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    China Evergrande warns H1 profit to slump

    By WANG YING in Shanghai | chinadaily.com.cn | Updated: 2021-08-26 13:32
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    The logo of Evergrande Group. [Photo/IC]

    China Evergrande Group projected its interim net profit may nosedive as much as 39 percent year-on-year, said the group in a notice issued on Wednesday night.

    The group expects to post a net profit of between 9 billion yuan and 15 billion yuan in the first six months this year, a drop of between 29 percent and 39 percent from a year ago, said the announcement.

    China Evergrande attributed the profit slump to the falling property sales price as well as rising cost.

    According to the filing, the group's property business, its key profit contributor, forecasts a loss of about 4 billion yuan, while its electric car businesses may lose around 4.8 billion yuan.

    Shares of China Evergrande New Energy Vehicle plunged more than 20 percent on Thursday morning, reaching the lowest level since last March. The group's other listed units were all impacted by the shrinking profit with Evergrande dropping more than 6 percent as of Thursday noon, and Evergrande Property Services going down over 3 percent.

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