Shares in Leju Holdings Ltd. (NYSE: LEJU) flopped 10% by midday Thursday, at $2.67 apiece, after the company posted disappointing first-half results.
The Beijing-based company, which provides online and offline real estate services, said its revenue in the six months through June reached $279.7 million compared to $280.4 million a year ago. Net income was $1.5 million, or 1 cent per American depositary share, in contrast to a net loss of $3.9 million a year ago.
The company said revenues from e-commerce services were $205.4 million, a slight decrease of 2% from last year, while the revenues from listing services dropped 60%.
"Against the background of the Covid-19 pandemic, Leju delivered solid results for the first half of 2020 with steady revenue and increased profit," Geoffrey He, the company's chief executive officer, said in a statement on Thursday.
He added. "Due to the impact of the pandemic, we have seen strong interest in Leju's innovative offerings as real estate developers increasingly value and utilize online marketing services amidst the challenging market environment."
Leju also reported several strategic cooperations with Suning, E-House Enterprise Holdings, and Alibaba Group to “greatly enhance the company's core value and expand its business scale in the future.”
Looking ahead, Leju said it anticipates revenue in the range of $480 million to $500 million in the second half of 2020. That would represent an increase of 16% to 21% from $412.2 million from the same period of 2019.