China Yuanbang warns of Q2, H1 loss on higher costs

CHINA Yuanbang Property Holdings expects to report a loss for its second quarter and half year ended Dec 31, 2017, the China-focused property developer announced on Wednesday after the market closed.

The loss was driven mainly by higher labour and materials costs driving down gross profits and higher commissions to sales agents to accelerate pre-sales of the group's residential projects in Guangzhou City.

The company expects to report its results on or before Feb 14.

For the fiscal first quarter ended September 2017, China Yuanbang reported a net loss of 11 million Chinese yuan (S$2.3 million) on revenue of 104.6 million yuan.