Fortune REIT Expects Net Losses In The First Half Of 2020
July 13, 2020 — Fortune REIT issued an announcement, saying they are likely to operate on “net losses” for the six months ended 30 June 2020, as compared with a profit for the corresponding period in 2019.
The REIT said that due to the adverse market conditions and COVID-19, the appraised value of their investment properties as at 30 June 2020, which are carried at fair values with changes in fair value taken to profit and loss, is expected to be approximately HK$2.5 billion lower than their cumulative fair values of HK$42.82 billion as at 31 December 2019.
“As Fortune REIT’s portfolio malls are held as long-term investments for stable and recurring income and the above fair value loss is non-cash in nature, there will be no effect on the operating cash flow and income available for distribution of Fortune REIT. The overall financial position of Fortune REIT remains healthy,” the REIT said.
Read full statement here..