Xinyuan Real Estate Co., Ltd. (NYSE:XIN) has released its second quarter earnings report on Friday. Separately, the company has also declared a cash dividend for the second quarter.
Q2 Financial Highlights, FY 2016 Guidance
The company reported a 60% sequential rise and 36.90% year-over-year jump in revenue to $376.60 million from $235.40 million and $275.10 million, respectively.
For the period, the contract sales of Xinyuan Real Estate amounted to $474.40 million, which is up sequentially and year-over-year from $279.60 million and $332.30 million, respectively.
Furthermore, Xinyuan Real Estate had $77.30 million in gross profit, which is up sequentially and year-over-year from $48.90 million and $60.90 million, respectively.
The company had a net income of $27.80 million, which is up sequentially and year-over-year from $6.90 million and $20.20 million, respectively.
On the other hand, Selling, General, and Administrative (SG&A) expenses amounted to $41 million, which is up sequentially and year-over-year from $31.50 million and $35.80 million, respectively.
Xinyuan Real Estate ended the second quarter with cash and cash equivalents of $899 million, which is sequentially down from about $1.03 billion; and outstanding debt of $1.98 billion, which is sequentially down from about $2.15 billion.
The company has increased its financial guidance for the fiscal year (FY) 2016 following the encouraging second quarter results. For the FY 2016, Xinyuan Real Estate projects year-over-year growths in net income and contract sales of about 50% and 30%, respectively.
Xinyuan Real Estate has declared a quarterly dividend of $0.05 per common share. Shareholders of record on August 25 will receive their respective quarterly dividends on September 8.
NY Land Acquisition
Recently, Xinyuan Real Estate XIN Development Group International, Inc. has acquired a land in Flushing, Queens, New York (NY) under a $66-million transaction.
Development plans for the property includes nearly 279 modern condominium residences, car-parking garage, retail space, and a courtyard. Accordingly, the development site is strategically ideal since there is a lack of higher-end residential units within the area.