Thanks GG for sharing.
These analysts really have so contrast target prices on same financial info 
(15-08-2015, 01:16 PM)greengiraffe Wrote: [ -> ]DB:
Margins saw stabilising signs, but
growth outlook remains soft; Sell
Reuters Bloomberg Exchange Ticker
YNLG.SI YLLG SP SES YNLG
ADR Ticker ISIN
YLDGY US98482L1044
Forecasts And Ratios
Year End Dec 31 2013A 2014A 2015E 2016E 2017E
Sales (CNYm) 11,280.1 11,733.3 12,794.0 14,025.7 15,306.6
EBITDA(CNYm) 3,247.4 2,666.6 3,018.5 3,247.7 3,593.0
Reported NPAT(CNYm) 1,473.8 1,359.4 635.3 690.5 753.5
DB EPS FD (CNY) 0.50 0.25 0.33 0.35 0.39
PER (x) 13.2 21.8 14.1 13.0 11.9
DPS (net) (CNY) 0.01 0.01 0.01 0.01 0.01
Yield (net) (%) 0.2 0.2 0.3 0.3 0.3
Source: Deutsche Bank estimates, company data
Maintain Sell on weak earnings growth despite margins seeing stabilizing trend
________________________________________________________________________________________________________________
Deutsche Bank AG/Hong Kong
Deutsche Bank does and seeks to do business with companies covered in its research reports. Thus, investors should
be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should
consider this report as only a single factor in making their investment decision. DISCLOSURES AND ANALYST
CERTIFICATIONS ARE LOCATED IN APPENDIX 1. MCI (P) 124/04/2015.
Price at 13 Aug 2015 (SGD) 1.00
Price target - 12mth (SGD) 0.80
52-week range (SGD) 1.30 - 0.91
Straits Times Index 3,061
Jason Ching, CFA
Research Analyst
(+852) 2203 6205
jason.ching@db.com
Tony Tsang
Research Analyst
(+852) 2203 6256
tony.tsang@db.com
Price/price relative
0.9
1.05
1.2
1.35
1.5
8/13 2/14 8/14 2/15
Yanlord Land
Straits Times Index (Rebased)
Performance (%) 1m 3m 12m
Absolute -3.8 -16.0 -16.3
Straits Times Index -7.5 -11.3 -7.3
Source: Deutsche Bank
In our view, a key highlight in 1H15 was the 155% YoY increase in contracted
sales achieved, boosted by the strong recovery in upgrading demand following
the various policy relaxations. However, while gross margin saw a marked
recovery in 1H15, it was merely driven by bookings of a few high-margin
projects, and it could be difficult to sustain given land prices are rising at a
faster pace than ASP. Hence, we believe earnings growth is still being capped
by its slow acquisition pace in recent years. Moreover, in our opinion, current
valuation is not attractive, with shares trading at 14x/13x 2015E/16E PER
versus the industry average of 9x/8x. Maintain Sell.
Core profit in 1H15 -74% YoY to Rmb37mn; dragged by lower JV projects
Yanlord reported 1H15 revenue of Rmb3,350mn (+2% YoY), driven mostly by
higher delivery ASP at Rmb25,461/sqm (+9.6% YoY) on bookings of highmargin
projects including Yanlord Yangtze Riverbay Town in Nangjin. GFA
delivery actually declined by 8% YoY to 116,061 sqm. Meanwhile, gross
margin saw a marked recovery of 6.2 percentage points to 37.3%. However,
core net profit was down a sharp 74% YoY to just Rmb37mn, dragged by a
66% YoY decline in contribution from JV and a 76% YoY increase in minority
interests. No interim dividend was declared in 2015 (nil in 2014).
Financial position remains solid; net gearing declined to 39% as of mid-2015
As of mid-2015, total gross debt stood at Rmb19,514mn (down slightly from
Rmb19,806mn at end-2014) and cash on hand was Rmb8,030mn (+21% from
Rmb6,620mn at end-2014). The stronger financial position was boosted by
robust contracted sales in 1H15, with approximately Rmb9bn in cash proceeds
received. Net gearing improved to 39% as of mid-2015 from 45% at end-2014,
being one of the lowest among privately owned peers. Meanwhile, average
funding costs stood at 6.5% for onshore loans and 4.9% for offshore loans.
