CapitaRetail China Trust gross revenue drops 2.8% in H1 2010

However, in RMB terms, CRCT’s gross revenue achieved a net income of RMB97.2 mln in the second quarter, which is up 8.8% from the same period in 2009.

CapitaRetail China Trust Management Limited (CRCTML), the manager of CapitaRetail China Trust (CRCT), said Friday that in RMB terms, CRCT recorded net property income of RMB191.1 million for 1H2010, up 8.1% compared to 1H2009. For 2Q2010, it has gained a net property income (NPI) of RMB97.2 million, up 8.8% against the same period last year, the release said.

However, CRCT said in SGD terms, gross revenue for 2Q2010 was S$29.6 million, 2.8% or S$0.9 million lower than 2Q2009. NPI grew slightly by 1.9% or S$0.4 million year-on-year to S$19.8 million.

The lower growth in SGD terms was due to the stronger SGD against RMB between 2Q2010 and 2Q2009. For 1H2010, gross revenue was 2.9% lower at S$59.1 million and NPI was 1.5% higher at S$39.1 million year-on-year.

But CRCT still recognise the income growth in terms of RMB.

In the statement, CRCT said it attributes the growth to the good performance of CRCT’s business model and the effectiveness of its proactive asset management strategy.

Mr Victor Liew, Chairman of CRCTML, said, “CapitaRetail China Trust has achieved a strong set of results. We continue to benefit from the Chinese government’s stimulus measures to boost domestic consumption and maintain stable and sustainable economic growth. Resilient domestic consumption continues to be a growth engine for China’s economy, which the International Monetary Fund projects will grow by 10.5% in 2010.”

Mr Tony Tan, Chief Executive Officer of CRCTML, said, “With our active lease management and close partnership with tenants, we have achieved a respectable set of results, backed by a strong year-on-year growth in tenant sales and shopper traffic of 28.8% and 14.4% respectively.”

Meanwhile, distribution per unit (DPU) for the second quarter is 2.07 Singapore cents, a 6.7% year-on-year increase compared to 2Q2009. Unitholders can expect to receive a distribution of 4.21 Singapore cents per unit for the first six months of the year. This is an annualised distribution yield of 6.6% based on CRCT’s closing price of S$1.25 per unit on 22 July 2010. The books closure date is 9 September 2010 and the distribution payment date is 24 September 2010.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia