Sunshine City enters the "Speed of Life and Death" 12

Welcome to pay attention to the "Pastoral Real Estate Circle", click on the avatar in the upper left corner, interactive code plus group can join the real estate exchange group, more dry goods information.

Real estate winter, Sunshine City, contemporary, Evergrande, basically are struggling! The winter in this industry is already very cold, and the future is getting more and more difficult!

Sunshine City is now embattled, and the three quarterly reports have suddenly "changed their faces" and declined.

<h1 class="pgc-h-center-line" data-track="5">1</h1>

On the evening of October 28, Sunshine City, a housing enterprise with a soaring scale in recent years, released the third quarter report of 2021, achieving operating income of 41.332 billion yuan, an increase of 8.59% year-on-year, and net profit of 2.912 billion yuan, an increase of 6.23% year-on-year.

Under the cold winter of the industry, the seemingly stable performance is actually the main business has reported losses.

After deducting non-recurring gains and losses, the net profit of Sunshine City in the first three quarters was only 86.7 million yuan, down about 97% from the same period last year, and the non-net profit in the third quarter was recorded at -1.752 billion yuan, down 274.27% year-on-year.

Among them, the investment income in the first three quarters was as high as 4.858 billion yuan, an increase of 320% year-on-year, mainly due to the investment income generated by the exchange of shares with The Cloud of All Things;

At the same time, the asset impairment loss was as high as 1.65 billion yuan, a sharp increase of 518% year-on-year, which came from the price reduction of some projects.

In fact, the investment income generated by the stock exchange is classified as a non-recurring profit and loss profit, and after an increase and a decrease, the deduction of non-net profit of Sunshine City also fluctuates sharply.

Usually, the decline in net profit and deduction of non-net profit means the risk of a decline in the company's operation.

It is worth mentioning that the sudden loss, but did not get a reasonable explanation from the management, angered two directors from the insurance capital Taikang department.

According to the announcement, at the extraordinary meeting of the board of directors held on October 28, there were 10 votes in favor, 2 votes against and 0 abstentions on the third quarter report proposal.

Chen Yilun and Jiang Jiali, two directors representing Taikang Life and Taikang Pension, objected to the third quarter report and voted against it.

As we all know, the performance has changed its face, shareholders must be nervous, let alone the current market?

On October 29, Sunshine City opened with a one-word drop, and the stock price of 3.22 yuan hit a new low in nearly seven years, while it has fallen by 47% this year, and the market value is only 13.3 billion yuan.

This is extremely incompatible with the identity of Sunshine City in 2020, with a sales scale of more than 200 billion yuan and entering the top 20 of the national housing enterprises.

The year-on-year decline in deduction of non-net profit and the doubts from the Taikang system have obviously brought a lot of impact on market sentiment.

<h1 class="pgc-h-center-line" data-track="36">2</h1>

To make matters worse, on October 28, Sunshine City's long-term foreign currency issuer default rating was downgraded from "B+" to "B-" with a "negative" outlook, and the company's premium unsecured rating was downgraded from "B+" to "B-" with a recovery rate rating of "RR4".

At the same time, Fitch removed all of the above ratings from the Standard Watch List (UCO).

And Fitch said that since the end of September 2021, sunshine city's onshore and offshore capital market financing channels have tightened, and the trading prices of bonds maturing in 2022-2023 are at a non-performing level.

Fitch believes Sunshine City has sufficient capital to repay $240 million of the saleable bonds in November.

However, if the company does not have access to the capital markets for an extended period of time, it may face significant liquidity pressures.

On one side, bonds plummeted, and on the other hand, ratings were downgraded.

Under the combined effect of these negative news, Sunshine City has been questioned in the credit side, which will affect the refinancing behavior in the future, which is bound to increase its liquidity pressure or a crisis.

Since the beginning of this year, with the continuous tightening of the property market regulatory policy and the continuous expansion of industry operating risks, the sales performance and net profit of many housing enterprises have declined across the board, and Sunshine City is no exception.

No matter how sunshine city bonds fall, you can use capital means to boost confidence; no matter how many gossip there are in sunshine city, you can reverse public opinion through network optimization; but when everyone in sunshine city is panicked, how can this real estate company save itself?

In fact, from the perspective of industry development, the sluggish performance and stock price are not the problems faced by Sunshine City, but a common phenomenon in the industry, and real estate, as an important pillar industry of the national economy, has good prospects for development.

In this round of in-depth adjustment, major housing enterprises are experiencing pain, and the housing enterprises that have finally survived will be more mature and have a greater and broader development space.

2021 is too difficult for housing enterprises, and I hope that Sunshine City can tide over the difficulties as soon as possible.

Today's content first introduced to this, more headline number dry goods, please pay attention to the public name "Pastoral Real Estate Circle".