Xuhui (00884) announced 2026 interim results: net assets to mother exceeded 25 billion yuan, and interest-bearing liabilities fell to 48.5 billion

Zhitong Finance App learned that on August 28, Xuhui Holding Group (00884) released the 2026 interim results report. During the reporting period, the company achieved operating income of 4,537 billion yuan and a net profit loss of 5.991 billion yuan to mother. The loss margin narrowed year-on-year. By the end of the reporting period, the company's net assets to mother were 25.4 billion yuan, and the size of interest-bearing liabilities had dropped to 48.5 billion yuan, a decrease of about 65 billion yuan from the peak period in 2021. It recorded positive operating cash flow for five consecutive years.

Lin Zhong, Chairman of the Board of Directors of Xuhui Holdings, said, “To embrace the times, Xuhui's asset-light transformation path must forge ahead resolutely. Reduce the share of development business revenue, increase operating revenue, explore asset management models, promote diversified business collaboration, give full play to Xuhui's advantages of “nationalization, full chain, full business format”, and construct a new growth curve. Looking at ourselves, we still need to face all kinds of remaining challenges. From stagnant plots to cooperative impasse, from product regulations to vacant land, we insist on never giving up, seeking breakthroughs through repeated trial and error, and making every effort to unleash the greatest value for every cent of our assets.”

The net assets returned to the mother exceeded 25 billion dollars, and more measures were taken to take advantage of existing assets

Looking at Xuhui's interim results report, net assets form an important foundation for Xuhui to maintain operational resilience as a high-tier city with a land storage layout. By the end of the reporting period, the company's total land reserves were about 24.06 million square meters, of which over 80% were concentrated in Tier 1 and 2 cities, and the soil storage structure was of high quality. At the same time, the company's net assets returned to its mother remained at over 25 billion yuan, leading the way among private housing enterprises in Shanghai. Against the backdrop of the overall contraction of the industry and the continued spread of insolvent pressure, this asset chassis provides substantial support for the company's operational resilience.

With the basic completion of the guarantee delivery task, Xu Hui also switched the focus of work to release the value of existing assets. According to Xuhui's official Weiwei disclosure, the company promoted 10 project groups in Taiyuan, Changde, Nanchang and other places to start new construction or resume construction in the first half of the year, contributing marketable incremental resources to the second half of the year. At the same time, in the first half of the year, the company focused on following up on product regulations for 11 projects, and completed the approval of 5 projects. Among them, Kunming Xuhui Plaza Phase 5 became the first local case of independent enterprise resettlement, and Chengdu Xuhui Center Phase III completed a residential upgrade in accordance with the new regulations. These product optimizations will effectively increase the profit margin of the project.

In response to vacant land and the impasse in cooperative projects, Xuhui is also steadily breaking through the “one plan, one policy”. The Zhengzhou Airport Era project was collected and stored as housing on a government platform, and Xuhui completed the construction of the housing on behalf of others, achieving effective revitalization of existing land resources. After three years of stagnation in the Fuzhou Cooperation Project, Xuhui actively sought assistance from a special government class to break the impasse of cooperation through joint government and enterprise efforts to promote market renewal and break the impasse of cooperation. The initial results achieved in May this year reached 166%.

Embrace the stock era, and asset-light business is gaining full strength

In the first half of this year, the share of second-hand housing transactions in China surpassed that of new housing transactions for the first time. This indicates that the real estate market has fully entered the stock era. Lin Zhong said, “China's real estate industry has entered a new era of stock. Products are rapidly innovating and iterating, and services and operations surrounding real estate are also receiving unprecedented market attention.”

Facing changes in the industry, Xuhui has gradually formed an asset-light business matrix composed of property management, leasing management, construction management, commercial management, and asset management around real estate services and operations. Each business line has both the ability to run independently and can form a close collaborative chain. Judging from the performance in the first half of the year, all sectors are remarkable.

Xuhui's property management division, Yongsheng Service (01995.HK), achieved operating income of 3.61 billion yuan and net profit of 215 million yuan in the first half of the year. Under overall pressure on the industry, it achieved steady growth. During the reporting period, the company announced a dividend of HK$0.1 per share, continuing the high dividend payment ratio of 70%.

In the rental management sector, Linyu continues to lead the industry. By the end of June 2026, the number of opened properties reached 100,000, the management scale exceeded 150,000 units, and the management scale jumped to the top 2 in the “China Housing Rental Enterprise Size Ranking”. Its newly iterated 3.0 products, Nanjing Qingyange Community and Shanghai Songjiang West Science Park Pomomi Community, have both reached full rent.

In terms of construction management, Xuhui Construction Management continues to consolidate its leading position in the industry. According to data from the China Index Research Institute, in the first half of 2026, Xuhui Construction Management signed a new contract scale of 7.83 million square meters, ranking second in the industry; when the government built a subdivided track, it topped the industry list with a newly developed area of 4.08 million square meters.

In terms of commercial management, Xuhui's commercial asset-light outreach capabilities have been realized at an accelerated pace. Since this year, it has successively won bids for high-quality projects such as the Shanghai Jinding TOD Commercial Complex and Performing Arts Center, the Nantong Jinsha Xintiandi and Golden Beach Project, and the Hangzhou Meinong Project.

In the era of inventory, the competitive logic of the real estate industry has shifted from large-scale competition to operational victory. As far as Xuhui is concerned, the continuous testing of existing assets is management resilience, while the steady promotion and testing of asset-light transformation is strategic strength. Only when the two go hand in hand can they win the initiative in the midst of industry changes. Xu Hui has taken a critical step in this “second half”, which concerns survival and evolution. Its exploration and practice may provide a valuable reference for private housing companies' stock breakthroughs.