for 2024 was 105.44 billion (-16.3%), with a sales area of 3.7 million square meters (-7.5%) and an average sales price of 29,000 yuan per square meter (-9.6%) [3][8]. Market Position and Strategy - The company has ranked 10th in the industry, maintaining a position in the 100 billion sales club for five consecutive years [3][8]. - The company’s land acquisition efforts have slowed, focusing on high-capacity cities like Shanghai, Guangzhou, Chengdu, and Xi'an, with a total land acquisition amount of 9.4 billion (-85.9%) [3][8]. - The company’s unsold land reserves are sufficient to ensure future sales, with a pre-sale account balance of 87.36 billion, providing a coverage ratio of 1.57 times against development revenue [3][8]. Debt and Financing - As of the end of 2024, the company’s interest-bearing debt was 141.6 billion (-1.7%), with a stable debt structure where long-term debt accounts for 84% [3][8]. - The financing cost has decreased to 5.22% (-0.26 percentage points), and the company is actively engaging in issuing convertible bonds to ensure healthy cash flow [3][8].