CHINA JINMAO Holdings Group Limited recently released its full-year 2025 performance report. The company achieved contracted sales of RMB 113.5 billion, a 16% year-on-year increase, reaching a record high. During the same period, the company reported a gross profit of RMB 9.221 billion, up 7% year-on-year, with the overall gross margin rising to 16%. Profit attributable to shareholders, including fair value changes of investment properties, was RMB 1.253 billion, an 18% increase compared to the previous year.
At the earnings conference, CHINA JINMAO's Chairman Tao Tianhai stated that the real estate market is still in a consolidation phase, but structural opportunities remain, particularly for companies with strong product capabilities, where opportunities outweigh challenges. He expressed confidence in the company's operational performance for the new year, forecasting that sales scale in 2026 will continue to grow steadily.
The average selling price of residential properties increased by 24% to RMB 27,000 per square meter, demonstrating the company's product premium capability. Management highlighted that the "Jinyumantang" product system, launched in 2024, continued to be implemented in 2025. During the reporting period, the company introduced six Jinmao Mansion projects, seven Puyu series projects, five Man series projects, and eight Tang series projects, with many achieving strong sales in their respective cities, becoming key drivers of performance.
As demand for improved housing continues to grow, the company's sales structure has further concentrated in high-tier cities and premium projects. In 2025, contracted sales in first- and second-tier cities accounted for 96% of the total, with North China and East China regions contributing 73% of sales. Notably, sales in Beijing and Shanghai each exceeded RMB 20 billion, while sales in Xi'an surpassed RMB 10 billion. The company also maintained a strong market presence in key cities such as Zhengzhou, Tianjin, and Xiong'an.
Benefiting from its strategic focus on core cities and enhanced product strength, CHINA JINMAO's average residential selling price rose to approximately RMB 27,000 per square meter in 2025, a 24% year-on-year increase, reflecting stable product premium capabilities.
Amid industry-wide focus on profit recovery, CHINA JINMAO's 2025 profitability metrics were a key highlight of the earnings release. The company's gross profit reached RMB 9.221 billion, up 7% year-on-year, with the gross margin climbing to 16%. Profit attributable to shareholders, including fair value changes of investment properties, increased by 18% to RMB 1.253 billion.
Management emphasized that profit recovery was driven by multiple factors, including project acquisition, product positioning, turnover efficiency, cost control, and asset revitalization. Since 2024, the company has acquired 43 projects, all focused on core cities and key areas, with an average net profit margin exceeding 10%. This ensures clearer profit margins for new projects and lays a foundation for future settlement quality.
In terms of existing assets, the company continued to advance destocking and asset revitalization efforts. In 2025, 47 projects were fully sold, and 15 land parcels and 26 bulk assets were revitalized. As legacy burdens were gradually resolved, resource allocation efficiency improved.
Operational efficiency also saw enhancements, with the average launch cycle for new projects shortened to 5.2 months. The company's strategy of "fast launch, fast return, fast clearance" was further strengthened, while the time to positive operating cash flow was reduced to 10.4 months. These improvements optimized overall profit metrics and accelerated capital recycling and reinvestment.
In cost control, the company continued to implement lean management. Sales, administrative, and financial expenses decreased by 4%, 13%, and 9%, respectively, further enhancing profitability.
In 2025, CHINA JINMAO continued to demonstrate strength in financing costs, debt structure, and capital reserves. The average cost of new financing decreased to 2.75%, maintaining a low level within the industry. The proportion of development and operational loans increased to approximately 50%, while foreign currency debt continued to decline, falling to 20%, indicating further optimization of the debt structure.
The company maintained diversified financing channels, successfully issuing multiple low-interest bonds, with the lowest public market financing cost at 2.3%. Development loans for new projects were mostly priced at the self-discipline lower limit, reflecting strong funding capabilities. As of the end of the reporting period, the company had over RMB 70 billion in unused bank credit facilities. Management believes that ample credit reserves and an optimized financing structure will support future investments and project development.
In investment, CHINA JINMAO continued its strategy of "focus and precision," directing new resources toward high-tier cities and premium locations. In 2025, the company acquired 21 new projects, all located in first- and second-tier cities. Investments in Beijing and Shanghai, two strategic key cities, accounted for 66% of the total, highlighting the company's concentrated focus on core markets.
In terms of inventory value, 67% of unsold properties were concentrated in economically developed regions such as North China and East China, while 89% were located in first- and second-tier cities. The proportion of unsold properties in first-tier cities increased by 8 percentage points year-on-year, nearing 30%. This indicates that the company's future salable resources are increasingly concentrated in regions with higher market certainty and stronger demand absorption.
Management stated that in 2026, the company will adhere to the philosophy of "product leadership and customer focus," maintaining an active yet prudent investment approach, concentrating on high-tier cities, and further strengthening its development foundation.
At the earnings conference, CHINA JINMAO outlined its next-phase development goals, stating that it has completed the "survival" stage amid industry adjustments. Moving forward, the company aims to "thrive" and "excel" by revitalizing existing assets and optimizing new projects, striving to become a leading urban operator with superior products, a rational structure, and distinct characteristics.
The 2025 full-year performance signals that during the industry's deep adjustment phase, corporate competition has shifted from scale expansion to a comprehensive contest of product strength, operational efficiency, investment capability, and financial resilience. The simultaneous improvement in sales growth, profit recovery, and financial optimization has drawn increased attention to the company's future performance.
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