Three consecutive years of large impairment provisions, Country Garden Services' net profit in 2025 decreases by nearly 70% year-on-year

[Caixin] Revenue has grown for three consecutive years, but net profit has experienced a drastic drop, a significant rebound, and then another sharp decline—this is the basic outline of Country Garden Services (06908.HK) recent financial reports. On March 27, Country Garden Services disclosed its performance for 2025: the company recorded annual revenue of 48.35 billion yuan, a year-on-year increase of 9.9%; however, net profit attributable to shareholders decreased by 66.7% year-on-year, falling to 602 million yuan.

The performance report shows that if impairment and amortization of intangible assets are excluded, the core net profit attributable to shareholders for 2025 decreased by 17.1% year-on-year, falling to 2.519 billion yuan, a decline much smaller than that of net profit. This indicates that impairment provisions are the key variable influencing the company’s profit performance.