(EQS-News / 28/08/2015 / 11:02 UTC+8)
[For Immediate Release]
Shenzhen Investment Announces 2015 Interim Results
Core Profit Surges 184.8%
Contracted Sales for the Full Year Completed in the First Seven Months
(27 August 2015 - Hong Kong) Shenzhen Investment Limited ("SZI" or the
"Group", SEHK stock code: 604.HK) is pleased to announce its unaudited
interim results for the six months ended June 2015 (the "Period" or
"1H2015").
In 1H2015, driven by picking-up of housing demand and capital markets, the
real estate market recovery is strong in China's major cities. Both the
trading volumes and prices have increased significantly. The Group promptly
grasped this market opportunity to firmly implement the strategy of
"intensifying the development in Shenzhen" and achieved desired sales
results, realizing accelerated development.
Highlights
- In 1H2015, the Group achieved a turnover of HK$6,279.1 million,
representing a substantial increase of 47.5% over the same period of
last year; profit attributable to the owners of the Company amounted to
HK$984.7 million, representing an increase of 3.1% over the same period
of last year;
- During the period under review, core profit (excluding the net effect
of the changes in fair value of investment properties attributable to
the Group and one-time gain on disposal of a subsidiary at the same
period of last year) amounted to HK$437.3 million, representing a
substantial increase of 184.8% over the same period of last year;
- In 1H2015, the gross profit margin of the Group as a whole was 34.0%,
representing an increase of 9.8 percentage points over the same period
of last year; the gross profit margin of property development and sales
was recorded 36.6%, representing an increase of 12.6 percentage points
over the same period of last year;
- During the first seven months of 2015, completed RMB11.15 billion
contracted sales, representing a year-on-year increase of 195%, and
completed its target contracted sales for the full year ahead of
schedule;
- As at 30 June 2015, cash on hand (including pledged deposits and
restricted cash) of HK$15,022 million; net gearing ratio (including all
the liabilities carrying interest) at 59.0%, representing a decrease of
20.9 percentage points over the same period of last year;
- The Board has declared 2015 interim dividend of HK3.00 cents per share
to be paid in cash.
Outlook
Mr. Lu Hua, Chairman of Shenzhen Investment said, "In recent years, the
differentiation of the real estate industry has been accelerating. Region
and product differentiation is increasingly evident. The value of the
assets in the core location of the first-tier cities is gradually becoming
prominent. As the capital of innovation of China, Shenzhen's
entrepreneurial atmosphere is strong and very attractive to the foreign
population. In a few consecutive years, it maintains a net inflow of
population. At present, it has a population of close to 20 million, with an
average age of 30 years, and a higher real estate demand and spending
ability than other cities in China. The Group is firmly optimistic about
the long-term development prospect of the real estate market in Shenzhen.
"We will continue to firmly implement the Company's strategy of
"intensifying the development in Shenzhen", to continue to expand the land
reserves in Shenzhen by the asset injection from the parent company,
Shenzhen's urban renewal project and the cooperation with state-owned
companies, such as Shenzhen Metro Group.
Mr. Lu Hua said, "Both China's economy and real estate industry are coming
through an important transformation. Facing the external adjustment, the
Group will focus on developing its main business, meanwhile, make a good
preparation for the transformation. The Group has formulated the strategy
of transformation from the development model focusing on the development
and sales to the development model of development, sales, holding and
operation. We will maintain a steady growth in the scale of the development
and sales, meanwhile, increase quality investment properties, implement
"intensive and meticulous cultivation" and operate efficiently, to strive
to achieve property appreciation and steady increase in the rental
contribution. Having many years of practice, the Group has laid a solid
foundation in the development of asset light business with operation and
service as the core, and has had broad resources. In the future, the Group
will integrate resources, exploit its advantages and actively build its
three major operation service centers, i.e., wisdom industrial park
operating platform, residential property service platform, and commercial
management and operation platform. Through building a unified product and
service platform and applying internet tools, the Group will focus on
providing customers with value-added services, such as government affairs,
business, E-business and community finance service, to improve the
operation level and operation income, and promote the development of the
asset-light business with operation and service as the core."
"We believe that through unremitting efforts, the Group will be able to
continue to make considerable progress in scale expansion, value
enhancement, transformation and upgrading, and constantly consolidate its
leading position in Shenzhen's real estate market to create continuously
greater value and provide better return for shareholders."
-END-
For latest news about Shenzhen Investment, please go to the official
website (www.shenzheninvestment.com)
For enquiry, please contact:
Shenzhen Investment Limited Financial PR (HK) Ltd.
Nicole Zhou zhouq@shumyip.com.hk Dawn Lee dawnlee@financialpr.hk
Canace Xie canacexie@financialpr.hk
Tel: (852) 2312 8746 Tel: (852) 2610 0846
Fax: (852)2610 0842
End of Press Release
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Document: http://n.equitystory.com/c/fncls.ssp?u=NTMLQROTFB
Document title: Shenzhen Investment Announces 2015 Interim Results -
Core Profit Surges 184.8%, Contracted Sales for the Full Year
Completed in the First Seven Months
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Key word(s): Half Year Results
28/08/2015 UTC+8 Dissemination of a Press Release, transmitted by EQS
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(END) Dow Jones Newswires
August 27, 2015 23:03 ET (03:03 GMT)
