Skip to content
Subscriber Only

Evergrande’s Heavy Discounts Fail to Boost August Property Sales

  • Selling prices fell 11.5% from July to lowest in five years
  • Contract sales value dropped 26% from a year earlier
Bloomberg business news
Evergrande’s Local Bonds Faced Trading Halts
Updated on

China Evergrande Group’s aggressive discounts failed to boost property sales in August, underscoring how the debt-laden developer’s efforts to raise cash are squeezing profitability. 

The company’s average selling price slid 11.5% in August from a month earlier to the lowest since July 2016, according to Bloomberg calculations based on a Friday filing. Contracted sales, including those to suppliers and contractors to offset payments, dropped to 38.1 billion yuan ($5.9 billion), 26% lower than a year ago.