Gaoguang moment property management service

Editor's Note: Most real estate companies have developed from one province and one region. In the past few years when the property market is in full swing, with aggressive expansion, high debt and high turnover, more and more regional housing enterprises have gone to the whole country, ranking among the front lines and impacting hundreds of billions of sales.

However, some housing enterprises have not kept pace with radical expansion. They either operate conservatively and dig deep into a field; Or stick to quality and spend more time polishing the project, but miss the opportunity to expand.

Sohu finance will choose different regions in the east, south, west, north and middle, and analyze the second-and third-tier real estate enterprises that are usually less concerned, so as to help investors and property buyers make independent judgments.

Regional housing enterprises face many similar problems: the local market is divided by foreign housing enterprises, and it is difficult to expand abroad. Now that the policy is tightening, where will they go?

This article is the second in a series of reports on "Attack or Persistence, the Way for Second-tier Housing Enterprises to Survive".

Click on the homepage of Jiangsu Zhongnan Construction Group Co., Ltd. (hereinafter referred to as Zhongnan Construction), and two numbers come into view one after another-"28" and "3 1". The two figures tell the story of a company's growth from scratch, and now it ranks 18 th among housing enterprises with sales of146.6 billion yuan.

1On February 23rd, 988, Chen Jinshi set out from Haimen Changle with 5,000 yuan and led a team of 28 people to start a business in Dongying, Shandong. From 1997 to 1998, Zhongnan Construction entered the real estate field and developed Nantong CBD；; Since 20 15, the sales of the real estate sector have tripled, from 22.5 billion to146.6 billion ... The rapid development of the construction of Central South China has attracted the attention of the outside world.

However, behind this scenery, along with sales, there is also the amount of external guarantee of Zhongnan Group.

On August 5, Zhongnan Construction announced that in order to meet the needs of the company's business development, the company intends to provide a total of about 2.566 billion yuan in guarantees to 65,438+065,438+0 subsidiaries such as Wanning Zhongnan City Real Estate Development Co., Ltd. that have not been reviewed and provided by the shareholders' meeting.

1 1 among the subsidiaries, except for five newly established companies, which have no financial data for the time being, the remaining six companies all suffered losses and two were insolvent. Just half a month ago, another announcement of Zhongnan Construction showed that the company planned to increase the guarantee amount by 4.3 billion yuan to eight subsidiaries including Linyi Jin Yue Development Co., Ltd.

According to the incomplete statistics of sohu finance, Zhongnan Construction has issued nearly 50 external guarantee announcements in the first half of this year, the number of which is close to 20 18. The latest announcement shows that its accumulated guarantee amount exceeds 60 billion yuan, which is at a high level compared with real estate enterprises of the same scale.

It will take time to alleviate the sequelae caused by the accelerated construction of Central South China.

Zhongnan Construction was listed on the backdoor in 2009, and moved its headquarters to Shanghai on 20 16 and set foot on the fast lane.

20 18, the construction of central south China ushered in a bright moment. The annual report shows that 20 1 1444000 square meters, the company's contracted sales area146100 million yuan, up 32% and 52% respectively year-on-year, entering the 100 billion camp for the first time. According to the data of Ke Rui, the contracted sales of Zhongnan Construction in 20 years 18 ranks18 among listed real estate enterprises.

In addition, in 20 18, the company realized operating income of 40 1. 1 billion yuan, up by 3 1% year-on-year. The net profit attributable to shareholders of listed companies rose sharply, with a year-on-year increase of 265,438+09% to 265,438+0.9 million yuan.

Like most real estate enterprises, in order to expand the scale, Zhongnan Construction set up a project subsidiary to carry out property development in the commercial city. Due to the small scale of subsidiaries and tight liquidity, many subsidiaries need financing guarantee from the parent company to ensure the normal development of the project.

In the past six months, the external guarantee actions of Zhongnan Construction have become more frequent.

In the latest announcement, the actual external guarantee amount of Zhongnan Construction and Holding Subsidiary is about 60.97 billion yuan, accounting for 350.43% of the latest audited shareholders' equity; The amount of guarantee provided by the company and its holding subsidiaries to the units outside the consolidated statement is about 965,438,500 yuan, accounting for 52.79% of the company's latest audited shareholders' equity.

