Evergrande Sunac fell out of the Fortune World 500, and the highlights of real estate developers are difficult to continue.

03.08.2022

Number of this text: 2009, reading time for about 3 minutes

Guide: The "house content" of the world's top 500 list this year has shrunk significantly.

Author | First Finance Sun Mengfan

Compared with the unlimited scenery last year, the "house content" of the world's top 500 list this year has shrunk significantly.

On August 3, the Fortune World Fortune 500 rankings were officially released. Among them, the real estate companies on the list were all from China, but there were only 5 Chinese real estate companies this year, which was 3 less than the previous year. Operating income rose to $ 67.88 billion, but the average profit decreased to US $ 2.87 billion.

Greenland Holdings, located at the forefront of Chinese housing companies, has successfully shortlisted the Fortune 500 in the world for 11 consecutive years, and the overall ranking has also steadily improved. In the latest list, Greenland achieved its operating income of US $ 84.454 billion in 2021, a year -on -year increase of 19%of performance data, ranking 125th in global companies, an increase of 17 from last year.

Zhang Yuliang, chairman and president of Greenland Group, said that starting from 20 million yuan of capital capital, the asset scale increased by more than 70,000 times, the state -owned assets increased by more than 2000 times, and the average annual compound growth rate was 30%. In the next 10 years, the ranking was rapidly improved.

This year, the situation in the real estate industry has been severe. Greenland has continued to optimize business structure, improves the quality of assets, promotes cost reduction and efficiency, and actively debt management to keep the cash flow security bottom line. In the second half of the year, Zhang Yuliang said that Greenland will focus on the overall goal of "steady growth, control costs, and risk prevention", seize favorable conditions, and strive to "fight a good turnaround".

"Cosmic State Enterprise" Country Garden also ranked in the Fortune 500, ranking rising to 138th with its operating revenue of US $ 81.091 billion and a profit of US $ 4.154 billion. Since its first time in the list in 2017, the company's ranking has increased by 329 in 6 years, and has become the fastest -rising company in the list in 2019.

From the perspective of revenue, from 2017 to 2021, Country Garden realized operating income from 226.9 billion yuan to 523 billion yuan. In the past 2021, Country Garden's annual equity contract sales amount was about 558 billion yuan, and the sales area of ​​equity contracts was about 66.41 million square meters, showing strong sales toughness. At present, Country Garden is also regarded as one of the private real estate companies operating stable and strongly tough in the industry. As of December 31, 2021, the company's total loan balance was 317.92 billion yuan, a year -on -year decrease of 2.6%, and the cash short debt ratio was about 2.3 times; the net debt ratio was 45.4%, a decrease of 10.2 percentage points from the end of the previous year.

In addition, Vanke and Poly ranked 178th and 181st in the world's top 500 lists for US $ 70.197 billion and US $ 69.06 billion, respectively. Longhu Group, which was first on the list last year, kept the position of the top 500 this year, located at the 412th place with a revenue of US $ 34.63 billion.

It is worth noting that China Evergrande, Sunac China, and China Resources Land have not been on the top 500 in the world this year. Among these three companies, Sunac China and China Resources Land only on the list last year.

In the World Fortune 500 list last year, Sunac China was not the same. The first list was located in the 364th place and ranked among the top in the ROE list. At that time, Sunac China's revenue and profits in 2020 increased by 36.4%and 37.1%year -on -year, respectively, and ROE performance ranked third in Chinese companies.

However, since the second half of 2021, the environmental environment of the real estate industry has changed dramatically, and the development rhythm of Sunac has also been affected. With the exposure of some real estate companies, the group's financing difficulty has been increasing. Assets, equity financing and other measures have still reached the situation of debt exhibition.

From the perspective of performance data, in 2021, Sunac China achieved a total of about 597.36 billion yuan in contract sales, an increase of 4%year -on -year, second only to Country Garden and Vanke. But until now, Sunac has not announced the results of the performance of the performance last year, and the nuclear number has also been replaced by Luo Bingxian Yongdao to Hong Kong Lixin Dehao.

In the recent announcement, Sunac claims will continue to focus on the completion delivery and sales performance of property projects to ensure stable business and sustainable operation; formulate debt solutions that are conducive to all stakeholders, and have appointed financial consultants and laws. Consultant assistance to evaluate the group's capital structure and liquidity status.

China Evergrande, which also fell out of the world's top 500 list, has a more complicated situation of survival.

In 2016, China Evergrande was on the list for the first time and rose all the way in the next few years. Ranking gradually exceeded other Chinese housing companies. In 2021, it ranked 122nd among the Fortune 500, with operating income of US $ 73.514 billion.

However, since the second half of 2021, China Evergrande's debt pressure has gradually appeared, which has caused dense debt collection such as suppliers and financial institutions. At the end of last year, the Guangdong Provincial Government sent a working group to Evergrande in China, and the Guangzhou Evergrande Center was launched. Evergrande also established a risk resolution committee.

In the past few years, China Evergrande has gone through a period of rapid scale expansion and has become a typical representative of private housing companies in this round of real estate cycle. Nowadays, Evergrande, which has fallen out of the world's top 500, is facing multiple pressures such as "guaranteeing the property" and formulating debt restructuring plans. The former highlights have faded.

In the first half of this year, China Evergrande only realized the contract sales of RMB 12.26 billion, and the contract sales area was 1.193 million square meters. In terms of insurance, the group claims that since July 1, 2021, the company has completed a total of 232,000 units and delivery properties, with a construction area of ​​24.19 million square meters.

Many creditors are still waiting for China Evergrande to announce the debt restructuring plan. On July 29, the group announced that it is expected to be resumed for a long time to restore the orderly operation, which will restore the assets of all stakeholders. It is hoped that the specific restructuring plan will be announced as soon as possible in 2022.

Economist Wang Zhile analyzed in the article article that since the reform and opening up, especially since the WTO, China's economic development has gone through the process of large -scale industrialization and urbanization. The real estate industry, building materials, metal products, mining, engineering construction and other industries have risen rapidly, forming a large number of leading enterprises. In recent years, as industrialization and urbanization are basically completed, the business performance of these industries has declined, and some of them have withdrawn from the list, and those on the list have dragged down the overall operating performance of the Chinese company on the list.

- END -