Shimao Services Swings to Profit on Core Growth Despite City Services Slump

Shimao Services Holdings Limited ( (HK:0873) ) has issued an update.

Shimao Services Holdings Limited reported stable revenue of RMB7.88 billion for 2025, with growth in property management, community value-added and non-owner value-added services partially offset by a sharp 42.8% decline in city services income. Despite a 10.5% drop in gross profit, the company swung from an operating loss to an operating profit of RMB161.5 million and moved from a net loss to a net profit of RMB134.6 million, as core net profit attributable to equity holders rose 6.5% to RMB524.3 million.

The turnaround in profitability came even as cash and cash equivalents fell 20.5% to RMB2.99 billion, reflecting investments in project quality, past equity transfers, financial assets and associates. Basic earnings per share improved from a loss to RMB0.04, underscoring a significant recovery in shareholder returns, though the decline in city services revenue and reduced cash reserves signal ongoing operational and capital allocation pressures for the group.

The most recent analyst rating on (HK:0873) stock is a Hold with a HK$0.60 price target. To see the full list of analyst forecasts on Shimao Services Holdings Limited stock, see the HK:0873 Stock Forecast page.

More about Shimao Services Holdings Limited

Shimao Services Holdings Limited is a mainland China-based property management and city services provider listed in Hong Kong. Its revenues stem mainly from property management services, supplemented by community value-added offerings, value-added services to non-property owners, and municipal city services, giving it a diversified but real estate-linked service portfolio.

Average Trading Volume: 1,303,350

Technical Sentiment Signal: Sell

Current Market Cap: HK$1.46B

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