China Jinmao H1 2026 Profit Drops 19% as Revenue Slips 15%; HK3-Cent Interim Dividend Unchanged

Bulletin Express
Aug 25

China Jinmao Holdings Group Limited released unaudited results for the six months ended 30 June 2026.

Revenue and Earnings • Revenue fell 15% year on year to RMB 21.42 billion, mainly due to lower property development deliveries. • Profit attributable to owners of the parent declined 19% to RMB 879.20 million; excluding investment-property fair-value losses, profit decreased 10% to RMB 1.01 billion. • Basic earnings per share slipped to RMB 4.08 cents from RMB 5.64 cents.

Segment Performance • Property development revenue dropped 16% to RMB 16.80 billion as gross margin compressed to 7% (H1 2025: 12%). • Property investment income rose 5% to RMB 852.60 million, supported by new assets such as Changsha ICC; segment gross margin held at 80%. • Hotel operations revenue decreased 19% to RMB 629.30 million after the disposal of The Ritz-Carlton Sanya; gross margin was 33%. • Jinmao Services revenue increased 6% to RMB 1.89 billion, driven by growth in property management and community value-added services. • Other businesses (design, decoration, building technology) generated RMB 1.99 billion, down 18%.

Balance Sheet and Cash Flow • Total assets expanded 9% since end-2025 to RMB 482.26 billion, while equity attributable to owners edged up 3% to RMB 54.63 billion. • Net debt fell, with interest-bearing bank and other borrowings at RMB 122.76 billion (-5% versus end-2025); net debt-to-adjusted capital ratio improved to 52% (31 Dec 2025: 69%). • Operating cash inflow reached RMB 10.49 billion; overall net cash increased RMB 8.95 billion during the period.

Dividend The Board declared an interim dividend of HK3 cents per share, unchanged from a year earlier, payable on or before 30 October 2026 with a scrip option.

Operational Highlights • Contracted sales rose 8% year on year to RMB 57.50 billion, lifting the company’s industry ranking to seventh. • Total GFA of projects acquired since 2026 stands at about 0.82 million sq m, supporting future pipeline. • The group continues to prioritise cash preservation, inventory turn and liability reduction while enhancing product and service quality.

Management Outlook China Jinmao expects the Chinese real-estate market to remain in a bottom-building phase but sees structural opportunities ahead. The company will focus on delivering operating performance, strengthening product culture and accelerating growth in non-development “second-curve” businesses, while maintaining prudence on leverage and existing-asset revitalisation.

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