China Vanke Continues to Suffer Heavy Losses Amid Prolonged Real Estate Downturn

By Sherry Qin

China Vanke continued to suffer heavy losses in the first quarter as the Chinese property developer continued to grapple with the years-long downturn in the real estate sector,

The Shenzhen-based developer's net loss narrowed by 5% compared with the same period a year earlier to 5.95 billion yuan, equivalent to $870.1 million, the company said on late Wednesday. First quarter revenue declined 24% on year to 28.93 billion yuan,

Vanke said the result was mainly due to losses in its development business, with segment's first-quarter revenue tumbling 36% to 14.57 billion yuan.

Large Chinese property developers have been hit hard by a liquidity crisis since 2021, when the housing market entered a prolonged downturn. Vanke is among the few developers that have yet to default on its debs.

Vanke has received multiple liquidity injections from its state-owned shareholder Shenzhen Metro Group. In late January, it received bondholders' approval to push back repayment on debt and obtained a fresh loan from Shenzhen Metro, giving it more breathing room to avoid a default.

Vanke's Hong Kong-listed shares were 2.0% lower in early trade Thursday.

Write to Sherry Qin at sherry.qin@wsj.com

(END) Dow Jones Newswires

April 30, 2026 00:19 ET (04:19 GMT)