HONG KONG, February 13, 2026. CSPI Ratings has assigned the global scale long-term issuer credit rating (LTICR) of ‘BBB-’ to Zhangzhou High-tech Zone Yongshun Property Management Co., Ltd. (ZHZYPMC, the company), with a stable outlook.
ZHZYPMC is the urban comprehensive operation entity under Zhangzhou Jingyuan Development Co., Ltd. (ZJDC). The company’s core businesses span sectors such as trade, real estate leasing, property management, and catering services. ZJDC holds 100% equity of the company, and the Finance Bureau of Zhangzhou High-tech Industrial Development Zone (ZHIDZ) is the company's ultimate controlling entity. ZHZYPMC’s issuer credit rating is derived from a standalone credit profile (SACP) of ‘b-’ and our assessment that the ZHIDZ government has an extremely strong willingness to provide external support to the company in the event of financial distress.
KEY RATING RATIONALES
Credit Strengths
Strong and sustained support from the ZHIDZ government. ZHZYPMC is wholly owned by ZJDC, with the actual controller being the Finance Bureau of ZHIDZ. It continues to receive substantial support from the ZHIDZ government in forms of asset injections. In 2025, ZJDC transferred the 20-year operating rights of three projects—the Industrial Neighborhood Center, Intelligent Manufacturing Park, and Health Industry Park—along with certain housing assets and above-ground parking spaces to the company at no cost. This increased the company’s capital reserve by RMB 2.43 billion, significantly enhancing its capital strength and expanding its business scope. Additionally, the ZHIDZ government has provided strong support in asset acquisition, trade operations, and catering services. Given that the company is a key urban comprehensive operation platform designated for the Jingyuan area within ZHIDZ, and that its core senior management is appointed with the approval of the ZHIDZ government, we expect the government will have a very strong willingness to provide ongoing support to the company.
Stable credit profile of the ZHIDZ government. ZHIDZ is one of the four key economic growth engines of Zhangzhou City. Leveraging advantages such as abundant land resources and proximity to the main urban area, the zone has been promoting the construction of “three major areas” in recent years, driving strong industrial development momentum and robust economic growth. Although the budgetary revenue scale of ZHIDZ is relatively small, the government has managed fiscal balance effectively in recent years, and it is likely that budget surpluses will remain at a favorable level in the future. While the debt pressure of ZHIDZ poses a significant burden on its fiscal revenue, and we estimate that its fiscal deposit scale is relatively limited, the strong budget surplus indicates a robust liquidity coverage ratio, suggesting overall sound liquidity conditions.
Credit Weaknesses
Rising debt scale and weak debt repayment capacity.
In 2024, the company's interest-bearing debt amounted to approximately RMB150 million, representing a significant increase compared to the end of 2023. This was mainly due to the company obtaining a substantial amount of financing lease borrowings to meet its increased business funding needs. In terms of debt repayment capacity, the company’s EBITDA is relatively weak, providing limited coverage for interest-bearing debt repayment and interest expenses. We estimate that the weighted average debt-to-EBITDA ratio for the period 2023–2027 is 49.0x, indicating difficulty in repaying debt through EBITDA. Additionally, the weighted average EBITDA interest coverage ratio for 2023–2027 is estimated at 1.0x, meaning EBITDA only barely covers interest expenses, reflecting significant overall debt repayment pressure.
Weak return on assets and low profitability. In 2025, ZJDC injected large-scale assets into the company. However, as these assets are not expected to generate returns in the short term, the company’s return on invested capital (ROIC) is projected to decline significantly. We estimate the weighted average ROIC for 2023–2027 to be 2.5%. Additionally, the company's trade business revenue accounts for a substantial proportion of its total income, while the gross profit margin of the trade business remains relatively low. This has resulted in the company's EBITDA margin staying at a comparatively subdued level. The weighted average EBITDA margin for 2023–2027 is estimated at 4.7%. Overall, we consider the company’s profitability to be weak.
Poor liquidity ratio indicators. After considering the quick ratio and cash flow liquidity ratio, we assess the company’s short-term liquidity as “Vulnerable”. The estimated cash flow liquidity ratio for the next 12 months (2026) is 0.03x, indicating that cash inflows are insufficient to cover cash outflows. Additionally, the quick ratio for the next 12 months is low as well, estimated at 0.9x for 2026, suggesting the company has pressure in meeting short-term liabilities with liquid assets excluding inventory. As of the end of December 2025, the company had fully utilized its bank credit lines, with no unused bank credit facilities available in the short term.
RATING OUTLOOK
The Stable rating outlook reflects our expectation that the ZHIDZ government will maintain a stable credit profile and that the company is expected to continue to receive significant external support from the ZHIDZ government.
We would consider a rating downgrade if 1) ZHZYPMC’s ties with ZHIDZ government loosen from current level; 2) the economic strength and fiscal capacity of ZHIDZ declines significantly; and/or 3) ZHZYPMC’s market position in ZHIDZ declines significantly.
We would consider a rating upgrade if 1) ZHZYPMC’s importance to the ZHIDZ government increases significantly; 2) liquidity in ZHIDZ has improved considerably with a notable easing of debt pressures, or a substantial expansion in budget revenues; and or 3) there is substantial improvement in ZHZYPMC’s leverage and financial profile.
ANALYSTS CONTACT
Primary Analyst
Elka Zhou
+852 3615 8307
Secondary Analyst
Leon Li
+86 755 2348 3667
leon.li@cspi-ratings.com
Committee Chair
Larissa Wu
+852 3615 8317
MEDIA CONTACT
RATING SERVICE CONTACT
Date of Relevant Rating Committee: 12 February 2026
Additional information is available on www.cspi-ratings.com
Related Criteria
General Corporate Rating Criteria (15 March 2018)
Corporate Financial Adjustments and Ratio Definitions (7 May 2018)
Government-Related Entities Rating Criteria (31 August 2018)
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