CapitaLand Ascott Trust's gross profit rose 31% in 1H 2023

SINGAPORE - July 31, 2023 - PRLog -- CapitaLand Ascott Trust's (CLAS) gross profit for 1H 2023 rose 31% to S$154.4 million compared to 1H 2022.  Revenue for 1H 2023 increased by 30% to S$346.9 million compared to 1H 2022.  This was mainly attributed to the strong operating performance of CLAS' properties as travel continues to pick up pace.

The higher revenue and gross profit were also due to additional contributions from CLAS' 14 quality operating assets acquired in FY 2022 and 2Q 2023 , which were largely longer-stay assets.  On a same-store basis, revenue and gross profit for 1H 2023 increased by 26% and 25% respectively compared to 1H 2022.

With the strong portfolio performance, CLAS has increased its Distribution per Stapled Security (DPS) for 1H 2023 by 19% year-on-year (y-o-y) to 2.78 cents.  CLAS' total distribution for 1H 2023 also grew 26% y-o-y to S$96.3 million compared to 1H 2022.  Excluding one-off items, adjusted DPS rose 37% y-o-y to 2.44 cents.

CLAS' REVPAU  increased 44% y-o-y to S$138 for 1H 2023.  In 2Q 2023, REVPAU was S$149, a 20% increase y-o-y, reaching 98% of pre-pandemic 2Q 2019 pro forma REVPAU.  2Q 2023 REVPAU for key markets such as Australia, Japan, Singapore, United Kingdom (UK), and USA have performed above pre-pandemic pro forma levels based on same-store comparison.

Mr Bob Tan, Chairman of CapitaLand Ascott Trust Management Limited and CapitaLand Ascott Business Trust Management Pte. Ltd. (the Managers of CLAS), said: "CLAS' strong performance is supported by the twin pillars of growth and stable income.  In 1H 2023, our growth income contribution rose to 42% from 32% in 1H 2022 as we continued to capitalise on the increasing travel demand.  Gross profit and REVPAU have further increased, moving closer to our pre-pandemic performance.  Our yield-accretive investments of largely longer-stay assets further enhanced our stable income, which will strengthen CLAS' resilience and provide downside protection against potential headwinds.  CLAS remains committed to delivering sustainable returns to our Stapled Securityholders."

Ms Serena Teo, Chief Executive Officer of the Managers of CLAS, said: "We expect continued demand for CLAS' properties as international arrivals are projected to further recover to between 80% and 95% of pre-pandemic levels by the end of 2023 .  We also expect international travel to pick up pace as flight capacities increase.  Despite macroeconomic uncertainties, CLAS' performance is expected to remain resilient given our geographic diversification, range of lodging asset classes and different contract types."

For full release: https://bit.ly/CLAS1H2023