Li Zhan earns 34% more in the mid-term

Lixin Corporation announced its interim results as of the end of January this year. During the period, Hong Kong Landmark Lixin Development (00488) recorded a net profit of RMB1.224 billion, an increase of 34% year-on-year, which was mainly attributable to the increase in fair value of investment properties. The stock’s profit was 2.022 yuan, and no interim dividend was paid. The turnover was 864 million yuan, an increase of 5.54% year-on-year. However, the property development and sales division recorded a loss of approximately RMB18.751 million. Deputy Chairman Zhou Fu’an stated that due to the lack of project entry and the upfront expenses of project sales, it is believed that with local sales projects such as the Tseung Kwan O Project, etc. This year, the performance is expected to improve.

Poor property sales accounted for due items

Zhou Fu’an pointed out that there will be 5 projects to be sold in Hong Kong this year. Among them, the Sai Wan Ho residential project is applying for pre-sale consent, which is expected to be sold from May to June, involving 144 units. In addition, the Ocean Park Hotel project will be opened in the middle of the year. It is believed that the tourists from the Ocean Park and the opening of the MTR can bring passengers to the Wangwang Hotel, which will increase the occupancy rate. It also means that the park is still not very worried about the loss situation of the Ocean Park and believes that the park is still very attractive. .

He believes that although the United States has entered a rate hike cycle, Hong Kong’s capital is not in a hurry to follow the interest rate hike. Therefore, in the low interest rate environment, property prices in Hong Kong are still expected to increase slightly this year, and supply is still insufficient, so property prices will not be large. fall.

Lai Fung Holdings (01125), which focuses on mainland properties, achieved an interim profit of 359 million yuan, up 6.68% year-on-year, with a turnover of 509 million yuan, an increase of 6.34% year-on-year. Zhou Fu’an said that the company has 10 projects in the Mainland and expects that the first phase of the Hengqin Innovator will be opened in the middle of the year, while the second phase is still in negotiations with the government and it is estimated that this year will be available for the land. He also stated that at present, the Group’s annual rental income in the Mainland is about RMB 800 million, and if it is included in the contribution of the Hengqin Project, it is expected to increase to RMB 1 billion.

Lai Fung is expected to vote for Hengqin this year

Zhou Fu’an disclosed that the 15 projects in the Mainland and Hong Kong this year will have a total investment of about 24 billion yuan. They will continue to bid for projects in the future, including land investment in Hong Kong. They do not rule out joint ventures or sole proprietorship, but they certainly will not be as developers in the Mainland. Progressive.