Guangming Real Estate (600708): Performance-controlled settlement structure accelerates multiple layouts

event.

The company announced its semi-annual report for 2019.

At the core of the report, the company achieved operating income of 73.

19 ppm, an increase of 13 per year.

72%; Net profit attributable to shareholders of listed companies.

30,000 yuan, a reduction of 39 every year.

71%; realized basic profit income of 0.

20 yuan (attributable to the mother’s net profit of 5.

03 Net profit after the current interest rate of the company’s perpetual debt of $ 1 billion divided by the latest total equity).

In the first half of 2019, driven by the increase in the sales area of the main property business, the company’s revenue increased13.

At the same time, due to factors such as the structure of products sold, the company’s net profit attributable to its mother decreased by 39.

71%.

According to the company’s 2019 semi-annual report, in the first half of 2019, the company added 122 new real estate reserves.

910,000 square meters, an increase of 61 in ten years.

53%.

In the first half of 2019, the company continued to optimize the compensation structure and reduce financial costs through the issuance of asset-backed securities (ABS), perpetual medium-term notes, medium-term notes, and cold chain warehousing and logistics asset support special plans for housing purchases.Funding of 4.2 billion.

In the first half of 2019, the company further accelerated its strategic transformation through the layout of rental housing construction and the construction of historic towns.

According to the company’s announcement on August 27, in the first half of 2019, the company’s newly started area was 303.

300,000 square meters, an annual increase of 52.

64%; the company’s completed area is 66.

380,000 square meters, an annual increase of 311.

28%.

In the first half of 2019, the company’s contracted area was 81.

660,000 square meters, a decline of 23 per year.

69%; the company’s contract amount is 105.

35 ppm, a decrease of 22 per year.

51%.

As of June 30, 2019, the company’s total leased real estate area was 36.

620,000 square meters.

From January to June 2019, the company’s total rental income was zero.

6.5 billion.

Investment Advice.

Real estate and cold chain logistics are two-wheel drive, with a “continuous market” rating.

The company’s 合肥夜网 main business is comprehensive real estate development and operation, and the logistics industry chain. It is a large-scale comprehensive integrated group company that integrates property development, construction, real estate, cold chain logistics and industrial chain.

In real estate development and operation, the company adheres to the guidelines of “intensive cultivation of key first-tier cities, deep cultivation of energy-efficient second-tier cities, the Yangtze River Delta metropolitan area and other key cities”.

The company’s cold chain logistics industrial chain business has a breakthrough-scale bonded room and a cold chain logistics park in Yangshan Free Trade Zone and Dahongqiao.

The company has always had third-party logistics service capabilities in cold chain logistics, bonded supply chain logistics, and urban 天津夜网 cold chain distribution.

We expect the company’s EPS for 2019-2020 to be 0.62 yuan and 0.

74 yuan, giving the company 8-10 times dynamic PE in 2019, corresponding to a reasonable value range of 4.

96-6.

20 yuan, maintaining the company’s “primary market” rating.

Risk reminder: the risk of policy constraints faced by the company’s development projects, and the risk of logistics business being vulnerable to economic losses.