CMMT records net property income of RM53.4 million for 2Q 2018
Distribution per unit of 2.00 sen for the quarter
Kuala Lumpur, 25 July 2018 – CapitaLand Malaysia Mall REIT Management Sdn. Bhd. (CMRM), the manager of CapitaLand Malaysia Mall Trust (CMMT), announced today that CMMT achieved net property income (NPI) of RM53.4 million for the quarter ended 30 June 2018 (2Q 2018). Gurney Plaza and East Coast Mall recorded stronger performances that partially mitigated lower contributions from the Klang Valley shopping malls, including Sungei Wang, which is currently undergoing asset enhancement to reconfigure its annex space into a new lifestyle zone, Jumpa.
Distributable income for 2Q 2018 was RM40.8 million and distribution per unit (DPU) for the quarter was 2.00 sen. The total DPU for 1H 2018 was 4.02 sen and annualised DPU of 8.11 sen for 1H 2018 translates to an annualised distribution yield of 6.6%, based on CMMT’s closing price of RM1.23 per unit on 24 July 2018. As CMMT’s DPU is paid out on a half yearly basis, unitholders can expect to receive their DPU for 1H 2018 on 30 August 2018.
Mr David Wong, Chairman of CMRM, said: “Consumer sentiment in Malaysia has improved since the zero-rating of the Goods and Services Tax, and we anticipate this optimism to lead to an increase in retail sales. However, lingering concerns over rising costs of living, the rising popularity of e-commerce and an increasing shopping mall supply will continue to impact the retail operating environment. Notwithstanding the challenges, we are positive that the underlying strength of CMMT’s portfolio of quality assets will sustain CMMT’s performance through different economic cycles and deliver sustainable income distributions for unitholders over the long term.”
Ms Low Peck Chen, CEO of CMRM, said: “In 2Q 2018, CMMT overcame industry headwinds to achieve a positive rental reversion of 0.3%. During the quarter under review, Gurney Plaza and East Coast Mall continued to chart year-on-year revenue growth, which reaffirmed their leading position in the Northern region and East Coast region of Peninsular Malaysia respectively.”
“To further strengthen East Coast Mall’s appeal, we have completed the enhancement works on Level 1 to create an international fashion cluster featuring new brands that will be fully opened next month. Anchor tenant Parkson has also commenced renovation works to transform its outlet at East Coast Mall into a flagship store in the East Coast region by October 2018. During the quarter, we continued our efforts to rejuvenate 3 Damansara (formerly Tropicana City Mall) with a rebranding campaign, introduction of new casual dining concepts and upgrading of mall amenities.”
“In line with our digital strategy to enhance shopper engagement, the CapitaStar rewards programme is on track to launch its mobile application in 2H 2018. Looking ahead, we will continue to focus on active asset management, asset enhancement initiatives and proactive leasing strategies to strengthen our portfolio’s attractiveness and relevance for shoppers and tenants.”
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
 Made up of Sungei Wang, 3 Damansara (formerly Tropicana City Mall) and The Mines.
 Based on closing price of RM1.23 per unit on 24 July 2018.
 Based on closing price of RM1.55 per unit on 18 July 2017.