A Vanke construction site in Jilin province
August 5 -- China Vanke (000002,200002) recorded a 7.7 percent year-on-year increase in transaction value in July to 9.08 billion yuan on a 3.2 percent year-on-year rise in transaction area to 782,000 square meters, reports Oriental Morning Post, citing a company filing.
Compared with the previous month's transaction value of 13.2 billion yuan, transaction value in July fell 31.37 percent.
According to public data, from January to June, China Vanke recorded respective transaction values of 20.1 billion yuan, 6.08 billion yuan, 9.33 billion yuan, 7.9 billion yuan, 9.01 billion yuan, and 13.23 billion yuan.
Board secretary Tan Huajie had said in early July that competition in the the second half of 2011 will be more intense due to the greater supply of homes and higher inventory.
Tan attributed the lower transaction value in July to a reduction in the number of developments launched in that month compared with June.
China Vanke had actually achieved a higher sales ratio in July compared with June, added Tan late yesterday.
According to Tan, Vanke will launch more developments in August than in July, and the number of new developments to be launched in the third quarter is not expected to be lower than that in the second quarter.
For the first seven months, Vanke recorded total transaction area of 6.372 million square meters, up 60.9 percent year-on-year. Transaction value increased 63.9 percent to 74.09 billion yuan.
The largest property developer in China added five new projects in Changsha, Putian, Nanjing, Dalian and Tianjin in July, with total planned construction area of 616,000 square meters.
In addition, China Vanke participated in the redevelopment of the Vanke Diamond Plaza in Chengdu, Sichuan province, with planned construction area of 92,000 square meters.
The financial situation of China Vanke is good as it has always adopted a cautious attitude regarding its investments, and the company had achieved good sales numbers, added Tan.
Shares of China Vanke fell 1.32 percent to trade at 8.2 yuan at 10:13 today.