SHUI ON LAND(00272)2025-04-23 06:49Financial Performance - For the fiscal year ending December 31, 2024, the company's revenue decreased to HKD 8,959 million from HKD 10,823 million in 2023, representing a decline of approximately 17.2%[8] - The core profit attributable to shareholders for 2024 was HKD 493 million, down from HKD 1,033 million in 2023, indicating a decrease of about 52.3%[8] - The total assets of the company as of December 31, 2024, were RMB 91,938 million, down from RMB 100,998 million in 2023, a decrease of about 8.9%[9] - The net profit attributable to shareholders in 2024 was RMB 180 million, a decrease of 78% from RMB 810 million in 2023[171] - The company's revenue for 2024 decreased by 16% to RMB 8.173 billion, down from RMB 9.752 billion in 2023, primarily due to a 26% drop in confirmed property sales[164] - Property sales in 2024 amounted to RMB 4.356 billion, compared to RMB 5.898 billion in 2023, with significant contributions from Wuhan Tiandi Yunting Phase III, generating RMB 4.138 billion[164] - The total revenue from property sales for the group was RMB 7.962 billion in 2024, compared to RMB 38.565 billion in 2023[122] - The total cash and bank deposits reached RMB 7.734 billion[43] - The financial expenses for 2024 totaled RMB 2.027 billion, down from RMB 2.167 billion in 2023, with interest expenses decreasing by 12% to RMB 2.058 billion[169] Property Sales and Development - The total confirmed property sales (including joint ventures and associates) amounted to RMB 7.962 billion[43] - The company achieved a total contract sales amount of RMB 15.055 billion, including RMB 14.553 billion from residential property sales and RMB 502 million from commercial property sales[120] - Residential property sales accounted for 97% of the total sales in 2024, with an average selling price of RMB 134,900 per square meter, up from RMB 56,700 per square meter in 2023[124] - The company confirmed property sales totaled RMB 7.962 billion in 2024, with an average selling price of RMB 25,500 per square meter, primarily impacted by a reduction in residential property completions[121] - The company has successfully developed and sold approximately 246,000 square meters of residential units in the Panlong Tiandi project from 2019 to 2024, with the last phase recording over 2,000 subscription applications[72] - The company has entered into a partnership with Yongye Group to develop the "Cuihu Tiandi" high-end residential project in the Shanghai Xintiandi community[54] - The company will continue to leverage its existing advantages in the mid-to-high-end market to enhance product competitiveness and brand influence, aiming for growth opportunities in high-quality products[54] Rental and Income Performance - The rental and related income for 2024 was RMB 9,752 million, a decrease from RMB 11,396 million in 2023, reflecting a decline of approximately 14.4%[11] - The overall rental income for 2024 reached RMB 2.456 billion, a 2% increase from RMB 2.398 billion in 2023, primarily driven by additional rental contributions from the opening of Panlong Tiandi[141] - The total rental income, including contributions from joint ventures, is projected to grow by 9% year-on-year to RMB 3.547 billion in 2024, with 77% of this income coming from properties in Shanghai[141] - The rental income from Shanghai Xintiandi reached RMB 488 million in 2024, up 7% from RMB 457 million in 2023, with an occupancy rate of 96%[142] - The rental rates for retail properties and mature office buildings were maintained at 94% and 91% respectively, indicating strong demand and stability in the commercial property sector[48] Sustainability and Environmental Initiatives - The company achieved a 100% renewable energy usage rate in its "Shanghai Xintiandi" and "Nanjing International Financial Center" properties, increasing the group's renewable energy usage rate to 35%[34] - The intensity of Scope 1 and Scope 2 carbon emissions was cumulatively reduced by 51.3% compared to the 2019 baseline, while Scope 3 tenant emissions intensity decreased by 28.1%[34] - The group received the "Climate Change Leadership Award" from CDP in 2024 and was included in the "CDP Climate Change A List," highlighting its leadership in climate governance and information disclosure[51] - The proportion of renewable energy usage in the group's overall operations increased from 20% in 2023 to 35% in 2024, marking significant progress in sustainability efforts[49] Debt Management and Financial Strategy - The company plans to repay USD 493.5 million in senior notes due on August 24, 2024, and USD 490 million due on March 3, 2025, as part of its prudent capital management strategy[29] - The group successfully repaid offshore debts totaling RMB 45.2 billion since 2021, including USD 490 million in senior notes due in March 2025, demonstrating prudent capital management[52] - The company has repaid a total of USD 493.5 million in senior notes as of August 2024, demonstrating its commitment to financial responsibility[112] - The company maintained a net asset liability ratio of 52% as of December 31, 2024, with total cash and bank deposits reaching RMB 7.734 billion[112] Market Conditions and Economic Outlook - The group anticipates ongoing adjustments in the Chinese real estate market due to geopolitical uncertainties, despite signs of recovery in first-tier cities[53] - In 2024, China's GDP growth rate was boosted to 5% due to economic stimulus policies, although the real estate market continued to decline, with a 10.6% drop in real estate investment[188] - The new residential sales and total construction area in China decreased by 17.6% and 14.1% respectively in 2024, but the decline has started to ease in the second half of the year[189] - Shanghai's Grade A office buildings saw a net absorption increase of 24.7% to 476,000 square meters in 2024, driven by demand from upgraded and diversified tenant portfolios[190] Future Plans and Strategic Initiatives - The company plans to continue implementing a "light asset strategy" to expand its business and explore innovative business models[43] - The company aims to actively explore innovative business models to adapt to the complex market environment[54] - The company plans to launch the next batch of villas and townhouses by the end of 2025, depending on construction progress and government approvals[124] - The company plans to continue expanding its asset management services and seek more collaboration opportunities with other organizations[144]