Foshan Electrical and Lighting announced on October 7 that the company has handed over the Fenjiang North Road central plot to the Foshan Chancheng District Land Reserve Center, and the Chancheng branch of the Foshan Natural Resources Bureau publicly listed the plot for transfer at the Chancheng sub-center of the Foshan Public Resources Trading Center on September 30. At listing, the central plot was split into two parcels listed independently, with areas of 26,674.04 square meters and 39,246.42 square meters respectively, using a floor price of 6,700 yuan per square meter as the starting price. According to the appraisal report issued by the valuation agency, as of the valuation benchmark date of September 30, 2026, the appraised value of the listed central plot was 1.23668 billion yuan. Foshan Electrical and Lighting said the purpose of this book-entry land reserve is mainly to revitalize company assets and improve return on assets. If the transfer is fully completed at 6,700 yuan per square meter, it expects to receive book-entry land reserve compensation income of about 550 million yuan, and after deducting related costs, expenses and taxes before the reserve, the expected net gain is about 340 million yuan. The transaction was already reviewed and approved by the company's board of directors and shareholders' meeting as early as February 1, 2024. The Fenjiang North Road southern plot was successfully transferred on November 4, 2024, and as of June 30, 2026, the company had received in full all compensation for the southern plot amounting to 393.7791 million yuan. In the first half of this year, the company's operating revenue was 4.095 billion yuan, down 6.63 percent year on year, and net profit attributable to the parent company was 41.7056 million yuan, down 63.73 percent year on year.
Foshan Electrical and Lighting Co LtdHanding over the Fenjiang North Road central plot to land reserve is expected to yield ~340 million yuan net gain, revitalizing assets and boosting return on assets.
