China Vanke warned that its net loss for 2025 widened 65.7% year-on-year to approximately RMB 82 billion ($11.8 billion), reports Caixin. The deepening red ink at the state-backed giant underscores the severity of China’s property crisis, which has left Vanke with an estimated RMB 131.5 billion in losses over the past two years.
The acceleration of losses toward the end of 2025 was particularly severe. Financial reports indicate the company lost approximately RMB 28 billion in the first three quarters of 2025, implying a massive deficit of roughly RMB 54 billion in the fourth quarter alone.
Vanke attributed the dismal performance to a sharp decline in settlement scale and persistently low gross margins caused by the industry downturn, according to an earnings forecast released on Friday. In 2025, the developer mainly delivered projects sold in earlier years and cleared existing inventory, most of which was built on land acquired before 2022, when prices were significantly higher.