SUNAC has released its interim results for the six months ended June 30, 2026, posting a net loss attributable to shareholders of RMB 12.543 billion, a reduction of 2.08% compared with the same period last year.
Revenue for the period came in at RMB 16.349 billion, down 18.2% year-on-year, with a loss per share of RMB 0.77. The company attributed the top-line decline primarily to a drop in property sales revenue.
During the reporting period, revenue from property sales reached approximately RMB 10.90 billion, accounting for roughly 66.6% of total revenue. That represents a decrease of around RMB 3.10 billion, or 22.1%, from the corresponding period in 2025, mainly due to a reduction in the floor area of delivered properties.
The property sector has continued to face a prolonged downturn in recent years, with the overall sales market contracting sharply. Meanwhile, debt issues at several developers have eroded homebuyer confidence in off-plan properties, further intensifying difficulties in new-home sales. Under liquidity pressure from shrinking new sales volume and narrowing external financing channels, the company has seen constraints on the delivery progress of sold projects and the development and launch pace of new projects. The floor area of delivered properties fell by approximately 573,000 square metres, or 33.8%, compared with the first half of 2025, leading to a significant year-on-year drop in sales revenue for the period.
In the first half of 2026, the contracted sales amount of the group, together with its joint ventures and associates, totalled approximately RMB 10.25 billion, down roughly 56.5% from the prior-year period. As of the end of June 2026, the group's total land bank, including joint ventures and associates, stood at around 104 million square metres, with equity land reserves of about 72.262 million square metres. Of that, unsold land reserves amounted to approximately 86.111 million square metres, including 58.594 million square metres on an equity basis.
In the property management segment, SUNAC Services, a listed subsidiary (stock code: 01516.HK), delivered stable and improving performance during the period. Revenue for SUNAC Services reached about RMB 3.22 billion in the first half of 2026, down around 9% year-on-year. Excluding the impact of the disposal of Zhangtai Services in 2025, revenue slipped only 2% compared with the prior-year period.
The property management arm continued to refine its operations, with gross margins stabilising when adjusted for the divestment impact. It also streamlined its organisational structure, bringing management expense ratios down by 1.2 percentage points year-on-year. Profit attributable to owners of SUNAC Services reached approximately RMB 120 million, up 2% year-on-year, or about 71% higher when excluding the disposal effect. Operating cash flow improved, with available funds reaching roughly RMB 3.29 billion.
During the first half of 2026, SUNAC Services focused on industrial office assets as a key business type and secured leading clients in emerging sectors such as chip manufacturing, computing centres and data centres. As of the end of June 2026, the property management arm had approximately 260 million square metres of floor area under management.
Comments