CDL Hospitality Trusts’ (CDLHT) net property income (NPI) for the first half ended Jun 30, 2024, rose 5.9 per cent to S$66.5 million, from S$62.9 million in the year-ago period.
On Tuesday (Jul 30), the managers of the stapled group reported an unchanged H1 distribution per stapled security of S$0.0251, which was affected by higher interest costs.
Total distribution to stapled securityholders after retention was up 0.7 per cent year on year to S$31.4 million, from S$31.2 million. The distribution will be paid on Aug 30, after the closure of books on Aug 7.
The stapled group also reported a 6.8 per cent higher revenue of S$127.3 million, from S$119.2 million.
The managers noted that NPI increased in tandem with the rise in gross revenue, with the former posting an improvement in almost all of its portfolio markets.
However, NPI in its New Zealand market was down year on year, and flat in its UK market.
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Interest costs for H1 FY2024 increased mainly due to higher funding costs on floating rate loans and interest rate expenses from additional amounts drawn.
Revenue per available room (RevPAR) growth was recorded across all of the group’s portfolio markets, even as pent-up demand post-pandemic tapered off in most markets.
The managers noted a 7.7 per cent increase in its Singapore hotels’ RevPAR to S$193, from S$179 in H1 FY2023. This comes as the average occupancy rate rose 9.2 percentage points to 78.4 per cent.
As at Jun 30, CDLHT’s gearing ratio was 37.7 per cent. It had a debt headroom of S$783.3 million, with cash reserves of S$64.9 million and S$648.5 million of credit facilities.
Stapled securities of CDLHT closed at S$0.975 on Monday, up S$0.005 or 0.5 per cent.
