China Vanke sees first-half profit grow 46.5%

China Vanke (000002.SZ), the country’s largest property developer by market share, announced a first-quarter net profit of US$165.5 million, up 46.5% year-on-year, Dow Jones Newswires reported. The strong performance was driven by increased sales and higher property prices. Shenzhen-based Vanke said property sales over the January-March period rose 23.5% from a year earlier to US$2.2 billion. This came despite sales by floor space falling 18.5% to 12.42 million square meters. Revenue was also down at US$1.09 billion, 8.1% lower than in the first quarter of 2009. Vanke didn’t make any forecasts about future growth, but promised to be conservative in its investments and to avoid overly competitive bids for land. Urban property prices in China rose by a record 11.7% in March, putting the government on high alert about overheating in the market. A range of tightening measures has been introduced targeting home buyers and property developers.