Country Garden Reports H1 2026 Revenue of RMB 44.1 Billion
On August 28, Country Garden (02007.HK) released its 2026 interim report, reporting operating revenue of approximately RMB 44.1 billion.
Although still experiencing periodic losses, the loss narrowed by about 16.3% compared to the same period last year. Total assets stood at approximately RMB 745.
5 billion, and net assets remained positive at around RMB 31 billion.
According to the interim report, the main factors affecting profit include: first, as the group entered the final stage of guaranteed home delivery, a significant reduction in current-period deliveries led to a decline in operating revenue; second, there is a lag in revenue recognition for property developers, and the concentrated recognition of earlier projects with high land acquisition costs in an environment of price reductions and destocking negatively impacted profits; third, influenced by multiple adverse factors such as the macroeconomic environment, industry conditions, and the negative financial status of counterparties, the company made impairment provisions of approximately RMB 6.2 billion for inventory and about RMB 3.8 billion for financial assets and financial guarantee impairment losses; fourth, other income and gains of around RMB 4.
1 billion were recorded, primarily from changes in the fair value of financial liabilities measured at fair value through profit or loss and debt restructuring gains. Meanwhile, expenditures were strictly controlled, with selling and administrative expenses continuing to drop to approximately RMB 3.2 billion in the first half of the year, down 19.
7% year-on-year.
From January to June 2026, Country Garden's cumulative contracted equity sales amounted to approximately RMB 14.25 billion, with an equity sales area of about 1.825 million square meters.
Its sales trend is largely in sync with the national sales of newly built commercial housing under the National Bureau of Statistics' caliber. Country Garden stated that its overall sales remain relatively stable and are advancing in an orderly manner according to its operational rhythm.
Notably, according to CRIC data, Country Garden returned to the top ten in the ranking of operational area among Chinese property developers for the period from January to July 2026.
Country Garden's 'one body, two wings' strategy is also being smoothly implemented. As one of the 'two wings,' Phoenix Zhituo Construction Management leveraged its whole-industry-chain advantages to newly expand whole-process entrusted management service projects in the first half of the year, including the Hubei Badong Haituo Binjiangfu residential development, the Anhui Suzhou Xiaoxian commercial plot, and the Guangzhou AI Cloud Valley Industrial Park. Simultaneously, it extended its reach into the field of urban supporting service renewal, undertaking renovation projects for a well-known international school and high school campus in South China, and efficiently completing a comprehensive functional upgrade of campus facilities within a 40-day summer vacation window.
To date, it has undertaken over 200 entrusted management and construction projects.
Tengyue Construction Technology, the 'other wing,' continues to deeply cultivate a smart construction system that deeply integrates construction robots, new prefabricated buildings, and BIM digitalization. To date, 28 types of construction robots have been put into commercial application, with cumulative deliveries exceeding 5,200 units and an application area of over 40 million square meters.