Huaxia Happiness (600340): Active replenishment and restructuring and debt structure continued to be optimized

Huaxia Happiness (600340): Active replenishment and restructuring and debt structure continued to be optimized

Huaxia Happiness (600340): Active replenishment and restructuring and debt structure continued to be optimized

Key points of the report Description On January 14, 2020, the company ‘s wholly-owned overseas subsidiary completed the issuance of US $ 1.2 billion of advanced unsecured fixed-rate bonds overseas.

Incidents commented that the initial sales improved, or the lack of soil reserves and the structural layout.

Kerer sales data shows that the company actually realized $ 145.4 billion in 2019, a year-on-year decrease of 10%.

67%; the sales area of 12.36 million square meters, exceeding the decline of 17.

76%.

The decline in initial sales may be related to the previous lack of soil reserves and the relatively high proportion of surrounding Beijing.

In recent years, the company has intensified the expansion of the non-environmental areas, and the sales contribution of the non-environmental areas has also increased, and the structure has continued to optimize.

In addition, the company’s industrial park replication in other places has also been very effective, forming an important support for the company’s profitability.

Actively replenish stocks and adjust the structure at the same time, and control the debt burden under better sales receivables.

In consideration of the long-term sales continuity, the company will actively acquire land in 2019 to replenish its value, and gradually expand the land acquisition 421.

280,000 flats, 1 of the land area taken over in the ten years of 2018.

63 times; take the total price of 311.

500,000 yuan, an increase of 203 in ten years.

55%.

Based on the long-term layout of the company, the company focuses on the optimization of its structure, such as the rejection of capital 116 in September 2019.

2.5 billion pounds won the Wuhan Binjiang CBD core area, laying a foundation for the company to explore the new business layout of central China with Wuhan as its core.

Despite the improvement in geographical strength, the company’s debt burden is still controllable under the recovery of sales, and the company’s net debt ratio in the third quarter of 2019 decreased from the middle of the year.

94pct to 202.

85%.

The debt structure continued to improve, and financing costs fell.

On January 14, 南宁桑拿 2020, the company’s overseas subsidiaries successfully issued US $ 1.2 billion of senior unsecured fixed-interest bonds to replace one-year internal and mid-term and long-term overseas debt, and the debt structure continued to improve.

Among them, the coupon rate of US $ 500 million 3-year bonds is 6.

90%; US $ 700 million 5-year bond coupon rate is 8.

05%.

Benefiting from Ping An’s shareholding and global interest rate cuts, the company’s financing costs have significantly improved (the par interest rate of the same type of 3-year US dollar bonds issued on April 10, 20197.

125%, 5-year US dollar bond coupon rate of 8.

600%).

Investment suggestion: Actively replenish stocks and adjust the structure simultaneously, and continuously optimize the debt structure.

The company actively replenishes the value of its 杭州桑拿网 products and actively adjusts its structure to take a long-term view; sales have improved, but the off-site replication has been effective, and the contribution of non-Beijing regions has provided effective buffers; the debt structure has continued to improve, and financing costs have fallen; and Ping An has been deeply bound.Financing and the development of commercial areas have many benefits.

It is estimated that the company’s net profit attributable to mothers in 2019-2021 will be 149, 202, and 27.1 billion, respectively, an increase of 27%, 35%, and 34%, corresponding to a PE of 5.

5 times, 4 times.

1X, 3.

0X, maintain “Buy” level.

Risk Warning: 1.

Uncertainty in real estate policy; 2.

The company may copy the progress off-site or have uncertainty.