Ganglong China Property Group Limited released its 2025 annual results, disclosing a sharp deterioration in operating performance and heightened liquidity risk.
Revenue and Profitability Revenue fell 67% year on year to RMB2.70 billion, largely reflecting a slowdown in property handovers. A RMB3.93 billion cost of sales—swelled by a RMB1.10 billion impairment on inventories—drove the group to a RMB1.23 billion gross loss (2024: RMB0.11 billion loss). Net loss widened to RMB1.93 billion from RMB0.98 billion a year earlier. Basic loss per share rose to RMB0.80 versus RMB0.41 in 2024.
Cost Controls Selling and marketing expenses contracted 36% to RMB118 million, while general and administrative expenses slipped 6% to RMB202 million, reflecting reduced sales activity and ongoing cost-containment measures. Net finance costs climbed 69% to RMB150 million due to lower capitalised interest.
Balance-Sheet Metrics Total borrowings declined 11% to RMB4.07 billion, but liquidity remained strained with cash, restricted cash and pledged deposits totalling only RMB0.51 billion. Net gearing stood at 66%, up from 46% a year earlier. Contract liabilities dropped to RMB1.43 billion, consistent with weaker pre-sales.
Debt Maturity and Defaults Of total borrowings, RMB3.32 billion mature within twelve months. As at 31 December 2025, RMB1.54 billion of bank and other borrowings and senior notes were overdue, triggering RMB0.81 billion of borrowings to become immediately repayable. The company did not redeem its US-dollar senior notes due 17 November 2025, prompting the trustee to cite an event of default.
Auditor’s Disclaimer CCTH CPA Limited issued a disclaimer of opinion, citing material uncertainties over Ganglong China’s ability to continue as a going concern. The audit firm was unable to obtain sufficient evidence on management’s plans, which include refinancing negotiations, accelerated property sales, cost controls, and potential asset disposals.
Operational Data • Contracted sales (including JVs and associates): RMB5.40 billion; contracted GFA: 473,990 sq m; average selling price: RMB11,399 per sq m. • Recognised property sales: RMB2.69 billion on 311,792 sq m of delivered GFA. • Rental income: RMB8.56 million, down from RMB18.05 million in 2024. • Land bank: 3.64 million sq m across 53 projects, 88% located in the Yangtze River Delta. • Headcount: 255 employees (2024: 299). Staff costs totalled RMB73 million.
Capital Commitments and Guarantees Outstanding construction and development commitments stood at RMB3.50 billion. Guarantees for home-buyer mortgages and JV borrowings totalled RMB3.78 billion.
Dividend The board proposed no dividend for 2025, unchanged from the prior year.
Outlook Management plans to negotiate debt extensions, seek additional financing, accelerate sales and dispose of selected projects to stabilise cash flow. The company acknowledges substantial challenges in China’s property sector but aims to focus on cost efficiency and asset monetisation.