China Merchants Shekou (001979) June 2019 sales data review: sales continued to increase and the intensity of land acquisition has improved

China Merchants Shekou (001979) June 2019 sales data review: sales continued to increase and the intensity of land acquisition has improved

Key points of the report Description From January to June 2019, the company gradually realized a contracted sales area of 515.

230,000 square meters, an increase of 43 every year.

77%; the contracted sales amount will gradually reach 1011.

92 ppm, an increase of 34 per year.

75%.

Event comment sales continued to grow rapidly.

In June 2019, the company realized a contracted sales area of 148.

250,000 square meters, an increase of 48 each year.

74%; the contracted sales amount reached 283.

09 million yuan, an increase of 22 every year.

13%.

From January to June 2019, the company gradually realized a contracted sales area of 515.

230,000 square meters, an increase of 43 every year.

77%; the contracted sales amount will gradually reach 1011.

92 ppm, an increase of 34 per year.

75%, sales achieved rapid growth.

Benefiting from the continued warming of the first- and second-tier real estate markets, the company’s sales are expected to continue to grow in the second half of the year.

The ground holding strength has increased.

In June 2019, the company focused on Wuhan, Zhengzhou, Tianjin, Chengdu and other core second-tier core cities, with a land area of about 580,000 square meters and a total land price of about 4.5 billion yuan.

From January to June 2019, the company acquired a total of about 3.83 million square meters of land and a total land price of about 35.8 billion yuan. The average land price was 9352 yuan / square meter.For 47.

61%, with a 0-May drop in score.

91 units.

We believe that while the company continues to cultivate the core cities, the land cost is effectively controlled, and future profitability will help maintain stability.

The advantages of financing costs are prominent.

In July 2019, the company issued 2019 corporate bonds (second instalment), including two varieties.

Among them, the term of variety 1 is 5 years, and the basic issue scale is 2.

5ppm, interest rate range is 3.

7% -4.

7%; Variety 2 has a term of 3 years and the basic issue size is 2.

50,000 yuan, 3.

3% -4.

3%.

Since the beginning of 2019, the coupon rate of corporate bonds has stabilized within 5%, and the advantages of financing costs have been highlighted.

Investment suggestion: Sales continue to increase rapidly, land acquisition intensity has improved, and “Buy” rating is maintained.

In the first half of 20成都桑拿网19, the company’s sales continued to grow rapidly, with excessive land reserves.

The company deeply cultivates the Guangdong-Hong Kong-Macao Greater Bay Area. By actively integrating the soil storage resources, its performance is expected to continue its growth trend.

It is estimated that the EPS in 2019 and 2020 will be about 2 respectively.

40 yuan, 2.97 yuan, corresponding to the current sustainable PE is 9 respectively.

1x, 7.

3x, maintain “Buy” rating.

Risk Warning: 1.

The liquidity environment may be uncertain, or it may affect the company’s sales or financing end; 2.

The adjustment policy of the real estate business may have uncertainties or have an impact on the company’s operations.

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