In the first 10 months of this year, the performance of most of the TOP100 housing enterprises grew steadily year-on-year, but there were also more than 10 housing companies showing a negative growth rate.
Editor’s note: This article is from Daily Economic News , author: package Jingjing, authorized reprint
The 2019 race is nearing completion, and competition between housing companies is becoming more intense. In the first ten months of this year, the “100 billion” housing enterprises camp expanded to 25 again. However, although the sales performance of various real estate enterprises remained at a high level during the year, many companies still experienced a decline in performance compared with the same period of last year. The year-on-year growth rate of performance was negative, including the head office enterprises of the “100 billion” camp and the small and medium-sized housing enterprises among the “billions” army.
According to the data of the Central Research Institute, Yanlord Land, Huayu Group, New Hope Real Estate, Zhongjun Group and CCCC Real Estate have become the top five companies with the highest growth rate from January to October, while Taihe Group and Electric The growth rate of 12 real estate enterprises such as Jianye Real Estate, Datang Real Estate, Rongqiao Group and Blu-ray Development was negative, with 9 of them being small and medium-sized housing enterprises with a scale of 20 billion to 70 billion yuan.
The financial commentator Yan Yuejin analyzed the “Daily Economic News” reporter: “It is true that the current market pressure is increasing, and housing sales are affected. Although the statistics are still stable, we must specifically see the growth of each housing company. The growth rate is getting smaller. This will affect the pricing of the projects in November and December of this year, and will also affect the sales positioning and investment in the next year.”
Data Source: Middle Index Institute
12 family business growth rate growth negative
The data of the China National Academy of Sciences shows that in the first 10 months of sales, the sales volume and area growth rate of most enterprises in the TOP100 housing enterprises showed steady growth. At the same time, however, the growth rate of many housing enterprises has slowed down significantly compared with previous years. Even the growth rate of 12 housing companies has been negative, including Greenland Holdings, Huaxia Happiness and Zhengrong in the “100 Billion” Housing Enterprises. group.
“There is a statistical factor in the increase in growth. SMEs are relatively easy to grow due to the low base of sales. But ‘The base of 100 billion homes is very large, and the demand for absolute growth is very high, and this year’s market cooling has had a certain impact on housing companies. Yan Yuejin pointed out.
The “Daily Economic News” reporter noted that in the first 10 months of this year, Taihe accumulated sales of 76.8 billion yuan, down 33.2% compared with 114.9 billion yuan in the same period of 2018.
The Greenland Group, which ranked TOP10 in sales in the previous October, also had a negative year-on-year growth in performance. According to the statistics of the Central Index Research Institute, in the first 10 months of this year, the cumulative sales volume of Greenland Holdings was 278.9 billion yuan, down 8.6% compared with 305 billion yuan in the same period of last year. The cumulative sales area decreased by 12.5%. According to the third quarterly report of Greenland Holdings, due to the downward pressure on the overall market and the pace of new supply listing, the real estate main business in the first three quarters realized a total contracted sales amount of 234.6 billion yuan, a year-on-year decline.
Data Source: Middle Index Institute
Greenland responded to the “Daily Economic News” reporter said that Greenland is currently forming a diversified business structure of “real estate +” industry synergy. In the first three quarters, the performance of large infrastructure projects achieved operating income of 1,389 yuan, while arranging trade, hotel tourism and Kangyang Science and Technology and other diverse industries. For the annual sales target, Greenland said it will “snatch” the annual transcript in the fourth quarter.
For the growth rate of sales growth of large-scale real estate enterprises, the phenomenon of year-on-year decline or even negative growth has occurred. Yan Yuejin admits that while the concentration of real estate industry is rising, there are also great differences and changes between large-scale real estate enterprises. Enterprises should also pay attention to avoiding risks. Not only the real estate business, but also the diversified business development, more objective and comprehensive display of the advantages of innovative business, the role of the company’s external image has a more positive role.
From high-speed growth to high-quality development
For the phenomenon of slower or even negative growth in the performance of some housing companies in the first ten months of this year, the China National Research Institute believes that the real estate market is more rational in the context of strict regulation of the property market and the establishment of a long-term mechanism. From high-speed growth to high-quality development.
At the same time, in the face of increasingly tightening financing policies and the pressure of the maturity of interest-bearing liabilities of housing enterprises this year, housing companies are actively exploring diversified financing channels to ease debt pressure. In the first ten months of this year, the scale of the issuance of credit and overseas debt of housing enterprises increased year-on-year, and the scale of trust financing was basically the same as that of the previous year.
Despite the repeated tightening of local control, the real estate industry has a relatively strong economy, and many housing companies have increased their “grab” power.Degree, achieved contrarian growth, and completed the annual sales target ahead of schedule. For example, Shimao Real Estate, which has outstanding performance this year, ranks first in the “100 billion” legion with a cumulative sales increase of 43%, and sales of 7 real estate companies including Sunshine City, China Merchants Shekou, Jinke Group, Jindi Group, China Overseas Real Estate and Xuhui Group. The amount has increased by more than 30%.
From the perspective of companies that announced their annual sales targets at the beginning of this year, the completion rate of sales targets of the above-mentioned housing enterprises was generally good. The statistics of the Central Index Institute show that the completion rate of Shimao’s real estate sales target is 93.9%, Zhonghai Real Estate is 93.5%, Jinke Group is 93.3%, Sunshine City is 91.2%, and China Merchants Shekou is 89.6%.
In addition, some fast-growing housing companies also have good results: Kaisa has increased by 47.6% year-on-year, and has completed the annual target of 98.8%; China Jinmao has increased by 28.6%, and the annual target has been completed by 90.7%; Zhongjun Group has achieved year-on-year It increased by 62.6% and completed 89.4% of the annual target.
Today (November 14), the data released by the National Bureau of Statistics shows that the sales area of commercial housing in the country increased by 0.1% from January to October this year, and the growth rate turned negative from positive to negative for the first time this year. In this regard, Yan Yuejin said, “In the case of a negative year-on-year growth of 8 months, the indicator turned red for the first time, or for the first time, which shows that the sales end is still tenacity.”
But the sprint mode of the various factions in the camp, the last two months still face the market difficulties of increasing adjustment pressure, the desire of buyers to weaken.
Shanghai Zhongyuan Real Estate Market Analyst Lu Wentao once said in an interview with the reporter of “Daily Economic News”: “These companies that rushed forward to ‘100 billion’ in the past two years may have just crossed ‘100 billion’ at this stage. Threshold, you need to be more cautious at this time. Because the expansion is fierce, the debt ratio is high, and the financing cost is relatively high. So in this case, if the station is unstable in the next two years, it is easy to appear. Accident.”