Chairman & CEO Message Chairman & CEO Message Dear Unitholders, CapitaLand China Trust (CLCT) demonstrated resilience to deliver a steady performance in FY 2024 amidst headwinds from China’s economic challenges and ongoing geopolitical tensions. By maintaining a disciplined approach to asset and capital management, we have been steadily building our income resilience while aligning our portfolio with China’s economic priorities on domestic consumption and technology-driven industries. Capitalising on China’s 2024 stimulus measures and interest rate easing cycle, we expanded our RMB-denominated debt from 20% to 35%1 at the close of 2024, improving our natural hedging and financial position. Additionally, we completed the divestment of a retail asset – CapitaMall Shuangjing, underscoring our commitment to capital recycling and portfolio optimisation. As Singapore’s first and largest China-focused REIT, we remain dedicated to enhancing asset performance and shaping a quality portfolio, while fortifying our capital base for future opportunities. Sustained Performance Gross Revenue for FY 2024 declined 3.9% year-on-year (YoY) to RMB1,837.6 million and Net Property Income (NPI) registered a 5.8% YoY reduction to RMB1,219.1 million, due to the absence of contributions from CapitaMall Shuangjing and CapitaMall Qibao, alongside lower occupancy and rents in business parks and logistics parks. However, on a comparable nine-mall portfolio basis2, retail NPI rose 1.9% YoY, highlighting the impact of our resilient retail portfolio, proactive lease management and completed asset enhancement initiatives (AEIs). Meanwhile, Distributable Income stood at S$96.8 million, translating to a Distribution Per Unit (DPU) of 5.65 Singapore cents. We closed the year with portfolio occupancy rates of 98.2% for retail, 87.6% for business parks and 97.6% for logistics parks. CLCT’s retail malls – our largest asset class comprising 70.7% of our portfolio’s Gross Rental Income (GRI) – saw an 8.7% YoY increase in shopper traffic and a 2.0% uptick in tenant sales, driven by demand for Food & Beverage (F&B), Services and IT offerings. Contributing to the improved retail operating metrics were our three large AEIs3 in 2023, which generated a blended return on investment (ROI) of approximately 14.0%. We also successfully completed three Tan Tee How Chairman Non-Executive Independent Director Chan Kin Leong Gerry Chief Executive Officer Executive Non-Independent Director 1 Includes FTZ Bond, RMB Bond as well as Cross Currency Interest Rate Swaps (CCIRS) on SGD loans to RMB. Including forward hedges as at 31 December 2024, total RMB as % of Total Debt is approximately 38%. 2 Excluding contributions from CapitaMall Qibao which ceased operations in March 2023 and CapitaMall Shuangjing which was divested in January 2024. 3 In FY 2023, CLCT completed three AEIs at CapitaMall Yuhuating, Rock Square and CapitaMall Grand Canyon. 10 CapitaLand China Trust
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