Zhongnan Construction is expected last year attributable shareholder net profit fell more than 70 percent

2022-05-06 0 By

In the evening of January 28, Jiangsu Zhongnan Construction Group Co.,Ltd (referred to as “Zhongnan Construction”) announced in the Shenzhen Stock Exchange that its net profit attributable to shareholders in 2021 is expected to drop by 70%-90% year-on-year, corresponding to 708 million to 2.23 billion yuan.In the same period of 2020, the company achieved net profit of 7.078 billion yuan attributable to shareholders.As for the reasons for the performance change, Zhongnan Construction explained that due to policy regulation, market adjustment and epidemic situation, the company increased the de-stocking of existing houses in the fourth quarter of 2021, and these resources of current sales and current income recognition reduced the company’s profits.At the same time, affected by the spread of risks in the industry, the company has increased its expense ratio and is expected to increase its risk provisions for various receivables.On January 5, Zhongnan Construction released a sales performance announcement. In 2021, the total contract sales amount of Zhongnan Construction was 19.737 billion yuan, a year-on-year decrease of 11.8%.The sales area was 14.686 million square meters, a year-on-year decrease of 12.9%.Beijing News reporter Yuan Xiuli, editor Yang Juanjuan, proofreader Lu Qian