BEIJING, January 4, 2012 /PRNewswire-Asia/ -- On December 31, 2011, China Real Estate Information Group and China Real Estate Assessment Center jointly released the 2011 Sales Ranking of the Top 50 Chinese Real Estate Enterprises. Evergrande (3333.HK), and Vanke, the leading real estate enterprises in China, won the champion of sales area and sales volume respectively, while in terms of sales volume, Evergrande was in hot pursuit of Vanke. An original report from Sina Leju follows:
Although the real estate market was affected by macro-control policies and other factors, Chinese real estate enterprises still obtained stable sales growth by virtue of their own development routes in 2011, with the further increase of market concentration and the further consolidation of situation that "the stronger was always strong", forming the new market situation that the super-large-sized real estate enterprises led the industry, and the large-and-medium-sized real estate enterprises were competitive with each other. According to the data, in 2011, the national top 10 enterprises achieved the market share of 10.43%, with an increase of 0.32% compared to that of 2010; in addition, from the viewpoint of enterprise ranked threshold, in 2011, the ranked threshold of the Top 20 Chinese real estate enterprises was 18 billion yuan, with an increase of 4.5 billion yuan compared to that of 2010, which was 13.5 billion yuan.
It is worth mentioning that Evergrande, distinguished for its high turnover, continued the eye-catching show in sales performance, with its annual sales area ranking No. 1 in China for the first time, and its sales volume ranking from No. 5 last year to No. 2.
According to the ranking analysis, this year, under the special circumstances where the credit was tight and the capital cost was very high, high turnover was obviously the pursuing goal of numerous real estate enterprises. There was larger existing space for this mode of "rapid in and rapid out" to increase the efficiency. High turnover would inevitably be at the price of profit rate. However, from the viewpoint of overall efficiency, the increase in the turnover rate made up for the decrease in the profit rate, and the increase extent was much greater than the decrease extent, so the net asset return rate did not decrease, but the asset utilization rate was accelerated, and the financial risk was reduced.
Correspondingly, in the first half year, Evergrande only achieved the core business profit rate of 15%, ranking the last among the leading real estate enterprises throughout the country. However, it achieved the core business profit of 4.81 billion yuan and the net profit of 5.82 billion yuan, ranking first in China. At the beginning of November this year, Evergrande officially announced that it had completed the full-year sales target of 70 billion yuan two months early.
