|Wednesday, 26 August 2020, 10:45 HKT/SGT|
|"Construction first and property development to follow", fully utilise the synergies between property development and construction contracting|
HONG KONG, Aug 26, 2020 - (ACN Newswire) - A renowned property developer and construction company based in Zhuozhou, a city in Hebei Province, China - China Tianbao Group Development Company Limited ("Tianbao Group" or the "Company", together with its subsidiaries, the "Group", stock code: 1427.HK), today announced its interim results for the six ended 30 June 2020 ("the Reporting Period").
In the Reporting Period, the performance of the Tianbao Group increased rapidly, with total revenue increasing by 101.8% to RMB 1,340.3 million, gross profit rose by 88% to RMB 297.9 million, and gross profit margin slightly decline to 22.2% (1H2019:23.9%). Profit for the period rose 127.1% to RMB128.3 million and net profit margin was 9.6% (1H2019:8.5%). The net gearing ratio was 18.4% for the six ended 30 June 2020, basic and diluted earnings per share were RMB 0.16. The Board declared an interim dividend of HK$ 0.05 per ordinary share (equivalent to RMB 0.045) for the six months ended June 30, 2020.
As of June 30, 2020, the Group had land reserves of approximately1,975,000 sq.m, representing an increase of 22.9% compared to December 31, 2019, which providing sufficient support for future development.During the Reporting Period, the Group acquired a land parcel located at the High-Tech Development Zone, Zhuozhou with a land area of approximately 58,611 sq.m. and gross floor area ("GFA") of approximately 310,000 sq.m. Currently, the construction business of the Group has established footprint in 15 provinces in China and has set up new offices in Shandong Province, Anhui Province and Sichuan Province. For the Group's construction contracting business, during the Reporting Period, the new contract value amounted to approximately RMB 337 million.
During the Reporting Period, the revenue of property development business and construction contracting business of the Group were RMB 661 million and RMB 679 million respectively, representing an increase of RMB 321 million and RMB 354 million respectively as compared to the corresponding period of 2019.
Looking forward to the second half of 2020, the central government will adhere to the positioning of "houses are for living, not for speculation", and will continue to focus on "stabilization" in the regulation and control policy of the property market, so as to achieve the annual goal of stabilizing land prices, housing prices and expectations. The marginal easing will be maintained in terms of monetary policy, but the financial supervision on the real estate sector will remain strict. Local governments will continue to implement policies depending on their own actual situations. The focus of real estate investments will be the core cities of the first-, second- and third-tier metropolitan areas where housing demand is supported by the long-term economic development, while the overall sales growth trend of real estate companies will be sustained against the backdrop of the continuous demand for housing improvement, and products will continue to be iteratively upgraded.
Mr. Li Baotian, Chairman of the Board, Executive Director and Chief Executive Officer of China Tianbao said In the second half of 2020, the Group will continue to adhere to the expansion strategy of "construction first and property development to follow", and fully utilise the synergies between property development and construction contracting. As for the property development, the Group will focus on the development of metropolitan cities, satellite cities and other high-quality land resources, as well as, expand commercial complexes. In the area of construction business, the Group will constantly improve the qualifications of its infrastructure segment, develop engineering technology and information technology, and establish a sound information system, to seize key infrastructure projects, enlarge and strengthen its historic building business, and steadily increase its market share and the revenue from construction business.
The Group consolidates our brand by developing high-end quality projects and safeguards our brand with construction projects of excellent quality, to make concerted efforts in construction and development, our two prime businesses. Meanwhile, guided by our mechanism and culture, the Group establishes a team of talents with high efficiency, so as to create a "service + quality" cultural system and facilitate collaborative development of two major businesses.
About China Tianbao Group Development Company Limited
China Tianbao Group Development Company Limited is a property developer and construction company based in Zhuozhou, a city in Hebei Province, China. A wide range of businesses, including planning and design, construction engineering, property sales, investment and operations. As of June 30, 2020, the Group has a diversified portfolio of 20 real estate projects, including 18 residential properties, an investment property and a hotel, all of which are owned and developed by the Group. Among these 20 projects, 9 are completed projects, 6 are under construction and 5 are held for future development. As of June 30, 2020, the Group had land reserves with a total gross floor area ("GFA") of approximately1,975,000 square meters ("sq.m."). The Group's acquired land reserves are mainly located in Zhuozhou and Zhangjiakou which have high development potential. The Group was listed on the main board of The Stock Exchange of Hong Kong Limited (the "Stock Exchange") on November 11, 2019.
For more information about Tianbao Group, please visit the company's website at http://www.chinatbjt.com
Topic: Press release summary
Sectors: Daily Finance, Daily News
From the Asia Corporate News Network
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