BUSINESS

Vanke 2025 Net Loss Widens 79% to $13 Billion on Massive Impairments

Published: Apr. 2, 2026 12:25 a.m. GMT+8

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Vanke has grappled with a liquidity squeeze since late 2023. Photo: VCG

China Vanke Co. Ltd.’s net loss widened nearly 79% to 88.6 billion yuan ($12.9 billion) in 2025, as the cash-strapped developer booked heavy impairment charges amid China’s prolonged property downturn.

The result underscored how deeply the sector slump has hit even Vanke, long viewed as one of the industry’s more financially conservative players. The Shenzhen-based company has increasingly relied on state-linked support and debt extensions as it manages a liquidity crunch tied to earlier years of aggressive expansion.

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China Vanke's 2025 net loss widened 79% to 88.6B yuan ($12.9B), driven by 56.1B yuan impairments (assets 21.9B, credit 34.2B).
Contracted sales fell 45.5% to 134.1B yuan; core revenue dropped 9% to 170.1B yuan, gross margin at 8.1%.
Liquidity strained with 358.5B yuan debt, 850M yuan cash, negative cash flow; seeks extensions amid state support.

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Who’s Who

China Vanke Co., Ltd.: China Vanke Co., Ltd. reported a net loss of 88.6 billion yuan ($12.9B) in 2025, up 79% YoY, driven by 56.1B yuan impairments amid property slump. Sales fell 45.5% to 134.1B yuan. Liquidity strained with 358.5B yuan debt; relies on state support from Shenzhen Metro. Cash at parent: 850M yuan; negative cash flow. (62 words)

Boshang Asset Management Co., Ltd.: Boshang Asset Management Co., Ltd. is an off-balance-sheet financing platform once controlled by former Vanke president Zhu Jiusheng. Vanke booked a 33.7 billion yuan bad-debt provision on "other receivables" linked to four related companies, driving most of its 34.2 billion yuan credit impairments in 2025.

Deloitte Touche Tohmatsu Certified Public Accountants LLP: Deloitte Touche Tohmatsu Certified Public Accountants LLP is China Vanke's auditor. It cited expected credit losses on other receivables as a key audit matter, highlighting significant uncertainty over recoverability.

Shenzhen Metro Group Co., Ltd.: Shenzhen Metro Group Co., Ltd., Vanke's state-owned shareholder, supported the developer to avoid bond defaults. It temporarily capped lending in November 2025, prompting debt repayment pauses, but resumed aid in January 2026 with a 2.4 billion yuan loan, helping secure onshore bond extensions.

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