CapitaLand Integrated Commercial Trust · SGX:C38U
CapitaLand Integrated Commercial Trust — FY2024 Earnings Presentation
55 slides from CapitaLand Integrated Commercial Trust's earnings presentation, Feb 5, 2025
Slide 1: FY 2024 Financial Results
CapitaLand Integrated Commercial Trust FY 2024 Financial Results 5 February 2025
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: Contents
Contents 04 36 Highlights Sustainability 11 40 Financials & Capital Market Information Management 51 20 Additional Portfolio and Information Asset Type Performance 34 Focus & Outlook Westgate, Singapore
Slide 4: Highlights
Highlights CapitaSpring, Singapore
Slide 5: CICT Anchored by a Resilient Portfolio, Forging Ahead With Agility
CICT Anchored by a Resilient Portfolio, Forging Ahead With Agility 1. Enhancing portfolio value 2. Growing presence 3. Priming for flexibility i. DPU and NAV per unit higher i. Increased exposure to downtown i. Use of divestment proceeds year-on-year on enlarged total retail and deepened presence in
Slide 6: 2024 Value Creation Journey
2024 Value Creation Journey AEI AEI AEI IMM Building CQ @ Clarke Quay 101 Miller Street commenced a phased relaunched as a day- transformed its lobby AEI to strengthen its and-night destination into a social hub with position as a regional featuring multiple new amenities such as outlet destination
Slide 7: Resilient Portfolio Performance
Resilient Portfolio Performance COMMITTED OCCUPANCY Portfolio 0.3 ppts QoQ 96.7% FY 2024 0.6 ppts YoY Portfolio 3.3 Years Tenant Sales ▲ 3.4% WALE psf(3) Stable QoQ Retail(1) 0.3 ppts QoQ 99.3% 0.8 ppts YoY FY 2024 Retail Portfolio Shopper ▲8.7% Traffic(4) Office(1) 0.2 ppts QoQ ▲8.8% FY 2024 94.8%
Slide 8: Making Progress on AEIs; Set to Complete in 2025
Making Progress on AEIs; Set to Complete in 2025 IMM Building: Strengthening its position as a regional outlet destination Gallileo: Elevating to be the √ Phase 1 and 2 AEI are completed in 4Q 2024 and tenants have started operations Modern Workplace of the Future √ Phase 3 has commenced and AEI wil
Slide 9: Positive Results Supported by Prudent Cost and Capital Management
Positive Results Supported by Prudent Cost and Capital Management FY 2024 FINANCIAL RESULTS FY 2024 DISTRIBUTION PROACTIVE CAPITAL MANAGEMENT Aggregate 38.5% Gross S$1,586.3 S$752.2 Leverage 0.9 ppts(1) million Distributable Revenue million 1.7% YoY Income 5.1% YoY Average 3.6% Cost of Debt Stable(1
Slide 10: Growth in Value Largely Driven by Acquisition and Singapore Portfolio
Growth in Value Largely Driven by Acquisition and Singapore Portfolio Offset by the divestment of 21 Collyer Quay and lower valuation of Australia Portfolio VALUATION BY ASSET TYPE Range of Cap Rates as Portfolio as at 31 Dec 24 as at 31 Dec 23 Variance Variance at 31 Dec 24 % Germany Australia S$
Slide 11: Financials & Capital Management
Financials & Capital Management Asia Square Tower 2, Singapore
Slide 12: 2H 2024 Financials: Net Property Income Up 1.3%
2H 2024 Financials: Net Property Income Up 1.3% Driven by higher gross rental income despite absence of income from Gallileo due to AEI and 21 Collyer Quay which was divested on 11 Nov 2024 Gross 2H 2024 YoY 2H 2024 YoY Net Property Revenue S$794.4M ▲1.2% Income S$571.1M ▲1.3% Retail Asset Performan
Slide 13: FY 2024 Financials: Net Property Income Rose 3.4%
FY 2024 Financials: Net Property Income Rose 3.4% Led by higher gross rental income and lower operating expenses, despite absence of income from Gallileo due to AEI since Feb 2024 and 21 Collyer Quay which was divested on 11 Nov 2024 Gross FY 2024 YoY FY 2024 YoY Net Property Revenue S$1,586.3M ▲1.7
Slide 14: Diversified Revenue Streams Provide Stability
Diversified Revenue Streams Provide Stability FY 2024 Gross Revenue: Singapore 94.7% S$1,586.3 Germany 1.9% million(1) Australia 3.4% Notes: (1) Based on FY 2024 gross revenue and excludes joint ventures. (2) Comprises office revenue contribution from Funan, Raffles City Singapore and The Atrium@Orc
