Country Garden, the head real estate company in danger, has a new trend.
On December 8, Country Garden Group held a monthly management meeting, and Yang Huiyan, chairman of the board of directors of the group, said that the company will have three main tasks in the next 12 months: ensuring delivery, ensuring operation and guaranteeing credit. The family will definitely "smash the pot and sell iron" to support the company, and the company will strive to explore an effective path to resume normal operations as soon as possible.
Deliveries are expected to exceed 400,000 units in 2024.
On December 8, Country Garden Group held a monthly management meeting, and Yang Huiyan, Chairman of the Board of Directors of the Group, encouraged the company to maintain confidence and strive to move forward and seek better development around the recent key work of "one body and two wings" and the next stage of work requirements.
Yang Huiyan pointed out that in the next 12 months, the company will have three main tasks: ensuring delivery, ensuring operation and ensuring credit.
Ensuring delivery is a very difficult but also very important task, and I hope that everyone will be ready to fight, attach great importance to it, and do a good job of pre-planning. Yang Huiyan revealed that in the next 12 months, the delivery challenge will enter the deep water area, and the delivery volume of Country Garden is expected to exceed 400,000 units in 2024, which is still huge.
It is understood that in the first 11 months of this year, Country Garden Group has delivered a total of about 500,000 houses, with a cumulative delivery area of 60.43 million square meters, involving 31 provinces and 240 cities, and the delivery volume once again ranked first in the industry. Among them, some projects in Shandong, Shanxi, Jiangsu, Anhui and Guangxi were delivered ahead of schedule, and some projects in Hebei, Hubei and Hunan were all delivered.
Mo Bin, President of Country Garden Group, emphasized at the meeting that ensuring delivery and safety and quality is the company's bottom line, and we must do a good job in bottom line management, which is also the bottom line of the company's survival.
Strive to increase sales and achieve hematopoiesis.
Yang Huiyan said that the second main job is to ensure management, on the one hand, to protect the team, and on the other hand, to ensure sales.
After a certain adjustment at the group headquarters and regional project level, the company's organizational structure has reached a relatively stable stage. The next thing to do is to lock in outstanding talents, adhere to an open and transparent selection and employment mechanism, a talent training mechanism, and better improve the short, medium and long-term salary and incentive mechanism. Yang Huiyan said.
In the process of market downturn and continuous bottoming, sales are the real hematopoiesis. Mo Bin pointed out that the work that Country Garden is doing now is mainly to stop bleeding and transfusion, and it is necessary to cultivate its own internal strength, survive difficult times, and strive to improve sales to achieve hematopoiesis, so that the enterprise can truly return to the track of healthy development.
As for how to improve sales in the difficult internal and external environment, the management of Country Garden Group emphasized at the meeting that first, it is necessary to grasp the key nodes of sales in December, increase the decentralization of existing buildings, mobilize national marketing, strive to break through special revitalization, and promote the return of cash. Second, it is necessary to pay close attention to the year-end collection and do a good job in the collection of overdue receivables at the end of the year. At the same time, it is necessary to plan in advance for the Spring Festival return work, and the returning areas should make sufficient preparations in advance to prepare for the supply and sales arrangements for a good start.
The family will "smash the pot and sell iron" to support the company.
In the face of unprecedented difficulties, Country Garden has promoted a number of self-help measures. In 2023, the Group's administrative expenses were significantly reduced, with a total reduction of nearly 60% compared to 2021. As the controlling shareholder, the Yang Huiyan family has fully provided financial support for the company, and has provided a total of about HK $41 billion through borrowing, increasing holdings**, purchasing bonds, and paying dividends on behalf of shares
Yang Huiyan said that the family will definitely "smash the pot and sell iron" to support the company, and the company will strive to explore an effective path to resume normal operations as soon as possible.
Recently, the management and finance department of Country Garden Group conducted a sensitivity simulation analysis of the extreme situations that the company's operation may face. "Under the conservative calculation, as long as our inventory assets are sold normally, even if we assume that we do not buy land, there is no tax reduction, and we do not consider the new contribution of one body and two wings, Country Garden will continue to maintain positive assets in the next ten years. Yang Huiyan said she was very confident that the company would repair its balance sheet.
Editor-in-charge: Wang Yunpeng.
Proofreading: Peng Qihua.