BENGALURU: Embattled property developer Sunac China on Tuesday forecast a half-year loss attributable to its shareholders of 15 billion yuan ($2.10 billion) due to a housing market downturn.
China’s property sector, a cornerstone of the country’s economy, has been in a rough spell since 2021 as a regulatory drive on developers using excessive leverage caused a liquidity crisis.
New home prices in China fell at their fastest pace in nine years in July, as a series of support policies failed to stabilise prices and restore confidence in the struggling sector.
Other Chinese property giants have also had to bear the brunt of the struggling industry, with China Vanke reporting a massive fall in its annual profit earlier this year, while Country Garden had to delay the publication of its fiscal 2023 results.
Sunac China primarily attributed the potential loss, its third half-year loss in a row, to a substantial decline in recognized revenue due to the market downturn, among other unspecified causes.
Last year, Sunac reported a half-year loss attributable of 15.37 billion yuan.
The company expects to publish its half-year results on or before the end of August, it said in a statement.
Source Homevior.in
