China News Service, Beijing, March 21 (Reporter Pang Wuji) The "2024 Top 100 Enterprises Research Report" released by the China Index Research Institute in Beijing on the 21st pointed out that over the past year, the differentiation of China's top 100 real estate enterprises has intensified, and a new development model has begun to emerge.
The report points out that as the real estate industry enters the stage of restructuring, elimination, and survival of the fittest, differentiation among enterprises has intensified. In the process of market adjustment, some "big but not strong" companies have gradually fallen behind, and a group of new high-quality companies have begun to come into people's sight.
The market share of the top 100 real estate companies in 2023 will be 46.2%, a slight increase of 0.4 percentage points from the previous year. Among them, the top ten real estate companies in terms of comprehensive strength are Poly Development, China Overseas Real Estate, Vanke, China Resources Land, China Merchants Shekou, Greentown China, Longfor Group, Gemdale Group, C&D Real Estate and Xincheng Holdings. This list has changed significantly compared with the past few years, but the market share of the top ten real estate companies has remained stable.
In the process of market adjustment, central enterprises and state-owned developers have played the role of market "stabilizer" and "ballast stone", and their market share has increased.
The trend of real estate companies focusing on core first- and second-tier cities is even more obvious. From the perspective of land acquisition, the report pointed out that second-tier cities are still the main areas for real estate companies to deploy, and second-tier cities accounted for 64.8% of the newly added land bank equity area of the top 100 representative companies. From a sales perspective, in 2023, the sales contribution of the top 100 real estate companies in key cities will increase.
Real estate companies are exploring new development models. Since last year, the revenue and profit structure of some top 100 companies have changed, and the proportion of non-development business has increased. On the one hand, non-development businesses such as typical real estate company holding business and service business have contributed higher revenue and profits. On the other hand, holding business and service business improve the overall liquidity of real estate companies with their stable cash flow.
From a mid- to long-term perspective, the report points out that due to the impact of the peaking of the incremental scale of new homes, it will be difficult to maintain a certain revenue scale solely by relying on the development business, and profit growth will be limited. Therefore, how to transform and develop in the new cycle has become a topic that the top 100 real estate companies must face. (over)