KWG Property (01813.HK)

[bmann025]

November data

http://www.hkexnews.hk/listedco/listcone...214564.pdf

[soros]

The next set of operating statistics will be interesting as it will include the performance for 12 months trading.

I am confident the 12 months sales turnover in 2017 will show around 30% higher than in 2016 and this will attract more investor buying interest in KWG shares.

[bmann025]

Deutsche Foresees New Upswing for CN Developers; PRC Govt to Back Demand Next Year

KWG among their picks 'with strong execution and adequate salesable resources'.

http://www.aastocks.com/en/stocks/news/a...W.846540/1

[soros]

Update for Substantial shareholder - Kong Jianmin : ( Disclosures reported in HKEX )

19 Dec 2017 : 1,942,955,652
07 Dec 2017 : 1,941,455,652
05 Dec 2017 : 1,940,855,642
01 Dec 2017 : 1,940.455,652
.
.
.
27 Sep 2017 : 1,931,385,152

[bmann025]

According to BoAML KWG valued at 48% price discount to NAV per share and 2018E PE ratio 5.7
http://www.aastocks.com/en/stocks/news/a...W.847425/1

Remark1: data prob did not include last few days share price movements
Remark2: NAV is not Book Value. Book Value involves the historical cost of assets held on the balance sheet and is primarily an accounting metric. Book Value may not necessarily be the most accurate representation for real estate.

I think Citi triggered Tuesday's increases:

Citi Raises TPs on CN Developers; Top Picks Country Garden, Vanke, Longfor, CIFI, KWG, Jinmao, Shimao
http://www.aastocks.com/en/stocks/news/a...W.847412/1

[soros]

Update for Substantial shareholder - Kong Jianmin : ( Disclosures reported in SCMP )

04 Jan 2018 : 1,944,455,652
03 Jan 2018 : 1,944,155,652
02 Jan 2018 : 1,943,855,652
19 Dec 2017: 1,942,955,652
07 Dec 2017 : 1,941,455,652
05 Dec 2017 : 1,940,855,642
01 Dec 2017 : 1,940.455,652
.
.
.
27 Sep 2017 : 1,931,385,152

[soros]

Yesterday KWG issued their operational figures for the month in December and overall figure for 12 months period to 31st Dec 2017.

KWG has achieved pre-sale figures of RMB 28.7 Billion which it claims is 103% of its set target for 2017 . But the Annual Report for year to Dec 2016 shows the total turnover at RMB 8.8 Billion.

Does this mean we should expect an increase to the "turnover for 2017" to be somewhere between RMB 8 Bil and RMB 28 Bil ?

[bmann025]

Yesterday KWG issued their operational  figures for the  month in  December  and overall figure for 12 months period to 31st Dec 2017.

KWG has achieved  pre-sale figures of RMB 28.7  Billion which it claims is 103% of its set target for 2017 .   But the Annual Report for year to Dec 2016 shows the total  turnover at RMB 8.8 Billion.

Does this mean we should expect an increase to the "turnover for 2017" to be somewhere  between  RMB 8 Bil and RMB 28 Bil ?

I noted such differences in the past (see posting 12) with other companies as well (I think 2355 for example).

I still don't know what it means, but it is probably an accounting thing but it is more complicated because I did not see such overhang then being booked a year later. Best estimate should be to compare 2017 with 2016 pre-sales and then use the same relation for revenue.

BTW, in 2018 IFRS 15 accounting rules will become mandatory, and DB thinks KWG will be one of the key beneficiaries.  

Then, 'non-mortgage presales revenue can be booked based on construction progress or payment schedule, whichever is lower.'

https://www.dbs.com.hk/sme/aics/template...IFRS15.xml

[soros]

Update for Substantial shareholder - Kong Jianmin : ( Disclosures reported in SCMP )

10 Jan 2018 : 1,945,055,652
04 Jan 2018 : 1,944,455,652
03 Jan 2018 : 1,944,155,652
02 Jan 2018 : 1,943,855,652
19 Dec 2017 : 1,942,955,652
07 Dec 2017 : 1,941,455,652
05 Dec 2017 : 1,940,855,642
01 Dec 2017 : 1,940.455,652
.
.
.
27 Sep 2017 : 1,931,385,152

And I was pleased to read in today's SCMP that Mr Kong Jianmin was buying on same day as KWG was reporting the operating statistics for past 12 months.

So this shows he, being an insider, must think the shares are still undervalued.

[soros]

Update for Substantial shareholder - Kong Jianmin : ( Disclosures reported in SCMP )

12 Jan 2018 : 1,945,655,652
11 Jan 2018 : 1,945,355,652
10 Jan 2018 : 1,945,055,652
04 Jan 2018 : 1,944,455,652
03 Jan 2018 : 1,944,155,652
02 Jan 2018 : 1,943,855,652
19 Dec 2017 : 1,942,955,652
07 Dec 2017 : 1,941,455,652
05 Dec 2017 : 1,940,855,642
01 Dec 2017 : 1,940.455,652
.
.
.
27 Sep 2017 : 1,931,385,152

Yes , I am doubly pleased that he is still buying on 11th and 12th Jan after KWG's 12 months operating stats was reported on 10th Jan 2018