R&F Properties (02777.HK) recently released its 2025 interim results report, showing a substantial net loss of 4.082 billion yuan in the first half of the year, representing a significant expansion of over 75% compared to the 2.331 billion yuan loss recorded in the same period last year.

According to the financial report, the company's revenue plummeted 60% year-on-year to just 4.165 billion yuan in the first half. This sharp decline was primarily attributed to a "double drop in volume and price": the area of delivered properties decreased by 48% to 461,000 square meters, while the average selling price fell from 11,800 yuan per square meter to 9,000 yuan per square meter.

Beyond the core property sales business facing headwinds, R&F Properties' non-residential segments also experienced comprehensive pressure. Investment property rental income declined by 26% to 313 million yuan, while hotel revenue saw a dramatic 70% drop to 827 million yuan.

R&F Properties attributed the widening losses primarily to the continued downturn in China's real estate industry, which led to decreased property development income and gross margins. The company stated it is actively promoting the monetization of non-residential assets and advancing the restructuring of its offshore USD bonds, though the restructuring plan faces challenges due to insufficient participation from bondholders.