Shimao Group (00813) has published its interim results for the six months ended June 30, 2026, reporting revenue of RMB 10.961 billion. The company recorded marketing and distribution costs of RMB 373 million, with a loss attributable to equity holders of the company amounting to RMB 6.187 billion and a basic loss per share of RMB 0.66.

During the period, property sales revenue reached RMB 5.918 billion, accounting for 54.0% of total revenue, with a recognized sales area of 516,000 square meters. In the first half of 2026, the real estate sector continued to undergo a deep adjustment phase, characterized by weak recovery and pronounced market divergence. Significant differences in sales performance were observed across various cities and product types, while the pace of recovery in homebuyer confidence remained slow. The industry continued to shift away from scale-oriented growth, placing greater emphasis on cash flow security and refined operational management.

In response to these conditions, the Group adopted a prudent approach to market assessment, optimizing its product mix and concentrating on key projects with solid sales potential. Through targeted marketing efforts, the Group accelerated the monetization of its existing inventory. During the reporting period, the Group achieved cumulative contracted sales of RMB 8.208 billion, with a contracted sales area of 667,945 square meters and an average selling price of RMB 12,289 per square meter.

Amid the ongoing industry adjustments, the Group actively advanced asset reviews and the disposal of underperforming assets, flexibly adjusting the pace of development and construction across its projects. By coordinating and allocating available resources, the Group focused on the construction and revitalization of key projects. As of June 30, 2026, the Group had an under-construction area of approximately 8.83 million square meters, with a completed area of approximately 320,000 square meters during the period.

Regarding land reserve management, taking into account market conditions, the existing land reserve structure, and operational liquidity, the Group did not acquire any new land reserves during the period. As of the end of the reporting period, the Group held approximately 182 projects with a total land reserve of approximately 32.37 million square meters (before equity interests), providing essential support for future saleable resources.

As of June 30, 2026, Shimao Services was operating in 126 cities, providing property management services and a diverse range of community value-added services to 1,354 projects. The area under management stood at 190.2 million square meters, with a contracted area of 306.5 million square meters.

As of June 30, 2026, the Group had over 20 self-operated hotels in operation, including the Conrad Shanghai, InterContinental Shanghai Wonderland, Conrad Xiamen, Wuhan Shimao Hilton Hotel, Le Méridien Shanghai Sheshan, InterContinental Fuzhou, Hilton Nanjing Shimao Riverside, Hilton Shenyang Shimao, Hilton Changsha Shimao and Shimao Chengdu Royal Hotel, with nearly 7,000 guest rooms in total. Additionally, the Group operated one leased and directly managed hotel, the Shanghai Hongqiao Shimao Ruixuan Select Hotel with nearly 300 guest rooms.