(Yicai) May 16 -- Ke Holdings, a leading Chinese real estate agent, saw its net profit nearly double in the first quarter of this year, with the property market in China gradually recovering.

Net profit surged 98 percent to CNY855 million (USD118.6 million) in the three months ended March 31 from a year earlier, the Beijing-based firm said in a financial report released late yesterday. Revenue soared 42 percent to CNY23.3 billion (USD3.2 billion).

Ke's gross transaction value jumped 34 percent to CNY843.7 billion (USD117.1 billion), according to the company. The GTV of existing home transactions rose 28 percent to CNY580.3 billion, while that of new home transactions surged 53 percent to CNY232.2 billion, it added.

"The real estate market performed very steadily in the first quarter, continuing the positive market demand impact from a series of industry support policies introduced by the government last September," said Xu Tao, executive director and chief financial officer of Ke.

Ke's real estate transaction service business continued to lead the market last quarter, said Chairman and Chief Executive Peng Yongdong. The company saw the number of its stores jump 30 percent to 56,849 and that of its active agents rise 23 percent to 550,290, Peng pointed out.

In addition, Ke's income from its home decoration and furniture business climbed 22 percent to CNY2.9 billion in the first quarter from a year earlier, mainly thanks to an increase in home decoration orders from its real estate business clients, the company noted.

Revenue from Ke's housing rental services almost doubled to CNY5.1 billion, with the firm having more than 500,000 rental properties under its management as of March 31.

Shares of Ke [HKG: 2423] fell 1.7 percent to HKD49.40 (USD6.32) apiece as of 1.35 p.m. in Hong Kong today. Its New York-listed stock [NYSE: BEKE] fell 5.3 percent to USD19.16 yesterday.

Editors: Tang Shihua, Martin Kadiev