CapitaLand China Trust · SGX:AU8U
CapitaLand China Trust — FY2023 Earnings Presentation
48 slides from CapitaLand China Trust's earnings presentation, Jan 30, 2024
Slide 1: Financial Results for FY 2023
CapitaLand China Trust Financial Results for FY 2023 30 January 2024 CapitaMall Xizhimen, Beijing, China Financial Results for FY 2023 1
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors incl
Slide 3: Table of Contents
Table of Contents 01 05 Key Highlights New Economy Portfolio 02 06 Financial Results & Looking Forward Capital Management 03 07 Portfolio Overview Appendix 04 Retail Portfolio Kunshan Bacheng Logistics Park, Kunshan, China
Slide 4: Key Highlights
Key Highlights Ascendas Xinsu Portfolio, Suzhou, China Financial Results for FY 2023 4
Slide 5: FY 2023 Key Highlights
FY 2023 Key Highlights Recovery in Retail Sector while Navigating Weaker Business Sentiment in New Economy Sectors Operations Capital Management 91.4% +45.8%1 +41.5%1 3.57% 82% 31% Portfolio Shopper Traffic Tenant Sales Stable Cost Fixed Increased Occupancy (FY YoY) (FY YoY) of Debt Interest Rate Su
Slide 6: FY 2023 Milestones
FY 2023 Milestones Building Resilience While Shaping Sustainable Growth Sustainability Accolades Awarded a 5-star rating in Portfolio Optimisation & Capital Management Sustainability the GRESB Assessment Rejuvenation 2023, an improvement Divestment of CapitaMall Launched RMB600 million free trade At
Slide 7: Portfolio Valuation
Portfolio Valuation Valuation (RMB million) Investment Property As at 31 Dec 2023 As at 31 Dec 2022 Variance (%) Portfolio Down CapitaMall Xizhimen 3,668 3,638 0.8% Rock Square 3,410 3,410 - Approximately 0.9% CapitaMall Wangjing 2,844 2,884 (1.4%) CapitaMall Grand Canyon 1,883 1,901 (0.9%) • Assump
Slide 8: Financial Results & Capital Management
Financial Results & Capital Management CapitaMall Xuefu, Harbin, China
Slide 9: FY 2023 NPI on RMB Basis Up 5.3% YoY
FY 2023 NPI on RMB Basis Up 5.3% YoY 2H 2023 2H 2022 Change (%) FY 2023 FY 2022 Change (%) Gross Revenue (RMB’000) 964,687 911,266 5.9 1,912,468 1,851,516 3.3 Net Property Income (RMB’000) 630,014 570,102 10.5 1,293,723 1,228,393 5.3 Amount Available for Distribution 50,735 53,298 (4.8) 113,863 125,
Slide 10: Balance Sheet
Balance Sheet As at 31 Dec 2023 S$’000 Non-Current Assets 4,562,014 1.21 Current Assets 433,745 Net Asset Value Total Assets 4,995,759 (NAV) per Unit (S$) Current Liabilities 367,981 Non-Current Liabilities 2,211,012 Total Liabilities 2,578,993 Unitholders' Funds 2,039,854 1.18 Perpetual Securities
Slide 11: Healthy Financial Position
Healthy Financial Position1 31 Dec 30 Sep Debt Profile as at 31 Dec 2023 2023 2023 SGD Loans 72% Total Debt (S$ million) 1,956.4 2,015.7 Fixed Rate7 82% SGD Bonds 8% Interest Funding Rates6 Floating Rate 18% Sources8 RMB Loans9 14% Gearing2 41.5% 42.4% RMB Bonds10 6% Average Cost of Debt3 3.57% 3.55
Slide 12: Well-Staggered Maturity Profile
Well-Staggered Maturity Profile No Refinancing Requirements for 2024 Increased Sustainability- S$ million Secured S$100 Million Loans, Linked Loans to be Refinanced to 2029 500.0 (FY 2022: 13%) 7.5 Debt Maturity Profile 450.0 34.9 (31 December 2023) 400.0 5.2 31% 350.0 32.3 111.6 300.0 150.0 250.0 2
Slide 13: Distribution Details
Distribution Details Distribution Period 1 July 2023 to 31 December 2023 Distribution per Unit 3.00 S cents Last Day of Trading on “cum” Basis 5 February 2024, 5.00 pm Ex-Date 6 February 2024, 9.00 am Record Date 7 February 2024, 5.00 pm Announcement of Issue Price (DRP) 8 February 2024 Last Day of
Slide 14: Portfolio Overview
Portfolio Overview Kunshan Bacheng Logistics Park, Kunshan, China Financial Results for FY 2023 14
