CICC lowered CNOOC Property's (02669) net profit forecast for this year and next year by 15%/16% to 15.8/1.82 billion yuan, respectively.
The Zhitong Finance App learned that while maintaining CICC's (02669) “outperforming the market” rating, it lowered its net profit forecast for this year and next year by 15%/16% to 15.8/1.82 billion yuan, respectively, due to ongoing challenges in the market environment, an increase of 18% and 15% over the previous year, and the target price was lowered by 22% to HK$6.
The bank said that the company's performance in the second half of last year fell short of market expectations. Furthermore, its property management business is expected to maintain steady growth, while the value-added services business should be affected by changes in the market environment and business structure. CNOOC Property has core competitiveness in the property management industry, and external expansion has maintained rapid growth in the past few years. Last year, the company added 109 million square meters of construction area, which means that the annual contract amount exceeds 2 billion yuan. The company's goal for this year is no less than last year.