According to the statistics of the subsidiaries of Zhongnan Construction Guarantee, it can be found that the debt ratio of the subsidiaries of Zhongnan Construction Guarantee is mostly above 80%, and many subsidiaries are in a state of loss.

Take the 365,438+0 subsidiary previously guaranteed by Zhongnan Construction as an example. According to sohu finance's incomplete statistics, the asset-liability ratio of most of these subsidiaries is higher than 80%, and eight subsidiaries are insolvent. In the same period, except for 10 subsidiaries which did not disclose relevant revenue data, there were also 16 subsidiaries whose net profit was negative, and 13 subsidiaries whose latest revenue was zero.

Judging from the areas where the guarantee subsidiaries are located, half of them are located in third-and fourth-tier cities around developed areas. Such as Zhuji, Taicang, Meizhou and other places, some companies are startups.

Yan Yuejin, a financial commentator, believes that the parent company has accelerated the frequency of guarantee for third-and fourth-tier subsidiaries, on the one hand, because it has recently acquired more land; On the other hand, due to the pre-cooling of sales in third-and fourth-tier cities, the liquidity of subsidiaries is tight.

Looking back on the construction of Central and South China in the past two years has long been a harbinger of the layout of third-and fourth-tier cities.

Also from 20 16, the headquarters moved to Shanghai, and the construction of Central South China began to speed up in terms of land acquisition.

According to the annual report, in 20 17, there were 98 new construction projects in central and southern China, with the front line extending from Jiangsu, Zhejiang, Shanghai and Shandong to 29 cities including Shenzhen, Ningbo and Zhengzhou, with a planned construction area of 6,543,800 square meters.

After entering 20 18, Zhongnan Construction has accelerated the speed of M&A projects and small and medium-sized housing enterprises. According to the annual report, Zhongnan Construction started new projects 1 1 year, with a total planned construction area of 1595 square meters, and entered Chongqing, Hefei, Shijiazhuang, Wenzhou, Huizhou, Meizhou, Quanzhou and other cities.

By the end of the year, the company had 303 projects under construction, with a total planned area of 28.07 million square meters. The total planned construction area of the project that has not started is 1.5 1.80 m2.

In the first quarterly report, Zhongnan Construction stated that10-March added projects 19, 12, and the planned total construction area1930,000 square meters. Among the newly started projects, the planned construction area of the Yangtze River Delta, the Pearl River Delta and the core cities in the Mainland accounts for more than 85%. Among them, there are many homesteads in Jianggan District of Hangzhou, with a premium of 42.8%. It is reported that the transfer area of the homestead is 65,800 square meters, and the construction area is 15 1400 square meters.

From April to June, the construction of Central South China has been lagging behind the third-tier cities. Most of the new projects are located in small and medium-sized cities such as Zhenjiang, Huai 'an, Nantong, Shaoxing and Jieyang.

According to the statistics of the research report, from June to June this year, Zhongnan Construction Company acquired 27 new real estate projects with a total land acquisition price of 26.910.50 billion yuan, up about 65.438+010.84% year-on-year.

From the perspective of land distribution, most of the soil reserves seized in the construction of central and southern regions in recent years are located in third-and fourth-tier cities.

20 18 annual report shows that among the 43.25 million square meters of project resources that can be completed in the future, the area of first-and second-tier cities accounts for about 39%, and the area of third-and fourth-tier cities accounts for about 6 1%.

This means that in the next few years, there will be a large number of goods sold in third-and fourth-tier cities in the construction of Central South China. Under the background of policy regulation and the cooling of real estate in third-and fourth-tier cities, once the sales of guarantee subsidiaries are blocked, the pressure of "de-chemical" construction in Central South China will be concentrated, which will affect the company's debt level.

Judging from the debt situation of Zhongnan Construction, such concerns are not unreasonable.

At the end of 20 18, the book cash of zhongnan construction was 2041700 million yuan, while the short-term loans and non-current liabilities due within one year were 10687 million yuan and 7.327 billion yuan respectively. Zhongnan Construction said in its annual report that "the company's cash obviously exceeds all interest-bearing liabilities that will be repaid within one year."

