Country Garden executives self-cut salaries, the company implemented a number of cost reduction measures Recently, Country Garden announced its listing in Hong Kong, and the company's executive directors Yang Huiyan, Mo Bin, Yang Ziying and non-executive director Chen Chong took the initiative to request a salary reduction. Before the salary cut, their annual salaries were 370,000, 3 million, 2 million and 370,000 yuan, respectively, and after the salary cut, they were uniformly adjusted to 120,000 yuan per year. In addition to the salary reduction of executives, the company has also canceled the treatment of senior executives' car allocation, senior executive physical examination reimbursement, and free canteen for executives. These measures show that Country Garden is implementing self-help measures to alleviate the current business difficulties. In fact, this is not the first time Country Garden's top management has taken a pay cut. In the past two years, the company has made several adjustments to executive compensation, and by 2023, executive compensation will decrease by 86% compared with 2021, of which Mo Bin's salary will drop even more. According to the 2022 annual report, Mo Bin's total compensation is 95630,000, and in 2021, Mo Bin's salary is as high as 19.2 billion yuan. This means that Mo Bin's salary has dropped by more than 99%. These adjustments are all aimed at reducing costs and coping with the company's current operating difficulties. The salary cut and treatment cancellation of senior executives have once again aroused the market's attention to Country Garden.
After Country Garden announced its restructuring plan, layoffs and executive pay cuts seem to have become a regular move for the company to save itself. Whether these measures can effectively help Country Garden tide over the difficulties and regain its strength remains to be seen by time. For Country Garden, cost reduction measures are undoubtedly necessary, but behind them also highlights the company's current operating pressures and challenges. With the changes in the real estate market and the adjustment of policies, whether Country Garden can regain its growth momentum in the future has become the focus of attention of the industry and investors. Overall, Country Garden's senior executives have cut their salaries and the company has implemented a number of cost-cutting measures, highlighting the current business difficulties. Against this backdrop, there are still many unknowns about how the company will develop in the future. In the face of the current challenges, how Country Garden should adjust its strategy and revitalize itself is worthy of our in-depth consideration and attention. What are your thoughts on the future development of Country Garden?Feel free to leave a comment to share your views. Country Garden is in debt trouble, sales have fallen sharply, and self-help measures are being taken. The company's businesses are in the hardest hit areas of declining sales, and most of the land is located in second-tier cities, which cannot generate the required cash flow.
Data show that in November, Country Garden's sales fell by 76 percent compared with the previous year51%, and the attributable sales area decreased by 8199%。Country Garden's predicament is not only a problem of its own, but also a reflection of the pressure of the entire real estate industry. Now, leading real estate companies, including Vanke, Longfor, Poly, etc., are also struggling to survive, and it will take time to verify whether they can survive the predicament. Country Garden, which is in debt trouble, is taking self-rescue measures, doing its best to increase revenue and reduce expenditure, cut expenditures, and concentrate resources to ensure delivery. But Country Garden's fundamental problem is that most of its land is in the hardest hit areas of declining sales and is unable to generate the cash flow it needs. Data show that in November, Country Garden's sales fell by 76 percent compared with the previous year51%, and the attributable sales area decreased by 8199%。Country Garden's predicament is not only a problem of its own, but also a reflection of the pressure of the entire real estate industry. At present, leading real estate companies, including Country Garden, Vanke, Longfor, Poly, etc., are struggling to survive. Evergrande fell off the altar, Xu Jiayin and others have been taken away, and Sunac has only recently completed the overall restructuring of debts. Vanke fought back and shorted with difficulty, and finally could only ask for help from the "state-owned father". Longfor continues to carry out business and capital transfer to cope with the increasingly difficult situation.
Central enterprises such as Poly and China Merchants also launched a round of ** at the end of the year in order to quickly withdraw funds. But it will take time to get back on track. Now, it is doubtful whether real estate companies can rely on their "own first aid kits" to survive the predicament. After all, no "heavy" real estate company can lift the alarm by selling light assets like Wanda. In short, Country Garden's predicament is not only a problem of its own, but also a reflection of the pressure of the entire real estate industry. At present, leading real estate companies, including Vanke, Longfor, Poly, etc., are struggling to survive, and it will take time to verify whether they can survive the difficulties. In this process, real estate companies need to work hard to take self-help measures, but they also need the cooperation and support of the world. The real estate industry is an important part of the national economy, and it should actively guide the healthy development of the industry to avoid overexpansion and debt risks. At the same time, it is also necessary to strengthen the supervision of the real estate market to ensure the stability and healthy development of the market. Given the current situation in the real estate market, what do readers think about the survival of real estate companies?How do you think the industry should be guided?