They are terrible at forecasting their earnings, again exceeded guidance. (they seem very proud of that in their earnings release.)
Contract sales includes $43M for a government facility required by a land purchase contract, so contract sales down 41% from last year's 2nd quarter excluding that, (outstanding quarter last year as I recall). I don't know how much of that $43M makes it into the % of completion and earnings this quarter, but probably some. Maybe we'll hear on the conference call.
I was also expecting to see restricted cash go down with the $200 bond, but it didn't. Why when? May just be timing issue and they did that in July. That was one of the things I thought they did the $ denominated bond for?
Otherwise to be expected. Who knows about their 3rd quarter guidance, they say 25-30 million, on revs 210-220. 2nd quarter reported today was 39M on revs of 198. So they are going to sell more and make less...or write about how they exceeded guidance again next quarter.
It may take a few years for them to complete their buyback, they only got half way through the 20M bb from last year. Why so slow? So the new $60 means in, what, 7 years including the leftover 2012 program, they'll finish? Or maybe they are waiting for $8/share to buy it back?
Anyway, made a lot off XIN, so I'll continue to bide my time.
Just as you said, there are many things (some people may call them red flags) preventing me heavily investing XIN. The inconsistent guidance does not seem to be provided by somebody with adequate financial knowledge. The $200 million 13.25% yield bond offering makes little sense, especially after Q2 balance sheet still show little about how they actually use the proceeds. The buybacks helps very little for average share count. Announcing another 60 million buybacks when half of the prior buyback has not been used. All these things won't come from a well managed company.
However, XIN is dirty cheap. The low price may offer some protection for future potential meltdown, but over concentration on XIN is not wise.