China Overseas Land & Investment (0688) H1 2025 earnings summary

Executive summary

• Contracted sales reached RMB120.15 billion in 1H2025, ranking second in the industry, with strong performance in first-tier cities and over half of sales from Beijing, Shanghai, Guangzhou, Shenzhen, and Hong Kong.

• Revenue for 1H2025 was RMB83.22 billion; profit attributable to shareholders was RMB8.6 billion; core profit was RMB8.78 billion.

• Interim dividend of HK25 cents per share declared.

• Delivered 42,000 high-quality housing units and launched four new commercial properties, including a major Beijing complex.

• Launched the "China Overseas Good House Living OS System" to enhance product strength and customer satisfaction.

Financial highlights

• Revenue decreased to RMB83.22 billion from RMB86.94 billion year-over-year; profit attributable to shareholders fell to RMB8.6 billion from RMB10.31 billion.

• Gross profit margin was 17.4%; basic earnings per share was RMB0.79.

• Net gearing improved to 28.4%; average borrowing cost was 2.9%.

• Bank deposits and cash stood at RMB108.96 billion, with available funds of RMB150.33 billion.

• Unbooked pre-sales stood at RMB208.8 billion, providing a solid foundation for future profits.

Outlook and guidance

• Maintains a steady outlook for 2025, expecting policy support, market enablers, and high-quality development to stabilize the property market.

• Plans to launch multiple projects in first-tier cities and advance its first commercial public REITs issuance.