Property

Evergrande Over-fulfilled Annual Target Two Months Ahead of Schedule with Cumulative Sales of 154.5 Billion Yuan

BEIJING, Nov. 3, 2015 /PRNewswire/ -- On November 2, Evergrande Real Estate (HK.3333) published its October performance with sales of 25.8 billion yuan; the cumulative sales total for the first 10 months of the year is 154.53 billion yuan, which means that Evergrande has completed 103% of its annual target of 150 billion yuan two months ahead of schedule, and become the first real estate enterprise to over-fulfill the annual target ahead of schedule this year. An original report from Sina Leju follows:

The announcement shows that the October sales of 25.8 billion yuan represents a month-on-month increase of 129.9%, and a year-on-year increase of 185%, hitting a new record high in terms of the company's sales and the industry's single-month sales this year; the sales of 154.53 billion yuan for the first 10 months of the year represents a significant year-on-year increase of 44%, hitting a new record high compared to the same historical periods, with over 20% increase compared to the whole-year figure of last year.

Evergrande also showed outstanding performance in terms of the area sold. The contractual area sold in October is 3,282,000 square meters, representing a year-on-year increase of 219%, with an average selling price of 7860 yuan/square meter. The cumulative total of contractual area sold in the first 10 months is 20,069,000 square meters, making Evergrande the only real estate company that has sold more than 20 million square meters this year, with a year-on-year increase of 33.9%.

According to the data from previous years, Evergrande Real Estate has over-fulfilled its sales target every year since it went public. The sales completion rates from 2009 to 2014 are 101%, 126%, 115%, 115%, 100.4% and 120% respectively, while 103% of the full-year target has already been achieved in the first 10 months this year.

An insider says that although real estate companies have entered the sprint period with respect to full-year sales performance, many companies are still a long way from the sales target, and the average target completion rate by the end of the third quarter is less than 70%. "The key reason why Evergrande is able to over-fulfill its target 2 months ahead of schedule with a huge sales base is that it has achieved high cost performance of products with outstanding cost control capabilities, thereby seizing the rigid demand and taking the lead against the market downturn."