On August 29, Jinke Property Group Co., Ltd. (*ST Jinke, 000656) released its 2025 interim report. As the most advanced A-share listed national real estate company in judicial restructuring proceedings, Jinke has attracted significant attention from the industry and market. The report shows that in the first half of this year, Jinke achieved revenue of 2.363 billion yuan, with cash and cash equivalents of 3.796 billion yuan and total saleable resources covering approximately 45.338 million square meters. Since the housing delivery guarantee program began in 2022, the company has cumulatively delivered 308,000 units totaling 47.54 million square meters, achieving approximately 97% completion of its delivery guarantee tasks. Jinke has officially entered the restructuring plan execution phase, with multiple implementation tasks progressing orderly. The market expects Jinke to complete the restructuring plan execution within 2025. Upon completion, the company's asset-liability structure will be significantly optimized, operational sustainability will be substantially enhanced, and the new Jinke will be officially born.
**Stabilizing Operations and Protecting Livelihoods: Upholding Delivery Commitments**
To ensure stable production and operations, Jinke maintained a dual approach of increasing revenue and reducing costs in the first half of 2025. On one hand, the company secured cash flow through sales and collections, achieving sales of approximately 4.45 billion yuan and collections of 3.945 billion yuan. On the other hand, it reduced various cost and expense outlays, with the senior management team voluntarily reducing salaries and deferring wages, resulting in management expenses declining over 38% year-over-year and continued compression of sales expenses.
During the reporting period, Jinke prioritized "guaranteeing housing delivery and stabilizing livelihoods" as its primary operational task, completing delivery of approximately 7,000 residential and commercial units covering about 1.23 million square meters. Since the housing delivery guarantee program began in 2022, the company has cumulatively delivered 308,000 units totaling 47.54 million square meters, achieving approximately 97% completion of delivery guarantee tasks. Jinke expects to complete delivery guarantee tasks for all projects within 2025.
Recently, high-level meetings have again mentioned real estate, signaling further positive "market stabilization" measures, with first-tier cities successively launching related policies. In early August, Beijing took the lead in implementing optimized real estate policies, adjusting purchase restriction policies and increasing housing provident fund support. On August 25, Shanghai also introduced new real estate policies, adjusting real estate policies across four areas: reducing housing purchase restrictions, optimizing housing provident funds, improving personal housing credit, and refining personal housing property taxes.
Continuously optimized supportive policies help consolidate the real estate market's stabilization trend, accelerate market expectation recovery, and promote stable and healthy real estate market development. The market environment facing Jinke and numerous real estate companies is gradually improving.
**Advancing Restructuring and Embracing New Opportunities: Capital and Resource Injection Brings Vitality**
Jinke's restructuring achieved critical progress in the first half of this year. As of the report disclosure date, Jinke has entered the restructuring plan execution phase, with industrial investors and financial investors completing payment of the full 2.628 billion yuan restructuring investment according to the "Restructuring Investment Agreement." Subsequently, upon completion of trust plan establishment, cash debt resource fulfillment (reservation), and share transfer registration, Jinke's restructuring plan will be formally completed. At that time, Jinke may recognize debt restructuring gains according to corporate accounting standards, significantly improving the company's asset-liability structure.
According to the restructuring plan, most subsidiary equity of Jinke Property Group and Chongqing Jinke will be transferred to bankruptcy service trusts to settle ordinary claims of Jinke Property Group and Chongqing Jinke. After transfer completion, related subsidiaries will no longer be included in consolidated financial statements. As of the report disclosure date, administrators have selected CITIC Trust Co., Ltd. and Industrial and Commercial Bank of China Chongqing Branch as trustee and custodian bank respectively for the corporate bankruptcy service trust, with related agreement signing work progressing orderly.
Meanwhile, future restructuring investors will inject incremental funds and resources into the company to enhance operational sustainability. The three industrial investors introduced through Jinke's restructuring - Shanghai Pinqi Consortium, China Great Wall Asset Management, and Sichuan Development Securities Fund - have formed a strong investment combination of "quality capital + central enterprise AMC + local state-owned enterprise," each with distinct advantages in industrial strengths, resource integration, and management capabilities, committing to multi-dimensional collaborative empowerment for new Jinke's transformation and upgrading.
Additionally, according to investment agreements, restructuring investors will reorganize the company's board of directors after completing share registration following successful restructuring. Jinke Property Group will use this restructuring as an opportunity to build a more reasonable and scientific corporate governance system.
With assistance from government, investors, creditors, and other parties, Jinke's restructuring has reached its final critical moment. As the "first real estate restructuring stock," Jinke Property Group may become a model case for national real estate enterprises resolving risks through judicial restructuring.
**Planning Transformation and Starting New Journey: Anchoring Real Estate Operations New Track**
It is understood that while advancing restructuring, Jinke is also pursuing corporate transformation and upgraded development. During the reporting period, Jinke combined restructuring with strategic investor introduction work, proactively planning new business growth points post-restructuring.
In development management services, the company drove business growth through commercial development management, government development management, and capital development management. From January to June 2025, 56 new full-process development management projects were signed, managing 5.78 million square meters.
In industrial and commercial business, Jinke's industrial and commercial division continued exploring subdivision track business opportunities while managing existing projects well, achieving remarkable results in light-asset project expansion, laying a solid foundation for post-restructuring business development.
According to the restructuring plan, Jinke Property Group's overall future strategy will primarily focus on "efficient operations, lean management, and technological innovation," with improving profitability, asset value, and liquidity as core objectives, promoting the company's transformation into a comprehensive real estate operator focused on strong profitability and high investment returns.
In May this year, Jinke's industrial investors also clarified at an earnings briefing how they would provide collaborative empowerment to new Jinke across different business levels. Specifically, Shanghai Pinqi Consortium's core team has deeply cultivated China's real estate, finance, and capital market sectors for over thirty years, exploring and attempting real estate industry transformation paths and innovative development models for nearly ten years. They will empower new Jinke's development across management, technology, resources, and other aspects.
Regarding China Great Wall Asset Management, first, it will leverage its resources and professional advantages in distressed assets to promote operational revitalization and value enhancement of qualified and mutually recognized project companies. Second, new Jinke will also cooperate with Great Wall Asset Management to organize its real estate inventory projects, seeking cooperation opportunities in distressed asset revitalization and development management, helping new Jinke form strong market influence and differentiated competitive capabilities in the special assets field.
For Sichuan Development Securities Investment Fund, new Jinke's new strategy will align with the Chengdu-Chongqing integration strategic direction. Both parties will conduct in-depth communication and collaboration across strategic, business, and management levels, achieving business synergy with Jinke Property Group through equity investment, project cooperation, financial market and capital operations, and industrial collaboration and innovative development.
These undoubtedly open new development space for Jinke's future.