The manager of CapitaLand Integrated Commercial Trust (CICT) has reported a distribution per unit (DPU) of 5.22 cents for the 1HFY2022 ended June, 0.77% higher than the DPU of 5.18 cents in the same period the year before.
For the six-month period, distributable income increased by 3.4% y-o-y to $347.3 million.
CICT’s gross revenue for the 1HFY2022 rose 6.5% y-o-y to $687.6 million, while net property income (NPI) increased by 6.2% y-o-y to $501.6 million.
The better performance was mainly due to contributions from the completion of the acquisition of the 70.0% interest in CapitaSky, as well as the acquisition of three Australian assets, 66 Goulburn Street, 100 Arthur Street and 101-103 Miller Street and Greenwood Plaza. Higher rental income also contributed to the higher y-o-y figures.
The higher gross revenue and NPI for the period was, however, partly offset by the divestment of JCube and higher operating expenses.
As at June 30, CICT’s net asset value (NAV) per unit, after excluding the distributable income for the half-year period, stood at $2.07.
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As at June 30, the REIT’s portfolio occupancy stood at 93.8%, up by 0.2 percentage points q-o-q. The REIT’s weighted average lease expiry (WALE) for the period came in at 3.8 years based on gross rental income (GRI).
During the 1HFY2022, CICT signed some 1.7 million sq ft of new leases and renewals.
CICT’s aggregate leverage was at 40.6% as at June 30. This was mainly due to the completion of the acquisitions.
About 81% of the trust’s total borrowings were on fixed rate borrowings with an average term to maturity of 4.4 years and its average cost of debt at 2.4% per annum as at June 30.
As at June 30, cash and cash equivalents stood at $227.1 million.
“We continue to see CICT’s portfolio recovery, in line with the reopening of Singapore’s borders and easing of Covid-19 community measures,” says Tony Tan, CEO of the manager.
“Riding on the positive momentum, CICT’s operating metrics, including tenant sales, shopper traffic, atrium space take-up and return of office community have recorded improvements. As Singapore welcomes more international visitors, we are also seeing higher occupancy levels for the hotels at Raffles City Singapore and the serviced residence at CapitaSpring,” he adds.
“We expect contributions from the completions of CICT’s acquisitions of 70.0% interest in CapitaSky and three Australian assets to uplift the portfolio performance from 3QFY2022.”
Unitholders will receive their DPUs on Sept 9.
Units in CICT closed flat at $2.14 on July 27.
