To achieve this positioning, China Res Land will firmly implement three major operational guidelines. On March 30, China Res Land released its 2025 annual results announcement and held an earnings presentation. Management, including Board Chairman Li Xin, President Xu Rong, Vice Chairman Zhang Dawei, Chief Financial Officer Zhao Wei, and Chief Operating Officer Chen Wei, were present to interpret the company's 2025 operational results, assess industry trends, and outline the development strategy and performance targets for the 15th Five-Year Plan period.
Financial reports show that in 2025, the company achieved a comprehensive turnover of RMB 281.44 billion, a year-on-year increase of 0.9%. Within this, development and sales business turnover was RMB 238.16 billion; operating property rental business turnover was RMB 25.44 billion, and light asset management fee-based business turnover was RMB 17.83 billion. Total recurring business income reached RMB 43.28 billion, an increase of 3.7% year-on-year, accounting for 15.4% of total turnover. The period's comprehensive gross profit margin was 21.2%. The gross profit margin for the development and sales business was 15.5%; the gross profit margin for the operating property rental business was 71.8%, an increase of 1.8 percentage points year-on-year, while improved operational efficiency at China Resources Mixc Lifestyle Services led to a 2.5 percentage point increase in its gross profit margin to 35.5%.
During the reporting period, profit attributable to shareholders was RMB 25.42 billion. Core profit attributable to shareholders, which excludes the revaluation gains on investment properties for the year and adds back the realized cumulative revaluation gains from disposed investment property projects, was RMB 22.48 billion. Core profit from recurring businesses reached RMB 11.65 billion, with its contribution to core profit increasing by 11.2 percentage points year-on-year to 51.8%.
The report indicated that in 2025, the group achieved contracted property sales of RMB 233.6 billion, ranking third in the industry, with a contracted area of 9.22 million square meters. As of the end of 2025, the group had locked in unrecognized revenue from signed contracts amounting to RMB 164.58 billion, of which RMB 123.48 billion is expected to be recognized in 2026. During the reporting period, the group added 3.39 million square meters of gross floor area to its land reserve. The total land reserve reached approximately 46.73 million square meters by the end of 2025.
At the earnings presentation, Board Chairman Li Xin stated that 2025 was a significant year of deep adjustment and accelerated transformation for China's real estate industry. The overall market continued its downward trend, with structural differentiation intensifying further. The industry is transitioning from a phase focused on incremental growth to one emphasizing quality and efficiency improvements in existing stock, with new development models being rapidly restructured. "Based on industry trends, China Res Land has upgraded its strategic positioning to: Create a world-class urban investment and development operator." Li Xin pointed out that creating a world-class standard primarily involves five key criteria: high-quality profitability, financial stability, advanced business models, leading market capitalization, and a strong brand.
To achieve this positioning, China Res Land will firmly implement three major operational guidelines: First, "Emancipate the mind, innovate and transform, and pursue comprehensive high-quality development," breaking developmental constraints and driving iterative upgrades to business models. Second, "Effective improvement in quality and reasonable growth in quantity," balancing development speed with quality to achieve sustainable growth. Third, "Revenue with profit and profit with cash flow," adhering to the bottom line of profitability to ensure corporate financial security.
Simultaneously, China Res Land will reshape its competitive advantages and solidify the foundation for high-quality development through the efficient synergy and concerted effort of its "Three Growth Curves."
Discussing the performance plan for the 15th Five-Year Plan period, Li Xin further clarified development targets for the three major business segments, ensuring the "Three Growth Curves" maintain an overall stable growth trend. For the development and sales business, it is anticipated that the traditional real estate market will still face some pressure in 2026-2027. However, with improvements in investment quality and the successful execution of projects, incremental releases are expected to stabilize and recover the development business. By the end of the 15th Five-Year Plan period, revenue from the development and sales business is projected to remain around RMB 200 billion, maintaining a revenue share of 70%-75%, with a profit contribution of nearly 40%.
The operating property rental business is expected to grow steadily. Although some projects will undergo asset securitization, the continued opening of shopping centers under construction, ongoing improvements in the operational quality of existing shopping centers, and the effective cycle of asset management business are projected to stabilize revenue at around RMB 30 billion by the end of the 15th Five-Year Plan period. The scale and quality are expected to remain industry-leading, with a revenue share approaching 15% and a profit contribution nearing 50%.
The light asset management fee-based business is set to maintain strong growth momentum, with an estimated annual growth rate exceeding 10%. The aim is to achieve revenue of around RMB 20 billion by the end of the 15th Five-Year Plan period, with a profit contribution of 10% to 15%.
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