(Yicai Global) Jan. 6 -- China Vanke’s sales fell 10.8 percent last year to CNY627.8 billion (USD98.5 billion) amid a wider slump in the country’s housing market.

The real estate colossus sold 46.7 million square meters of property in 2021, according to figures the Shenzhen-based firm released yesterday. That was 18.4 percent less than in 2020.

While Vanke did not give reasons for the declines, President and Chief Executive Zhu Jiusheng offered two. Firstly, pressure on gross profit margin rose because of an increase in the cost of land as a share of the sales price. And secondly, the firm controlled the growth rate and scale of projects it develops.

Vanke pre-sold 3.5 million sqm of real estate last month worth CNY63.6 billion (USD10 billion), the data showed.

Net profit at the company fell 16 percent to CNY16.7 billion in the first nine months of 2021 from a year earlier, according to the earnings report Vanke published on Oct. 28. Operating revenue rose 12.4 percent to CNY271.5 billion.

Vanke’s shares [SHE: 000002] fell 0.6 percent in Shenzhen today to CNY21.05 (USD3.30) each, while its Hong Kong-traded stock [HKG: 2202] edged 0.2 percent higher to HKD19.08 (USD2.45).

Editor: Peter Thomas