Target price at a 50% discount to our NAV estimate of S$1.6/share
Our target price is based on a 50% discount to our NAV estimate of
S$1.6/share, implying a 2015E/16E PER of 12x/11x. This discount is higher
than most comparable peers’, such as KWG, with similar scale and strategies,
which we believe is appropriate; it reflects Yanlord’s soft outlook in terms of
earnings growth. Key upside risks: acceleration in asset turnover and strong
market recovery leading to surging ASP.
Nomura:
Maintain Reduce with TP raised to SGD0.91
Poor interim results, but improving fundamentals; valuation remains expensive
Strong sales continue in 2H; likely to beat full-year sales target with abundant saleable resources
Global Markets Research
Rating
Remains
Reduce
Target price
Increased from 0.89
SGD 0.91
Closing price
13 August 2015
SGD 1.00
Potential downside
-9%
Anchor themes
We expect big developers to maintain ~15% y-y property sales growth in 2015F, vs. 5-10% for the broader sector. We expect valuation expansion due to supportive policy/credit relaxation, and improving balance sheets with slower growth targets.
Nomura vs consensus
Our FY15F/16F core EPS estimates are higher than consensus.
Research analysts
China Property
Stephen Cheung, CFA - NIHK
stephen.cheung@nomura.com
+852 2252 1559
Jeffrey Gao, CFA - NIHK
jeffrey.gao@nomura.com
+852 2252 1569
Elly Chen - NIHK
elly.chen@nomura.com
+852 2252 2181
Yanlord achieved CNY12.9bn contracted sales in 7M15 (+168% y-y, implies 72% completion of its CNY18bn full-year sales target). Adding the CNY2.3bn subscription sales from Nanjing Yangtze Riverbay Town – Phase 4 (???????) launched in early August, we believe Yanlord is likely to beat its sales target, considering there are at least CNY20bn of saleable resources for 2H, mostly from Shanghai and Nanjing projects.
More land acquisitions in 2H needed to sustain current strong growth
Yanlord did not acquire any projects in 7M15 although management has budgeted a total of CNY4-5bn for land acquisitions in the existing cities to fuel the company’s growth. Considering Yanlord has only acquired two plots in Nanjing and Suzhou in FY13-14, we believe its current land bank can only support low-teen sales growth in FY16-17F.
Disappointing 1H15 results but gearing and gross margin improved
Yanlord reported disappointing 1H15 results, with revenue up 2% y-y to CNY3.4bn and core profit down 41% y-y to CNY120mn, mainly due to less profit sharing of JV projects and larger share of minority interests. Gross margin improved to 37.3% from 29.2%/31.1% in FY14/1H14 (mainly due to the delivery of the high-margin project in Nanjing, which accounts for 56.9% of 1H15 property sales revenue). Net gearing on attributable equity also reduced to 60% from 69% in end-FY14, with completed inventory declining 8.6%.
Maintain Reduce, but raise TP to SGD0.91; valuation remains expensive
We cut our FY15-17F earnings by 0-7%, but raise TP to SGD0.91 (based on a 50% discount to end-FY15F NAV of SGD1.82), after factoring in the 1H15 results, increase in ASP growth assumption to 10% from 5% for T1 cities, and lower WACC for loosened credit. However, we maintain Reduce rating on Yanlord in view of its vague growth outlook and relatively expensive valuation compared to other small caps (5.7x FY16F P/E vs. peers at 4.2x).
