Shenzhen Holdings Limited (referred to as “Shenzhen Holdings”) issued a statement on August 22, announcing that the unaudited comprehensive loss attributable to the company’s shareholders for the first half of 2025 is expected to reach around 2.5 to 2.7 billion Hong Kong dollars. This figure represents an increase in losses compared to around 1.1 billion Hong Kong dollars in the same period of 2024.
The announcement highlighted that the main reason for the expanded loss was due to the impairment treatment of the equity in jointly controlled company, Road King Infrastructure Limited, listed in Hong Kong, with a provision of approximately 1.3 billion Hong Kong dollars for impairment losses.
According to Shenzhen Holdings, the current loss is primarily attributed to impairment losses on the jointly controlled company. The company has made sufficient impairment provisions for its long-term equity investment in Road King and expects that its future performance will not have a significant negative impact on the group.
Additionally, based on Shenzhen Holdings’ report released in January 2024 on the progress of real estate sales business, the company’s unaudited total contracted sales for the year were about 16.967 billion yuan (RMB, Renminbi), showing a significant decrease of 36.18% compared to 26.586 billion yuan in 2023. The total contracted sales area was approximately 603,389 square meters, a decrease of 15% year-on-year, with an average selling price per square meter of around 28,120 yuan, down by 24.47%.
Shenzhen Holdings Limited was listed on the Hong Kong Stock Exchange in 1997, with its core business covering property development, investment, and management. The company’s controlling shareholder, Shenzhen Yee Group, is a large comprehensive enterprise group directly managed by the Shenzhen Municipal State-owned Assets Supervision and Administration Commission.