2 1 Shi Ji Jing Ji Bao Dao·2026-01-20 12:51Core Viewpoint - The performance of real estate companies is expected to stabilize as they navigate through the current market challenges, with a focus on asset impairment provisions and strategic investments in long-cycle industries [2][3][4]. Group 1: Company Performance - Poly Developments announced a projected revenue of approximately 308.26 billion yuan for 2025, a year-on-year decrease of 1.09%, with a net profit attributable to shareholders of about 1.03 billion yuan, reflecting a decline compared to 2024 [2][4]. - The company plans to recognize asset impairment and credit impairment losses totaling approximately 6.9 billion yuan, which is expected to reduce the net profit for 2025 by about 4.2 billion yuan [4]. - Excluding the impact of impairment provisions, Poly Developments' net profit for 2025 is estimated to be around 5.2 billion yuan, with the fourth quarter contributing approximately 3.3 billion yuan [4]. Group 2: Industry Trends - The real estate sector is experiencing a cautious yet orderly expansion in investment, with companies exploring new revenue streams beyond traditional real estate development, such as entering long-cycle industries and enhancing service offerings [3][6]. - The top 100 real estate companies are projected to have a total land acquisition amount of 964 billion yuan in 2025, representing a year-on-year increase of 3.9%, driven by favorable policies and the need for sustainable development [5]. - The industry is expected to enter a new development phase in 2026, as many companies have passed the peak of delivery and debt repayment, indicating a potential for recovery and stabilization in performance [2][8]. Group 3: Future Outlook - Real estate companies are increasingly focusing on property operations and other sectors, with many adopting strategies to enhance their operational efficiency and capitalize on the growing REITs market [6][7]. - Companies like China Resources Land and China Merchants Shekou are also expanding their presence in property operations, with significant growth in recurring income and rental revenues [6]. - The market conditions are improving, with expectations for a recovery in 2026, as companies work towards repairing their balance sheets and potentially achieving profitability [8].