Chinese Estates Holdings posted a net loss of HK$273.27 million for the six months to June 30 after suffering substantial impairment losses in its property portfolio. This compared with a net profit of HK$69.1 million for the same period a year earlier. The company, chaired by Thomas Lua Luen-hung, said that on an internal review of development value, it had made HK$277.75 million in impairment losses for four projects. They are the properties in Tai Yuen Street in Wan Chai, in Barker Road on The Peak, Kau Pui Lung Road in Ma Tau Wai, and Queen's Road Central. The firm also made a HK$137.75 million provision for advances to associates that represented impairment loss on a development project of Shiu Fai Terrace, Happy Valley. During the period, it made a HK$15.1 million loss from disposal of listed shares and warrants in Chi Cheung Investment. Turnover rose 8.9 per cent to HK$332.3 million, thanks to an increase in rental income. The company said its investment properties generated steady profit and cashflow in the half. Gross profit rose 6.4 per cent to HK$313.46 million and directors did not declare an interim dividend. Net asset value dropped 1.7 per cent to HK$15.86 billion, and net debt-to-equity ratio was 20.6 per cent as of June. Its mainland unit, Evergo China Holdings, also made a first-half loss, of HK$90.41 million, against a HK$15.74 million loss in the same period a year earlier. Loss per share was 4.18 HK cents. No interim dividend was declared. Last month, Chinese Estates proposed privatising Evergo China in a merger through a cash and share swap. Chi Cheung Investment made a HK$7.69 million loss, against a HK$64.21 million loss in its six-month result. Loss per share was 0.26 HK cents and turnover was HK$2.5 million.