China’s real estate giant Vanke achieved a cumulative contract sales amount of 246.02 billion yuan in 2024, a decrease of 35% compared to 2023.
On January 4th, Vanke Corporation Limited released a briefing on its sales in December 2024 and recent new projects.
The data showed that in December 2024, Vanke achieved a contract sales area of 1.727 million square meters, an increase of 5.8% month-on-month; the contract sales amount was 23.34 billion yuan, a 15.9% increase from the previous month. Looking at the annual data for 2024, Vanke accumulated a contract sales area of 18.107 million square meters and a contract sales amount of 246.02 billion yuan.
Compared to the same period in 2023, Vanke’s sales area in 2024 decreased by 6.553 million square meters, a 27% drop, and the sales amount decreased by 130.1 billion yuan, a 35% decrease. The decline in sales amount was much higher than the decrease in sales area, indicating a significant drop in property prices.
According to Vanke’s third-quarter report released on October 30, 2024, in the period of January to September 2024, Vanke achieved a total operating income of 219.89 billion yuan; the net loss attributable to shareholders of the listed company was 17.94 billion yuan. As of the end of September 2024, Vanke’s interest-bearing debts totaled 327.61 billion yuan, with more than one year accounted for 64.4%; the net debt ratio was 66.2%, the asset-liability ratio excluding advances was 65.4%; and the cash funds held amounted to 79.75 billion yuan.
According to incomplete statistics, at least 4 bonds issued by Vanke in China will mature in the first quarter of 2025, with a total outstanding amount of approximately 9 billion yuan; and in the second quarter, there will be 2 bonds maturing overseas with an outstanding balance of about 3.6 billion yuan.
As early as September 2018, Vanke once proclaimed the slogan “survive,” indicating a sense of vigilance. By March 2020, Yu Liang stated at the annual meeting that “surviving” had become a harsh reality.