Core views:

In 2021, Hongyang Real Estate implemented the investment strategy of “expanding Jiangsu, deepening the metropolitan area, and strengthening the central city”, achieving contract sales of 87.22 billion yuan. Among them, the performance contribution of core cities increased, and operating income increased 32.2% year-on-year, but profitability was under pressure. Financially, Hongyang Real Estate's three red line indicators remain in the green range. The cash coverage factor for short-term debt is greater than 1 times, but the deterioration in the overseas financing environment has also put some pressure on companies to repay their overseas debts.