GS:
Yanlord Land (YNLG.SI)
Buy Equity Research
Above expectations on sell-through rate; raise 2015E contract sales 25%
What surprised us
Yanlord’s 2Q15 underlying profit (excluding revaluation gain) of
Rmb171mn is substantially improved from net loss of Rmb79mn in 1Q15
and Rmb15mn in 2Q14. Highlights: 1) The strong yoy profit growth is
partly due to Rmb59mn FX gain recorded during 2Q15 vs. only Rmb5mn in
2Q14; 2) GPM of 35% is also better than 25% in 2Q14, thanks to higher
contribution from Shanghai projects. But on qoq basis, ASP booked during
the period is 7% lower (except Suzhou Lakeview Bay A2 parcel that is 8%
higher), which led to 8pp drop in GPM from the 1Q level; 3) For contracted
sales, not only ASP in general is 10% higher for Shanghai projects but also
the run-rate up to July is already 72% of its full-year target of Rmb18bn vs.
our coverage avg. of 50%, on the back of 70%-80% sell-through rate in 1H;
4) Net gearing lowered to 39% by end-2Q15 from 46% in 1Q15 and mgmt.
expects the ratio will be contained within 50% before the year-end, with no
more than Rmb5bn new land acquisition before the year-end.
What to do with the stock
We reiterate our Buy rating on the company as we believe strong
Shanghai and Nanjing property markets will benefit the company as the
two markets contribute almost 60% of its sales this year. We revise up our
2015E contract sales estimate by 25% to Rmb20bn and correspondingly
raise our 2015E-2017E underlying EPS by 2%-5% and our end-2015E NAV/
12-m NAV-based target price by 6% each to S$2.5/S$1.7 (still at 30% NAV
discount). Key risks: Unexpected strong sales performance/policy easing in
high-end market.
Macquarie:
Yanlord
The best is yet to come
Event
YANL surprised investors earlier this year with an ambitious sales target of
Rmb18bn, representing 40% YoY growth, versus peers at only 7%. This led to
our upgrade from Underperform to Outperform (The forgotten developer 17
April 2015). It surprised us again with 1H15 sales of Rmb11bn, representing
156% YoY growth and 61% achievement rate of its full-year target, one of the
highest among peers. We expect the company to surprise the street once
more time later this year to exceed it sales target significantly, due to strong
sales in almost all of its cities: Shanghai, Nanjing, Tianjin and Shenzhen. We
reiterate our Outperform rating on the stock.
We now expect contracted sales of Rmb23bn for 2015, versus our previous
target of Rmb17bn. We also revise our 2016 and 2017 sales to Rmb23bn and
Rmb23bn from Rmb22bn and Rmb24bn, respectively. On August 8, despite
stock market volatilities, a new phase of Nanjing Yangtze Riverbay Town
achieved Rmb2.4bn sales on the first day of launch at a high price of
Rmb35k psm. This shows that market sentiment remains very strong and
YANL continue command both volume and premium for its quality products.
Impact
The company has abundant and enviable saleable resources in Shanghai and
Nanjing to support sales next two years, but a lack of material acquisition last
two years and an improving balance sheet should allow YANL to the land
market. Management has purchased overly expensive land in the past and is
not too stringent in cost control. On the other hand, its quality products
continue to command premium pricing, but only in T1 or top T2 cities. Thus,
further stock catalysts should be land bank replenishment at reasonable cost
in Shanghai, Nanjing, Tianjin and Shenzhen.
At the current exchange rate, the two offshore senior notes incurred
Rmb384m interest expenses per year. Assuming net margin of 8% and
contracted sales of Rmb23bn, every 5% swing in exchange rate can result in
1% impact on net cash earnings. NAV impact should be mainly translational.
Earnings and target price revision
We revise up the selling price of several projects based on their latest launch
price and speed up their sales. Gross margin increases by about one
percentage point for next three years. As a result, 2015F earnings increase by
11% and 2016F earnings increase by 16%. This led to NAV increase by 8% to
S$1.57 and TP increase by 1% to S$1.22.
Price catalyst
12-month price target: S$1.22 based on a DCF methodology.
