CapitaLand said it expects the group's total profit after tax and minority interests (Patmi) for the six months ended June 30 to be "materially and adversely" impacted, based on preliminary estimates.

Operating Patmi - which refers to profit from business operations excluding any gains or losses from divestments, revaluations and impairments - is expected to fall by 25 per cent to 35 per cent from $361.3 million in the first half of last year, the property group said yesterday.

Meanwhile, cash Patmi - comprising operating Patmi and portfolio gains - is expected to tumble by 40 per cent to 50 per cent from $496 million in the first half of last year.

CapitaLand added that it has adopted annual valuation in December, with effect from this year. This means that any revaluation gains or losses on investment properties will only be recorded in its full-year results. For the first half of last year, the group recorded revaluation gains of $379.4 million.

"Nevertheless, CapitaLand will continue to recognise its share of any revaluation gains or losses recorded and announced by its listed investments," it said.

The group expects to release its financial results for the first half-year early next month.

CapitaLand shares closed at $3.06 yesterday, up 0.66 per cent.

THE BUSINESS TIMES