Book cash can cover short-term liabilities, and Zhongnan Construction seems to have no debt repayment pressure. However, if we count about 30% of the 20410.7 billion cash of Zhongnan Construction, Zhongnan Construction will be stretched.

At the end of 2065438+2008, the restricted monetary fund used in the construction of Central South China was 71060,000 yuan. After deducting the restricted funds, the company's available cash is13311million yuan.

Zhongnan Construction also intends to reduce the debt ratio. According to the published financial report for the first quarter, the total debt ratio of Zhongnan Construction decreased from 9 1.69% at the end of 20 19 to 9 1.56% at the end of the first quarter of 2019, a decrease of 0. 13 percentage points.

At the end of the first quarter of 20 19, the total interest-bearing liabilities of the company were about 58.26 billion yuan, and the short-term loans and non-current liabilities due within one year were about1320 million yuan. In the same period, the company's total book cash was about 24.42 billion yuan, and the limit was not announced.

In terms of financing, according to incomplete statistics, the financing amount of Zhongnan Construction reached 24.463 billion yuan from June 65438 to May this year, which is a high level among housing enterprises. From June to July, Zhongnan Construction issued another 3.93 billion yuan of bonds, and issued US dollar bills three times at a medium and high interest rate of 10.875%, totaling 500 million US dollars. Some analysts believe that the high interest rate of dollar bills in Zhongnan Construction is related to the excessive amount of external guarantees.

During the three years from 20 16 to 20 18, the sales of construction real estate in Central South China were 50.2 billion yuan, 96.3 billion yuan and146.66 billion yuan respectively, with annual growth rates of 1 19.2 1% and 9.5% respectively.

After crossing the 100 billion mark, Zhongnan Construction set itself a goal-to rush into the first echelon within three to five years. Stimulated by the performance target, the counter-current measures of Central South Construction are understandable.

It is worth noting that of the 27 newly acquired projects in the first half of the year, only 12 project is wholly owned by Zhongnan Construction, and the rest 15 projects are in the form of cooperative development. Under the cooperation mode, Zhongnan Construction has achieved high data with low investment and wide layout, and at the same time shared risks.

According to the sales data of 20 19 in the first half of the year released by Zhongnan Construction, the accumulated contracted sales amount of the company is 811900,000 yuan, up by 24% year-on-year; The cumulative sales area is about 6.46 million square meters, up 24% year-on-year.

On the one hand, it is a dark horse housing enterprise with rising sales, on the other hand, Zhongnan Construction is questioned by the outside world because of its low net profit.

In 20 16 and 20 17, the real estate business income of Zhongnan Construction was 26.983 billion yuan and 224.1300 million yuan respectively, and the gross profit margin was 18.08% and 15.57% respectively. However, its net profit returned to its mother was only 339 million yuan and 603 million yuan, leaving only 367 million yuan and 65.438+0.65438+0 billion yuan after deducting non-income.

In the process of continuing to attack the first echelon, Zhongnan Construction has increased its net profit and placed it in a strategic highland, which can be seen from its equity incentive plan released twice before and after.

At the end of May, Zhongnan Construction announced that it planned to grant about 65.438+38 billion options to the incentive object, accounting for 3.73% of the total share capital. Last August, Zhongnan Construction announced that it granted 2,654,380,600 stock options to 49 incentive targets, accounting for 6.27% of the total share capital.

Zhongnan Construction set the exercise index of the two equity incentive plans as "net profit".

According to the company's announcement in August of 20 18, the equity incentive plan for 20 18 will be exercised in three years, and the performance appraisal requirements are that the net profit for 20 18, 20 19 and 2020 will increase by 240% and 560% respectively compared with that for 20 17.

The planned performance appraisal announced at the end of May this year, based on the previous announcement, requires the net profit growth rate of 202 1 to reach 1408% compared with 20 17.

If the net profit of Zhongnan Construction in 20 17 is 603 million yuan, the net profit of Zhongnan Construction in 202 1 7 needs to reach 8.4 billion yuan to complete the set goal. (Text/Yellow Sea)