Slide 15: Income Diversification by Asset Class and Geography
Income Diversification by Asset Class and Geography Asset Class Diversification Geographical Diversification % 23.3 y, om Retail, 76.7% Beijing, 39.1% on Ec 75.9% post CapitaMall 36.8% post CapitaMall Shuangjing’s divestment Shuangjing’s divestment New New Economy – Guangzhou, 14.4% Business Park, 1
Slide 16: Strength in Portfolio Diversification and Quality
Strength in Portfolio Diversification and Quality Enhanced Portfolio Stability with Broader Diversification - Less Exposed to Tenant Concentration Risks 33.0% Retail 69.7% Business Park 26.6% Essential Sectors Food & Beverages 25.7% Electronics 6.0% Benefitting from prioritised spending on essential
Slide 17: Portfolio Lease Expiry Profile
Portfolio Lease Expiry Profile Lease Expiry Profile1 WALE (years) Retail Business Park Logistics Park Portfolio By Gross Rental Income2 2.0 1.6 1.4 1.9 % of total Gross Rental Income2 By Net Lettable Area 3.3 1.6 1.4 2.1 30.8% 15.8% 10.7% 10.5% 7.6% 5.8% 4.7% 5.3% 2.0% 3.2% 1.2% 1.5% 0.3% 0.3% 0.3%
Slide 18: Retail Portfolio
Retail Portfolio Rock Square Square, Guangzhou, China Financial Results for FY 2023 18
Slide 19: Retail Portfolio Overview
Retail Portfolio Overview Harbin, 18.1 10 6 12.1% Total Valuation1 Retail2 Cities (across 4 Hohhot, 5.7% (RMB billion) Malls core city clusters) Beijing, 50.9% Chengdu, 8.1% Guangzhou, 18.8% Changsha, 4.4% Notes: 1. Based on valuation on a 100% basis as at 31 December 2023. 2. CLCT has on the 6 Dece
Slide 20: Improving Retail Occupancy to 98.2%
Improving Retail Occupancy to 98.2%1 All Retail Properties Improved Occupancy YoY; Highest Retail Portfolio Occupancy since December 2019 2 Occupancy of 94.8% 95.9% 96.4% 97.5% 98.2% Retail Portfolio3 Investment Property 31-Dec-22 31-Mar-23 30-Jun-23 30-Sep-23 31-Dec-23 CapitaMall Xizhimen 98.7% 97.
Slide 21: Portfolio Shopper Traffic and Tenant Sales
Portfolio Shopper Traffic1 and Tenant Sales1 Improvement Boosted by Improved Operating Conditions and post AEI Efforts FY YoY Shopper Traffic QoQ Shopper Traffic Positive 2H 2023 Momentum (million) (million) for Retail Portfolio YoY: + 102.1% Compared to 1H 2023, 2H 2023 YoY2: +45.8% 30 COVID-19 Dis
Slide 22: Retail Performance Highlights
Retail Performance Highlights Double-Digit Tenant Sales Increase for Key Trade Sectors in FY 2023 FY 2023 Retail Rental Portfolio Occupancy Cost1 Reversion: +0.2% Trending towards Healthy Range +47.5% Range between high teens to low 20% Food & Beverage Leasing Activities Gaining Momentum Achieved Hi
Slide 23: Retail Portfolio Lease Expiry Profile
Retail Portfolio Lease Expiry Profile Lease Expiry Profile for 20241 % of Total % of Total Investment Property No. of Leases Gross Rental Income2,3 Net Lettable Area4 CapitaMall Xizhimen 171 46.8% 31.8% Rock Square 107 35.8% 21.7% CapitaMall Wangjing 138 41.5% 26.6% CapitaMall Grand Canyon 90 33.1%
Slide 24: Retail Portfolio Lease Expiry Profile
Retail Portfolio Lease Expiry Profile Lease Expiry Profile by Year1 % of Total Gross % of Total Year No. of Leases Rental Income2,3 Net Lettable Area4 Weighted Average 2024 1,368 43.8% 31.5% Lease Expiry (years) 2025 453 22.5% 17.7% 2.0 By Gross Rental Income2 2026 259 14.9% 15.6% 2027 98 6.7% 8.7%
Slide 25: Curating Retail Experiences with the Latest Trends
Curating Retail Experiences with the Latest Trends Redefining the Pet Care Experience Enhancing the Mall’s Dining Haven Tap on the growing demand for pet care products and services as more owners Increase food offerings to delight shoppers seeking international are prioritising the well-being of the
Slide 26: Creating Immersive Lifestyle Experiences
