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China Vanke Warns of Deepened 2025 Loss Amid Weak Margins and Impairments

Story Highlights
  • China Vanke expects a 2025 net loss of RMB 82 billion, far exceeding last year.
  • Losses stem from low-margin projects, higher impairments, asset disposals, and business pressure.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
China Vanke Warns of Deepened 2025 Loss Amid Weak Margins and Impairments

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China Vanke Co ( (HK:2202) ) has shared an update.

China Vanke has issued a profit alert for 2025, warning that it expects to post a net loss of about RMB 82 billion, significantly wider than the RMB 49.48 billion loss recorded a year earlier, with basic loss per share projected at roughly RMB 6.89. The company attributed the deeper losses mainly to a sharp decline in settlement scale for its real estate development projects and persistently low gross profit margins tied to high land acquisition costs, as well as higher provisions for credit and asset impairments, losses in certain operating and non-core financial investment businesses, and bulk asset and equity disposals below book value. Despite delivering 117,000 housing units with ensured quality and keeping its operational and service business revenues stable while cutting administrative expenses for a second consecutive year, China Vanke acknowledged that its development business remains under severe pressure and said it will focus on strategic refocusing, standardized operations, and technology-driven efficiency to optimize its business layout, adjust its structure, and mitigate risks as it works to pull out of its current downturn.

The most recent analyst rating on (HK:2202) stock is a Sell with a HK$3.50 price target. To see the full list of analyst forecasts on China Vanke Co stock, see the HK:2202 Stock Forecast page.

More about China Vanke Co

China Vanke Co., Ltd. is a major Chinese real estate developer, primarily engaged in residential property development and related operational and service businesses. Listed in Hong Kong, the company focuses on large-scale housing projects and associated services across China, positioning itself as a leading player in the country’s property sector.

Average Trading Volume: 57,102,749

Technical Sentiment Signal: Sell

Current Market Cap: HK$61.33B

Learn more about 2202 stock on TipRanks’ Stock Analysis page.

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