Ping An Securities·2024-03-28 16:00Investment Rating - The report maintains a "Recommended" investment rating for the company [1][8]. Core Views - The company reported a revenue of 465.74 billion yuan in 2023, a decrease of 7.6% year-on-year, and a net profit of 12.16 billion yuan, down 46.4% from the previous year [4][5]. - The company plans not to distribute dividends or issue bonus shares [4]. - The company has a strong cash position with net cash inflow from operations of 3.91 billion yuan, and a cash balance of 99.8 billion yuan, significantly higher than its short-term debt of 62.42 billion yuan [7][8]. - The company aims to reduce interest-bearing debt by over 100 billion yuan in the next two years and plans to achieve transaction returns of no less than 30 billion yuan in 2024 [7][8]. Financial Summary - Total shares outstanding: 11,931 million [2]. - Total market capitalization: 100.7 billion yuan [2]. - Asset-liability ratio: 73.2% [2]. - Earnings per share (EPS) for 2023: 1.02 yuan, with a projected EPS of 1.06 yuan for 2024 [4][9]. - Projected net profit for 2024 and 2025 is 12.6 billion yuan and 11.7 billion yuan, respectively [8]. Operational Highlights - The company achieved a contract sales area of 24.66 million square meters and a contract sales amount of 376.12 billion yuan in 2023, down 6.2% and 9.8% year-on-year, respectively [5]. - The company acquired 43 new projects in 2023, with a total planned construction area of 5.96 million square meters [5]. - The company’s operating service business revenue grew by 8.9% year-on-year to 55.81 billion yuan in 2023 [7]. Future Outlook - The company expects to start and resume construction on 10.72 million square meters of existing projects in 2024, with an estimated completion of 22.06 million square meters [5][7]. - The report anticipates gradual improvement in the real estate market due to policy support, which may positively impact the company's sales and operations [8].