Catalyst: strong sales in 2H
Action and recommendation
We continue to favour T1/2 cities, which will be most sensitive to credit easing
and continued improvement in market sentiment. The best project to launch
will be Shanghai Yanlord on the Park in Pudong, which will likely surprise the
market in terms of both sales and selling price.
Just treat analysts as consultants
(15-08-2015, 04:10 PM)cfa Wrote: [ -> ]Thanks GG for sharing.
These analysts really have so contrast target prices on same financial info
(15-08-2015, 01:16 PM)greengiraffe Wrote: [ -> ]DB:
Margins saw stabilising signs, but
growth outlook remains soft; Sell
Reuters Bloomberg Exchange Ticker
YNLG.SI YLLG SP SES YNLG
ADR Ticker ISIN
YLDGY US98482L1044
Forecasts And Ratios
Year End Dec 31 2013A 2014A 2015E 2016E 2017E
Sales (CNYm) 11,280.1 11,733.3 12,794.0 14,025.7 15,306.6
EBITDA(CNYm) 3,247.4 2,666.6 3,018.5 3,247.7 3,593.0
Reported NPAT(CNYm) 1,473.8 1,359.4 635.3 690.5 753.5
DB EPS FD (CNY) 0.50 0.25 0.33 0.35 0.39
PER (x) 13.2 21.8 14.1 13.0 11.9
DPS (net) (CNY) 0.01 0.01 0.01 0.01 0.01
Yield (net) (%) 0.2 0.2 0.3 0.3 0.3
Source: Deutsche Bank estimates, company data
Maintain Sell on weak earnings growth despite margins seeing stabilizing trend
________________________________________________________________________________________________________________
Deutsche Bank AG/Hong Kong
Deutsche Bank does and seeks to do business with companies covered in its research reports. Thus, investors should
be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should
consider this report as only a single factor in making their investment decision. DISCLOSURES AND ANALYST
CERTIFICATIONS ARE LOCATED IN APPENDIX 1. MCI (P) 124/04/2015.
Price at 13 Aug 2015 (SGD) 1.00
Price target - 12mth (SGD) 0.80
52-week range (SGD) 1.30 - 0.91
Straits Times Index 3,061
Jason Ching, CFA
Research Analyst
(+852) 2203 6205
jason.ching@db.com
Tony Tsang
Research Analyst
(+852) 2203 6256
tony.tsang@db.com
Price/price relative
0.9
1.05
1.2
1.35
1.5
8/13 2/14 8/14 2/15
Yanlord Land
Straits Times Index (Rebased)
Performance (%) 1m 3m 12m
Absolute -3.8 -16.0 -16.3
Straits Times Index -7.5 -11.3 -7.3
Source: Deutsche Bank
In our view, a key highlight in 1H15 was the 155% YoY increase in contracted
sales achieved, boosted by the strong recovery in upgrading demand following
the various policy relaxations. However, while gross margin saw a marked
recovery in 1H15, it was merely driven by bookings of a few high-margin
projects, and it could be difficult to sustain given land prices are rising at a
faster pace than ASP. Hence, we believe earnings growth is still being capped
by its slow acquisition pace in recent years. Moreover, in our opinion, current
valuation is not attractive, with shares trading at 14x/13x 2015E/16E PER
versus the industry average of 9x/8x. Maintain Sell.
Core profit in 1H15 -74% YoY to Rmb37mn; dragged by lower JV projects
Yanlord reported 1H15 revenue of Rmb3,350mn (+2% YoY), driven mostly by
higher delivery ASP at Rmb25,461/sqm (+9.6% YoY) on bookings of highmargin
projects including Yanlord Yangtze Riverbay Town in Nangjin. GFA
delivery actually declined by 8% YoY to 116,061 sqm. Meanwhile, gross
margin saw a marked recovery of 6.2 percentage points to 37.3%. However,
core net profit was down a sharp 74% YoY to just Rmb37mn, dragged by a
66% YoY decline in contribution from JV and a 76% YoY increase in minority
interests. No interim dividend was declared in 2015 (nil in 2014).
