Huijing Holdings Company Limited (Surveillance Report)

Lianhe Ratings Global Limited (“Lianhe Global”) has affirmed ‘B+’ global scale Long-term Issuer and Issuance Credit Ratings of Huijing Holdings Company Limited; Issuer Rating Outlook Revised to Stable

The Issuer Rating reflects Huijing Holdings Company Limited’s (9968.HK) (“Huijing” or “the company”) track record of above-average profitability, as well as the gradual geographical diversification of its land bank. However, Huijing’s rating is constrained by its small operating scale, limited number of projects, increasing financial leverage and tight liquidity. In addition, Huijing may face challenges to its contracted sales, liquidity and access to refinancing channels amid the challenging market conditions.

The Stable Outlook reflects our expectation that Huijing will carry out its planned urban renewal projects (URPs) and diversify its land bank in a measured manner, as well as maintain its above-average profitability.