Vanke Warns of $1.2 Billion Loss on China’s Housing Slump

  • Discounts from clearing housing inventory impacted bottom line
  • Chinese developer made arrangements to repay onshore bonds

Cranes at the site of a China Vanke development in Hefei, China. 

Source: Bloomberg
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China Vanke Co. warned of hefty losses in the first half, as the country’s property downturn took a toll on the closely watched developer that’s trying to secure cash to pay off debts.

State-backed Vanke expects to post a first-half loss of 7 billion yuan to 9 billion yuan ($962 million to $1.2 billion), it said in a filing late Tuesday. The projected loss signals a sharp downturn from the first quarter, when it lost 362 million yuan.