Cinda Real Estate: In 2025, net profit attributable to the parent company will record a loss of 78.75 billion yuan, and measures on both the supply and demand sides of the real estate market will be further optimized.

On April 1st, Cinda Real Estate (600657.SH) released its 2025 annual report. During the period, the company achieved a total operating revenue of 4.58B yuan, a year-on-year decrease of 42.9%; total profit of -8.45 billion yuan, a year-on-year decrease of 1,214.97%; and net profit attributable to the parent of -7.88B yuan, a year-on-year decrease of 904.62%.

The announcement shows that Cinda Real Estate’s net profit attributable to the parent company for 2025 was -7.88B yuan. The average annual distributable profit over the past three years was -2.72B yuan, with a cumulative cash dividend of 0 yuan, in accordance with the company’s articles of association regarding non-distribution of profits during loss periods. Although net profit remains under pressure, retained funds are planned to be used to supplement working capital and project reserves to reduce financing costs, reflecting a prudent financial strategy.

As of the end of 2025, Cinda Real Estate’s total assets amounted to 76.6B yuan, an increase of 76.43B yuan from 165M yuan at the beginning of the year; total liabilities reached 57.57B yuan, an increase of 50.5B yuan from 7.07B yuan at the start of the year; owners’ equity attributable to the parent was 15.96B yuan, down 23.84B yuan from 7.88B yuan at the beginning of the year; the asset-liability ratio was 75.15%, up 9.08 percentage points from 66.07% at the end of the previous year.

In its annual report, Cinda Real Estate stated that the company will continue to innovate its business and profit models, developing distressed real estate investment, light-asset operations, and asset revitalization, striving to seize industry mergers and acquisitions opportunities, expanding the scale of light-asset businesses, creating a second growth curve in real estate asset management, and building a balanced business portfolio of light and heavy assets to enhance sustainable development capabilities.

The announcement also indicated that significant changes have occurred in China’s real estate market supply and demand. Overall, the market has shifted from a seller’s market to a buyer’s market, with the real estate development prosperity index remaining low. In 2025, the national real estate market is still in a process of adjustment and decline, requiring stronger efforts to stabilize and recover the market.

Regarding the real estate industry in 2026, Cinda Real Estate predicts that policies will further strengthen the coordination of new and existing supply, balance risk prevention and development promotion, and consider both short-term market stabilization and long-term institutional development. Measures to optimize supply and demand, such as lowering home purchase thresholds, accelerating inventory clearance, and promoting urban renewal, will be implemented more rapidly. As these policies gradually take effect, they will help improve and stabilize market expectations, boost market confidence, and promote a steady recovery of the market.