LONGFOR GROUP's Chen Xuping: This year's goal is to "pay off all related debts" and expects the overall domestic real estate market to stabilize and stop declining

LONGFOR GROUP (00960.HK) held an online earnings conference, where Chairman and CEO Chen Xuping stated that both the macro economy and the real estate industry have undergone significant changes. With the central government's policies to stabilize the property market continuing to take effect, there have been signs of stabilization in the second-hand market of major cities in mainland China this year, while first-hand residential projects in prime locations have also recorded strong sales. He expects that the overall real estate market this year is likely to achieve the goal of "stopping the decline and stabilizing."

Chen Xuping pointed out that LONGFOR GROUP is focused on optimizing its debt structure, establishing debt safety and driving growth through positive operating cash flow as the core development strategy of the company. He emphasized that the group's goal this year is to "pay off all relevant debts" and continue to reduce liabilities.

In terms of business structure, LONGFOR's transformation results are significant. The group's revenue last year was RMB 97.31 billion, with development business revenue of RMB 70.54 billion, operating business revenue of RMB 14.19 billion, and service business revenue of RMB 12.58 billion. The overall revenue from non-development businesses, which consist of operating and service businesses, has surpassed traditional real estate development revenue, marking the completion of the group's development model transformation.

Chen Xuping stated that in the future, the group will focus on reserving high-quality resources in its development business, improving year-on-year performance of same-store sales, and continuously broadening the overall asset return rate to ensure high-quality development on a solid financial foundation