Core views:

1. Operating income increased 33% year-on-year, diversified businesses helped development

Agile's sales volume, area, and average price rose sharply in 2020, achieving qualitative growth. Diversified business revenue reached 10.7 billion yuan, accounting for 13.3% of total revenue, up 3.2 percentage points from 2019. Agile's “real estate-based, multi-business collaborative development” operating model is beginning to bear fruit.

2. The focus is on the balanced investment layout. With outstanding land cost advantages, Yaju was happy to purchase 40 new land projects in 2020, with a land reserve of 8.361 million square meters, spread across 32 cities. Land reserves of 2,546 million square meters, 2.163,000 square meters and 1,818 million square meters were obtained in South China, East China and Western China, respectively, accounting for 78.1% of total land reserves. The investment layout is balanced and broad, but there is also some depth in some regions.

3. Debt indicators are continuously optimized, and financing costs are further reduced

In 2020, Agile took multiple measures to reduce debt levels, and all three red line indicators improved to a certain extent. Control the growth rate of interest-bearing debt on the debt side and adjust the long-term and short-term debt structure. Meanwhile, its monetary capital holdings increased 19.5% year over year. Both the net debt ratio and the short-term cash debt ratio have been greatly optimized, and its net debt ratio is far superior to the E50 average of 96.2% in 2019. The cost of financing fell 54 basis points to 6.56%, and it is expected that in the future, as the three red line indicators continue to improve, its financing costs are expected to drop further.