By Sherry Qin
China Vanke continued to suffer heavy losses in the first quarter as the Chinese property developer continued to grapple with the years-long downturn in the real estate sector,
The Shenzhen-based developer's net loss narrowed by 5% compared with the same period a year earlier to 5.95 billion yuan, equivalent to $870.1 million, the company said on late Wednesday. First quarter revenue declined 24% on year to 28.93 billion yuan,
Vanke said the result was mainly due to losses in its development business, with segment's first-quarter revenue tumbling 36% to 14.57 billion yuan.
Large Chinese property developers have been hit hard by a liquidity crisis since 2021, when the housing market entered a prolonged downturn. Vanke is among the few developers that have yet to default on its debs.
Vanke has received multiple liquidity injections from its state-owned shareholder Shenzhen Metro Group. In late January, it received bondholders' approval to push back repayment on debt and obtained a fresh loan from Shenzhen Metro, giving it more breathing room to avoid a default.
Vanke's Hong Kong-listed shares were 2.0% lower in early trade Thursday.
Write to Sherry Qin at sherry.qin@wsj.com
(END) Dow Jones Newswires
04-30-26 0019ET
