BEIJING, Apr. 28, 2011 (Xinhua News Agency) — As of April 25, 96 out of the 120-odd listed Chinese real estate developers had unveiled their earning reports for the year of 2010, and nearly 75 percent of them posted a growth in net profits, according to Wind Information, a Shanghai-based financial data provider.
To be more specific, 13 real estate developers saw their net profits gain more than 100 percent year on year. Changchun Jingkai (Group) Co. Ltd. (600215.SH), in particular, witnessed its net profit soar 3,405 percent year on year in 2010.
Meanwhile, 26 developers posted a decline in their net profits in 2010 with Winsan (Shanghai) Industrial Co., Ltd. (600767.SH) suffer (OOTC:WLVTQ) a sharp drop of 1,343 percent year on year.
Among the 96 developers, only two suffered loss in 2010. They are Lvjing Real-estate Co., Ltd. (000502.SZ) and Winsan (Shanghai) Industrial Corporation Ltd. (600767.SH).
In 2010, the 96 developers generated a total operating revenue of 324.2 billion yuan, an increase of 27.8 percent year on year and 46 billion yuan of net profit, an increase of 27.78 percent year on year.
China’s Big Four real estate developers, namely China Vanke (000002.SZ), Poly Real Estate Group Co., (600048.SH), Gemdale Corp. (OOTC:GMDCF) (600383.SH), and China Merchants Property Development Co., Ltd. (000024.SZ), achieved a combined operating revenue of 119.9 billion yuan, accounting for 36.98 of the 96 developers’ total.
The National Development and Reform Commission (NDRC), the country’s top economic planner and price regulator, is mulling new rules to fight profiteering in the commercial property sector.
The move is in line with China’s anti-profiteering rules.
The NDRC already created regulations for the purpose of keeping housing prices down in March, in order to address public complaints about the lack of transparency in home pricing. The regulations — Regulations Regarding Marketing of Commercial Housing at Marked Prices — will take effect on May 1.
(Edited by Gaoyuan, gaoyuangaoyuan@xinhua.org)