Core views:

In the first half of 2022, CCCC Real Estate's revenue grew at a year-on-year rate of 151.4%, and net profit increased by 21.2% year-on-year, achieving relatively good results. The company still has an AA+ main credit rating. Multi-channel financing and tight repayment are expected to continuously optimize the debt structure and achieve healthy development.

1. Smart marketing and product capabilities continue to advance. 2022H1 revenue increased 151% year on year. In the first half of 2022, CCCC Real Estate achieved a sales amount of 20.5 billion yuan, a sales area of 1.04 million square meters, and sales repayment of 19.5 billion yuan. In terms of carry-over, the company achieved revenue of 12.44 billion yuan in the first half of the year, an increase of 151.4% over the previous year, and net profit of 330 million yuan, an increase of 21.2% over the previous year. Judging from the revenue structure, the real estate development business is unquestionably the biggest increase in the company's performance, with revenue reaching 12.39 billion yuan, accounting for 99.59%. We believe that the company's stable performance is due, on the one hand, to continuous innovation in marketing, and on the other hand, to continuous optimization of products and services.

2. Maintain AA+ credit ratings and continuously optimize debt structures

In 2022, the company continued to focus on the real estate development business, actively developing bond financing, supply chain financial asset securitization business, and equity financing business, while increasing sales efforts and expediting sales repayment. Reduce overall financing costs, balance scale expansion and financial soundness, and further optimize debt structure and related indicators. The company continues to maintain an AA+ principal credit rating and has achieved multi-channel financing. CCCC Real Estate has already carried out financing through various methods such as corporate bonds, medium-term notes, and trust loans, involving more than 28 billion yuan in capital. In addition to loans from related parties and multi-channel financing, CCCC Real Estate provided nearly 2.1 billion yuan of guaranteed financing to its project companies to ensure capital flexibility.