Hong Kong Stock Market News | Real estate stocks across the board fall, sales of top 100 real estate companies in September hit a five-year low, debt restructuring of real estate companies shows differentiation.

According to the information obtained from the Zhongtong Finance APP, the real estate stocks have fallen across the board. As of the time of writing, Sunac China (01918) rose 8.33% to HKD 1.98; Agile Property (02777) fell 6.35% to HKD 1.18; and Vanke (02202) fell 3.36% to HKD 8.35. The only exception is China Evergrande (03333), which soared more than 40% after resuming trading today.

In terms of news, data released by CRIC recently showed that in September 2023, the top 100 real estate companies completed a total sales turnover of CNY 404.27 billion, the lowest in the past five years. The data also showed that in September 2020, the top 100 real estate companies completed a total sales turnover of CNY 1,190.56 billion. It is worth noting that data from the China Index Research Institute showed that from January to September, the total land acquisition amount of the top 100 companies was CNY 859.9 billion, a YoY decrease of 17.9%, with a 7.4 percentage point increase in the decrease compared to the previous month.

In addition, there has been differentiation in the debt restructuring of real estate companies in September. Evergrande's debt restructuring may face uncertainties, while Country Garden, China Aoyuan, and Times China have completed the debt restructuring as planned. Sunac's debt restructuring plan has received high approval rates, and Greentown Holdings is also actively planning for debt restructuring. Liu Shui, the director of corporate research at the China Index Research Institute, stated that debt restructuring only provides a temporary breathing space for companies in financial distress and cannot fundamentally save them, as they still face significant cash flow risks.