China Vanke Co., Ltd. released its annual report for 2017 on March 26th. The annual report shows that the performance of the company is outstanding, the traditional business is growing steadily, and the new kinetic energy business is developing well. On the basis of the transformation around the city and supporting services in 2012, the company upgraded its strategic positioning to "urban and rural construction and living service providers".
The annual report showsIn 2017, Vanke achieved an operating income of 242.9 billion yuan, an increase of 1.01% over the same period last year, a net profit of 28.05 billion yuan belonging to shareholders of listed companies, an increase of 33.4% over the same period last year, and a basic profit per share of 2.54 yuan, an increase of 33.4%. The rate of return on fully diluted net assets increased to 21.1%, an increase of 2.61% over the same period last year; and the company paid a tax of 56.6 billion yuan in 2017.
According to the 2017 dividend plan disclosed on the same day, Vanke plans to pay a cash dividend of RMB9.0 (including tax) for every 10 shares. Based on this, Vanke's cash dividend for 2017 is about 9.935 billion yuan.
The company ranks 307 in the Fortune 500, up 49 places from the previous year.
Maintain the healthy and steady development of all businesses
According to the annual report, while Vanke maintained steady growth in its traditional business in 2017, there were many bright spots in other businesses, and many new kinetic energy businesses made considerable progress, laying a solid foundation for ensuring the sustained and healthy development of the Group.
In the real estate business, against the background of the slowdown in the growth rate of commercial housing sales across the country, Vanke realized a sales area of 35.952 million square meters in 2017, an increase of 30 percent over the same period last year; the sales amount was 529.9 billion yuan, an increase of 45.3 percent over the same period last year; residential houses accounted for 82.7 percent of the products sold in the whole year, 93 percent of which were small and medium-sized households with less than 144square meters.
In 2017, Vanke achieved a settlement area of 19.805 million square meters, with a settlement amount of 233.01 billion yuan. As the sales scale is much higher than the settlement scale, Vanke's outstanding resources have increased significantly by the end of 2017, with the outstanding area of 29.625 million square meters sold in the consolidated statement, an increase of 30% over the same period last year, and the outstanding amount sold was 414.32 billion yuan, an increase of 48.9% over the same period last year.
During the reporting period, Vanke's share of the national commercial housing market rose to 3.96 percent, up 0.86 percentage points from 2016. Among the 76 domestic cities in which the development business has entered, Vanke has sales of more than 10 billion yuan in 22 cities, and ranks among the top three in 37 cities, of which 22 cities rank first.
In 2017, Vanke won the green building logo project area of 43.724 million square meters, with a total green building area of 112 million square meters. Of the area started in 2017, 84% adopted industrial technology, and the mainstream products achieved a 20% improvement in construction efficiency compared with traditional processes. Make unremitting efforts to maximize the conservation of resources, protect the environment and reduce pollution, and continue to promote green buildings.
Rental housing business, Vanke vigorously develop leasing business, integration to form a centralized long-rental apartment brand "Park apartment". By the end of 2017, the accumulated resources of parking apartments exceeded 100000 and opened more than 30, 000, covering 29 first-and second-tier cities, leading the country in centralized rental housing. Launch the "Ten Thousand villages Plan", participate in the comprehensive renovation and management of villages in the city, and join hands with the strategy of Shenzhen Talent Housing Group to cooperate in the development and construction of talent housing and social rental housing, housing rental, decoration and property management.
In the property service business, Vanke property has entered 80 cities and won the "Top 100 Comprehensive strength TOP1 of China property Service" selected by China property Management Association and China Index Research Institute for eight times in 2017. won the honor of "2017 China property service quality leading brand", "2017 China property service top 100 satisfaction leader" and "2017 Chinese characteristic property service leader-enterprise headquarters base" and other honors. Continue to lead the industry in word-of-mouth and brand
Commercial real estate business, by the end of 2017, there were 172 projects under management, with a total construction area of more than 10 million square meters. With Inli Group as the commercial real estate operation and management platform, in October 2017, Inli launched and set up a special trust beneficial right asset support plan to realize the securitization of commercial property assets.
In the logistics and warehousing business, Vanke has acquired a total of 62 projects, with a total construction area of 4.82 million square meters, and the average occupancy rate of stable operating projects has reached 96%. United Bank of China Group Investment Co., Ltd., Hopu, Hillhouse Capital and SMG formed a consortium to participate in the privatization of GLP, the world's leading provider of modern logistics facilities.
