Earnings lift China stocks, Hong Kong gains on telecoms
* HSI +0.4 pct, H-shares -0.3 pct, CSI300 +0.3 pct
* Ping An shares gain in mainland but down in HK
* Mainland property firms take a hit
By Natalie Thomas
BEIJING, April 29 (Reuters) - Strong earnings lifted mainland stocks on Tuesday, allowing China's main index to break its four-day losing streak after insurance giant Ping An posted strong Q1 profit.
Hong Kong shares rose, as mainland telecom operators China Mobile and China Unicom continued to rebound after last week's losses, with Unicom shares hitting a 15-week high.
By midday, the CSI300 index of the largest Shanghai and Shenzhen A-share listings was up 0.3 percent, while the Shanghai Composite Index was up 0.2 percent at 2,006.78 points.
The Hang Seng Index was up 0.4 percent at 22,219.33 points. The China Enterprises Index of the top Chinese listings in Hong Kong dropped 0.3 percent.
Ping An Insurance Group of China Co Ltd had the biggest impact on both mainland indexes. Shares of the country's second-largest insurer by market value rose 2.4 percent after it posted a 46 percent rise in first-quarter profit.
Profit growth was driven by a recovery in investment income and strong growth in its core life insurance business, the firm said.
But Hong Kong investors remained indifferent to its Hang Seng listed counterpart, with the stock losing 0.2 percent, on top of a 1.6 percent drop on Monday.
"A lot of the earnings growth came from the trusts element (of the business), which is a risker part," said Francis Cheung, CLSA China-HK strategist in Hong Kong.
"Therefore, it's trading down here, while the A-share market is probably more comfortable with that growth."
Instead, investors continued to pile into the mainland's two biggest telecoms operators, pushing China Mobile Ltd up 2.9 percent and China Unicom Hong Kong Ltd up 3.6 percent, sending the stock to its highest level since Jan. 15.
Back on the mainland, property stocks had a rough morning, with the CSI real estate sub-index down 1.91 percent after investors sold off stakes in weaker or overvalued firms, underlying the challenges the industry faces as the property market shows increasing signs of slowing.
Gemdale corp lost 10 percent after the company reported a 76 percent fall in Q1 net profit on Monday. Beijing Capital Development Co Ltd shares also dropped 4.5 percent percent, while Risesun Real Estate Development Co Ltd lost 3.2 percent.
But shares in Datong Coal Industry Co Ltd jumped 10 percent in Shanghai, their biggest one-day gain in nine months, after the company reported a 1.04 billion yuan ($166.32 million) first-quarter profit.
The company reported a net loss of 1.4 billion yuan last year, hit by sharp falls in thermal coal prices.
($1 = 6.2530 yuan) (Editing by Jacqueline Wong)