Investment Rating - The investment rating for the company is "Outperform the Market" [7][23]. Core Viewpoints - The company's business development is stable and improving, with an increase in both quantity and quality of operations [3]. - The property management services are experiencing steady growth, and profitability is on the rise [7][8]. - The company is focusing on expanding its non-residential business to enhance operational independence [10][13]. Financial Performance Summary - In 2024, the company's total revenue is projected to increase by 7.5% to HKD 14.024 billion, with a gross profit increase of 12.4% to HKD 2.326 billion, resulting in a gross margin of 16.6%, up 0.7 percentage points from 2023 [6][8]. - Net profit attributable to shareholders is expected to rise by 12.5% to HKD 1.511 billion, with basic and diluted earnings per share (EPS) of HKD 0.46, reflecting a 12.6% year-on-year growth [6][8]. - The company’s return on equity (ROE) is projected to be 32.7%, a decrease of 4.1 percentage points compared to 2023 [8]. Business Analysis Summary - As of the end of 2024, the company manages 448 retail projects and 2,232 property projects, covering a service area of approximately 431 million square meters [10][13]. - Revenue from property management services is expected to reach HKD 10.666 billion, a year-on-year increase of 13.3%, accounting for 76.1% of total revenue [13]. - The gross margin for property management services is anticipated to improve to 16.0%, driven by effective cost control measures [14]. Dividend Analysis - The company plans to declare a total dividend of HKD 0.18 per share for 2024, with a dividend payout ratio of 35.7% and a dividend yield of 3.52% [21][25]. Valuation and Investment Recommendation - The company is expected to have an EPS of HKD 0.51 in 2025, with a valuation range of HKD 6.16 to HKD 7.70 per share based on a price-to-earnings (P/E) ratio of 12-15 times [23][24].
中海物业（02669）：物管服务稳健增长，盈利能力修复向上