Greentown China (Greentown) reported a sharp earnings contraction for the six months ended 30 June 2026, as weaker property‐market conditions cut into revenue and margins, while the developer maintained solid cash coverage and industry‐leading contracted sales.
Financial highlights • Revenue fell 26.00% year on year to RMB39.48 billion, reflecting a 12.40% drop in recognised sales area to 1.79 million sqm and a 16.90% lower average selling price of RMB20,171 per sqm. • Gross profit declined 38.70% to RMB4.39 billion; gross margin narrowed to 11.1% (1H25: 13.4%). • Profit attributable to shareholders fell 61.07% to RMB0.08 billion, pressured by lower margins and RMB1.91 billion in combined credit and asset impairments plus fair-value losses. • Basic and diluted EPS decreased to RMB0.03 (1H25: RMB0.08).
Balance sheet and liquidity • Bank deposits and cash, including restricted funds, stood at RMB61.87 billion, covering short-term borrowings (RMB30.30 billion) by 2.0x. • Total interest-bearing liabilities were trimmed to RMB130.83 billion; short-term debt represented 23.2% of the total (31 Dec 2025: 18.6%). • Net gearing improved to 63.9% from 66.4% six months earlier. • Weighted average borrowing cost reached a record low of 3.2%, down 40 bps from 1H25.
Operational performance • Group contracted sales reached RMB94.70 billion on 4.22 million sqm, retaining 4th place industrywide; self-investment projects delivered RMB60.20 billion in sales (industry rank: 6th). • First- and second-tier cities contributed 83% of sales; the Yangtze River Delta accounted for 69%. • Greentown added 22 land parcels with estimated saleable value of RMB45.90 billion; 94% located in tier-one/tier-two cities, 71% in Beijing, Shanghai and Hangzhou. • Land bank totalled 22.89 million sqm GFA (14.34 million sqm attributable) at an average cost of RMB8,438 per sqm; 82% of saleable value sits in higher-tier cities. • Project management subsidiary Greentown Management generated RMB1.47 billion revenue (+7% y/y) and RMB0.27 billion net profit (+6% y/y).
Cash-flow and financing • Onshore: issued RMB4.00 billion of new bonds; repurchased RMB0.26 billion in the secondary market. • Offshore: placed US$300 million 3-year 7.00% senior notes in May; offshore debt now 13.5% of total, down 1.2 ppts versus end-2025.
Strategic outlook Management targets steady investment, disciplined cost control and cash-flow security, citing a saleable pipeline of RMB125.60 billion for 2H26 (85% in tier-one/two cities) and unbooked sales of RMB166.90 billion as at 30 June 2026. The company expects circa 5.80 million sqm of project completions in full-year 2026.
Dividend No interim dividend was declared.