Creating Immersive Charity Sale Cycling Marathon Christmas Showcase CapitaMall Xuefu hosted a CapitaMall Xinnan, in collaboration CapitaMall Yuhuating was Lifestyle charity sale, dedicating all proceeds to support children battling leukemia. This event with Muchbike, championed a healthier lifestyle
Slide 27: New Economy Portfolio
New Economy Portfolio Singapore-Hangzhou Science & Technology Park Phase II, Hangzhou, China Financial Results for FY 2023 27
Slide 28: Business Park Portfolio Overview
Business Park Portfolio Overview 5.5 5 3 Total Valuation1 Business Cities Xi’an, 23.0% (RMB billion) Parks Suzhou, 42.8% Hangzhou, 34.2% Note: 1. Based on valuation on a 100% basis as at 31 December 2023. Ca p i t a L a n d Ch i n a Tr u s t Financial Results for FY 2023 28
Slide 29: New Economy Performance Highlights
New Economy Performance Highlights Business Park Logistics Park Contributes 16.4% of Portfolio AUM Reversion: +1.6% Contributes 6.9% of Portfolio AUM Reversion: -20.5% Business Park Leasing Insights Logistics Park Leasing Insights • New supply and weaker business sentiments impacted leasing activity
Slide 30: Maintaining Business Park Occupancy at 91.0%
Maintaining Business Park Occupancy at 91.0%1 Occupancy of Business 91.0% 91.4% 89.8% 91.5% 90.8% Park Portfolio Investment Property 31-Dec-22 31-Mar-23 30-Jun-23 30-Sep-23 31-Dec-23 Ascendas Xinsu Portfolio 96.6% 96.5% 96.7% 97.4% 97.5% Ascendas Innovation Towers 87.8% 89.5% 92.0% 87.7% 90.1% Ascen
Slide 31: Business Park Portfolio Lease Expiry Profile
Business Park Portfolio Lease Expiry Profile Lease Expiry Profile By Year1 % of Total Gross % of Total Year No. of Leases Weighted Average Rental Income2 Net Lettable Area3 Lease Expiry (years) 2024 274 40.1% 39.7% 2025 189 28.6% 28.4% 1.6 By Gross Rental Income 2026 150 21.8% 20.9% 2027 9 7.4% 8.8%
Slide 32: Nurturing our Business Park Community
Nurturing our Business Eco-Green Run Arranged an 8km eco-green First Aid Course Organised a health talk at Halloween Party Hosted a Halloween-themed Park run at Ascendas Xinsu Portfolio to raise awareness about reducing carbon Ascendas Innovation Hub and Ascendas Innovation Towers aimed at providing
Slide 33: Logistics Park Portfolio Overview
Logistics Park Portfolio Overview 1.61 4 4 Wuhan, 21.9% Total Valuation Logistics Cities (RMB billion) Parks Kunshan, 20.1% Shanghai, 36.7% Chengdu, 21.3% Note: 1. Based on valuation on a 100% basis as at 31 December 2023. Ca p i t a L a n d Ch i n a Tr u s t Financial Results for FY 2023 33
Slide 34: Logistics Park Occupancy of 82.0%
Logistics Park Occupancy of 82.0%1 Investment Property 31-Dec-22 31-Mar-23 30-Jun-23 30-Sep-23 31-Dec-23 Shanghai Fengxian Logistics Park 98.6% 98.6% 98.6% 98.6% 60.3% Kunshan Bacheng Logistics Park 99.2% 99.2% 99.2% 99.1% 98.5% Wuhan Yangluo Logistics Park 99.7% 99.7% 99.7% 99.7% 99.7% Chengdu Shua
Slide 35: Logistics Park Portfolio Lease Expiry Profile
Logistics Park Portfolio Lease Expiry Profile Lease Expiry Profile By Year1 % of Total Gross % of Total Weighted Average Year No. of Leases Rental Income2 Net Lettable Area3 Lease Expiry (years) 2024 25 40.4% 40.0% 1.4 By Gross Rental Income 2025 17 50.6% 53.7% 2026 2 9.0% 6.3% 1.4 By Net Lettable A
Slide 36: Looking Ahead
Looking Ahead CapitaMall Wangjing, Beijing, China Financial Results for FY 2023 36
Slide 37: CLCT's Focus
CLCT’s Focus Positioned and aligned to China’s Long-Term Growth C-REIT Developments Guided by our Create, Unlock and Extract Strategy: In March 2023, the PRC government expanded the scope of C-REITs to include consumption ✓ Create: Increase diversification and resilience of infrastructure projects,
Slide 38: Optimising Portfolio to Enhance Returns
