CDL Hospitality Trusts (CDLHT) has reported total revenue of $58.5 million for the 3QFY2022 ended Sept 30, up by 46.4% y-o-y. This was due to a surge in revenue for its master leases for its properties in Singapore, Italy and the UK and was offset by its master leases for its properties in the Maldives, New Zealand and Germany.
In its managed hotels, the trust saw improvements across the board.
Net property income (NPI) for the 3QFY2022 rose by 54.4% y-o-y to $31.6 million. This was mainly from the Singapore and Australia properties, which increased collectively by $15.4 million y-o-y for the quarter.
According to CDLHT, the overall improvement in the quarter reflected the robust growth in global travel following the loosening of Covid-19 travel restrictions. “The pace of recovery varies but remains bolstered strongly by leisure demand, the return of citywide events and corporate group travel,” says the trust in its Oct 28 statement.
For the 9MFY2022, CDLHT’s gross revenue increased by 48.0% y-o-y to $157.2 million.
NPI increased by 43.7% y-o-y to $82.6 million in tandem with the higher gross revenue.
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In Singapore, CDLHT’s average occupancy rate improved by 15.7 percentage points y-o-y to 88.1%. The country’s average daily rate (ADR) increased by 116.5% y-o-y to $226, while revenue per available room (RevPAR) increased by 163.6% y-o-y to $199.
RevPAR for CDLHT’s overseas hotels all improved with the exception of New Zealand, which fell by 62.3% y-o-y to NZ$71 ($58.30).
In the Maldives, RevPAR increased by 26.3% y-o-y to US$189 ($265.99).
Australia’s RevPAR increased by 233.5% y-o-y to A$109 ($99.30).
Germany’s RevPAR increased by 195.8% y-o-y to EUR129 ($181.96), while Italy’s RevPAR increased by 245.3% y-o-y to EUR194.
In Japan, RevPAR increased by 49.1% y-o-y to 4,136 yen ($39.84).
The UK’s RevPAR increased by 24.9% y-o-y to GBP146 ($238.12).
Looking ahead, CDLHT says it continues to observe a strong recovery across most of its portfolio markets, although its hotels are facing inflationary cost pressure. The interest rate hikes across many markets have also caused the trust’s average funding costs to be higher.
As at Sept 30, CDLHT’s gearing stood at 39.4%. Its interest coverage ratio was 3.7x. Its cash reserves for the period stood at $88.2 million.
Units in CDLHT closed flat at $1.08 on Oct 27.