Financial position remains solid; net gearing declined to 39% as of mid-2015
As of mid-2015, total gross debt stood at Rmb19,514mn (down slightly from
Rmb19,806mn at end-2014) and cash on hand was Rmb8,030mn (+21% from
Rmb6,620mn at end-2014). The stronger financial position was boosted by
robust contracted sales in 1H15, with approximately Rmb9bn in cash proceeds
received. Net gearing improved to 39% as of mid-2015 from 45% at end-2014,
being one of the lowest among privately owned peers. Meanwhile, average
funding costs stood at 6.5% for onshore loans and 4.9% for offshore loans.
Target price at a 50% discount to our NAV estimate of S$1.6/share
Our target price is based on a 50% discount to our NAV estimate of
S$1.6/share, implying a 2015E/16E PER of 12x/11x. This discount is higher
than most comparable peers’, such as KWG, with similar scale and strategies,
which we believe is appropriate; it reflects Yanlord’s soft outlook in terms of
earnings growth. Key upside risks: acceleration in asset turnover and strong
market recovery leading to surging ASP.
Nomura:
Maintain Reduce with TP raised to SGD0.91
Poor interim results, but improving fundamentals; valuation remains expensive
Strong sales continue in 2H; likely to beat full-year sales target with abundant saleable resources
Global Markets Research
Rating
Remains
Reduce
Target price
Increased from 0.89
SGD 0.91
Closing price
13 August 2015
SGD 1.00
Potential downside
-9%
Anchor themes
We expect big developers to maintain ~15% y-y property sales growth in 2015F, vs. 5-10% for the broader sector. We expect valuation expansion due to supportive policy/credit relaxation, and improving balance sheets with slower growth targets.
Nomura vs consensus
Our FY15F/16F core EPS estimates are higher than consensus.
Research analysts
China Property
Stephen Cheung, CFA - NIHK
stephen.cheung@nomura.com
+852 2252 1559
Jeffrey Gao, CFA - NIHK
jeffrey.gao@nomura.com
+852 2252 1569
Elly Chen - NIHK
elly.chen@nomura.com
+852 2252 2181
Yanlord achieved CNY12.9bn contracted sales in 7M15 (+168% y-y, implies 72% completion of its CNY18bn full-year sales target). Adding the CNY2.3bn subscription sales from Nanjing Yangtze Riverbay Town – Phase 4 (???????) launched in early August, we believe Yanlord is likely to beat its sales target, considering there are at least CNY20bn of saleable resources for 2H, mostly from Shanghai and Nanjing projects.
More land acquisitions in 2H needed to sustain current strong growth
Yanlord did not acquire any projects in 7M15 although management has budgeted a total of CNY4-5bn for land acquisitions in the existing cities to fuel the company’s growth. Considering Yanlord has only acquired two plots in Nanjing and Suzhou in FY13-14, we believe its current land bank can only support low-teen sales growth in FY16-17F.
Disappointing 1H15 results but gearing and gross margin improved
Yanlord reported disappointing 1H15 results, with revenue up 2% y-y to CNY3.4bn and core profit down 41% y-y to CNY120mn, mainly due to less profit sharing of JV projects and larger share of minority interests. Gross margin improved to 37.3% from 29.2%/31.1% in FY14/1H14 (mainly due to the delivery of the high-margin project in Nanjing, which accounts for 56.9% of 1H15 property sales revenue). Net gearing on attributable equity also reduced to 60% from 69% in end-FY14, with completed inventory declining 8.6%.
Maintain Reduce, but raise TP to SGD0.91; valuation remains expensive
We cut our FY15-17F earnings by 0-7%, but raise TP to SGD0.91 (based on a 50% discount to end-FY15F NAV of SGD1.82), after factoring in the 1H15 results, increase in ASP growth assumption to 10% from 5% for T1 cities, and lower WACC for loosened credit. However, we maintain Reduce rating on Yanlord in view of its vague growth outlook and relatively expensive valuation compared to other small caps (5.7x FY16F P/E vs. peers at 4.2x).
