Jiaguang Industry (016381) announced the group’s December contract sales before 8th, the overall increase of 25.2% year-on-year, 8.5% month-on-month to 13.02 billion yuan, the year-on-year cumulative increase of 25.8% to 88.1 billion yuan, reaching the group The target of 87.5 billion yuan is quite satisfactory
It is worth noting that the Group’s sales price per square metre has risen to another level since July. The average selling price in July was RMB 14,321 per square meter, and by December it had reached RMB 23,400, an increase of more than 60%. Due to the property market regulation policy issued by the central government, it is believed that the increase cannot be driven by the rise in property prices, but that the Group has successively sold out old renovation projects located in core golden areas, pushing up the average selling price per square meter and thus contracted sales.
Known as an “old reform expert”, Kaisa has bought many urban renewal and urban village old reform projects in the past, and invested a lot of time and resources in rebuilding.
As a result, the net debt ratio was once the highest in the industry
However, the phenomenon has improved significantly in the past two years, or it has been related to the successive realization of high-value projects that were in the past.
It is clear that the group is currently entering the harvest stage
It is expected that sales of similar projects will continue for a period of time and the square price will increase It should be just the beginning. With the debt reduction after cash withdrawal, the net debt ratio will further decline. It is believed that the Group will be able to easily obtain higher valuations in the market.
In addition, the management stated during the interim results meeting that the saleable value of the second half of last year reached 120 billion yuan, but only 52.8 billion yuan of real estate was sold in the second half of last year, that is, at least there were 67.2 billion yuan of projects for sale. To relax, I believe the group’s sales this year will be better than last year.
Moreover, the management should have successfully fulfilled its commitment to reduce the net debt ratio to below 180% at the end of the year, so there should still be room for the stock price to rise, and investors can wait to buy back.