Hong Kong-listed property developer Lippo Ltd. expects that the impairment loss recorded by its subsidiary would further affect the company’s interim results for the six months ended September 2015, the company told Hong Kong Stock Exchange last week. The company said in the filing that its subsidiary Lippo China Resources Limited, in which it owns 71.24 per cent interest, is likely to record an impairment loss of some HK$60 million (US$7.5 million) on its properties under development during the period. ‘Accordingly, the amount of such impairment loss attributable to the Lippo Group shall be approximately HK$43 million for the period,’ the property developer wrote. The company, meanwhile, also estimated the subsidiary would post an increase of at least HK$300 million for the loss for the period, compared to a profit of HK$6 million during the same period last year. In fact, the developer had warned last month that its interim profits for the first half of the fiscal year would be negatively affected by unrealised net fair value loss of some HK$186 million. Lippo’s interim results will be announced at the end of the month, according to its previous filing. For its last fiscal year ended March 31, the property developer’s net profit jumped 392.3 per cent year-on-year, totalling HK$522.2 million from HK$112.2 million in 2013.
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