Ice and snow vacation business, during the snow season from November 2017 to February 2018, the cumulative number of visitors to the two ski events of Vanke Songhua Lake in Jilin Province and Shijinglong in Beijing exceeded 500000, a record high. Vanke Songhua Lake Resort won the title of "Best Ski Resort in China in 2017" awarded by the Fifth World Ski Awards.
In addition, Vanke is actively exploring pension, education and other business. By the end of 2017, it had arranged pension business in 15 cities and acquired about 170 projects; participated in the operation of more than 10 schools across the country; cooperated with Singapore Banyan Group to develop hotels and other related businesses; and joined hands with Chinese Culture Holdings Group to explore products and services in the field of culture.
Adhere to rational investment based on cash flow
In the face of the macro environment of regulation and financing tightening in the real estate industry, Vanke adheres to the concept of "continuous real value creation based on cash flow" and continues to strengthen capital control. In 2017, Vanke achieved a net operating cash inflow of 82.32 billion yuan, an increase of 108% over the same period last year. By the end of 2017, it had held monetary funds of 174.12 billion yuan, far higher than the sum of short-term loans and long-term loans due within one year (62.27 billion yuan). By the end of 2017, Vanke's net debt ratio (interest-bearing liabilities minus monetary funds divided by net assets) was 8.8%, which continued to maintain a low level in the industry. Good financial and financial conditions make Vanke continue to maintain the industry-leading credit rating. S & P, Moody's Corporation and Fitch give the company credit ratings of "BBB+", "Baa1" and "BBB+" respectively, and the rating outlook is "stable".
In the face of the fierce competition in the land market, Vanke maintains cautious investment in its development business, determines a reasonable investment rhythm according to sales and financing, and pays attention to various M & An opportunities and diversified channels such as cooperation, equity acquisition and construction agency. access to land resources at reasonable prices to meet the needs of sustainable development. By the end of 2017, Vanke had a total construction area of 68.528 million square meters, with a total construction area of 63.219 million square meters under planning. In 2017, there were 216 new development projects, with a total planned construction area of 46.154 million square meters and rights and interests planning of 27.681 million square meters. In terms of the amount of investment, 90 per cent of the new projects are located in first-and second-tier cities; in addition, Vanke has also participated in a number of old renovation projects, with an equity construction area of about 2.891 million square meters.
The organizational empowerment of science and technology has achieved remarkable results.
Persist in empowering enterprises with science and technology, further promote lean operations through the "fertile soil Plan" (information and digital construction projects), launch mobile online "service providers" to improve customer experience, launch "online home", "sharer" and "home ownership artifacts" to assist in marketing promotion, open up core business processes through ICP system, and improve data exchange efficiency with the help of intelligent data platform IDP system.
While maintaining the leading quality, a large number of information technology is used to improve project management operation and customer experience, promote the application of BIM technology, develop BIM 5D project management platform, launch APP "ingenuity" to achieve fine management, and apply energy management system to realize green and energy-saving operation of commercial projects.
Based on the basic concept of "consensus, co-creation, sharing and sharing", we will launch organizational reconstruction in 2017, explore the training system for strivers, further improve the compensation mechanism, and encourage the creation of real value. As an important part of the business partner, Vanke launched the project follow-up investment system in 2014, and continuously iterated to improve the system according to the actual situation. The follower investment system directly links the operating results of the project with the personal interests of employees, and encourages followers to create greater value for the company and shareholders. By the end of 2017, Vanke has introduced 502 projects into the follow-up investment mechanism.
Actively carry outSocial responsibilityAdvocate a healthy culture
While achieving performance growth, Vanke has actively fulfilled its corporate social responsibility, enabled more people to share the fruits of corporate development, and made contributions to accurate poverty alleviation and beautiful rural construction.
In 2017, Vanke carried out garbage sorting in 30 cities and 289 communities; Vanke Public Welfare Foundation launched the "Green Rural Source" project to promote the use of clean stoves for rural residents; jointly donated with the Shenzhen Municipal Government to establish the Tibetan Intangible Cultural Heritage Museum in Lhasa, Tibet; actively explore new models for rural revitalization and complete the transformation of Dongluo Village in Xinghua County, Jiangsu Province. The aided Tahman School stood the test in the earthquake in Taxian County, Xinjiang in May 2017; 12 photovoltaic poverty alleviation power stations were donated in Zhangbei County, Hebei Province and generated electricity throughout the network.
Vanke also actively promoted health campaigns, held 84 jogging activities in 42 cities, and organized 100 children in Xiongan New area to participate in nautical winter camp training.