China Aoyuan Group (3883) H1 2025 earnings summary

Executive summary

• Revenue for the six months ended 30 June 2025 was RMB4,466 million, down 5.7% year-over-year, mainly from property development, with a significant gross loss and a sharp swing from prior-year profit to a substantial net loss.

• Achieved contracted sales of RMB4.02 billion and contracted GFA sold of 436,000 sq.m., focusing on core cities in the Greater Bay Area.

• The Group is prioritizing property delivery, cost control, and debt risk management amid challenging market conditions.

• Landbank in the Greater Bay Area totaled 5.39 million sq.m. GFA as of 30 June 2025.

Financial highlights

• Total revenue was RMB4,466 million, down 5.7% year-over-year; property development revenue accounted for 85.8% of total.

• Gross loss was RMB2,841 million (gross loss margin 63.6%), mainly due to impairment losses on properties for sale.

• Excluding impairment, gross profit was RMB292 million, down 54.5% year-over-year.

• Loss attributable to owners was RMB8,814 million, compared to a profit of RMB22,312 million in the prior year (which included a one-time gain from offshore debt restructuring).

• Cash and bank deposits (including restricted) totaled RMB2,298 million, with unrestricted cash at RMB328 million and restricted deposits at RMB1,970 million as of 30 June 2025.

Outlook and guidance

• The Group aims to improve sales, accelerate inventory clearance, optimize capital structure, and explore new profit models such as light-asset construction services.

• Focus remains on sustainable operations, restoring market confidence, and steady development.