SOHO China released its unaudited results for the six months ended 30 June 2026, highlighting a challenging but stabilising commercial real-estate market in Beijing and Shanghai.

Revenue declined 8.00% year on year to RMB 638.13 million, reflecting soft office-and-retail leasing demand. Gross profit slipped 7.00% to RMB 510.57 million, while the gross margin held steady at 80%. Lower finance costs (down 6.50% to RMB 308.13 million) and smaller fair-value losses on investment properties helped trim the net loss to RMB 33.15 million from RMB 90.60 million a year earlier.

Operationally, average occupancy across the Group’s seven prime assets rebounded to 83%, buoyed by demand from technology, AI, professional services and multinational tenants. Key leasing wins included Daimler and Samsung, and more than 7,000 sq m of newly fitted space—particularly small, fully fitted offices at Gubei SOHO—was delivered during the period.

Total borrowings stood at RMB 14.89 billion, secured against investment properties, with RMB 4.65 billion due within 12 months. Net gearing remained flat at 39.70%. The Group reported a working-capital deficit of RMB 7.30 billion. Average funding cost was unchanged at 4.2%; offshore debt accounted for just 0.70% of total borrowings.

SOHO China continues to strengthen ESG practices across six pillars, targeting higher energy efficiency, green leasing and enhanced safety management. The Board did not declare an interim dividend.

Looking to 2H 2026, management expects ongoing rental pressure but anticipates gradual market stabilisation as macro-policy support and emerging-sector growth drive incremental demand for premium office space. The Group plans to maintain prudent capital management, focus on tenant-mix optimisation, and pursue selective asset sales to manage liabilities and fund tax obligations.