(Bloomberg) -- Country Garden Holdings Co.’s sales slump continued in December even as the Chinese property market showed signs of stabilization after the government’s stimulus packages.
Contracted sales declined 51% from a year earlier to 3.42 billion yuan ($467 million), narrowing from a 52% year-on-year drop in November, Bloomberg calculations based on corporate filings show. The developer’s home sales have cratered from 22 billion yuan in December 2022.
China’s residential property market has shown gradual signs of stabilization after a government stimulus blitz. Sales last month from the nation’s top 100 builders were flat compared with the previous year and rose 24% from November, according to preliminary data from China Real Estate Information Corp.
Beijing unleashed its strongest package of policies to boost the residential market in the past few months. The government cut borrowing costs on existing mortgages, relaxed buying curbs in big cities and lowered taxes on home purchases. It also trimmed purchasing costs for people seeking to upgrade dwellings in some big cities.
Country Garden is counting on a turnaround in sales to reassure debt holders and fight off liquidation. While sales tumbled last month from a year earlier, they rose almost 14% from November.
The distressed Chinese developer said in late December it is still negotiating with its key creditor groups on the economic terms of the overall offshore liability restructuring plan.
Chairman Yang Huiyan said the company will focus on delivering homes and repairing its balance sheet this year, while the company expects fewer home completions compared with last year.
©2025 Bloomberg L.P.