Kerui released the top 100 list of real estate enterprise sales in February 2022. The full caliber sales amount of the top 100 real estate enterprises in a single month decreased by 46.5% year-on-year. Country garden ranks first in the industry in terms of monthly sales, with a sales amount of 42.8 billion yuan. Vanke and rongchuang China rank second and third respectively, with a sales amount of 31.1 billion yuan and 22.5 billion yuan respectively.
Industry: sales are still weak, with further decline in month on month growth
In February, the top 100 real estate enterprises realized a total sales amount of 463.5 billion yuan in a single month, a year-on-year increase of – 46.5%; From January to February, the top 100 real estate enterprises realized a total sales amount of 1048.4 billion yuan, a year-on-year decrease of – 43.4%, down 2.7pct from January; In February, the market sales side continued to decline month on month, with poor performance. We expect that with the continuous relaxation of policies at both ends of supply and demand, we expect sales to rebound in the second quarter, but will still maintain the weak trend of negative growth.
Real estate enterprises: all echelons fell sharply in February, and the performance of small and medium-sized real estate enterprises was slightly stronger
In February, the number of real estate enterprises with monthly sales of more than 10 billion was 9, down 19 from the same period last year. Country garden achieved full caliber sales of RMB 42.8 billion in a single month, while Vanke and rongchuang achieved sales of RMB 31.1 billion and 22.5 billion respectively in a single month. From January to February, country garden, Vanke and rongchuang achieved total sales of 92.3 billion yuan, 64.6 billion yuan and 50.3 billion yuan respectively, ranking among the top three in the industry. In terms of sales growth, the housing enterprises ranking top 31-100 in February were slightly better than other echelons, and all echelons showed an obvious downward trend; Among the top 30 real estate enterprises, only one real estate enterprise achieved positive growth in sales scale and poor overall performance.
Investment advice
In February, the sales of the top 100 real estate enterprises continued to decline, and the performance of each echelon was weak. At present, the valuation of the real estate sector is still relatively low, with strong performance certainty and high dividends, which deserves special attention. We mainly recommend leading real estate enterprises China Vanke Co.Ltd(000002) , Poly Developments And Holdings Group Co.Ltd(600048) , China Merchants Shekou Industrial Zone Holdings Co.Ltd(001979) , Hangzhou Binjiang Real Estate Group Co.Ltd(002244) , Gemdale Corporation(600383) , Xuhui holding, etc; Relevant beneficiary objects include Longhu group, China Resources Land, China overseas development, country garden services, Yongsheng life services, etc.
Risk tips
Sales fell short of expectations, and real estate regulation policies continued to tighten.