GS:
Yanlord Land (YNLG.SI)
Buy Equity Research
Above expectations on sell-through rate; raise 2015E contract sales 25%
What surprised us
Yanlord’s 2Q15 underlying profit (excluding revaluation gain) of
Rmb171mn is substantially improved from net loss of Rmb79mn in 1Q15
and Rmb15mn in 2Q14. Highlights: 1) The strong yoy profit growth is
partly due to Rmb59mn FX gain recorded during 2Q15 vs. only Rmb5mn in
2Q14; 2) GPM of 35% is also better than 25% in 2Q14, thanks to higher
contribution from Shanghai projects. But on qoq basis, ASP booked during
the period is 7% lower (except Suzhou Lakeview Bay A2 parcel that is 8%
higher), which led to 8pp drop in GPM from the 1Q level; 3) For contracted
sales, not only ASP in general is 10% higher for Shanghai projects but also
the run-rate up to July is already 72% of its full-year target of Rmb18bn vs.
our coverage avg. of 50%, on the back of 70%-80% sell-through rate in 1H;
4) Net gearing lowered to 39% by end-2Q15 from 46% in 1Q15 and mgmt.
expects the ratio will be contained within 50% before the year-end, with no
more than Rmb5bn new land acquisition before the year-end.
What to do with the stock
We reiterate our Buy rating on the company as we believe strong
Shanghai and Nanjing property markets will benefit the company as the
two markets contribute almost 60% of its sales this year. We revise up our
2015E contract sales estimate by 25% to Rmb20bn and correspondingly
raise our 2015E-2017E underlying EPS by 2%-5% and our end-2015E NAV/
12-m NAV-based target price by 6% each to S$2.5/S$1.7 (still at 30% NAV
discount). Key risks: Unexpected strong sales performance/policy easing in
high-end market.
Macquarie:
Yanlord
The best is yet to come
Event
YANL surprised investors earlier this year with an ambitious sales target of
Rmb18bn, representing 40% YoY growth, versus peers at only 7%. This led to
our upgrade from Underperform to Outperform (The forgotten developer 17
April 2015). It surprised us again with 1H15 sales of Rmb11bn, representing
156% YoY growth and 61% achievement rate of its full-year target, one of the
highest among peers. We expect the company to surprise the street once
more time later this year to exceed it sales target significantly, due to strong
sales in almost all of its cities: Shanghai, Nanjing, Tianjin and Shenzhen. We
reiterate our Outperform rating on the stock.
We now expect contracted sales of Rmb23bn for 2015, versus our previous
target of Rmb17bn. We also revise our 2016 and 2017 sales to Rmb23bn and
Rmb23bn from Rmb22bn and Rmb24bn, respectively. On August 8, despite
stock market volatilities, a new phase of Nanjing Yangtze Riverbay Town
achieved Rmb2.4bn sales on the first day of launch at a high price of
Rmb35k psm. This shows that market sentiment remains very strong and
YANL continue command both volume and premium for its quality products.
Impact
The company has abundant and enviable saleable resources in Shanghai and
Nanjing to support sales next two years, but a lack of material acquisition last
two years and an improving balance sheet should allow YANL to the land
market. Management has purchased overly expensive land in the past and is
not too stringent in cost control. On the other hand, its quality products
continue to command premium pricing, but only in T1 or top T2 cities. Thus,
further stock catalysts should be land bank replenishment at reasonable cost
in Shanghai, Nanjing, Tianjin and Shenzhen.
At the current exchange rate, the two offshore senior notes incurred
Rmb384m interest expenses per year. Assuming net margin of 8% and
contracted sales of Rmb23bn, every 5% swing in exchange rate can result in
1% impact on net cash earnings. NAV impact should be mainly translational.
Earnings and target price revision
We revise up the selling price of several projects based on their latest launch
price and speed up their sales. Gross margin increases by about one
percentage point for next three years. As a result, 2015F earnings increase by
11% and 2016F earnings increase by 16%. This led to NAV increase by 8% to
S$1.57 and TP increase by 1% to S$1.22.
