BRIEF: Gemdale Properties swings to massive loss
Commercial property developer Gemdale Properties Investment Corp. Ltd. (0535.HK) on Thursday reported it swung to a net loss of nearly 4.2 billion yuan ($579 million) last year from an 830 million yuan profit in 2023. Its revenue fell 24% year-over-year to 13.2 billion yuan.
The revenue decline stemmed primarily from a 4.37 billion yuan drop in the company’s booked property sales income. China’s prolonged property market downturn weighed on the company, leading it to record 560 million yuan in impairment losses on inventories at certain subsidiaries and approximately 400 million yuan on receivables.
The company expects China’s economy to grow between 4% and 6% this year, and anticipates a modest recovery in the property market. Shares of Gemdale were unchanged on Friday. The shares are down nearly 50% over the past year.
By Lau Chi Hang
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