Gelonghui, January 31, 丨 Xiangsheng Holding Group (02599.HK) announced that the total revenue for the year ended December 31, 2022 was approximately RMB 19.701 billion, a decrease of about 54.9% over the same period last year. The relevant annual loss was approximately RMB 3,927 million, which was a loss compared to profit of approximately RMB 480 million for the same period last year. The net asset liability ratio increased from 1.5 on December 31, 2021 to 3.3 on December 31, 2022.
In 2022, the epidemic was repeated in many parts of the country, the real estate market performance was weak, and confidence in real estate investment and demand was insufficient. The situation cycle worsened due to negative feedback from factors such as the thunderstorm of housing enterprises, wait-and-see customers, declining sales, and difficult financing. Commercial housing sales fell 26.7% year over year. Although the government introduced multiple rounds of sales promotion policies during the year, customers were affected by frequent epidemics, poor project delivery, falling revenue expectations, and falling housing prices. Investment sentiment fell to a freezing point, and the market did not recover as strongly as in the past cycle. Financial institutions have taken excessive risk aversion, domestic and foreign open market financing channels for housing enterprises have almost been closed, financing cash flow and operating cash flow are being squeezed both, the number of defaulting companies has increased dramatically, and the industry continues to shrink.
The Group continues to take stable operation and guarantee delivery as its primary goal. In 2022, it successfully completed 20 project deliveries, achieving a delivery area of about 2.08 million square meters and delivering 13,291 units.