Sino-Ocean Group Holding (3377) H2 2025 earnings summary

Executive summary

• Delivered over 120,000 residential units from 2023 to 2025 amid a challenging real estate market.

• Revenue fell 37% YoY to RMB14,837 million, with gross loss of RMB10,583 million and gross loss margin of 71%.

• Profit attributable to owners was RMB6,756 million, reversing a RMB18,624 million loss in 2024, mainly due to non-cash gains from debt restructuring.

• Total borrowings reduced to RMB50,852 million and equity increased to RMB1,899 million after restructuring.

Financial highlights

• Contracted sales dropped 25% YoY to RMB26,310 million; contracted saleable GFA sold fell 28%.

• Property development revenue declined 51% YoY to RMB8,480 million; property management and related services contributed 41% of total revenue.

• Net impairment losses under expected credit loss model surged to RMB18,938 million.

• Gains from debt restructuring totaled RMB46,872 million (one-off, non-cash).

• Excluding restructuring gains, the group recorded a net loss attributable to owners.

Outlook and guidance

• Industry remains in a deep adjustment phase; recovery expected to be gradual with continued policy support.

• Transformation from 'develop and sell' to 'hold and operate' and comprehensive service supply is underway.

• Focus on ensuring project delivery, lowering net gearing, and resolving debt risk in 2026.