CMMT records net property income of RM152.3 million for YTD 2019
- Completion of Sungei Wang’s asset enhancement initiative will further strengthen portfolio
- Distribution per unit of 4.73 sen for the period
Kuala Lumpur, 24 October 2019 – CapitaLand Malaysia Mall REIT Management Sdn. Bhd. (CMRM), the manager of CapitaLand Malaysia Mall Trust (CMMT), announced today that CMMT achieved a net property income (NPI) of RM152.3 million for the period 1 January to 30 September 2019 (YTD 2019). Higher year-on-year revenue from Gurney Plaza, East Coast Mall and Tropicana City Office Tower partially mitigated lower contributions from the Klang Valley1 shopping malls.
Distributable income for YTD 2019 was RM96.8 million and distribution per unit (DPU) was 4.73 sen. For the quarter ending 30 September 2019 (3Q 2019), CMMT recorded a DPU of 1.51 sen. Based on CMMT’s closing price of RM1.05 on 23 October 2019, the annualised DPU of 5.99 sen for 3Q 2019 translates to an annualised distribution yield of 5.7%. Unitholders can expect to receive their DPU for 3Q 2019, along with their DPU for the quarter ending 31 December 2019, by March 2020.
Mr David Wong, Chairman of CMRM, said: “As part of our proactive asset management strategy, we continually explore ways to increase the attractiveness of our malls. The recently completed asset enhancement initiative at Sungei Wang to revamp the annex block JUMPA is one such effort that has refreshed the mall's appeal. Amidst the challenging operating environment, we remain committed to delivering sustainable income distributions to unitholders by ensuring that our malls continue to be relevant to the communities they serve.”
Ms Low Peck Chen, CEO of CMRM, said: “For the quarter under review, Gurney Plaza and East Coast Mall recorded improvements in NPI, which helped to moderate the lower contributions from our Klang Valley malls. The basement level of East Coast Mall has been reconfigured to house more service-related offerings, which will further contribute to our performance going forward. As part of our strategy to elevate the positioning of Gurney Plaza, the upgrading of the supermarket will be completed by the end of the year.”
“Sungei Wang’s newly refurbished annex block JUMPA opened its doors to shoppers on 25 September 2019. It is expected to contribute progressively to the portfolio’s NPI from 4Q 2019. Shoppers at JUMPA can look forward to the opening of two mini anchors in December 2019. They are Camp5 Beast Park's climbing gym-cum-adventure park and MinNature's 3D printed miniature exhibition – the largest of its kind in Malaysia. Further diversifying JUMPA's experiential retail offerings, Emperor Group’s first Emperor Cinemas outlet in Klang Valley is slated to begin operations next year.”
1 Comprises Sungei Wang, 3 Damansara and The Mines.
Summary of CMMT’s results
|
3Q 2019 |
3Q 2018 |
Change (%) |
YTD 2019 |
YTD 2018 |
Change (%) |
Gross revenue (RM ’000) |
83,721 |
86,150 |
(2.8) |
256,474 |
263,237 |
(2.6) |
Net property income (RM ’000) |
49,196 |
51,738 |
(4.9) |
152,276 |
162,142 |
(6.1) |
Distributable income (RM ’000) |
30,982 |
38,839 |
(20.2) |
96,804 |
120,873 |
(19.9) |
DPU (sen) |
||||||
For the period |
1.51 |
1.90 |
(20.5) |
4.73 |
5.92 |
(20.1) |
Annualised DPU |
5.99 |
7.54 |
(20.6) |
6.32 |
7.92 |
(20.2) |
Annualised distribution yield |
5.7%2 |
6.8%3 |
N.M. |
6.0%2 |
7.1%3 |
N.M. |
N.M. – Not meaningful
2 Based on closing price of RM1.05 per unit on 23 October 2019.
3 Based on closing price of RM1.11 per unit on 23 October 2018.