HONG KONG, Aug 31 (Reuters) - Sunac China, the country’s sixth largest property developer by sales, said on Thursday its core profit in the first six months surged 204.2 percent due to an increase in margins.
Its core profit, which excludes revaluation gains, was 1.37 billion yuan ($212.21 million) during the period, while net profit rose 1,683.4 percent to 1.30 billion yuan.
Sunac, which saw its expenses and losses increasing sharply to 1.35 billion yuan during the period, made an impairment provision of 1.11 billion yuan for its investment in Leshi Internet and Leshi Zhixin Electronic Technology, two units of China’s debt-laden LeEco.
The highly-leveraged company was tapping multiple financing channels offshore in the last few weeks after its credit risks came under scrutiny in China on a string of high-profile purchases, including a $6.52 billion tourism projects deal with Dalian Wanda Group and a $2.2 billion stake in Leshi Internet . ($1 = 6.5971 Chinese yuan renminbi) (Reporting by Clare Jim; Editing by David Evans)