The company posted a profit of 215 million a year earlier.
Its shares opened down 12.6 percent after trading in them was temporarily suspended.
The warning follows an evaluation of the impact of the global financial crisis on the value of its properties in Israel and abroad, the company said in a statement to the Tel Aviv Stock Exchange.
As a result, it said it expects to post losses for a decline in fair value of a number of properties, especially those of subsidiaries in the United States, Eastern Europe and Russia.
The company said its profit was also hit by a rise in financing costs because of higher inflation. A large part of its debt payments are linked to the consumer price index.
