An overview of integration

It is a property management company spun off by China Evergrande (3333.HK). By the end of June, the company had provided property management and value-added services for 1354 projects, covering 22 provinces and 5 autonomous regions, totaling more than 280 cities, with a total management area of about 254 million square meters.

According to the statistics of the Institute of the Central Index, from 2017 to 2019, the annual growth rate of collective profit increased at a year-on-year rate of 195.5%, with the highest growth rate among the top 20 enterprises in China's property services industry.

Negative factor

In the previous period, more than 90% of the property management service income was generated from the property industry developed by Evergrande Marketplace, and any operational difficulties faced by Evergrande Marketplace can have a significant adverse impact on the future of the market. In addition, as the collection begins to manage the increase in the number of property developed by third-party developers or the acquisition of more property management companies, there is no way to guarantee that the gross profit margin can be maintained at a historical level.