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Chinese developer Vanke says 2007 profit up 110%

[photopress:property_China_Vanke.jpg,full,alignright]China Vanke, the nation’s top property developer by market value, has announced that its 2007 net profit more than doubled year-on-year as sales soared.

The Shenzhen-based company said in a statement to the stock exchange that net profit rose 110% to RMB4.8 billion ($681.7 million). Revenues rose 98.3% to RMB35.5 billion as Vanke sold 6.14 million square meters of apartments, up 90% year-on-year. These apartments were worth RMB52.4 billion, or RMB8,532 per square meter, up 30% per square meter from 2006.

Vanke sold 3.23 million square meters in 2006 for RMB21.23 billion.

Vanke’s directorate office explained that figures for apartment sales and revenue differ because some of the sales figures represent progress payments on units under construction and won’t be counted as revenue until construction of the apartments is completed

For some time, the government has been trying to curb rising housing prices, which are adding to the financial pressures on Chinese families. The top economic planner, the National Development and Reform Commission, said that housing prices were rising at a slower pace as macroeconomic tightening policies had begun to pay off in November. Vanke’s figures seem to suggest that there is still some way to go.
Source: China View

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