In the first half of the year, 44 real estate companies have negative growth in interest-bearing liabilities
"Three Red Lines" Supervise Listed Real Estate Companies to Decrease Speed and Seek Stability
Our reporter Zhao Yingying
Yesterday news, Standard & Poor's downgraded Greenland Holdings Group's long-term issuer credit rating to "B+", long-term issuance rating to "B", the outlook is "negative".
This is not the first real estate company to be downgraded by a rating agency this month.
This year, the real estate industry has ushered in continuous upgrading of financial supervision, and real estate companies are also facing unprecedented double pressures of financing and debt repayment.
In order to get out of the "throttle period", nearly half of the 100 typical listed real estate companies adopted debt reduction measures in the first half of this year, and 44 real estate companies achieved negative growth in interest-bearing debt.
Credit ratings of many real estate companies have been downgraded
Public information shows that Standard & Poor’s downgraded the long-term issuer credit rating of Greenland Holdings Group from “BB” to “B+”, and downgraded the long-term issuance rating of senior unsecured notes guaranteed by the company from “BB-” to “B”. And the long-term issuer rating of Greenland Hong Kong was downgraded from "BB-" to "B", and the rating outlook is "negative".
Regarding the reason for the downgrade, the reason given by S&P is that Greenland Holding Group's financing channels in the domestic and overseas capital markets are not smooth.
Standard & Poor's predicts that in the next 12 months, even if its deleveraging goals continue to be achieved at all stages, financing difficulties will not significantly improve.
According to incomplete statistics, since October this year, more than 10 real estate companies have been downgraded by rating agencies.
Among them, Standard & Poor's recently downgraded the ratings of Zhongnan Construction, R&F, and Evergrande; Moody's downgraded the ratings of Modern Land and Sony; Fitch downgraded the ratings of Xinyuan Land; China Chengxin International downgraded the ratings of Fantasia and Sunshine successively. City rating.
The reporter noted that the greater pressure on debt repayment is a common cause given by rating agencies.
Take Modern Land as an example. On October 11, Modern Land issued an announcement stating that it was seeking to extend a senior note of USD 250 million with a coupon of 12.85% due on October 25 to January 25 next year.
In order to support the development of the company and boost the confidence of shareholders, Modern Land announced that the chairman of the board of directors, executive director and controlling shareholder Zhang Lei and president and executive director Zhang Peng intend to provide a total of about 800 million yuan in shareholder loans. Complete within three months.
Real estate companies are facing the double pressure of financing and debt repayment
From the downgrading of credit ratings of many real estate companies to the out-of-pocket payments of real estate companies’ shareholders, the big background that cannot be ignored is that in order to maintain the stable and healthy development of the real estate market, the central bank strengthened the financial supervision of the real estate industry this year, and strictly enforced the “three ways” of real estate companies. "Red line" management and financial institution real estate loan concentration management.
Under continuous supervision, real estate companies are facing dual pressures.
On the one hand, the scale of financing has shrunk sharply.
According to CAIC statistics, in the first three quarters of this year, the total financing of 100 typical real estate companies was 1091.9 billion yuan, a year-on-year decrease of 21%.
Among them, the financing amount in the third quarter was 287.2 billion yuan, a year-on-year decrease of 38%, the lowest level since 2018.
On the other hand, according to CAIC statistics, as of September this year, the total maturity of domestic and foreign bonds of 200 core real estate companies exceeded 80 billion yuan, of which about 64.7 billion domestic bonds were due.
Considering that December is also the month when the maturity of domestic real estate bonds is relatively concentrated, it is expected that the industry's debt repayment pressure will continue to increase in the fourth quarter.
Half of real estate companies cut debt in the new environment
"Hurry up, hurry up, hurry up!" The real estate industry, which has been accustomed to high leverage and high turnover for many years, has now reached a new crossroads.
“When many high-leverage companies with fast turnover in the industry fall into trouble, it means that the overall trend of the industry has undergone major changes, and companies must start to make quick money to slow money.” Gao Yixuan, president of Beijing Investment Development, told reporters.
Ding Zuyu, executive director of the China Real Estate Research Association, also pointed out that in order to maintain the healthy development of the real estate market, the overall financing environment of the real estate industry will continue to tighten, and real estate companies will continue to deleverage and strictly adhere to the bottom line of the policy of avoiding systemic financial risks.
After combing through the financial report data of 100 typical listed real estate companies, the Zhuge Real Estate Data Research Center found that in the first half of this year, nearly half of the real estate companies were adopting various measures to reduce debt, and the number of listed real estate companies with new interest-bearing debt reduction reached 44 The scale of reductions of the most aggressive ones exceeded 10 billion yuan.
An analyst at Zhuge Looking for Real Estate said that multiple policy controls have prompted real estate companies to actively adjust their debt structure and build a security boundary for corporate debt.
In the short term, the real estate industry will usher in a "throttle period." It is not ruled out that some real estate companies with financial difficulties will be kicked off the track in the future.
But at the same time, the industry will also enter a stage of high-quality development from the previous rapid development, and those who can live in it, thus ushering in the era of management dividends.