According to the medium-term sales performance report released by Evergrande in Hong Kong yesterday, Evergrande had significant achievements in the first half year, with many indicators ranking in the first place in China: in the first half year, the net profit of 5.82 billion yuan, with an increase of 132.8% on a year-on-year basis; the core business profit of 4.81 billion yuan, with an increase of 147.9% on a year-on-year basis; the sales area of 6.117 million square meters, with an increase of 83.2% on a year-on-year basis; the area under construction of 31.63 million square meters, with an increase of 37% on a year-on-year basis; the sales volume of 42.32 billion yuan, with an increase of 101.7% on a year-on-year basis, with the growth rate ranking in the first place in China; the business volume of 32.06 billion yuan, with an increase of 57.4% on a year-on-year basis; and the total assets of 148.07 billion yuan, with an increase of 86.4% compared to that of the same period of 2010, which was 79.42 billion yuan.

Why Evergrande can achieve such high growth under the strict macro-control? According to the insiders, in comparison with the medium-term reports of the leading real estate enterprises throughout the country, the root causes are the clear orientation, small profits and quick returns, and development mode adapting to the market and policy directions.

According to Professor Hui Ka Yan, after cost reduction through management, Evergrande has big profit space, but selects to offer profit to people, and strictly control the profit rate, so as to achieve the small profits and quick returns. Among the leading enterprises throughout the country, Evergrande's core business profit rate is only 15%, ranking in the last place. However, Evergrande ensures success by quantity by means of small profits and quick returns, with extremely high market recognition, with the core business profit and the net profit ranking in the first place in China respectively.

"Under the macro-control, Evergrande's operation and management conform to the market and the policies. The market recognition has brought rapid sale and good cash flow. As of June 30, Evergrande's total cash had reached 29.69 billion yuan, and had had the unused bank credit line of 32.71 billion yuan, with the total available cash of 61.4 billion yuan." Professor Hui Ka Yan, Chairman of the Board of Directors of Evergrande, said, "Evergrande's profit mainly comes from the forward-looking development strategy for the people's livelihood, the super-strong cost control ability, and the interest concessions of strategic partners including the suppliers and the contractors. Evergrande would like to build high-quality residences for people's livelihood which the ordinary people can afford , and earn less from the ordinary people."