* Q2 earnings $0.08/ADS vs $0.24/ADS a year ago
* Rev up 12 pct
* Says sees margin pressure in near-term
* Sees Q3 rev $81-$83 mln vs est $77 mln
* Shares down 5 pct
(Recasts, adds details, share movement)
Aug 11 E-House China Holding Ltd's EJ.N
quarterly profit fell 65 percent amid the Chinese government's
efforts to cool down the country's property market, and the
company said it sees near-term profit margin pressure.
In April, China raised mortgage rates and down payment
requirements to cool down the red hot property market, in a bid
to try and nip rising speculation and restrict credit in the
country's real estate markets.
Government measures announced in April caused a sharp
decline in volume in both new and secondary home sales, hurting
the latest quarter's results, the company said in a statement.
E-House, a Chinese real estate services company, also said
it continued to see margin pressure in the near term due to
lower average commission rates.
The impact of lower margins would be mitigated when
transaction volumes begin to rebound more strongly and the
average commission rate increases, the company said.
The company forecast third-quarter revenue of $81-$83
million, compared with analysts' average estimate of revenue of
$77 million, according to Thomson Reuters I/B/E/S.
However, excluding revenue from the online real estate
business operated by China Online Housing Technology Corp,
revenue is expected to be $65-$66 million for the period.
For the second quarter, net income attributable to
shareholders was $6.7 million, or 8 cents per ADS, compared
with $19.3 million, or 24 cents per ADS a year ago.
Excluding items, the company earned 17 cents per ADS.
Revenue rose 12 percent to $71.2 million.
Total gross floor area of new properties sold fell 20
percent to to 2.2 million square meters, while the total value
of new properties sold dropped 12 percent to $2.6 billion.
Analysts on average had expected earnings of 13 cents per
ADS, before special items, on revenue of $66.4 million.
American Depository Shares of the company were trading
down 5 percent at $14.59 late Wednesday morning on the New York
Stock Exchange. They touched a low of $14.57 earlier in the
(Reporting by Divya Sharma in Bangalore; Editing by Prem
Udayabhanu) ((firstname.lastname@example.org; within U.S. +1
646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: