CICC: China Overseas Development (00688)'s core net profit in the first half of the year was in line with expectations, and earnings estimates were revised to “outperform the industry”

The Zhitong Finance App learned that CICC released a research report stating that due to market sentiment and project settlement progress, China Overseas Development (00688)'s profit forecasts for 2026 and 2027 were raised by 3% and 5%, respectively, to 11.9 billion yuan and 11.8 billion yuan respectively, reaffirming the “outperforming industry” rating.

Sales and accounts in China and overseas have accelerated markedly. Keep an eye on the pace of land storage expansion in the second half of the year. Its revenue for the first half of the year increased 17.3% year over year to 97.6 billion yuan, gross margin fell 1.3 percentage points year on year to 16.1%, and net profit attributable to core shareholders fell 9.7% year on year to 7.93 billion yuan, in line with the bank's expectations. The company declared an interim dividend of HK23 cents per share, reflecting a dividend ratio of 37% and an interim dividend ratio of 1.65%.