Core Viewpoint - New City Holdings (601155.SH) has reported a stable and positive performance for the year 2025, achieving a total sales amount of 19.27 billion yuan and a sales area of approximately 2.5358 million square meters, indicating a strong operational outcome [1] Group 1: Financial Performance - In 2025, New City Holdings achieved a total sales revenue of 19.27 billion yuan, with a sales area of about 2.5358 million square meters [1] - The commercial segment saw a total revenue increase of 10% year-on-year, reaching 14.09 billion yuan, demonstrating steady growth [1] Group 2: Business Development - New City Holdings opened five new Wuyue Plazas in cities including Zibo, Shangqiu, Qingdao, Nanyang, and Changzhou in 2025, enhancing its commercial footprint [1] - By the end of Q4 2025, New City Holdings had established 207 Wuyue Plazas across 141 cities, with 178 plazas operational or under management, leading the number of openings among Chinese listed companies [1] Group 3: Strategic Initiatives - The company has focused on commercial model innovation, implementing the "Wuyue Operating Five-Step Method" and the "Yue Chain Plan" to enhance operational efficiency and partner collaboration [2] - Morgan Stanley's report in November highlighted New City Holdings' sustained commercial revenue growth and steady same-store sales, predicting an approximately 8% compound annual growth rate in rental income [2] Group 4: Corporate Culture and Vision - New City Holdings integrates a resilient and pragmatic "Camel Spirit" into its corporate culture, emphasizing determination, responsibility, and long-term vision [2] - The company's chairman, Wang Xiaosong, articulates that this spirit will guide New City Holdings in deepening its presence in the commercial real estate sector amid trends of consumption upgrades and green transformation [2]

Core Insights - New City Holdings (601155.SH) reported stable and positive operational performance driven by its "residential + commercial" dual strategy as of September 2025 [1] Financial Performance - In September, New City Holdings achieved total commercial operating revenue of approximately 1.173 billion yuan, a year-on-year increase of 10.13% [1] - From January to September, the company accumulated total commercial operating revenue of approximately 10.511 billion yuan, reflecting a year-on-year growth of 10.82% [1] - Analysts suggest that the company is likely to exceed its annual target of 14 billion yuan in commercial operating revenue [1] - In terms of residential sales, the company recorded a contract sales amount of approximately 1.484 billion yuan in September, with a sales area of about 211,300 square meters [1] - For the first nine months, the cumulative contract sales amount reached approximately 15.050 billion yuan, with a total sales area of about 1,959,100 square meters [1] Financing Activities - New City Holdings has successfully achieved results in both domestic and international financing markets this year [1] - On September 23, the wholly-owned subsidiary New City Global issued $160 million in senior secured notes under the guarantee of New City Holdings and its parent company [1] - Earlier in June, New City Development issued $300 million in senior unsecured bonds, becoming the first private real estate enterprise to restart overseas capital market financing in nearly three years [1] - In August, the company successfully issued the first phase of medium-term notes for 2025 with a scale of 1 billion yuan, achieving a subscription multiple of 2.28 times and a coupon rate of only 2.68% [2] - On September 25, the company issued another medium-term note of 900 million yuan, both notes received full guarantee from China Bond and a dual AAA rating from China Chengxin International [2] - In the third quarter, the company repaid 1 billion yuan of public market bonds, maintaining a good record of early or on-time repayment of all debts [2]

Core Viewpoint - New City Holdings demonstrates resilience with continuous positive profitability and steady expansion of its business scale, highlighted by strong financial performance and innovative commercial operations [2][3][4]. Financial Performance - In the first half of 2025, New City Holdings reported revenue of 22.1 billion yuan and a net profit attributable to shareholders of 0.895 billion yuan, with a net profit excluding non-recurring items of 0.947 billion yuan, and a gross margin of 27%, an increase of 5.25 percentage points year-on-year [3][4]. - The company achieved a contract sales amount of 10.33 billion yuan and a collection amount of 11.88 billion yuan, resulting in a collection rate of 115% [3][4]. - As of the end of the reporting period, the company had a cash balance of 9.2 billion yuan and a net debt ratio of 53% [4][9]. Commercial Operations - New City Holdings' commercial operations generated revenue of 6.944 billion yuan in the first half of 2025, representing a year-on-year growth of 12% [4][5]. - The gross profit from property leasing and management reached 4.573 billion yuan, with a gross margin of 71.2%, increasing its contribution to total gross profit from 57.21% to 77.06% year-on-year [5][6]. - The company has established a presence in 141 cities with 205 comprehensive projects, with a total operational area of 16.0814 million square meters and a stable occupancy rate of 97.8% [5][6]. Financing and Debt Management - In June 2025, New City Holdings successfully issued $300 million in senior unsecured bonds, becoming the first private real estate company to resume overseas financing in three years [8][9]. - The company also issued a 1 billion yuan medium-term note in August 2025, with a subscription multiple of 2.28 times and a coupon rate of 2.68% [8][9]. - The overall financing cost for the first half of 2025 decreased to 5.55%, with a total financing balance of 52.276 billion yuan, down 1.374 billion yuan from the beginning of the year [9]. Strategic Initiatives - New City Holdings has adopted a "residential + commercial" dual-drive strategy, which has led to significant performance improvements and the development of its construction management business, achieving a signed area of over 3.05 million square meters in the first half of 2025 [9]. - The company has also engaged in deep partnerships with local events, such as the "Su Super" football league, to enhance consumer engagement and drive sales growth [6][7].