On August 31, Hengda Group (Holdings) Co., Ltd. (hereinafter referred to as Hengda Group Holdings) released its mid-term performance. In the first half of 2020, the company's operating revenue and net profit both have increased, and the leverage ratio has kept a downward trend for two consecutive years.

Double growth of operating revenue and net profit 

Continuous optimization of leverage ratio and debt equity

In the first half of 2020, Hengda Group Holdings has achieved contract sales of 1.083 billion yuan, operating revenue of 511 million yuan, and net profit of 32.846 million yuan. And the operating revenue and net profit has increased by 42.1% and 35.7% respectively compared with the same period of last year; in addition, the leverage ratio and debt equity ratio has decreased to 69.2% and 57.5% respectively. Meanwhile, the overall gross profit rate has increased to 32%, which has continued to increase compared with the same period of last year.

Effect picture of Xuchang Hengda · Jinhui Plaza Project

The revenue scale of main business has exceeded that of the same period of last year

In the first half of 2020, the operating revenue scale of main products held by Hengda Group has exceeded that of the same period of last year. Among them, the sales scale of residential property, commercial property, parking lot and storage room have reached 365 million yuan, 103 million yuan and 41.12 million yuan respectively, which has increased by 26%, 85% and 214.61% respectively compared with the same period of last year. The gross profit rate of residential property has reached 35%, has increased by 9.6 percentage points compared with the same period of last year.

In addition, the company has added 124,200 square meters of land and the total size of the land reserve is about 3.74 million square meters through the way of Bid Invitation, Auction and Listing system in the land trading market.

Effect picture of Yuzhou Hengda · Binhefu project

Various measures to overcome difficulties      

Actively practice public welfare undertakings

The coronavirus (COVID-19) objectively brought many adverse effects to the industry in the first half of 2020. Under this circumstance, Hengda Group Holdings overcame difficulties and worked hard to ensure steady progress of various businesses through various measures such as online sales. At the same time, during the epidemic period, the company donated 4.577 million yuan to fulfill its social responsibility. In addition, according to the data released by Henan Real Estate Association in 2020, in the performance ranking of real estate enterprises in Henan Province in 2019, Hengda Group Holdings ranked among the top 30, among which the sales area ranked 27th, the sales amount ranked No. 30 and the development investment ranking of enterprises ranked No. 30.

Picture of Xuchang Hengda ·  Beihai Longcheng project

Continuing stable operation in the second half of the year       

  Maintaining scale and promoting development

In the second half of the year, Hengda Group Holdings will continue to take action deeply into Xuchang, expand in the surrounding areas, relying on the listed brands. It explores the provincial development mode, moderately expands the urban layout, gradually increases the market share, and strengthens the concept of efficient turnover operation, so as to expand the business scale, promote the profit growth with scale, and realize the efficient and stable development of the company.