Everbright Securities: Maintains LONGFOR GROUP "Buy" Rating with Steady Growth in Asset Operations
Everbright Securities released a research report stating that the forecast for Longfor Group's net profit attributable to shareholders for 2025-2027 is 6.22 billion, 7.64 billion, and 8.94 billion yuan, respectively, corresponding to the basic EPS for 2025-2027 of 0.89, 1.09, and 1.28 yuan. Given the company's stable development in asset operation and property management sectors, it maintains an "Overweight" rating. The report mentions that as of June 2025, the company's 89 operating shopping malls (including 75 heavy assets and 14 light assets) performed well, with a total operating area of 12.56 million square meters (including parking spaces), an overall occupancy rate of 96.8%, and a total sales growth of 17%. There are 127,000 opened long-term rental apartments, with an overall occupancy rate of 95.6%. There are approximately 2,200 property management projects, covering an area of about 400 million square meters. In the first half of 2025, the property investment sector's operating income was 7.01 billion yuan (a year-on-year increase of 2.5%), with a gross profit margin of about 77.7% (compared to 74.6% in the same period of 2024), while the property service sector's operating income was 6.26 billion yuan, with a gross profit margin of about 30%, both remaining basically flat compared to the same period in 2024
According to the Zhitong Finance APP, Everbright Securities released a research report predicting Longfor Group (00960) will have a net profit attributable to the parent company of RMB 6.22 billion / 7.64 billion / 8.94 billion for 2025-2027, corresponding to an EPS (basic) of RMB 0.89 / 1.09 / 1.28 for the same years. Given the company's stable development in asset operation and property management sectors, it maintains an "overweight" rating.
The report states that as of June 2025, the company has 89 operating shopping malls (including 75 heavy-asset and 14 light-asset malls) performing well, with a total operating mall area of 12.56 million square meters (including parking spaces) and an overall occupancy rate of 96.8%, with overall sales increasing by 17%. There are 127,000 opened long-term rental apartments, with an overall occupancy rate of 95.6%. The property management projects number around 2,200, covering an area of approximately 400 million square meters. In the first half of 2025, the property investment sector generated operating revenue of RMB 7.01 billion (a year-on-year increase of 2.5%), with a gross profit margin of approximately 77.7% (compared to 74.6% in the same period of 2024). The property service sector generated operating revenue of RMB 6.26 billion, with a gross profit margin of approximately 30%, remaining basically flat compared to the same period in 2024
