Redsun Properties Group (1996) H1 2026 earnings summary

Executive summary

• Contracted sales for the first half of 2026 were RMB944.0 million, down 67.1% year-over-year, with a total sales area of 99,998 sq.m. and an average selling price of RMB9,440 per sq.m.

• Revenue declined 74.2% year-over-year to RMB700.3 million, mainly due to a sharp drop in property sales and commercial operations.

• Gross loss widened to RMB1,124.3 million, with a gross loss margin of 160.5%, primarily due to higher impairment provisions.

• Net loss narrowed to RMB1,757.9 million from RMB2,320.6 million in the prior year period.

• No interim dividend was declared for the period.

Financial highlights

• Revenue: RMB700.3 million (down 74.2% year-over-year).

• Gross loss: RMB1,124.3 million (vs. RMB222.1 million loss prior year); gross loss margin: 160.5%.

• Net loss: RMB1,757.9 million (vs. RMB2,320.6 million prior year).

• Loss per share: RMB(0.51) (vs. RMB(0.56) prior year).

• Cash and bank balances: RMB464.6 million as of 30 June 2026.

• Total borrowings: RMB20.01 billion, with RMB9.98 billion in senior notes and RMB10.04 billion in bank/other borrowings.

Outlook and guidance

• The real estate market is expected to remain in a bottoming-out and adjustment phase, with policy support focused on destocking and stimulating demand.

• Structural polarization will intensify, with demand and land resources concentrating in core cities.

• The company will prioritize cash flow management, receivables collection, and cost control, while focusing on safeguarding project delivery.