C&D INTL GROUP(01908) 开源证券·2024-08-27 14:49Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has demonstrated stable growth in settlement scale and has improved its sales ranking despite market challenges. The overall operational status remains robust, supported by ample land reserves in core first- and second-tier cities and a significant advantage in financing costs. The profit forecast for 2024-2026 is maintained, with expected net profits of 5.32 billion, 6.45 billion, and 7.83 billion CNY, respectively, corresponding to EPS of 2.89, 3.50, and 4.25 HKD. The current stock price reflects a PE ratio of 4.2, 3.5, and 2.8 for the respective years, indicating a strong performance outlook [3][4]. Financial Performance Summary - In the first half of 2024, the company achieved a revenue of 32.75 billion CNY, a year-on-year increase of 34.5%. The property development revenue reached 31.01 billion CNY, up 36.4%, primarily due to a large settlement volume. The net profit was 817 million CNY, a decrease of 36.4% year-on-year, attributed to a decline in settlement gross margin and increased inventory impairment provisions [3][4]. - The company reported a sales amount of 50.87 billion CNY in the first half of 2024, with a year-on-year decrease of 31.9%. However, it ranked 7th in total sales amount for the first half of 2024, indicating a rise in ranking despite the decline in sales [3][4]. - As of the end of the first half of 2024, the company had a land reserve of approximately 14.45 million square meters, with major holdings in cities like Hangzhou, Shanghai, and Xiamen. The debt structure is healthy, with a debt-to-asset ratio of 79.06% and a net debt ratio of 45.72%. The average financing cost decreased to 3.65% [3][4]. Financial Forecasts - The company’s projected financials for 2024-2026 include: - Revenue: 147.12 billion CNY in 2024, 162.56 billion CNY in 2025, and 176.38 billion CNY in 2026, with year-on-year growth rates of 9.4%, 10.5%, and 8.5% respectively [4][5]. - Net Profit: Expected to be 5.32 billion CNY in 2024, 6.45 billion CNY in 2025, and 7.83 billion CNY in 2026, with growth rates of 22.7%, 21.1%, and 21.4% respectively [4][5]. - EPS: Projected at 2.89 HKD in 2024, 3.50 HKD in 2025, and 4.25 HKD in 2026 [4][5].