On May 5, one of China's leading real estate developers of large-scale integrated residential property - Evergrande Real Estate Group (3333.HK) cheerly published its property sales report for April 2010 in Hong Kong.

According to the report, in April 2010, Evergrande Group achieved contractual sales of 3.74 billion yuan (RMB, same as below), contractual sales area of 578,000 square meters, and average contractual sales price of 6467 yuan per square meter. The Group’s contractual sales in April grew 55.9% over the same period of 2009, its contractual sales area increased by 17.8% year on year, and the average sales price rose 32.4% year on year.

From January to April in 2010, the Group achieved total contractual sales of 12.13 billion yuan, total contractual sales area of 1.893 million square meters, and average contractual sales price of 6408 yuan per square meter. The Group’s contractual sales from January to April grew 120.3% over the same period of 2009, its sales area increased by 60.4% year on year, and its average sales price rose 37.3% year on year. Following March 2010, the Group's contractual sales once again refreshed the record of the same period.

Such result is not only a full reflection of Evergrande’s cost-effective products, but also indicates the strong vitality of leading real estate enterprises under the new policy. It is reported that among all the branches of Evergrande, the ones in Shijiazhuang, Chongqing and Changsha ranked top three in sales amount in April. So far, Evergrande’s strategic layout in the second- and third-tier cities has been increasingly clear. As a developer that marched into such areas at the earliest time with the largest scale, the impact of this round of real estate policies on Evergrande is small.

The Group has consistently adhered to the strategy of prudent operation, particularly after listing, it has been maintaining adequate cash flow (with cash balance of 16.36 billion HK dollars by the end of December, 2009; cash balance of 19.02 billion HK dollars by the end of January, 2010; cash balance of 15.66 billion HK dollars by the end of February; cash balance of 15.06 billion HK dollars by the end of March, 2010). As of April 30, 2010, the Group has achieved cash balance of 20.99 billion HK dollars. So far, the precautions Evergrande has taken has paid off, so that even in the face of the increasingly tight credit policies, Evergrande still maintains manipulable capital and capabilities.