CMMT records distribution per unit of 2.08 sen for 3Q 2017
Kuala Lumpur, 25 October 2017 – CapitaLand Malaysia Mall REIT Management Sdn. Bhd. (CMRM), the manager of CapitaLand Malaysia Mall Trust (CMMT), announced today that CMMT recorded a distribution per unit (DPU) of 2.08 sen for the quarter from 1 July to 30 September 2017 (3Q 2017). Annualised DPU for the quarter was 8.25 sen, which translated to an annualised distribution yield of 5.7% based on CMMT’s closing price of RM1.46 per unit on 24 October 2017.
As CMMT’s DPU is paid out on a half yearly basis, unitholders can expect to receive their DPU for 3Q 2017, along with their DPU for the quarter ending 31 December 2017, by February 2018.
For the quarter under review, CMMT recorded net property income of RM60.1 million, 2.2% lower than the same period last year. Gurney Plaza and East Coast Mall turned in stronger performances, which partially mitigated the lower contributions from the Klang Valley1 shopping malls.
Mr David Wong, Chairman of CMRM, said: “The Malaysian economy registered a growth of 5.8%2 in 2Q 2017 on the back of robust private consumption and investment. The operating environment for the retail sector continued to be affected by cautious consumer sentiments and increased competition from new malls. Notwithstanding the challenges, we remain optimistic that the underlying strength of CMMT’s portfolio of quality malls will continue to offer sustainable income distributions to unitholders in the long term.”
Ms Low Peck Chen, CEO of CMRM, said: “In 3Q 2017, both Gurney Plaza and East Coast Mall recorded improvements in net property income, which helped to moderate the lower contributions from our Klang Valley malls that continued to be affected by the increased supply of retail space in the vicinity. As part of continual efforts to uplift the shopping experience in our malls, we recently completed configuration works at the basement level of Gurney Plaza to house more food and beverage (F&B) offerings, and these are expected to contribute income from 4Q 2017. Meanwhile, plans to rejuvenate the 40-year-old Sungei Wang Plaza are progressing and the mall will soon embark on a major asset enhancement initiative to strengthen its appeal as a shopping destination of choice.”
“At Tropicana City Mall, a new Japanese restaurant was added to the standalone F&B cluster adjoining the office tower. Another restaurant will join the cluster next month to make a total of four F&B outlets, all of which enjoy extended operating hours past midnight to better meet the needs of consumers. Shoppers at The Mines will also find more shopping and entertainment choices on Level 4 following the completion of reconfiguration works.”
“During the quarter under review, we organised several family-oriented experiential marketing activities to enhance the shopping experience, which drew more visitors to our malls. Looking ahead, we will continue to build on our CapitaStar loyalty programme to engage shoppers with exclusive offers and rewards.”
Summary of CMMT’s results
Gross revenue (RM ’000)
Net property income (RM ’000)
Distributable income (RM ’000)
For the period
Annualised distribution yield
N.M. – Not meaningful
1 Made up of Sungei Wang Plaza, Tropicana City Mall and The Mines.
2 Source: Bank Negara Malaysia.
3 Based on closing price of RM1.46 per unit on 24 October 2017.
4 Based on closing price of RM1.54 per unit on 19 October 2016.