Kimco has released a profit forecast for 2025, while simultaneously disclosing risks of delisting.
On the evening of January 30, the Chongqing-based real estate company Kimco (stock abbreviation: *ST Kimco, 000656.SZ) unexpectedly issued two significant announcements.
One announcement was a performance forecast for 2025, indicating that Kimco expects its net profit attributable to shareholders of the listed company for the year to be between 30 billion and 35 billion yuan, with basic earnings per share projected to range from 2.8 yuan to 3.3 yuan.
Prior to this, Kimco had recorded massive losses for three consecutive years, with net profits attributable to shareholders for 2022, 2023, and 2024 being -21.4 billion yuan, -8.7 billion yuan, and -32 billion yuan, respectively.
In December 2025, Kimco's judicial restructuring plan was officially declared fully executed. The company stated that, due to the completion of the restructuring, a debt restructuring gain was realized, estimated to be approximately 68 billion to 70 billion yuan. This restructuring gain is recognized as non-recurring profit or loss for the current period.
Kimco stated on the evening of the 30th that it is the first nationwide real estate developer among A-share listed companies to successfully shed its burdens through judicial restructuring. Facing a complex situation involving 147 billion yuan in debt and over 8,400 creditors, the restructuring plan was ultimately approved at the creditors' meeting. The company anticipates a fundamental turnaround from losses to substantial profits, with the equity attributable to shareholders of the listed company turning from negative to positive, projected to be between 5 billion and 7 billion yuan.
However, apart from the successful implementation of the restructuring plan as a positive factor, Kimco's operational fundamentals show no significant improvement. The announcement reveals that Kimco's net profit for 2025 after deducting non-recurring gains and losses remains negative, with an estimated loss as high as 29 billion to 35 billion yuan. The primary reasons cited are decreased revenue and profit from project completions, a reduction in projects and corresponding amounts eligible for interest capitalization, leading to increased expensing of interest on interest-bearing debt, and impairment losses on assets and credit losses recognized for the company and some of its real estate development projects.
In another announcement titled "Risk Warning Regarding Possible Termination of the Company's Stock Listing," Kimco disclosed that, as its audited net asset value at the end of 2024 was negative, and its net profit—both before and after deducting non-recurring items—was negative for three consecutive years (2022, 2023, and 2024), coupled with uncertainties regarding its going concern status highlighted in the most recent audit report, its stock trading has been subject to delisting risk warnings and additional risk alerts under the relevant rules of the Shenzhen Stock Exchange. If the company's situation meets the conditions specified in Article 9.3.12 of the Listing Rules, its stock faces the risk of being delisted.
As of the announcement date, the financial conditions that could trigger termination of Kimco's listing include having audited negative net assets at period-end, or negative net assets for the most recent fiscal year after retrospective restatement, among others. Kimco stated that this announcement serves as its first risk提示公告, advising investors to invest rationally and be mindful of the risks.