China Resources Land Full Year 2024 Earnings: Revenues Beat Expectations, EPS Lags

China Resources Land (HKG:1109) Full Year 2024 Results

Key Financial Results

• Revenue: CN¥278.8b (up 11% from FY 2023).
• Net income: CN¥25.6b (down 19% from FY 2023).
• Profit margin: 9.2% (down from 13% in FY 2023). The decrease in margin was driven by higher expenses.
• EPS: CN¥3.59 (down from CN¥4.40 in FY 2023).

All figures shown in the chart above are for the trailing 12 month (TTM) period

China Resources Land Revenues Beat Expectations, EPS Falls Short

Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) missed analyst estimates by 5.5%.

The primary driver behind last 12 months revenue was the Development property business segment contributing a total revenue of CN¥237.5b (85% of total revenue). Notably, cost of sales worth CN¥218.5b amounted to 78% of total revenue thereby underscoring the impact on earnings. The most substantial expense, totaling CN¥21.0b were related to Non-Operating costs. This indicates that a significant portion of the company's costs is related to non-core activities. Explore how 1109's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 1.7% p.a. on average during the next 3 years, compared to a 4.3% growth forecast for the Real Estate industry in Hong Kong.

Performance of the Hong Kong Real Estate industry.

The company's share price is broadly unchanged from a week ago.

Valuation

It's possible that China Resources Land could be undervalued with our 6-factor valuation analysis indicating a potential opportunity. To access our thorough examination of analyst consensus click here and discover the expected future direction of the company.

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