Industrial Securities Co.,Ltd. has issued a research report initiating coverage on POLY PROPERTY (00119) with a "Buy" rating. The report notes that the company's revenue increased by 20.3% year-on-year last year, while its gross profit margin rose by 0.6 percentage points to 17%, indicating a steady improvement in profit quality. In terms of sales, the company achieved contracted sales of RMB 50.2 billion last year, with an average selling price of approximately RMB 30,900 per square meter, representing a significant year-on-year increase of 21%. Regarding land reserves, the Yangtze River Delta and Pearl River Delta regions accounted for 78% of the total based on cost, reflecting a further concentration of land reserves in high-tier cities. The securities firm believes that the company's new investments are precisely focused on core cities and its sales performance is strong, which will benefit the structural optimization of future revenue recognition projects and help stabilize the gross margin. It forecasts that POLY PROPERTY's net profit attributable to shareholders will be RMB 169 million, RMB 196 million, and RMB 215 million for 2026, 2027, and 2028, respectively, representing a year-on-year decrease of 24.8%, an increase of 15.7%, and an increase of 9.8%.