Kaisa Group Holdings stock reports a 40.6 percent revenue drop

Kaisa Group Holdings stock faces a sharp revenue contraction after the company reported RMB 2,196.7 million in revenue for the half year ended June 30, 2026, down 40.6 percent year over year. At the same time, gross profit rose 22.7 percent to RMB 567.8 million and gross margin improved to 25.8 percent, according to Quartr on September 29, 2026.

Revenue falls while margin improves

The revenue decline was driven by property sales revenue of RMB 714.8 million, down 65.8 percent from the comparable period. Property management revenue moved in the opposite direction, rising 1.2 percent to RMB 781.3 million, which gives the business mix an important counterpoint to the weaker development activity.

The improvement in gross margin did not translate into profitability. Net loss attributable to owners narrowed to RMB 9,328.5 million from RMB 10,030.5 million in H1 2025, while basic loss per share improved to RMB 0.945 from RMB 1.430, the Quartr summary reported for the period ended June 30, 2026.

Contracted sales show a sharp rebound

Contracted sales including joint ventures and associates increased 474.8 percent year over year to RMB 11,514.0 million. The Greater Bay Area contributed 97 percent of that total, while gross floor area sold reached 193,201 square meters.

The contrast is notable: contracted sales expanded rapidly even as recognized revenue fell 40.6 percent. That gap points to the timing between contract signing, project delivery and revenue recognition, rather than a simple recovery in reported operating income.

Debt remains the central risk

Futubull's interim-report summary dated September 29, 2026, said total borrowings stood at RMB 84.53 billion, with RMB 35.33 billion due within one year. Cash and bank balances fell 25.3 percent to RMB 1.19 billion, while the cash-to-short-term-debt ratio was 0.01 times, according to Futubull.

The same summary put borrowings affected by default or cross-default at RMB 29.33 billion. For investors, the stronger contracted-sales figure therefore sits alongside a balance sheet that still depends on creditor negotiations, asset-backed lending and cash-flow control.

Kaisa Group Holdings stock keeps the spotlight on restructuring

Kaisa Group Holdings is listed on the Main Board of the Hong Kong Stock Exchange under ticker 1638 and operates across property development, property investment, property management, hotels, healthcare and cultural-center businesses. The H1 figures make the investment case highly dependent on whether contracted sales can become recognized revenue while debt maturities are managed.