Slide 15: Delivered FY 2024 DPU of 10.88 cents, Up 1.2% YoY
Delivered FY 2024 DPU of 10.88 cents, Up 1.2% YoY Despite the dilution from an expanded unit base due to the distribution reinvestment plan in March 2024 and the equity fundraising in September 2024 Distributable Income (S$ million) (2) FY 2024 715.7 (3) 752.2 Distributable Income 2H 2023 362.5 2H 2
Slide 16: Distribution Details
Distribution Details Distribution Period 12 September to 31 December 2024 Distribution Per Unit 3.29 cents Notice of Record Date Wednesday, 5 February 2025 Last Day of Trading on ‘cum’ Basis Tuesday, 11 February 2025, 5.00 pm Ex-Date Wednesday, 12 February 2025, 9.00 am Record Date Thursday, 13 Febr
Slide 17: Balance Sheet
Balance Sheet As at 31 December 2024 S$’000 Non-current Assets 25,269,939 Net Asset Value/Unit S$2.12 Current Assets 243,063 Adjusted Net Asset Value/Unit S$2.09 (excluding distributable income) Total Assets 25,513,002 Current Liabilities 1,510,859 Non-current Liabilities 8,279,972 Total Liabilities
Slide 18: Well Spread Debt Maturity Profile
Well Spread Debt Maturity Profile(1) S$ million 19% 18% Exclude share of JVs’ borrowings 2,000 1,941 1,921 15% Funding sources 543 1,498 12% 1,500 814 MTN 48% 10% 11% 1,215 1,022 1,111 Unsecured Bank Loans 45% 2 740 1,000 188 981 Secured Bank Loans 7% 752 636 647 5% 351 Interest rate sensitivity 475
Slide 19: Proactive Capital Management
Proactive Capital Management As at 31 December 2024 As at 30 September 2024 Aggregate Leverage(1) 38.5% 39.4% Total Borrowings (S$ billion) 8.9 9.4 % of Borrowings on Fixed Interest Rate 81% 76% % of Total Assets that are Unencumbered 93.8% 93.6% Interest Coverage Ratio (ICR)(2) 3.1x 3.0x Average Te
Slide 20: Portfolio and Asset Type Performance
Portfolio and Asset Type Performance Note: The retail and office asset information comprises the respective retail and office components of integrated developments unless stated otherwise, in order to show the operating metrics and trends. ION Orchard, Singapore
Slide 21: Portfolio Committed Occupancy Remained Healthy
Portfolio Committed Occupancy Remained Healthy INTEGRATED RETAIL(1) OFFICE(3) PORTFOLIO(1,3) DEVELOPMENT Committed Occupancy (2,4) 99.0% 99.3%(2) 94.8%(4) 98.2% 98.9% 96.4% 96.7% 94.6% 30 Sep 2024 31 Dec 2024 30 Sep 2024 31 Dec 2024 30 Sep 2024 31 Dec 2024 30 Sep 2024 31 Dec 2024 Retail Office Integ
Slide 22: No Single Tenant Contributes More Than 4.9% of CICT's Total Gross Rental Income
No Single Tenant Contributes More Than 4.9% of CICT’s Total Gross Rental Income(1) % of Total Ranking Top 10 Tenants for December 2024 Trade Sector Gross Rental Income 1 RC Hotels (Pte) Ltd 4.9 Hotel 2 GIC Private Limited 1.7 Financial Services 3 Temasek Holdings 1.6 Financial Services Supermarket /
Slide 23: Diversified Tenants' Business Trade Mix
Diversified Tenants’ Business Trade Mix Real Estate & Property IT & Other Retail and Product Trades Services Telecommunications Books, Stationery & Gifts/ Hobbies/ 4.0% 3.9% 3.6% Sports Hospitality & Leisure Other Retail and Product Jewellery & Watches 3.0% 5.1% Trades Digital & Appliance 2.9% 23.2%
Slide 24: Proactively Managing Leases to Ensure Well Spread Portfolio Lease Expiry
Proactively Managing Leases to Ensure Well Spread Portfolio Lease Expiry(1) Leases in advanced negotiation: Retail ~2.9% | Office ~0.4% 16.2% 15.6% 15.1% 7.5% 8.0% 7.8% 6.8% 5.1% 4.8% 4.1% 4.7% 2.9% 1.4% 2025 2026 2027 2028 2029 2030 and beyond Retail Office Hospitality Note: (1) Based on gross rent
Slide 25: Healthy Leasing Activity Across CICT Portfolio
Healthy Leasing Activity Across CICT Portfolio RETAIL OFFICE FY 2024 FY 2024 Total New and Renewed Leases Total New and Renewed Leases For Singapore, Germany & Australia Portfolio 857,400 sq ft(1) 966,300 sq ft(4) 4Q (2) sq ft 1Q 2Q 3Q sq ft 254,600 297,800 124,800 180,200 1Q 2Q (4) 3Q (4) 4Q (5) 20
Slide 26: Sustaining High Retail Occupancy
