On November 30, Shell (NYSE: BEKE; 02423.HK), a digital service platform for the housing industry, announced its unaudited financial results for the third quarter of 2022.
Data show that the total transaction volume of Keike in the third quarter of this year was 737.1 billion yuan, a year-on-year decrease of 11.3%; operating income decreased by 2.8% from 18.1 billion yuan in the same period in 2021 to 17.6 billion yuan; the operating profit in the third quarter was 1.2 billion yuan, compared with the same period last year. It was a loss of 2.3 billion yuan; net profit was 716 million yuan, a net loss of 1.766 billion yuan in the same period last year.
Regarding the decline in total transaction volume, Keike said in the announcement that due to the impact of the re-emergence of the epidemic in some areas on the recovery of the market, many developers are still facing liquidity pressure and housing delivery pressure, resulting in the continued downturn in the new housing transaction market, and the decline is partly covered by stock. offset by the recovery of the real estate transaction market, especially in first-tier cities.
Keike’s main business mainly includes stock house transaction services, new house transaction services, home improvement, emerging and other businesses. According to the performance in the third quarter, the net income of Keike’s house search stock housing transaction service was 7.2 billion yuan, a year-on-year increase of 16.6%; the net income of the new house business was 7.8 billion yuan, a year-on-year decrease of 31.3%; the net income of the home furnishing business was 1.8 billion yuan ; Emerging business and other net income was 801 million yuan.
In the third quarter of this year, Shell’s gross profit was 4.8 billion yuan, a year-on-year increase of 72.8%; the gross profit rate in the third quarter of 2022 was 27%, compared with 15.2% in the same period in 2021
Regarding the reason for the increase in gross profit margin, Shell said that the income from the stock housing business with a higher profit margin accounted for an increase in the total revenue; the increase in the net income of the stock house business and the reduction in the fixed salary cost of Lianjia brokers led to the contribution of the stock house business The profit margin increased year-on-year; the number of projects with higher profit margins increased and the proportion of fixed salary costs in the net income of the new housing business decreased relatively, resulting in a year-on-year increase in the contribution margin of the new housing business; at the same time, compared with the same period in 2021, the third quarter of 2022 Store costs and other costs accounted for a relatively low percentage of net revenue.
As of September 30, 2022, the number of Shell stores was 41,398, a decrease of 23.3% from last year, and the number of active stores was 39,713, a decrease of 19.7% from last year. The number of brokers was 402,630, a decrease of 21.9% from the previous year, and the number of active brokers was 372,718, a decrease of 20.4% from the previous year.
For the three months ended September 30, 2022, the average number of monthly active users of Keike Mobile was 42.4 million, compared to 46.1 million for the same period in 2021.
As of September 30, 2022, the total balance of shell cash, cash equivalents, restricted funds and short-term investments was 57.5 billion yuan.
Regarding the follow-up business outlook, Shell pointed out that in the fourth quarter of 2022, the company expects total net income to be between 14.5 billion and 15 billion yuan, a decrease of approximately 15.7% to 18.5% from the same quarter in 2021.
In addition, Beike launched a share repurchase plan on September 1, 2022. According to the plan, Beike can purchase up to US$1 billion in Class A ordinary shares and American depositary shares within 12 months. As of September 30, 2022, Keike purchased approximately 3.3 million American Depositary Shares in total in the open market under the share repurchase plan.
Beike Xunfang was officially listed on the New York Stock Exchange on August 13, 2020, with the stock code “BEKE”, becoming the first Chinese housing service platform.
On May 5 this year, Shell announced that it would be listed on the main board of the Hong Kong Stock Exchange Limited by means of “dual primary listing + introduction listing”. On May 11, Shell officially began listing and trading.
As of press time, Beike (NYSE: BEKE) was quoted at US$16.27 per share before the market, an increase of 2.86%; the closing price of Beike (2423.HK) on November 30 was HK$39.8 per share, a decrease of 4.9%.