King maker - Cinda real estate (600657.SH) operation, there are some problems. "Several financial indicators are not pretty, or even hard to see." A consulting firm say. This home has a central rate of descent of real estate companies in the first half net profit fell 45%, the debt ratio rose to 85.6%.With sales soaring in the first half, analysts are asking, where'd all the money go? A growing chorus is looking at falling cash flow and sees the land grab as the culprit:
Although the number of indicators is regrettable, but the large-scale expansion of investment in land, so that the size of the harvest Cinda real estate asset growth. To the first half of this year, Cinda real estate assets reached 59.631 billion yuan, while the beginning of last year, real estate assets Cinda only 37.7 billion yuan. This means that a period of six months, Cinda real estate assets doubled to about 1.6 times.
More puzzling is that the sharp drop in cash flow in stark contrast, the letter of real estate sales increased significantly. Semi-annual report, the letter of the contract of sale of real estate in the first half amounted to 6.231 billion yuan, an increase of 32.4%, the return of funds 5.42 billion yuan, an increase of 42.1%.iFeng: “地王制造机”卖房的钱去哪了 信达砸352亿拿6块地王
Selling the house money gone? This would seem contradictory situation, analysts believe Cinda may be a lot of money to put in on the land auction to cover the high cost of land.
Earlier: Land King Fallout Begins, MOF Owned Cinda Swings to Loss