E-HOUSE ENT (02048) announced its interim results for the six months ended June 30, 2025. The group recorded revenue of RMB 1.261 billion, representing a decrease of 20.87% compared to the same period last year. Loss attributable to owners of the company amounted to RMB 298 million, a reduction of 40.18% year-on-year. Loss per share was 17.05 cents.
The recovery of the real estate market continues to face significant headwinds. The group's performance was impacted by the ongoing market downturn, with total sales revenue declining 20.9% year-on-year during the reporting period. The group's real estate agency services, brokerage network services, and digital marketing services were negatively affected by persistently weak real estate transaction volumes. Developer demand remained sluggish as many developers continue to face their own financial difficulties, negatively impacting the group's data and consultancy services.
In this challenging environment, the group continued to focus on cost reduction and cash flow management, achieving a 46.0% year-on-year reduction in total net loss. Most of the group's business units achieved profitability.
Looking ahead to the second half of 2025, the group expects China's macroeconomic conditions and real estate industry outlook to remain challenging. The group anticipates continued difficult operating conditions. All of the group's operating segments are directly related to China's real estate industry. Without growth in transaction volumes, the group's real estate agency services, brokerage network services, and digital marketing services will be negatively affected. If developers expect continued weak housing demand, their willingness to purchase the group's data and consultancy services will decline.
In light of this, the company will actively and continuously address going concern issues and believes that effective cost control and the ultimate success of restructuring will improve the group's financial position while providing liquidity and cash flow, enabling the group to continue operations and be well-positioned to benefit when the market recovers.