Active debt, Shimao's lease revenue increases smooth market fluctuations

21st Century Business Herald reporter Tang Shaokui Shanghai report

This is a central report facing investors and positive signals.

According to the 2022 semi -annual report, Shanghai Shimao Co., Ltd. (600823.SH, referred to as "Shimao shares") achieved revenue of 3.579 billion yuan in the first half of the year, a year -on -year decrease of 69.92%, of which real estate lease revenue (rent+property management fee) 668 million Yuan, a year-on-year increase of 2.28%; comprehensive gross profit of 922 million yuan, a year-on-year decrease of 79.92%, net profit-476 million yuan, a decrease of 121.85%year-on-year, and a net profit of RMB 348 million, a year-on-year decrease of 130.47%.

Regarding a significant decline in operating performance year -on -year, Shimao said that due to the continued downturn in the real estate market. Since the third quarter of 2021, the company's sales have turned down, land investment has been suspended, and the new round of the country in the first half of this year is superimposed. The impact of the epidemic, the company's normal business activities have also been impacted, sales have declined significantly, the inventory exfoliation rate has slowed down, and the revenue of conclusions has decreased year -on -year. However, the semi -annual report data shows that as commercial projects gradually enter the delivery and operation stage, Shimao's real estate lease income has growth potential.

Active debt

At the moment when the industry and the company's liquidity tenders, Shimao has to seek the exhibition period of some upcoming public market bonds. In the second half of the year, Shimao's cumulative public market debt was about 2.95 billion yuan, of which the "20th Mao G2" expired in July has held a holder meeting and passed the exhibition period. At present, the "20th Mao G1" normal interest payment, the "20th Mao G3" exhibition will be on September 1, 2024.

Shimao Co., Ltd. can follow the debt exhibition period. According to the announcement on September 6, from January to August, the company's sales signing area was about 420,000 square meters, a year-on-year decrease of 62%; %, 47%of the annual contract target.

Despite the plight of liquidity, in the first half of 2022, Shimao still paid three open market bonds such as "19 Shimao G1", "19th Mao G2", and "20 Shanghai Shimao PPN001", with a total amount of 3.4 billion yuan.

Although the market margin has improved, Shimao's predictable situation of liquidity in the second half of the year will continue for a long time. Faced with phased pressure, the company is actively adopting various measures, comprehensively carried out debt risk resolution, and formulated targeted solutions for different types of debt issues. There are eight specifics, which are:

Further the budget of the cost reduction cost, the headquarters strictly control the expense expenditure, and the use of the funds for overall funds;

Continue to suspend land investment;

While ensuring the progress of key project construction, adjust the development rhythm of some projects, and implement staged stop construction to reduce development and construction investment;

For high -quality assets, introduce strategic partners to promote the company's transition from heavy asset models to light asset models;

At the operational level, the cash flow is the core, and the sales return is paid to the money. In terms of business operations, refined management to reduce operating expenses;

At the organizational level, fine military administration;

Accelerate the payment;

Based on the due debt situation, actively negotiate with creditors, communicate interest rate cuts during the exhibition, and use the orderly cash flow to promote debt reduction work to promote the gradual resolution of debt risks.

Digging the potential of business growth

"The company will continue to adhere to and optimize the“ real estate development and sales+business operation and management 'two -wheel drive operation model. At the same time, it will increase its transformation to the business direction of commercial light assets to gradually get rid of traditional operations such as high leverage and high turnover, high turnover and other traditional operations The dependence of the model. "Shimao said in the interim report, which highlights the confidence of Shimao's business operations.

In the past six months, the suspension of physical commercial closing stores has led to a significant decline in passenger flow and performance. From April to May, Shimao's passenger flow fell 58%and 55%from the same period last year.

However, as the national layout started earlier, some commercial projects in Shimao shares showed strong business toughness. For example, during the first anniversary of Xiamen Jimeimao Plaza, Xiamen Jimeimao Plaza attracted about 180,000 passengers and drove sales of over 20 million yuan. This shopping mall opened in April 2021 and has signed 135 brands. Jinan Shimao Plaza, which is also affected by static management, has fallen sharply in the sales passenger flow in April and May this year. With the unseapture and recovery in late May, the business activities returned to the right track. The sales in June have exceeded the same period last year.

According to reports, at the end of July, Shimao shares has jointly opened promotional activities such as "Shimao Crazy Gramge" in 9 cities across the country, thereby promoting the significant growth of the sales and passenger flow of each project.

Since the beginning of this year, the demand for office leasing across the country has further shrunk. According to data from the Capital Federation, the vacancy rate of the nine cities in the 20 cities in the 20 key cities across the country in the first half of the year is higher than 30%. %-30%range. In terms of rent, all 20 key cities across the country have recorded negative growth.

Although Shimao's commercial office office project has declined slightly in the first half of the year, it decreased by about 2.8 percentage points from the end of 2021, but the overall performance is still better than market competitive products. This is mainly due to the accurate judgment of the various projects and adopting a reasonable and flexible lease strategy for the market.

Taking Nanjing Yuhua Shimaozhi Garden as an example, in order to cope with the impact of the unfavorable factors of the traditional leasing market, the project has achieved good leasing results through promotional methods such as the "Warm Spring Plan". %about. In addition, the Changsha Shimao Global Financial Center project has continued to cultivate in the fields of finance, energy, TMT, and professional services, attracting many Fortune 500 companies to settle in, forming an industrial highland, while it is also better against market fluctuations. The company believes that in the long run, social characteristics such as consumption upgrades, new citizens, multi -childization, and aging aging are becoming more and more obvious, thereby driving the emergence of new demand on the real estate related industrial chain and opening room for development. For example, urban renewal in urban services, old communities, etc.; Business light asset management, agency management in the cooperation model, etc.; The expansion of the scope of public offering REITs on the financial mechanism, etc., provides space and opportunities for the industry to explore new development models.

At present, there are a total of 7 in Shimao's shares in the management of light assets, with a management volume of about 330,000 square meters, including a variety of cooperation models such as rent, management output, and professional services. In addition, the company also has a large number of resources in the follow -up expansion. Among them, the project that has been promoted to the business point of the business point has reached about 810,000 square meters. Shimao believes that with the improvement of the market environment, the company's investment in light asset business has increased, and it may gradually realize the layout of light asset brands in key cities.

However, the growth of commercial revenue needs to be cultivated. Whether Shimao can use commercial revenue growth to cope with the rapidly changing market environment.

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