Price catalyst
12-month price target: S$1.22 based on a DCF methodology.
Catalyst: strong sales in 2H
Action and recommendation
We continue to favour T1/2 cities, which will be most sensitive to credit easing
and continued improvement in market sentiment. The best project to launch
will be Shanghai Yanlord on the Park in Pudong, which will likely surprise the
market in terms of both sales and selling price.
Recent purchases by Chairman Zhong SJ in year 2015 :
1) 03 March:30,000 shares @0.91
2) 04 March:896,000 shares @0.9514
3) 05 March : 378,000 shares @0.986
4) 17 March : 2,000,000 shares @ 0.94
5) 26 March 364,600 shares @ 0.9597
6) 29 July 50,000 @0.985
7) 13 Aug 500,000 shares @0.9994
Home prices climb in more cities
By Cherry Cao | August 19, 2015, Wednesday | Print Edition
THE number of Chinese cities where home prices have risen month on month continued to climb in July, according to data released yesterday by the National Bureau of Statistics.
Across the country, 31 cities saw month-on-month rise in new home prices, an increase of four from June, said the bureau, which monitors home prices in 70 cities. Twenty-nine cities saw prices fall while the rest 10 saw prices flat from a month ago.
“For the first time in 15 months, the number of cities recording monthly price increases exceeded those registering declines, indicating a continuing recovery in the housing market around the country,” said Lu Qilin, director of research at Shanghai Homelink Real Estate Agency Co.
“However, differences continued to exist in different-sized cities with home prices in most third and fourth-tier ones still dropping from a month ago.”
Shenzhen in Guangdong Province saw a month-on-month growth of 6.3 percent, the biggest increase among all cities. It was followed by Shanghai’s 1.9 percent gain, Beijing’s 1.4 percent rise and Guangzhou’s 1.2 percent increase, according to the bureau’s data.
In the pre-owned home market, 39 cities posted price gains from a month earlier, down by three from June. Prices in 13 cities were flat while another 18 suffered decline, compared with eight and 20, respectively, in the previous month.
The average home price in the 70 cities rose more slowly in July, or down by 0.2 percentage points for new properties compared with June’s growth and by 0.1 percentage points for pre-owned homes, said Liu Jianwei, a senior statistician at the bureau, without giving specific growth figures.
Backed by robust residential sales around the country over the past few months, China’s property market has bottomed out from a downturn after several stimulus policies launched by the central and local governments since late last year began to take effect.
Real Estate
Administrative expenses
Administrative expenses mainly comprised of staff costs, utilities, entertainment expenses, professional fees, other taxes, rental, depreciation, bank charges and net foreign exchange effect. Excluding net foreign exchange losses of RMB194 million in 3Q 2015 and RMB231 million in 9M 2015, administrative expenses increased by 5.7% to RMB108 million in 3Q 2015 and by 7.1% to RMB370 million in 9M 2015 as compared to RMB102 million in 3Q 2014 and RMB346 million in 9M 2014 respectively, primarily due to an increase in staff cost. Other contributors to the increase in......
GG , could you understand why YL keeps having foreign exchange losses ? Thanks.
cfa, the answer is in the same section of yr extract. The losses are due to US$ loans. US$ is appreciating nowadays.
Most china property companies shd be benefiting from the recovered mkt in tier 1 cities. Yanlord is not an exception.
(11-11-2015, 08:11 PM)thinknotleft Wrote: [ -> ]cfa, the answer is in the same section of yr extract. The losses are due to US$ loans. US$ is appreciating nowadays.
Most china property companies shd be benefiting from the recovered mkt in tier 1 cities. Yanlord is not an exception.
Hi
thinknotleft ,
Many thanks for your reply . YL make from property developments but lost in exchange , rather meaningless ?
It's pick yr poison. US$ loans usually hv lower interest rate than rmb loans but carries currency risk i.e. losses when US$ appreciates.