\u3000\u3 Jointo Energy Investment Co.Ltd.Hebei(000600) 383 Gemdale Corporation(600383) )
Events
The company released the report of the first quarter of 2022: the total operating revenue of 2022q1 was 13.4 billion yuan (YoY + 82.2%); The net profit attributable to the parent company is 600 million yuan (YoY + 10.8%); The basic earnings per share is 0.14 yuan (the previous value is 0.13 yuan).
The sales scale shrinks, the unit price rises, and the investment tends to be cautious
Sales side: in 2022q1, the contracted amount was 45.5 billion yuan (yoy-33.7%), the contracted area was 1.83 million square meters (yoy-38.5%), and the average sales price was 24863 yuan / square meter, up 7.9% year-on-year, up 19.4% from the average price of 2021.
Investment side: there are 6 new expansion projects in 2022q1, with 540000 square meters of new land storage (yoy-82.1%), including 220000 square meters of equity land storage; The total investment is about 7.8 billion yuan (yoy-55.3%), of which the equity investment is about 3.2 billion yuan. The sales amount of land acquisition was 17.1%, down 8.3% compared with the same period last year and 28.5% compared with the whole year of 2021. The investment tends to be cautious. During the reporting period, the newly started area of the company was about 1.48 million square meters (yoy-48.7%), and the completed area was 1.06 million square meters (yoy-11.9%).
Double digit growth in profitability.
In 2022q1, the operating revenue was 13.4 billion yuan (YoY + 82.2%), and the net profit attributable to the parent company was 600 million yuan (YoY + 10.8%). The gross profit margin of sales was 19.7%, a year-on-year decrease of 12.1%, and a decrease of 1.5% compared with the whole year of 2021.
Financial stability and significant financing advantages
During the period, the company issued the first phase of medium-term notes in 2022, with the issuance scale of 1.7 billion, the issuance period of 3 years, the issuance interest rate of 3.58%, and the financing cost was at an excellent level in the same period. At the end of the reporting period, the company’s asset liability ratio excluding advance receipts was 68.1%, net debt ratio was 57.2%, cash short debt ratio was 1.5, and its finance was stable.
Investment advice
The net profit attributable to the parent company has achieved double-digit growth, land acquisition tends to be cautious, financial stability and prominent financing advantages. It is estimated that the company’s EPS from 2022 to 2024 will be 2.25, 2.43 and 2.59 yuan / share, corresponding to the current share price PE of 6.34, 5.87 and 5.51 times respectively, maintaining the “overweight” rating.
Risk tips
Sales did not meet expectations, regulatory policies tightened more than expected, financing costs rose, profit margins fell, and the equity ratio of new land reserves decreased.
