LVGEM (China) Real Estate Reports 62% Drop in Revenue and 80.3% Decline in Contracted Sales in H1 2025

Reuters
Aug 29
LVGEM (China) Real Estate Reports 62% Drop in Revenue and 80.3% Decline in Contracted Sales in H1 2025

LVGEM (China) Real Estate Investment Company Limited has released its interim results for the six months ended 30 June 2025. The company's revenue for this period was approximately RMB1.04 billion, a decrease from RMB1.94 billion in the same period of 2024. Gross profit decreased to RMB376.3 million from RMB437.7 million in the previous year. The company reported other losses of RMB105.1 million, a significant increase from RMB21.9 million in losses in the corresponding period of 2024. Additionally, the company recognized impairment losses on properties held for sale amounting to RMB471.2 million. In terms of sales performance, the real estate development and sales of the Group generated revenue of approximately RMB527.5 million, which represents a year-on-year decrease of approximately 62.0%. Contracted sales based on commodity housing purchase agreements amounted to approximately RMB1.06 billion, a decrease of around 80.3% compared to the same period in 2024. The company's business strategy during this period focused on streamlining operations and concentrating resources on five high-quality projects, primarily located in the core areas of core cities in the Greater Bay Area. This focus maintained a solid geographical advantage amidst a challenging market characterized by fluctuations in supply and demand and intense competition in the luxury residence market. The Board of Directors has decided not to recommend the payment of any dividend for this period.

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