In terms of operating income, three of the TOP10 real estate companies in the first half of 2020 exceeded 100 billion yuan, namely Evergrande 268.962 billion yuan, Country Garden 185.8 billion yuan, and Vanke 146.5 billion yuan. In terms of profitability, the average return on net assets of TOP10 real estate companies reached 10.25%, and the average net interest rate on total assets was 1.53%, which is much higher than the average level of H-share sample companies. Among them, Logan Group and Hopson Chuangzhan occupy the top three profitability sub-lists.
During the reporting period, Logan Group’s return on net assets reached 17.16%, the total net asset margin was 2.76%, and the sales gross profit margin was 35.23%, leading the TOP10 companies. In the first half of 2020, Logan Group’s operating income was 31.04 billion yuan, a year-on-year increase of 14.9%, and net profit attributable to its parent was 6.16 billion yuan, a year-on-year increase of 20.1%. The rapid growth in performance has played a positive role in improving the company’s profitability. The company’s sales gross profit margin was 35.23% in the first half of the year, higher than the industry average, and the non-net profit margin was 19.49%, which was at a relatively high level in the industry. In the first half of the year, Logan Group’s ROE and ROA were 17.16% and 2.76%, respectively, ranking first among the sample housing companies.
From the perspective of financing capacity, the average financing cost of H-share sample housing companies in the first half of 2020 is 6.93%, an increase of about 0.24 percentage points from the average financing cost of H-share sample companies in 2019. The total cash inflow generated by financing activities The volume is as high as 1.52 trillion yuan, compared with 1.43 trillion yuan in the same period in 2019, an increase of 6.3% year-on-year. The average financing cost of the TOP10 real estate companies on the total list is 6.37%, slightly lower than the industry average; the total inflow amount is 682.01 billion yuan, accounting for about 4.5% of the industry’s financing scale.
In the sub-list of financing capabilities, China Resources Land ranked first in the sub-list by virtue of its central enterprise background and excellent performance in the dimensions of financing costs and cash inflows from financing activities. During the reporting period, China Resources Land fully implemented the “cost reduction, quality improvement, and efficiency increase”, and its operating efficiency was significantly improved. It achieved a turnover of RMB 44.87 billion, a core net profit of RMB 8.37 billion, and a contracted amount of RMB 110.8 billion. 100 billion goal.
From the perspective of the nature of the company, in the first half of 2020, among the TOP10 A-share real estate companies, there are 4 state-owned enterprises and state-owned enterprises, and among the H-share TOP10, there are 2 state-owned enterprises and state-owned enterprises in the same period last year. The drop.
Throughout the TOP10 list in recent years, whether it is A-share or H-share market, the proportion of private real estate companies is gradually increasing. Among A-share real estate companies, the two-level differentiation has always been obvious. Large real estate companies often have the status of central enterprises and state-owned enterprises. These companies have gained more advantages in acquiring land and financing through their own corporate advantages, and gradually built their own core competitiveness. , The comprehensive strength has been continuously improved, and the rapid development by seizing market opportunities. However, some small and medium-sized enterprises have obvious characteristics of deep cultivation in the region. The low-priced land acquired in the early stage has increased the profitability for them.
In the past, the Chinese real estate stocks listed on H-shares were mainly large and medium-sized real estate companies, and most of them were private companies. However, in recent years, the A-share market has strictly restricted real estate companies from entering the capital market, such as Zhongliang Holdings, Sony Holdings, and Dafa Real Estate. Many small and medium-sized real estate companies represented by them have also landed in the H-share market. In addition, more than 10 real estate companies have submitted IPO applications and are waiting to be listed in H shares. However, in this round of the real estate market cycle, although some leading companies focused on the growth of scale and ignored the increasing scale of borrowing, which led to the decline in profitability and operational efficiency, the overall business situation was acceptable, and they were able to respond in a timely manner. Structural adjustments still have a certain investment value.
The competition and development of the real estate industry are not only reflected in the scale of sales, but more in the overall strength of the enterprise itself. On the whole, as the industry concentration continues to rise, real estate companies continue to scale up while consciously striding forward to achieve quality growth. Under the policy of strict control of incremental development, the stock policy is relatively loose. Although the growth rate of enterprise scale has slowed down, the scale dispute between real estate companies will not immediately stop. Many companies have the awareness of stock strategy. Increasing concentration is a trend.
article links：In terms of operating income,TOP10 real estate companies
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