Seazen Group (1030) H1 2025 earnings summary

Executive summary

• Revenue for the first half of 2025 was RMB22,173.5 million, down from RMB34,003.3 million year-over-year due to a decline in property sales amid a challenging real estate market.

• Commercial operations remained resilient, with commercial operating income rising 11.8% year-over-year to RMB6.944 billion, and 174 Wuyue Plazas in operation nationwide as of June 2025.

• The group delivered over 16,000 high-quality properties, maintaining a strong commitment to social responsibility and operational resilience.

• The company maintained a “zero default” record, ensuring timely payment of domestic and offshore debts, and successfully issued USD300 million in unsecured senior notes in June 2025.

• For the six months ended 30 June 2025, Seazen Holdings reported a significant decline in both revenue and net profit compared to the same period last year.

Financial highlights

• Property development revenue was RMB15,168 million, with 1,905,096 sq.m. delivered at an average price of RMB7,962/sq.m.

• Contracted sales reached RMB10,330 million on 1.335 million sq.m. at an average price of RMB10,072/sq.m.

• Gross profit was RMB5,400.6 million (margin 24.4%), up from 20.1% in 2024, due to a higher share of commercial management and rental income.

• Net profit attributable to equity holders was RMB691.6 million, down 27.9% year-over-year.

• Operating revenue for the period was RMB22.1 billion, down 34.82% year-over-year.

• Net profit attributable to shareholders was RMB894.9 million, a decrease of 32.11% year-over-year.

• Net profit after deducting non-recurring gains and losses was RMB946.8 million, down 28.16% year-over-year.

• Net cash flow from operating activities dropped 86.31% to RMB285.8 million.

• Adjusted core earnings (non-HKFRS) were RMB765.7 million, excluding fair value losses and other non-recurring items.

• Total borrowings stood at RMB57.24 billion, with cash on hand of RMB10.34 billion; net debt-to-equity ratio was 54.6%.

Outlook and guidance

• The company expects continued policy support and a stable, healthy real estate market, with ongoing focus on risk mitigation, value preservation, and asset structure optimization.

• Business transformation is underway, including the launch of a digital asset research institute and initiatives in digital collectibles and asset tokenization.