Evergrande Joins Handful of Peers to Miss Earnings Deadline

China Evergrande Group joined a handful of Chinese developer to warn that they will probably miss deadlines for reporting audited 2021 results this month.

Evergrande and two of its units listed in Hong Kong expect to delay publishing the results by March 31 because audit work has not been completed, according to an exchanged filing showed on Tuesday.

Earlier Sunac China Holdings Ltd. and Shimao Group Holdings Ltd. issued similar statements.

Evergrande citied latest COVID-19 wave for the delay, while Evergrande also said “drastic changes” in the operating environment added to the audit procedures.

The company said it will publish audited results “as soon as practicable” after audit procedures are completed. It will issue a separate statement to inform investors of its expected results release date.

It also announced plans to appoint  King & Wood Mallesons as an additional legal adviser to handle debt risks. The firm’s risk management committee is “actively looking for solutions and communicating with its creditors,” it said.

The company’s shares were suspended on Monday pending an announcement containing “inside information.”