<div id="readability-page-1"><div><p>Sunac China Holdings (SEHK:1918) has reported another loss-making period, with first half FY 2025 revenue at C¥19.99b and basic EPS at a loss of C¥1.26 per share, while trailing twelve month revenue came in at C¥59.73b against a basic EPS loss of C¥2.49. Over recent halves the company has seen revenue move from C¥34.28b in 1H 2024 to C¥39.74b in 2H 2024 and then to C¥19.99b in 1H 2025, alongside EPS losses of C¥1.79, C¥1.22 and C¥1.26 respectively. This sets up a results season where the key question for investors is whether these volumes can eventually support healthier margins.</p> <p>See our full analysis for Sunac China Holdings.</p><p>With the headline numbers on the table, the next step is to set these results against the most widely followed narratives to see which views about Sunac China Holdings are reinforced and which are challenged by the data.</p> <p>Curious how numbers become stories that shape markets? Explore Community Narratives</p> <figure><img height="476" src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/04901f82-a005-43c0-94a7-af62a09a0f96/chart/earnings-and-revenue-history/query-ZGF0ZT0yMDI2LTAzLTI5?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="746" original-src="https://imageproxy.pbkrs.com/https://images.simplywall.st/company/04901f82-a005-43c0-94a7-af62a09a0f96/chart/earnings-and-revenue-history/query-ZGF0ZT0yMDI2LTAzLTI5"/><figcaption>SEHK:1918 Earnings &amp; Revenue History as at Mar 2026</figcaption></figure> <h2>TTM loss of C¥23.5b keeps pressure on margins</h2> <ul> <li>Over the trailing twelve months, Sunac China Holdings booked about C¥59,727 million in revenue and a net loss of roughly C¥23,547 million, so every C¥1 of sales still comes with a sizeable loss attached.</li> <li>Bears argue the business is defined by loss making operations, and the data backs that up, with net income excluding extra items staying in loss territory at C¥14,957 million in 1H 2024, C¥10,738 million in 2H 2024 and C¥12,809 million in 1H 2025, which lines up with the view that profitability has weakened over several years.     <ul> <li>Critics highlight that there are no positive trailing EPS or margin figures to offset this, with TTM basic EPS at a loss of C¥2.49 per share after 1H 2025.</li> <li>The pattern of large losses across each half also supports the bearish focus on an earnings profile that has not shown a clear move back toward break even in the supplied figures.</li> </ul> </li> </ul><p> Over the past few halves, skeptics have pointed to these recurring multi billion yuan losses as a key reason to stay cautious on the stock, and the latest numbers give them plenty to talk about. <strong>🐻 Sunac China Holdings Bear Case</strong></p><h2>P/S of 0.3x sits between peers and sector</h2> <ul> <li>Sunac trades on a P/S of 0.3x, which is higher than the direct peer average of 0.2x but below the Hong Kong real estate industry average of 0.6x, so the market is pricing it at a discount to the broader sector but not at the very bottom of the peer group.</li> <li>What stands out for a bearish view is that, despite the company being unprofitable with TTM net losses of about C¥23,547 million, the P/S multiple is still richer than peers at 0.2x, which suggests some investors are paying more per unit of sales than for other loss making comparables.     <ul> <li>Critics highlight this gap and the five year annual loss growth of 24.4% as reasons to question whether even a relatively low P/S multiple properly reflects the sustained earnings decline.</li> <li>The comparison that the P/S is cheaper than the industry average of 0.6x is therefore weighed against these multi year loss trends rather than taken as a simple sign of value.</li> </ul> </li> </ul> <h2>DCF fair value C¥5.60 vs C¥1.06 market price</h2> <ul> <li>The supplied DCF fair value for the shares is HK$5.60 compared with a current market price of HK$1.06, implying the stock trades about 81.1% below that DCF estimate even after a period of sizeable reported losses.</li> <li>Supporters of a more optimistic angle point to this wide gap, yet the TTM loss of roughly C¥23,547 million, combined with a reported five year annual earnings decline of 24.4% and substantial shareholder dilution over the past year, creates tension between the apparent valuation upside and the reality of an unprofitable, shrinking earnings base.     <ul> <li>Bulls may argue the DCF fair value allows for a long runway of improvement, but the existing financials only show consecutive large losses and do not include any profitability forecast in the next three years.</li> <li>At the same time, the market price of HK$1.06 indicates traders are heavily discounting that DCF output, which readers might interpret as the market putting more weight on the loss history than on the theoretical valuation upside.</li> </ul> </li> </ul><p> If you want to see how others are weighing that valuation gap against the company’s recent loss profile, it is worth checking what the community is saying about the stock through Curious how numbers become stories that shape markets? Explore Community Narratives. </p><h2>Next Steps</h2> <p>Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Sunac China Holdings's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.</p> <p>Given the mix of concerns and potential rewards across these results, it makes sense to review the figures yourself and decide how the trade off looks in your portfolio. To help frame that view, take a close look at the 1 key reward and 4 important warning signs.</p> <h2>See What Else Is Out There</h2> <p>With recurring multi billion yuan losses, an unprofitable earnings profile and pressure on margins, Sunac China Holdings currently carries meaningful financial and operational risk for shareholders.</p> <p>If you want ideas where the focus is on resilience instead of recurring losses, start comparing companies in the 270 resilient stocks with low risk scores to quickly find candidates with calmer risk profiles.</p> <p><em> This article by Simply Wall St is general in nature. <strong>We provide commentary based on historical data     and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice.</strong> It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your     financial situation. We aim to bring you long-term focused analysis driven by fundamental data.     Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.     Simply Wall St has no position in any stocks mentioned.</em></p><div><h3><strong>New: </strong>Manage All Your Stock Portfolios in One Place</h3><p>We've created the <strong>ultimate portfolio companion</strong> for stock investors, <strong>and it's free.</strong></p><p>• Connect an unlimited number of Portfolios and see your total in one currency<br/>• Be alerted to new Warning Signs or Risks via email or mobile<br/>• Track the Fair Value of your stocks<br/></p><p>Try a Demo Portfolio for Free</p></div></div></div>

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<p>Sunac China Holdings (SEHK:1918) reported a TTM loss of C¥23.5 billion, with 1H FY 2025 revenue at C¥19.99 billion and a basic EPS loss of C¥1.26. Revenue has declined from C¥34.28 billion in 1H 2024 to C¥19.99 billion in 1H 2025. The company’s P/S ratio is 0.3x, higher than peers but below the industry average. A DCF fair value of HK$5.60 contrasts sharply with the current market price of HK$1.06, indicating skepticism about future profitability amid ongoing losses and a declining earnings base.</p>

Sunac China Holdings (SEHK:1918) TTM Loss Of C¥23.5b Reinforces Bearish Narratives