17/9/2018-10

The New World pushes down the first installment of the first phase. It is planned to widen the age. The new year can sell 1700 people.

Benefiting from the promotion of 4 properties in May and June, New World Development (0017) has contracted sales of 24.7 billion yuan in Hong Kong in the past year, far exceeding the original target of 10 billion yuan, and investment banks have even pointed to a record high. The Group’s executive vice president and general manager, Zheng Zhigang, said that the sales targets in Mainland China and Hong Kong will remain at around $16 billion and $10 billion respectively. They will continue to deploy the “first place 2.0”, which is based on the new situation, to promote the low initial period. Further relax the age, contribution measures, etc. Ming Pao reporter Chen Weiwei

New World announced its annual results as of the end of June this year. The basic profit for the period reached 7.78 billion yuan, up 11.8% year-on-year; the final dividend per share was 0.34 yuan, up 3.03% year-on-year. Benefiting from the redevelopment of the New World Centre in Tsim Sha Tsui, Victoria Dockside was gradually completed. The valuation of investment properties increased by 11.26 times year-on-year to 15.367 billion yuan.

Basic profit increased by more than 10%, final dividend of 0.34 yuan per share

Morgan Stanley reported that although the basic profit of the New World was slightly lower than expected, the new year benefited from more sales contracts and the opening of shopping malls. It is expected that the profit growth in 2019 will be stronger; Outperform the market, the target price is 13 yuan. Citi also expressed optimism that the basic profit of New World was higher than expected and the balance sheet of the Group also performed steadily.

Benefiting from the opening of the shopping mall project

The New World recorded a sales of 24.7 billion yuan in Hong Kong in the past year. The Macquarie report said that the amount has reached a record high. Zheng Zhigang said that the 421 units of parking spaces in Pok Oi Shan were launched in the past year, and more than 10 billion yuan of contract sales have been recorded. After the performance period until September 2, an additional 1.6 billion contract sales were recorded. He described the contract sales in May and June this year alone, which has locked 80% to 90% of profits for the new year. As for the number of units available for sale in the new year, it reached 1,700 and maintained its annual sales target of 10 billion yuan.

Regarding the price issue, Zheng Zhigang believes that there is still a rigid demand for units with a price of 6 million yuan and 7 million yuan, and it is expected that the annual property price will increase by 10%. The Group will continue to promote the “First Place 2.0” this year. In response to the real estate situation, quotas will be set aside to introduce a low initial period, relax age restrictions, progressive payment measures, provide furniture and large beds, and also have rental and sales restrictions. Asked about the Group’s purchase of land in Hong Kong, he stressed that it would not “follow the wind” and plans to increase land reserves from farmland conversion, old building reconstruction and auction.

It is planned to convert agricultural land to rebuild old buildings to increase soil storage

In terms of real estate sales in Mainland China, New World recorded contract sales of 16.3 billion yuan in the year and this year’s sales target was 16 billion yuan. In terms of increasing land reserves, Zheng Zhigang pointed out that in the Mainland, he will see the development of the major Bay Area. In the past year, he has spent 5 billion yuan to purchase land, and the remaining 15 billion yuan is reserved for use this year.

In addition, the Group has signed more than 60% and 70% of the Victoria Dockside shopping malls and office buildings in the rental area. It is estimated that it will increase to 70% and 90% by the end of the year, both of which are over RMB 110.