Jingrui Holdings Limited (Surveillance Report)

The Issuer Rating reflects Jingrui Holdings Limited’s (1862.HK) (“Jingrui” or “the company”) operating track record and continuous expansion in tier 1 and 2 cities, especially in the Yangtze River Delta (“YRD”) region. However, Jingrui’s rating is constrained by its small operating scale, less competitive on land acquisition, moderately high financial leverage and moderate gross margin.

The Stable Outlook reflects our expectation that Jingrui will replenish its land bank portfolio and expand its operating scale, while managing its debt growth in tandem cautiously and improving its gross margin.