Central China Real Estate reported a sharp deterioration in first-half 2026 results, underlining persistent weakness in Henan’s property market and the group’s strained liquidity profile.

Key Financials (Six months ended 30 June 2026) • Revenue fell 40.20% year on year to RMB3.93 billion, driven mainly by a 42.09% drop in property sales to RMB3.44 billion. • Gross profit declined 41.68% to RMB316 million; gross margin slipped 0.2 ppt to 8.0%. • Loss attributable to equity shareholders expanded to RMB1.72 billion from RMB1.28 billion a year earlier; basic loss per share widened to RMB0.5843. • Net loss after tax totalled RMB1.83 billion, up 39.18% year on year. • Finance costs rose 9.25% to RMB436 million as lower capitalisation offset slightly lower interest expenses. • Cash and cash equivalents plus restricted deposits stood at RMB0.54 billion at period-end, versus RMB0.85 billion at 31 December 2025. • Net borrowings reached RMB21.92 billion; the net gearing ratio stood at –221.8% given negative equity of RMB9.88 billion.

Operational Metrics • Contracted sales dropped 15.46% to RMB3.76 billion on gross floor area of 0.57 million sq m (–19.83%); average selling price improved 5.30% to RMB6,612 per sq m. • Unrecognised contracted sales were RMB19.98 billion, down from RMB24.43 billion a year earlier. • The group delivered 25 projects during the period and had 68 projects under development, versus 95 a year earlier.

Balance Sheet & Liquidity As of 30 June 2026 the group reported: • Total borrowings of RMB22.45 billion, including RMB13.35 billion offshore senior notes classified as current due to default. • Cash coverage of short-term debt at 2.38%. • Assets pledged for borrowings of RMB15.33 billion and guarantees on home-buyer mortgages of RMB22.37 billion.

Going Concern & Debt Restructuring Management acknowledged “multiple material uncertainties” regarding going concern. The company continues to work on an offshore debt restructuring plan, seek loan extensions, accelerate project sales, curb capital expenditure and explore asset disposals.

Post-Balance-Sheet Event On 23 July 2026 the company agreed to sell cultural-tourism assets, including Unique Henan • Land of Dramas and Jianye Movie Town, for RMB3.00 billion.

Dividend No interim dividend was declared.

Outlook The board highlighted ongoing pressure from weak household income expectations, price-for-volume market dynamics and tight liquidity, particularly in Henan’s lower-tier cities, noting that full recovery of local real-estate conditions “remains under pressure in the near term.”