Optimising Portfolio to Enhance Returns Completed: Space Reconfiguration at B1 of CapitaMall Grand Canyon B1 Completed CapitaMall Grand Canyon Following successful launch of L1 AEI area in July, B1 AEI area reopened in December 2023 ✓ 100% opening rate with around 60 popular F&B outlets and trendy r
Slide 39: Timely Divestment of CapitaMall Shuangjing
Timely Divestment of CapitaMall Shuangjing Benefits of the Transaction 842.0 In line with the CLCT’s proactive portfolio management strategy to divest non-core, mature assets Agreed Price to optimise portfolio composition and enhance its returns to Unitholders (RMB million) Strengthen balance sheet
Slide 40: Business Outlook
Retail Business Outlook ✓ CLCT positioned to ride growth of domestic consumption with the completed AEIs and unit reconfigurations in 2023 • China's economy grew 5.2% in 2023, slightly more than Action plan: CLCT to strengthen weaker malls that are the official target1. Several of China’s largest pr
Slide 41: Thank you
Thank you For enquiries, please contact: Ms Nicole Chen, Investor Relations Direct: (65) 6713 1648, Email: nicole.chen@capitaland.com CapitaLand China Trust Management Limited (https://www.clct.com.sg) 168 Robinson Road, #30-01 Capital Tower, Singapore 068912 Tel: (65) 6713 2888, Fax: (65) 6713 2999
Slide 42: Divestment of CapitaMall Shuangjing
Divestment of CapitaMall Shuangjing Property Information Asset Type Shopping Mall East Third Ring Road at Jiulong Commercial Building, No. Address 31 Guanggu Road, Chaoyang District, Beijing, China Gross Floor Area 49,462.65 sq m Valuation RMB621.0 million Agreed Price RMB842.0 million Exit Yield 2.
Slide 43: Gross Revenue (in RMB'mil)
Gross Revenue (in RMB’mil) FY 2022 FY 2023 Portfolio1 1,400.0 1,336.1 1,257.8 FY 2023 1,200.0 1,912.5 1,000.0 RMB mil 800.0 3.3% YoY 600.0 507.8 491.7 FY 2022 400.0 1,851.5 200.0 85.9 84.7 RMB mil - Retail Business Parks Logistics Parks Note: 1. Presented based on 100% interest. Capi t aLand Chi na
Slide 44: Net Property Income (in RMB'mil)
Net Property Income (in RMB’mil) FY 2022 FY 2023 Portfolio1 1,000.0 900.0 867.3 793.1 FY 2023 800.0 1,293.7 700.0 600.0 RMB mil 500.0 5.3% YoY 400.0 372.4 365.3 300.0 FY 2022 200.0 1,228.4 100.0 62.9 61.1 RMB mil - Retail Business Parks Logistics Parks Note: 1. Presented based on 100% interest. Capi
Slide 45: Portfolio at a Glance
Portfolio at a Glance1 CapitaMall CapitaMall CapitaMall Grand Rock Square CapitaMall Xuefu Xizhimen Wangjing Canyon 乐峰广场 凯德广场•学府 凯德MALL•西直门 凯德MALL•望京 凯德MALL• 大峡谷 Location Beijing Guangzhou Beijing Beijing Harbin GFA (sq m) 83,075 88,279 83,768 92,918 123,811 GRA (sq m) 83,075 83,591 68,010 69,967 10
Slide 46: Portfolio at a Glance
Portfolio at a Glance1 CapitaMall CapitaMall CapitaMall CapitaMall CapitaMall Xinnan Nuohemule Yuhuating Aidemengdun Shuangjing3 凯德广场• 新南 凯德广场•诺和木勒 凯德广场•雨花亭 凯德广场•埃德蒙顿 凯德MALL•双井 Location Chengdu Hohhot Changsha Harbin Beijing GFA (sq m) 91,816 100,047 75,431 49,040 49,463 GRA (sq m) 53,619 76,309 62,
Slide 47: Portfolio at a Glance
Portfolio at a Glance1 • Portfolio at a Glance Ascendas Ascendas Ascendas Singapore-Hangzhou Science Technology Singapore-Hangzhou Science Technology Xinsu Portfolio Innovation Towers Innovation Hub Park Phase I Park Phase II 腾飞新苏 新加坡腾飞科汇城 腾飞创新中心 新加坡杭州科技园一期 新加坡杭州科技园二期 Location Suzhou Xi’an Xi’an Han
Slide 48: Portfolio at a Glance
Portfolio at a Glance1 Shanghai Fengxian Kunshan Bacheng Wuhan Yangluo Chengdu Shuangliu Logistics Park Logistics Park Logistics Park Logistics Park 上海奉贤物流园 昆山巴城物流园 武汉阳逻物流园 成都双流物流园 Location Shanghai Kunshan Wuhan Chengdu GFA (sq m) 62,785 43,945 86,973 71,556 Land Use Right Expiry 20 July 2059 16 Ju
CapitaLand China Trust — FY2023 Earnings Presentation on 6ix