CIFI Holdings (Group) Co (884) investor relations material

Executive summary

• Contracted sales for H1 2025 were RMB10.16 billion, down 50% year-over-year, with GFA down 40.3%.

• Recognised revenue fell 39.2% year-over-year to RMB12.28 billion, mainly due to lower property sales.

• Net loss attributable to equity owners widened to RMB6.36 billion from RMB4.94 billion a year earlier.

• Core net loss attributable to equity owners was RMB4.25 billion, compared to RMB3.40 billion in the prior year period.

• Delivered about 15,000 residential units, ranking ninth in industry delivery scale for the period.

Financial highlights

• Gross profit dropped 63.7% year-over-year to RMB983.2 million; gross margin declined to 8.0% from 13.4%.

• Cost of sales decreased 35.4% to RMB11.30 billion.

• Selling and marketing expenses fell 44.6% to RMB374.1 million; administrative expenses down 9.3% to RMB830.4 million.

• Finance costs expensed were RMB1.94 billion, while total finance costs (expensed and capitalised) fell 15.6%.

• Income tax expense dropped 87.9% to RMB119.5 million.

Outlook and guidance

• The real estate market is expected to stabilize in H2 2025, with high-tier cities showing resilience and continued policy support.

• Policy support is anticipated to intensify, focusing on price stabilization, demand stimulation, and financing for urban renewal.

• The group will focus on core assets, asset-light transformation, and operational efficiency.

• Focus on accelerating sales, cash collection, and safeguarding onshore financing.

• Industry faces persistent inventory pressure and slow price recovery, especially in secondary markets.