China Vanke Co Ltd Class A

China Vanke Co., Ltd. and former board chairman Yu Liang have for the first time been placed under a consumption restriction order, issued by the Changsha Intermediate People's Court in Hunan Province on September 13, 2026. Case process information shows that on March 11 this year, Vanke was ordered to pay nearly 5 million yuan in connection with a related case. On March 12, the Changsha Intermediate People's Court filed the case for enforcement. Because Vanke failed to fulfil its payment obligations under the effective legal document within the period specified in the enforcement notice, the court imposed consumption restriction measures on Vanke, barring Vanke and its legal representative Yu Liang from high-spending activities and consumption not essential for daily life or work. Yu Liang is prohibited from taking flights, soft sleeper berths on trains, cabins above second class on ships, and first-class or higher seats on high-speed rail and bullet trains. He is also barred from high-spending at star-rated hotels, restaurants, golf courses and similar venues, and from purchasing real estate, vehicles not essential for business operations, and from travelling or taking holidays. Vanke was founded in May 1984. Its current legal representative and chairman is Xu Enli. On March 19 this year, Vanke underwent a business registration change, and Yu Liang stepped down as legal representative. Yu Liang joined Vanke in 1990. On January 27, 2025, he resigned as chairman of the board but continued to serve as a director. On January 8 this year, he resigned as a director and executive vice president of the company upon reaching retirement age, and has since ceased to hold any position at the company. Financial reports show that Vanke's operating revenue in the first half of 2026 was 70.169 billion yuan, down 33.38 percent year on year, while its net loss attributable to shareholders of the listed company widened to 14.951 billion yuan, compared with a loss of 11.947 billion yuan in the same period last year. Over the past two years, its largest shareholder, Shenzhen Metro Group, has repeatedly injected funds into Vanke, having previously provided more than 20 billion yuan in total. On June 13 this year, Vanke A announced that Shenzhen Metro Group would provide a loan of no more than 1.14 billion yuan. From the beginning of 2026 to the disclosure date of that announcement, Shenzhen Metro Group had provided a cumulative total of 2.728 billion yuan in loans to the company, excluding the loan covered by that announcement.

China Vanke released its 2026 semi-annual report on August 27. First-half operating revenue came to 70.17 billion yuan, down 33 percent year on year, while net loss attributable to shareholders was 14.95 billion yuan, wider than the loss in the same period last year. Despite the earnings pressure, Vanke's net cash flow from operating activities turned positive at nearly 500 million yuan, a sharp improvement from negative 3 billion yuan a year earlier. Vanke attributed the loss to a smaller settlement base, low gross margins, asset impairment provisions, and losses in some business segments. On the debt side, as of the end of June, Vanke had completed risk mitigation for 10 publicly issued bonds involving principal of about 18.1 billion yuan, and has cumulatively handled about 48.5 billion yuan of maturing public debt since 2025. Its net debt ratio rose to 135.4 percent and its asset-liability ratio rose to 77.5 percent. Major shareholder Shenzhen Metro Group has provided a total of about 4.52 billion yuan in shareholder loans, while new financing and refinancing reached 4.08 billion yuan, with an overall financing cost of 2.86 percent. Industry insiders believe Vanke's debt and liquidity remain under pressure, and the new management team faces a difficult challenge. The company said it will optimize its asset structure in the second half, deepen its product philosophy, focus on urban renewal, explore innovative business models, and rely on digitalization to improve operating efficiency.