Country Garden Flags Profit Warning, Losses Up to $1 Billion

  • Preliminary full-year loss might be company’s first since 2007
  • Earnings pressure may linger due to margin risk: BI analyst
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China’s biggest property developer Country Garden Holdings Co. warned that it may have recorded its first full-year loss in at least 16 years, underscoring the plight of the nation’s builders.

The Foshan-based company warned of a preliminary net lossBloomberg Terminal of about 5.5 billion yuan ($800 million) to 7.5 billion yuan in 2022. That would be its first full-year loss since its listing in Hong Kong in 2007. The company saw declines in gross margin, rising impairment for property projects, and net foreign exchange losses.