GREENTOWN CHINA (03900) issued a profit warning, expecting that the mid-term profit attributable to shareholders will decline to approximately 50 million to 100 million yuan.

GREENTOWN CHINA (03900) announced that it expects the profit attributable to shareholders for the first half of 2026 to decrease to approximately RMB 0.5 billion to RMB 1 billion, down from RMB 2.10 billion for the same period in 2025. This is mainly due to the decrease in contracted area and average price for the group in the first half of the year, resulting in reduced revenue. Additionally, as the real estate market is still in a period of adjustment and in order to promote long-term development, the company continues to actively push for inventory clearance, which has led to a decline in the gross profit margin of recognized revenue for the first half of the year. Furthermore, the company has recognized a certain amount of asset impairment losses, which has further affected the profit attributable to shareholders. In the first half of the year, the group has continued to reduce interest-bearing liabilities, with short-term debt accounting for less than 25%, which is at a relatively low level. At the same time, cash reserves are abundant, with cash to short-term debt ratio exceeding 2 times, maintaining a high level and ensuring overall operational safety and stability.