China’s largest cemetery operator and funeral services provider, Fu Shou Yuan, reported its first loss in more than a decade, becoming the latest casualty of sluggish consumer spending in the country, reports the South China Morning Post. For the first six months of this year, the 31-year-old Shanghai-based company posted a net loss of RMB 261 million ($36.6 million), its first loss since 2010, according to interim results released on Friday.
Total revenue plunged 44.5% to RMB 610.9 million. Revenue from burial services, primarily involving the sale of burial plots, fell 47% to RMB 477 million, while funeral services experienced a 34% decline, totalling RMB 122 million.
The company attributed its struggles to various external challenges that had dampened consumer demand. “In this economic environment, customers seem to be more cautious in their spending on death care services, while competition within the industry has shown signs of intensifying,” it said.