Longfor Group core income rises to 15.6b yuan

Mainland developer Longfor Group (0960) said  core profit last year, excluding effects from minority interests and valuation gains, grew by 21 percent year-on-year to 15.6 billion yuan (HK$17.07 billion).

Core earnings per share were 2.66 yuan, up by 20.7 percent from 2018. The company declared a final dividend of 84 fen, totaling a full-year dividend of 1.2 yuan, up 21.2 percent from a year ago.

Net profit went up by 12.93 percent from a year ago to 18.34 billion yuan.

The basic earnings per share were 3.13 yuan, up 12.59 percent year-on-year.

Revenue grew by 30.4 percent to 15.1 billion yuan, with revenue from property investment up by 41.5 percent to 5.79 billion yuan.

The company recorded a net gearing ratio of 51 percent and a land reserve of 68.14 million square meters as of the end of last year.

The company has 212 projects on sale this year, with 65 new projects. Building work that had been suspended had now gradually resumed.

Chief Executive, Shao Mingxiao, expects completions during the first half this year to be less impacted by the coronavirus pandemic and Longfor to achieve 40 percent of its full-year sales target of 260 billion yuan during the first six months.

He said sales offices, except for those in Wuhan, have reopened as of the middle of this month, and 96 percent of construction has resumed.

Longfor recorded contracted sales of 17 billion yuan during the first two months, Shao said, predicting  March sales to exceed 20 billion yuan.