China’s Biggest Builder Warns Core Profit Could Plunge 70%
- Country Garden says 1H earnings may reach 4.5-5 billion yuan
- Jefferies sees more private developers reporting profit drops
Country Garden, once considered among the country’s safer real estate companies, has been engulfed by the sector’s unraveling following regulatory crackdowns and covid restrictions.
Photographer: Qilai Shen/BloombergThis article is for subscribers only.
China’s largest developer Country Garden Holdings Co. warned that first-half earnings probably tumbled as much as 70% amid an escalating property crisis in the country.
The Foshan-based company’s preliminary core profit could reach 4.5 billion yuan ($664 million) to 5 billion yuan for the first six months of the year, down from 15.2 billion yuan a year earlier, according to a filing on Thursday.