CIFI Announces 2018 Annual Results

March 14, 2019 - 13:30
CIFI Announces 2018 Annual Results

Core net profit increased by 35.6% to RMB5.536 billion


2018Annual Results Highlights:

  • Contractedsales and contracted gross floor area ("GFA") surged by 46.2% and 52.1% to RMB152.0billion and 9,569,400 sq.m. respectively. Theoverwhelming growth was due to the Group's abundant and well diversifiedsaleable resources across different regions and cities and mainly driven by thestrong performance of certain second- and third-tier cities which were lessaffected by government controls.
  • Core net profit increased by 35.6% to RMB5,536million.
  • Gross profit margin (adjusted) and core netprofit margin reached to 34.7% and 13.1% respectively.
  • Proposedfinal dividend of HK23 cents per share in aggregatewith the interim dividend paid of HK7 cents, total dividends for the full yearof 2018 amounted to HK30 cents per share (FY2017: HK23 cents per share). Totaldividends for the year increased by 40.0%.
  • Weighted average cost of indebtedness stood ata low level of 5.8%.
  • Net debt-to-equity ratio of 67.2%, abundantcash on hand of RMB44.6 billion.
  • Strategically entered 15 new cities, acquired 93new projects in 2018. Total planned GFA of land acquisition amountedto approx. 12.4 million sq.m.. Land cost attributable to the Group's equityinterests was approx. RMB41.0 billion while the average land acquisition costwas approx. RMB6,190 per sq.m..
  • Both offshore and onshore credit ratings havebeen further upgraded. Fitch and Moody's maintained the CIFI'scredit rating at "BB" (with "Stable" outlook) and "Ba3" (with "Positive"outlook) respectively, while Standard & Poor's upgraded its credit ratingoutlook to "BB--" (with "Positive" outlook). On the other hand, each of theonshore credit rating agencies, namely China Chengxin Credit Ratings, UnitedRatings and China Lianhe Credit Rating, assigned "AAA" onshore credit ratingsto the Company and CIFI China.


HONG KONG,CHINA - Media OutReach - CIFI Holdings (Group) Co. Ltd.("CIFI" or the "Group", HKEx stock code: 884), a leadingreal estate developer engaged in the property development and investmentbusiness in the first-, second- and robust third-tier cities in China, ispleased to announce its annual results for the year ended 31 December 2018.

Mr.Lin Zhong, Chairman and Executive Director of the Group said, "dueto the stringent real estate controls and tight liquidity environment in 2018,land prices in second- and strong third-tier cities have shown dramaticcorrections. We believe that these city segments will offer attractiveinvestment opportunities in the medium and long term, especially in the morechallenging industry environments."


"CIFI has always been pursuing sustainable, rapid and quality growth. Wehave set an initial contracted salestarget for the full year of 2019 at RMB190.0 billion, representing anincrease of 25% from the contracted sales in 2018. Supply of saleable resources are estimated to amount to over RMB350billion for the full year of 2019. Based on our abundant saleable resourcesand conservative sell-through assumption, we are confident of achieving our2019 yearly sales target. We are confident that our massive and welldiversified portfolio of saleable resources acquired at reasonable land costswill be defensive in the current tight real estate environment and will providesubstantial upside potential when real estate policies become favourable againin future." Mr. Lin concluded.

About CIFI Group:

Headquartered in Shanghai, CIFI is one of China's top real estate developers. CIFI principally focuses on developing high-quality properties in first-, second- and robust third-tier cities in China. CIFI develops various types of properties, including residential flats, office buildings and commercial complexes.


To learn more about the Company, please visit CIFI's website at: