The decline in NPI due to drop in gross revenue, partially offset by savings in operating expenses of 5.0% y-o-y for the overall portfolio.
The retail portfolio achieved positive rental reversion of 0.5%, boosted by upgrading of supermarkets at CapitaMall Xizhimen and CapitaMall Xuefu. Excluding CapitaMall Xinnan and the supermarket leases signed (for CapitaMall Xizhimen and CapitaMall Xuefu), 1QFY2025 retail reversion is -1%, similar to 2024.
The occupancy of business parks remained stable with at 83.7% despite an oversupply, compared with 87.6% in 4QFY2024. The logistics parks increased occupancy to 95.7% because Shanghai Fengxian Logistics Park, which was previously not occupied in the first three quarters of 2024, secured an anchor tenant in December 2024, achieving 100% occupancy. This represents a vast improvement from the 67.6% occupancy in 1QFY2024.
On the capital management front, CLCT increased its RMB-denominated debt to 41% of total debt with the issuance of a 2.88% RMB600 million bond due in April 2028.
See also: Creative guides for ‘similar level of operating loss’ for 2HFY2025
Gearing continued to inch up, to 42.6% as at March 31 compared with 41.9% as at Dec 31, 2024. Average cost of debt was unchanged at 3.51% and interest coverage ratio remained unchanged q-o-q at 3 times. Average time to maturity rose to 3.9 months in 1QFY2025, compared to 3.4 months in 4QFY2024.
Separately, CLCT has announced the potential divestment of CapitaMall Yuhuating to CapitaLand Commercial C-REIT subject to unitholders approval in an EGM.
CLCT's share price closed at 69 cents on April 23.
