China Vanke Co., one of the leading property developers in China, has reported a significant downturn in its financial performance, with a 46% drop in profit to 12.2 billion yuan for the year 2023, a figure that was more severe than analysts had anticipated. In response to these challenges, the company has announced plans to reduce its interest-bearing debt by more than 100 billion yuan (approximately $14bn) over the next two years. This move comes amid broader concerns in the Chinese property market, with Vanke's shares hitting a new record low following the announcement of its earnings, which could remain strained according to the company. The company's financial strain was further highlighted by its decision to skip a full-year payout for the first time since its listing in 1991. Additionally, most of Vanke's onshore bonds fell in early trading, and Morgan Stanley has downgraded its price target for Vanke due to weaker pre-sales, narrower margins, and tighter liquidity. J.P. Morgan also issued its first sell rating for Vanke, citing a challenging time of deleveraging ahead. Vanke's stock is down 85%, and its core net profit tumbled over 50%. The property market has 'over-corrected', according to Vanke's chairman, amidst a broader slump that includes a halt in Country Garden's operations.
#ChinaVanke hit new low in HK after posting 50% drop in 2023 core net profit, aims to cut debt by over 100 bn yuan in two years https://t.co/SCo9gog7eY
China Vanke shares hit record low after disappointing earnings, payout cut https://t.co/GqxR9Np7g6 https://t.co/0ApBNJcSXd
Wait, this is the first sell side note on China Vanke after stock is down 85%. Nice one lads https://t.co/ACLf6IJxr7
#China Vanke got its first sell rating from Wall Street brokerages. J.P. Morgan analysts cite #Vanke will undergo a challenging time of deleveraging and relying on banks and SOE's support. JPM downgraded Vanke's onshore and offshore shares to underweight from neutral while… https://t.co/97Mmxk0R2h
#Property developer China #Vanke's shares hit new record low in HK after its 2023 core net profit tumbled over 50%, warned earnings could remain strained https://t.co/haGgRmRP6L https://t.co/edFulEtS1z
Shares of China Vanke set to open down 3.7% after earnings https://t.co/cu5letPkC1 https://t.co/dzpIyXGofk
Morgan Stanley cuts #China #Vanke price target on weaker pre-sales, narrower margins and tighter liquidity. H-share price cut to HK$5.35 from HK$6.25; A-shares cut to 6.13 yuan from 7.17 yuan. “Its tight cash flow may continue for longer than expected, posing downside risk to its…
Most of China Vanke's onshore bonds fell in early trading. Both "20 Vanke 04" and "21 Vanke 02" dropped more than 4%, while "20 Vanke 08" and "21 Vanke 04" fell over 3%. https://t.co/oImdssgJ8m
China Property Woes Deepen With Vanke Slump, Country Garden Halt https://t.co/YfTWPF3XWI
China Vanke Co.’s profit tumbled by 46% to 12.2 bln yuan, more than analysts expected in 2023 and it vowed to slash debt by more than 100 billion yuan. #Vanke skipped a full-year payout for the first time since its 1991 listing. #China #property
China Vanke Co.’s profit tumbled 46% to 12.2 bln yuan, more than analysts expected in 2023 and it vowed to slash debt by more than 100 billion yuan. #Vanke skipped a full-year payout for the first time since its 1991 listing. #China #property
CHINA VANKE CHAIRMAN SAYS HE MAINTAINS VIEW THAT PROPERTY MARKET HAS OVER-CORRECTED
CHINA VANKE SAYS AIMS TO CUT INTEREST BEARING DEBT BY 100 BLN YUAN IN THE NEXT TWO YEARS
China’s Vanke vows to cut debt by $14bn as property woes mount https://t.co/BB1S4Nc4JV
China Vanke Warns Earnings Could Remain Strained https://t.co/gCXk5iZJe4