HONG KONG, March 16, 2022 – (ACN Newswire) – – CENTRAL CHINA MANAGEMENT COMPANY LIMITED (“CCMGT” or the “Company”, stock code: 9982.HK), a leading real estate project management company in Chinaannounces its annual results for the 12 months ended December 31, 2021 (the “Reporting Period”). Benefit from the fact that China achieved economic growth, the continuous improvement of the management standards of real estate developers in China and the Company’s “Greater Central China” strategy, the Company’s revenue increased by 13.0% to reach 1,300 million RMB compared to 2020. The net profit amounts to 770 million RMB, an increase of 13.0% over the previous year. The net profit margin was 59.2%. Earnings per share increased 1.42 RMB cents for RMB24.39 cents. The Board of Directors declared a final dividend of 9.90 HK cents (equivalent to RMB8.09 cents) per share for the year ended December 31, 2021.
Over the past year, CCMGT has been rooted in the Greater Central China region, and the company has continued to improve its overall capabilities, increase brand influence, consolidate its presence in Henan, and develop the Group’s confidence. During the Reporting Period, guided by the “Greater Central China” strategy, the Group had 261 projects under management in 119 cities and counties, including 100 cities and counties in Henan and 19 cities and counties in provinces other than Henanwhich cover 8 provinces, including Henan, Anhui, Shanxi, Shanxi, Hebei, jiangsu, shandong and Hubei with a population of 430 million. The region’s GDP represents 1/4 of the total in China. The Group has a total gross area of 30.97 million m², an increase of 21.3% compared to the previous year. During the reporting period, the company had a newly contracted gross building area of 10,020,000 sqm, an increase of 16.8% year-on-year, which included projects under management which were those of provinces other than Henan with a gross area of 2.59 million m², up 95.6% compared to 2020.
In addition, the total investment in real estate development in China amounted to 14.7602 trillion RMB in 2021, an increase of 4.4% over one year. Commercial real estate sales increased by 4.8% over one year for RMB 18.2 trillion. In the context of the mastery of “three lines, four levels” financing and the disappearance of the benefits of urbanization, the fault tolerance of the industry has been reduced. Property developers sought stability and security. Property developer management standards will continuously improve.
With CCMGT’s asset-light business model, the company has adhered to the cooperation philosophy of “alignment in culture, strategy, standard and execution”. The main activities of the Company currently include commercial project management, government project management, capital project management and special management consulting services. CCMGT has proactively advanced investment in projects in the Central China region. All employees were responsible for marketing, and the company pioneered the idea of ”graduated marketing” to help achieve marketing goals. During the reporting period, CCMGT outperformed four core operational indicators, namely investment expansion, contract sales, management service fees and net profit.
Sir. Sum Wu PoChairman and Non-Executive Director of CENTRAL CHINA MANAGEMENT COMPANY LIMITEDnoted, “China the economy came to an end in the difficult year 2021, which creates a positive and favorable environment for business growth. Moreover, with the release of Board of state “Guideline on Promoting high quality development from the country Central region into the new era” in 2021 and other related policies, a large number of national strategies have released the advantages and huge market demands in the Greater Central China region, which has been the main foundation of the company’s development The Greater China Central region is expected to become an important engine of growth for China the economy in the future. The Greater Central China region has high population density, rapid economic growth, low urbanization and unbalanced development. Thus, there is enough room for competition and the development prospects in the future are promising in the project management industry in China.”
According to China Index Academythe penetration rate of the project management industry reached 4.8% in 2021. Compared to the United States and Europe penetration of the project management industry from 20% to 30%, China project management industry penetration can still grow up to 5.2 times. Moreover, according to a Morningstar study distributed by BNP Paribasthe penetration rate of the project management industry will increase to 9% around 2025. Currently, the penetration rate of the project management industry in China is still at a low level.
For the future, Mr. Sum Wu Po said: “Currently, the development of the real estate development sector in China is gradually facing a limitation. The project management industry, however, has great potential and promising prospects with high net profit margin. The Group will continue to carry out comprehensive project management of the process, further improve management capability and diversify business models. The Group will also continue to forge its core competitiveness, consolidate its leading position and become the leading company in the property management sector. In addition, the Group will pursue joint prosperity with more partners and unlock market potential, thereby creating greater value for shareholders.”
On CENTRAL CHINA MANAGEMENT COMPANY LIMITED
CENTRAL CHINA MANAGEMENT COMPANY LIMITED (“CCMGT” or “Company”, stock code: 9982.HK) is a leading project management company in China with a strategic focus on Greater Central China. Based on the famous “Jianye “Jianye As a solid foundation for its business, CCMGT continues to help projects create more value and further consolidate its position as a leading project management company in China.
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