Country Garden, once China’s largest private property developer by sales, has revealed a record Rmb48.9bn ($6.7bn) loss for the first half of the year as it battles to survive the liquidity crisis afflicting the country’s real estate sector.
The six-month results released on Wednesday represent the highest ever losses for the group, until recently considered safer than many of its peers. They also highlight the dire outlook for an industry typically responsible for more than a quarter of economic activity in China.
The company’s woes are part of a two-year real estate liquidity crisis that began with the default of developer China Evergrande in 2021 and has shown signs of spilling over into the Chinese investment industry.
Read the full story on the Financial Times here.