R&F Properties updates action plan to address auditor's disclaimer

Guangzhou R&F Properties Co., Ltd. is actively implementing an action plan to resolve the auditor's disclaimer of opinion on its FY2024 annual consolidated financial statements. The company continues discussions with creditors to revise the terms of its offshore restructuring, pushing the accession deadline to October 10, 2025. Concurrently, an onshore restructuring is in progress, offering domestic bondholders multiple options including cash repurchase and debt settlement with assets.

The company reported improved contracted sales for June, July, and August 2025 compared to the previous year. August 2025 sales reached approximately RMB1.08 billion (105,000 sq.m. GFA), up from RMB730 million (67,900 sq.m.) in August 2024. Cumulative sales by the end of August 2025 stood at RMB9.4 billion (943,300 sq.m.), an increase from RMB7.11 billion (531,500 sq.m.) in 2024.

Additionally, Guangzhou R&F Properties is engaging with lenders to extend, refinance, or restructure borrowings and has successfully extended some. The company is also controlling administrative costs, reducing discretionary spending, and exploring opportunities to dispose of equity interests in project development companies to generate cash inflows. Efforts to secure new financing and resolve outstanding litigations are ongoing.