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Summary of CLINT results

Exchange rate movements

Singapore, 29 July 2024 – CapitaLand India Trust Management Pte. Ltd., (the Trustee-Manager of CLINT) announced an 8% year-on-year (y-o-y) growth in distribution per unit (DPU) to 3.64 Singapore cents, and an 18% increase over 2H FY 2023.  Total property income and net property income for the period grew by 23% and 21% y-o-y to S$136.1 million and S$103.5 million, respectively.

Mr Sanjeev Dasgupta, Chief Executive Officer, said: “We are pleased to announce a DPU of 3.64 Singapore cents, an increase of 18% from 2H FY 2023 and 8% year-on-year.  CLINT’s strong operating performance was mainly due to higher rental income from existing properties, positive rent reversion and higher occupancy, and income recognition from properties acquired in FY 2023.  The Trust’s net property income increased by 21% in Singapore Dollar terms, while our committed occupancy, excluding the recent acquisition, increased from 93% as at 31 December 2023, to 96% as at 30 June 2024, driven primarily by leasing activities at aVance, HITEC City, Hyderabad and Building Q1, Aurum Q Parc, Navi Mumbai.”

Financial Performance 

In Indian Rupee terms, 1H FY 2024 total property income increased by 24% to ₹8.4 billion.  This was mainly due to income contribution from Block A in International Tech Park Hyderabad (ITPH), which was completed in January 2023; International Tech Park Pune – Hinjawadi (ITPP-H), which was acquired in May 2023; Industrial Facilities 2 and 3, Mahindra World City, Chennai, which were acquired in December 2023; aVance II Hinjawadi, Pune, which was acquired in February 2024 and higher rental income of existing properties compared to the same period last year.

Total property expenses increased by 32% to ₹2.0 billion mainly due to higher property taxes, operations and maintenance expenses, as well as other property operating expenses from existing and newly acquired properties.  As a result, 1H FY 2024 net property income increased by 22% to ₹6.4 billion. 

Portfolio Performance and Disciplined Capital Management

CLINT achieved a committed portfolio occupancy of 96% as at 30 June 2024.  The Trust’s assets under management grew from S$2.7 billion as at 30 June 2023 to S$3.2 billion as at 30 June 2024.

As at 30 June 2024, CLINT’s gearing ratio was 38.1%.  Including cash and cash equivalents of S$95 million, the gearing was 36.5%.  The Trust has a debt headroom of approximately S$915 million⁶, and undrawn committed onshore facilities of S$381 million, committed offshore facilities of S$200 million and uncommitted facilities of S$138 million.  CLINT's total borrowings on fixed interest rates stood at approximately 71% and 55% was hedged into Indian Rupee.

In May 2024, CLINT secured a sustainability-linked loan (SLL) of S$200 million from International Financial Corporation, thereby increasing its sustainable finance portfolio to S$1.16 billion, comprising 76%⁷ of its total loans as at 30 June 2024.

Earlier this month, CLINT was assigned its first-time Long-term Issuer Default Rating of ‘BBB-’ with a stable outlook by Fitch Ratings.  The rating was underpinned by the Trust’s high-quality portfolio of business parks with Grade A offices in India, which is expected to sustain high occupancy rates and positive rental reversions amid strong demand for IT outsourcing services.

Growth Initiatives

In February 2024, CLINT entered into a forward purchase agreement with Casa Grande Group to acquire three industrial facilities at OneHub Chennai.  In March 2024, CLINT completed the acquisition of aVance II Hinjawadi, Pune, a 1.4 million sq ft multi-tenanted IT SEZ project, which resulted in a net fair value gain of S$20.3 million.  In May 2024, CLINT entered into a forward purchase agreement with Phoenix Group to acquire IT buildings with a total leasable area of 2.5 million sq ft in HITEC City, Hyderabad.

The development of MTB 6 in International Tech Park Bangalore (ITPB) is currently underway, with a projected completion by the end of 2024.  The superstructure works for both data centres in Navi Mumbai and ITPH are progressing as planned, while the development of the data centres in Chennai and ITPB is expected to commence in the second half of 2024.

As at 30 June 2024, CLINT's completed floor area stood at 21.0 million sq ft, following the addition of aVance II Hinjawadi, Pune in March 2024.  Construction activities for existing projects, including the Trust’s committed forward purchase pipeline, are progressing as scheduled.  CLINT's total development potential stands at 7.1 million sq ft.

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1. Occupancy excludes aVance II Hinjawadi, Pune, which was acquired in March 2024. Including aVance II Hinjawadi, Pune, portfolio committed occupancy was 93%.
   
2. The difference of 2% in Income to be distributed and Income to be distributed per unit was due to the additional units issued in May 2023 from sponsor’s subscription relating to the acquisition of International Tech Park Pune, Hinjawadi (ITPP-H) and Counter A preferential offering, where these units were entitled only to distributions after their respective issuance dates.
3. Average exchange rates used in the income statements.
4. Singapore Dollar appreciated by 0.6% and 1.0% respectively against the Indian Rupee.
5. Information Technology Special Economic Zone.
6. Based on the gearing limit of 50%.
7. Assuming the S$200 million SLL has been fully drawn down.