In mid-2026, Chinese real estate giant Country Garden’s financial performance showed a significant decline compared to the same period last year. The company reported a net loss attributable to shareholders of approximately 15.62 billion yuan in the first half of the year, with both net profit and revenue plummeting.
On the evening of August 28th, Country Garden released its mid-2026 financial results. The report indicated that during the period, the group achieved total revenue of about 44.08 billion yuan, a decrease of around 39.3% year-on-year. The net loss was approximately 16.44 billion yuan, with a net loss attributable to company shareholders of 15.62 billion yuan. In the same period last year, the company faced a net loss of about 6.5 billion yuan.
Country Garden’s sales numbers for the first half of the year included contract sales totaling around 14.25 billion yuan attributable to company shareholders’ equity, and contract sales area of approximately 1.825 million square meters.
According to Country Garden’s interim report, the main reasons affecting profitability include a significant decrease in business income due to the large reduction in delivery volume as the group enters the final stage of property delivery. Additionally, the delayed conversion of income by real estate companies, combined with negative factors such as the macroeconomic environment, industry conditions, and adverse financial situations of counterparts, led to provisions of around 6.2 billion yuan for inventory impairment and approximately 3.8 billion for financial asset and financial guarantee impairment losses. The company recorded other income and gains of around 4.1 billion yuan, mainly from financial liabilities measured at fair value and debt restructuring gains.
In the first half of this year, Country Garden accumulated equity contract sales of 14.25 billion yuan, with an equity sales area of about 1.825 million square meters. Calculated based on these figures, the equity sales for the first half of 2026 saw a year-on-year decrease of approximately 15%.
According to data from CRIC, in the 2026 January-July Chinese real estate operations area rankings, Country Garden returned to the top ten in the industry. However, whether this rise in ranking signifies a substantial operational improvement remains to be seen in light of its scale of losses.
Regarding debt restructuring, following the successful completion of overseas debt restructuring last year, Country Garden successfully met the deadlines for the first batch of cash and interest payments in December of last year and June of this year. The company stated that these efforts aim to restore its overseas credit fundamentals and improve market valuation expectations.
In its 2025 annual report, Country Garden reported total revenue of 154.89 billion yuan and a net profit of 3.26 billion yuan for the year.
Reviewing Country Garden’s financial reports from the past four years reveals that 2025 was its best-performing year. In 2022, the company reported its first negative net profit since going public, with a loss of 6.052 billion yuan. Subsequently, in 2023 and 2024, losses amounted to 178.4 billion yuan and 32.835 billion yuan, respectively.
The 2025 annual report showed that the total equity contract sales for the year reached 33.01 billion yuan, a 30.06% decrease compared to the previous year. By the end of 2025, Country Garden’s total liabilities were 767.9 billion yuan, down by 216.7 billion yuan from the end of 2024.
Earlier, Country Garden’s Chairman Yang Huiyan defined 2026 as the “year of finalizing property deliveries.” The company aims to complete most of its property delivery tasks by mid-2026.