Hong Kong-listed Yuexiu Property (00123) announced that its 95%-owned mainland subsidiary, Guangzhou City Construction & Development Co., Ltd. (GCCD), has been assigned an “AAA” issuer rating by China Chengxin International Credit Rating Co. Ltd. The disclosure precedes GCCD’s planned follow-on issuance under its registered RMB 9.60 billion corporate-bond programme on the Shanghai Stock Exchange.
Financial performance (three months ended 31 March 2026): • Revenue reached RMB 15.33 billion, with cost of sales at RMB 14.12 billion, implying a gross margin of approximately 7.9%. • Operating profit came in at RMB 631.76 million, while net profit totalled RMB 467.59 million, representing a net margin of 3.0%. • Profit attributable to Yuexiu Property shareholders was RMB 65.60 million; the balance of RMB 401.99 million was attributable to non-controlling interests. • Finance income was positive at RMB 22.23 million, reflecting interest income of RMB 88.06 million against interest expenses of RMB 47.63 million.
Balance-sheet highlights (31 March 2026 vs. 31 December 2025): • Total assets rose 1.8% to RMB 319.98 billion. • Total liabilities increased to RMB 226.71 billion, lifting the liability-to-asset ratio to roughly 70.8%. • Cash and cash equivalents declined by RMB 4.08 billion to RMB 25.04 billion. • Inventories expanded by RMB 9.29 billion to RMB 164.23 billion, while prepayments contracted sharply to RMB 0.56 billion from RMB 5.50 billion. • Long-term borrowings grew by RMB 3.48 billion to RMB 38.34 billion; bonds payable rose by RMB 0.70 billion to RMB 19.52 billion. • Owners’ equity edged up to RMB 93.27 billion.
Cash-flow movements (Q1 2026): • Operating activities generated RMB 228.93 million. • Investing activities used RMB 2.06 billion, largely from outlays on long-term assets and equity investments. • Financing activities saw a net outflow of RMB 2.25 billion, reflecting higher debt repayments and interest costs. • Overall, cash and cash equivalents decreased by RMB 4.08 billion during the quarter to RMB 14.57 billion, according to the cash-flow statement.
Bond programme status: Since May 2025 GCCD has completed four tranches totaling RMB 5.50 billion under its authorised RMB 9.60 billion onshore bond shelf. The company plans further issuances subject to regulatory approvals from the Shanghai Stock Exchange and the China Securities Regulatory Commission.
The disclosed figures follow Mainland China Accounting Standards and relate solely to GCCD; Yuexiu Property prepares consolidated financial statements under Hong Kong Financial Reporting Standards. Any subsequent developments regarding the proposed bond issue will be announced in accordance with Hong Kong Stock Exchange requirements.
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