Redsun Properties Group (1996) H2 2024 earnings summary

Executive summary

• Revenue for 2024 was RMB11,305.7 million, down 42.9% year-over-year, with a net loss of RMB5,525.6 million, an improvement from the prior year's net loss of RMB7,739.7 million.

• Contracted sales reached RMB8.82 billion, with a total sales area of 644,838 sq.m. and an average selling price of RMB13,679 per sq.m.

• The company faced a disclaimer of opinion from auditors due to material uncertainties about its ability to continue as a going concern.

Financial highlights

• Gross loss was RMB177.1 million, with a gross loss margin of 1.6%, both improved from the previous year.

• Cost of sales decreased 43.9% to RMB11,482.7 million.

• Finance costs were RMB1,615.6 million, down 14.1% year-over-year.

• Cash and bank balances at year-end were RMB1.24 billion, down from RMB2.75 billion.

• Total borrowings stood at RMB21.15 billion, with significant portions in default.

Outlook and guidance

• The company expects a stable recovery in China's economy and a supportive real estate policy environment in 2025.

• Plans include strengthening project delivery, optimizing capital structure, and focusing on customer service and talent management.