This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Xinyuan Real Estate's CEO Discusses Q3 2011 Results - Earnings Call Transcript

Additionally, our balance sheet continues to trend healthier with the large increase in cash and improved sales equities this year. We remain committed to maximizing shareholder value and we have continued to repurchase ADS' on the open market. As we end the final quarter on 2011, we have favorable outlook and remain comfortable with our full-year financial forecast.

I would now turn the call over to Tom Gurnee, our Chief Financial Officer.

Thomas H.R. Gurnee

Okay. Thank you, Chairman, Yong Zhang. As the Chairman mentioned, our quarterly financial performance was strong once again. Third quarter 2011 contract sales, margins and revenue were all up over the previous quarter, while net income was slightly lower on higher operating expenses and taxes, more on that later.

Contract sales at $257 million exceeded the previous quarter by 14% and the second quarter of 2010 by 70%. It also exceeded the mid-point of our previous guidance of $230 million to $250 million by 7%. GFA sold also exceeded the previous quarter at 189,000 square meters versus 184,000 in the previous quarter.

ASPs held firm with our aggregate ASP rising from $1,228 per square meter to $1,362 per square meter, primarily due to the launch of the premium Zhengzhou Royal Palace property. Prices have not been revised since May 2011 when we reduced prices for the Suzhou Project and selected apartments in our Chengdu. Project. We did however increased commission rates on virtually all our projects to incentivize our sales agents; more on that later.

Let me make some notes project by project; Xuzhou International City Garden, the GFA or gross floor area sales, they grew [6 acs] over the second quarter of 2011 to 21,000 square meters, as the second quarter price reductions have the desired effect. Kunshan International City Garden showed renewed life with the introduction of seller-financed contracts as GFA sales grew 65% over the second quarter. Fully 73% of Kunshan sales were seller-financed contracts as apposed to historical mortgage contracts; again, more on that later.

Read the rest of this transcript for free on

3 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $94.39 -0.83%
FB $117.86 0.37%
GOOG $694.80 0.35%
TSLA $231.59 -0.31%
YHOO $35.90 -0.31%


Chart of I:DJI
DOW 17,712.42 -38.49 -0.22%
S&P 500 2,056.97 -6.40 -0.31%
NASDAQ 4,748.1640 -15.06 -0.32%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs