KRP Development Holdings (2421) H2 2025 earnings summary

Executive summary

• FY25 revenue declined 20% YoY to RMB181.683m; profit attributable to equity shareholders fell 50% to RMB20.207m. Non-cash valuation and inventory charges totaled RMB19.038m.

• Operations remained profitable, with net cash at year-end and no material borrowings during FY25.

Financial highlights

• Revenue was RMB181.683m vs RMB226.877m; gross profit was RMB106.289m vs RMB145.724m.

• Operating profit fell to RMB49.948m from RMB83.504m; profit before taxation was RMB53.057m vs RMB86.085m.

• Profit attributable to equity shareholders was RMB20.207m vs RMB40.069m; basic and diluted EPS were RMB4.0 cents vs RMB7.9 cents.

• Profit before taxation excluding investment property valuation and inventory impairment losses was RMB72.095m, down 32% YoY.

• Investment property valuation losses were RMB15.581m vs RMB7.265m; inventory impairment losses were RMB3.457m vs RMB11.999m.

Outlook and guidance

• PRC property-market recovery remains constrained by inventory pressure and rebuilding buyer confidence; the strategy is to maintain a healthy financial foundation and proceed cautiously.

• Exploring synergies between residential projects and cultural, tourism and livelihood facilities, alongside opportunities linked to creative industries and changing consumption.

• Foshan development timing will be guided by local-government discussions and market conditions, with emphasis on risk control and resource efficiency.