When the industry as a whole has not yet completely escaped the influence of the trough, I love my family’s development against the trend.
Viewpoint On the evening of October 27, I Love My Home released its third quarter results for 2022.
The financial report shows that in the first three quarters of 2022, the cumulative revenue of I Love My Home was 8.885 billion yuan, of which the third quarter recorded revenue of 2.8 billion yuan and net profit of 163 million yuan, turning losses into profits.
Looking forward to the fourth quarter, I Love My Family believes that with the implementation of a series of important policies, it is expected that the policy environment of the residential transaction market will continue to accelerate and improve. Industry insiders also believe that since the end of September, the macro policy of stabilizing the property market has continued, and the market is expected to recover.
In the third quarter, “Xiangyu”, a subsidiary of I Love My Home, continued to improve its efficiency during the market downturn, with the average number of days out of the house shortened and the renewal rate increasing. The next gust of east wind.
At the beginning of the year, I Love My Family proposed the three-one projects at the strategic level and implemented them in an all-round way. It is reported that in the third quarter, the launch of the key cities of My Love My Family’s CBS system will be accelerated, and the entire installation will be fully completed in the fourth quarter.
good performance
As mentioned in the third quarterly report, in the first three quarters of this year, the residential service industry in which the company operates is facing dual pressures from industrial adjustment and upgrading and external environmental challenges, and the company’s core business has withstood the most severe market challenges in recent years.
Despite the challenges, during the reporting period, I love my family’s revenue grew steadily. The revenue in the third quarter was about 2.8 billion yuan, an increase of 7.67% compared with the second quarter. In addition, it reversed the losses in the first and second quarters and made a profit, achieving a profit of about 140 million yuan in the third quarter, an increase of 33.27% over the same period last year, an increase of 207.68% over the second quarter, and a non-net profit of about 160 million yuan, an increase of 70.96 over the same period last year. %, an increase of 215.91% from the second quarter.
In the third quarter, the second-hand brokerage business GTV of its direct business system increased by 19.6% from the second quarter, and the scale of the direct business system was stable, laying the foundation for performance recovery. As the industry as a whole has not yet completely shaken off the impact of the trough, I love my family has developed against the trend. As of the end of the third quarter, the scale of stores in Beijing and the scale of brokers in Shanghai and Tianjin have increased compared to the end of the second quarter.
Looking forward to the fourth quarter, I Love My Family believes that with the implementation of a series of important policies, it is expected that the policy environment of the residential transaction market will continue to accelerate and improve.
It is understood that since the central bank lowered the housing provident fund interest rate for the first home on October 1, there has been a rapid response from key cities to third- and fourth-tier cities. In addition, on September 29, the central bank and the China Banking and Insurance Regulatory Commission issued differentiated credit policies, and on September 30, they released tax rebates for replacement housing.
Zhang Dawei, chief analyst of Centaline Real Estate, believes that with the release of policies to stabilize the property market, the overall market is showing signs of gradually stabilizing. The Opinion Index Research Institute also believes that the property market in first-tier cities is also loosening, and the sales environment continues to be loose. This means that the market is expected to gradually recover.
“Voltage Regulator”
According to the 2022 semi-annual report of I Love My Home, the “Xiangyu” business has achieved full Internet operation, with a revenue of 3 billion yuan, accounting for half of the current total revenue of about 6.1 billion yuan. I love my family and believe that this business is an important growth engine and stabilizer for the residential services industry.
At the 2021 performance meeting held in May this year, Chairman and President Xie Yong mentioned: “Xiangyu maintains a leading position in the industry, and also provides unique advantages and foundations for the company’s operational resilience and steady development. It will become In the next step, I love the important advantageous resources of our ecological platform.”
As a housing asset management business and Internet business, Xiangyu continued to maintain its leading position in the industry in terms of scale and various operating efficiency indicators in the first three quarters.
Its management efficiency has improved in the third quarter. It is reported that the average number of days out of the house in the first three quarters was 9.3 days, a decrease of 0.3 days compared with the first half of the year. A decrease of 6.4%; the average occupancy rate in the first three quarters was 95.2%, and the cumulative rental transaction volume reached 12.75 billion yuan.
The renewal rate of both owners and customers has increased. It is understood that in the third quarter, the renewal rate of landlords rose to 70%, and the renewal rate of tenants rose to 40.3%.
In the future, Xiangyu will usher in new development opportunities. The report of the 20th National Congress of the Communist Party of China emphasized that we should adhere to the positioning of housing and not speculating, and accelerate the establishment of a housing system with multi-subject supply, multi-channel guarantee, and simultaneous rent and purchase. Analysts from various industry institutions have similar feedback, and they believe that “enhancing people’s well-being and improving people’s quality of life” will become the focus of the policy. The simultaneous development of rental and purchase will be placed in a more important position, and will continue to explore and pursue high-quality development in the next five years.
practice inner strength
Chairman and President Xie Yong said when answering questions from investors about changes in the business environment at the May this year’s performance meeting: “At the beginning of this year, we proposed the three-one project, and at the same time, we will focus more resources on promoting The development of digital platforms, and the development of business within the scope of core key cities.”
The so-called “Three Ones” project, I Love My Home once said that the first “one” is to upgrade the I Love My Home brand project with first-class standards. The second “one” is to implement an iterative project of a core business system (this core business system refers to the CBS system independently developed by I Love My Family). The third “one” is to implement the national unified Internet online quality service project.
According to the third quarterly report, during the reporting period, the company continued to accelerate the construction and implementation of the “Three Ones” project. It is reported that in the second “one” aspect, with the completion of the system launch of the companies in Taiyuan, Suzhou, Wuxi, Zhengzhou and other cities in the third quarter, the launch work of Hangzhou and Nanjing in the final stage continues to accelerate. I love my CBS upgrade and installation It will be fully completed in the fourth quarter.
During the quarter, I Love My Home has made great progress in basic data and other aspects. Various types of information in the real estate dictionary have been expanded. Taking Beijing as an example, the basic information of 9,874 communities has been upgraded and iterated in the third quarter, and 514 new buildings have been added.
There have been a series of improvements and improvements in the digital platform, optimizing the official website APP’s house search function and content channel, completing map house search, the main promotion of the rental home page, search and intelligent recommendation algorithms, “select good houses” model and so on.
According to the third quarterly report, the number of monthly active users (MAU) of the official website increased by 23.1% compared with the first half of the year, and the number exceeded 18.77 million. The click-through rate and lead conversion rate of the official website APP also increased significantly compared with the old version before the upgrade. The turnover rate of intelligently recommended houses has increased by about 20%.