Sustaining High Retail Occupancy All properties reported higher occupancy than URA’s Singapore retail occupancy rate of 93.8%(1) 99.8% 99.9% 98.2% 98.8% 99.0% 99.3% (2) Suburban Downtown Retail Portfolio(2) As at 30 Sep 2024 As at 31 Dec 2024 Notes: The above chart includes retail properties and ret
Slide 27: Strong Rent Reversion Momentum in FY 2024
Strong Rent Reversion Momentum in FY 2024 Gross turnover rents ranged between 4% and 15% of respective mall’s gross rental income Net Lettable Area Rent Reversion(1) for FY 2024 Retention Percentage of Average Incoming Rents No. of Renewals Rate Area Retail Portfolio vs FY 2024 / New Leases(1) (%) (
Slide 28: Uplift in FY 2024 Tenant Sales Due to 2-month Contribution from ION Orchard
Uplift in FY 2024 Tenant Sales Due to 2-month Contribution from ION Orchard FY 2024 Tenant Sales psf(1) • Tenant sales increased YoY due to the two-month contribution from ION Orchard, partially offset by the ongoing AEI at IMM Building and cyclical outbound travel during school and year-end holiday
Slide 29: Top Trades Underpin Positive Performance
Top 5 Trades Underpin Positive Performance FY 2024 Tenant Sales(1) YoY Performance by Trade Categories 31.5% 15.1% 7.8% 6.8% 6.5% 4.1% 3.8% 2.6% 2.3% 0.4% -2.1% -7.3% -9.4% -11.0% Digital & Appliance (2) Multi-Concepts (2) Leisure & Entertainment Supermarket Hobbies Food & Beverages Education Fashio
Slide 30: Elevating Retail Experiences with New Concepts
Elevating Retail Experiences with New Concepts Center Of The Universe (C.O.T.U) Oriental Kopi Hathaway CapitaGreen Bugis Junction Capital Tower (New-to-Market) (New-to-Market) (New-to-Portfolio) • Multi-concept dining and entertainment Malaysia's beloved kopitiam chain, Oriental Celebrates the rich
Slide 31: Unveiling Vibrant and Fresh Offerings Across Portfolio
Unveiling Vibrant and Fresh Offerings Across Portfolio Food & Beverages Fashion & Lifestyle-related Homm Dessert at Heart, Raffles City GO Unique 有间不一样, Raffles City Bashu Sichuan Cuisine, Plaza Singapura Sahur’s Art, Plaza Singapura (NTM) Bellroy, Plaza Singapura (NTM) Singapore (NTM) Singapore (NT
Slide 32: Focusing on Tenant Retention and Active Leasing
Focusing on Tenant Retention and Active Leasing CICT Office Portfolio SINGAPORE GERMANY AUSTRALIA PORTFOLIO New Leases and major renewals signed in 4Q 2024 include: 97.4% 97.6% (1) 94.8%(2) • Brookfield Asia Holdings Pte Ltd at CapitaGreen 94.6% (2,3) 88.4% 89.6% (4) • STARSG Technology Pte. Limited
Slide 33: Proactively Managing Upcoming Expiries with Average Rents Below Market Rent Level
Proactively Managing Upcoming Expiries with Average Rents Below Market Rent Level 2025 2026 20% Average rent of leases expiring is S$11.87psf (2) 20% Average rent of leases expiring is S$11.70 psf (2) $13.90 $12.99 15% $12.03 $11.84 $11.96 15% $12.19 $12.29 $11.84 $11.22 $11.33 $10.45 $9.20 10% 10%
Slide 34: Focus & Outlook
Focus & Outlook ION Sky at ION Orchard, Singapore
Slide 35: Driving Sustainable Growth and Value Creation at CICT
Driving Sustainable Growth and Value Creation at CICT AEIs Portfolio Reconstitution Ongoing Focus Focus • Regular review of • Maintain disciplined approach asset • Predominantly Singapore- enhancement focused opportunities based on asset • Any overseas investments will IMM Building: Gallileo: attrib
Slide 36: Sustainability
Sustainability Westgate, Singapore
Slide 37: Advancing Our ESG Ambitions
Advancing Our ESG Ambitions Recognition in 2024 The Asset Triple A Sustainable Singapore Singapore Governance Finance Corporate Awards & Transparency Index Award 2024 Gold for Best Ranked 4th with an overall Best Deals – Southeast Asia Investor Relations score of 101.5 Best Green Bond – Real Estate
Slide 38: Greening Our Portfolio
Greening Our Portfolio Updates on Pilots & ESG Initiatives Green Ratings Ongoing Pilots at our Properties NABERS Energy Green Star BREEAM Good 5.3% 0.6% ENERGY SAVING WATER SAVING RECYCLING 4.1% LEED Gold Disinfecting Filtration WAVE Valve Technology – NEWBitumen – Using 3.8% System – Designed to Us
Slide 39: Fostering Purposeful Connections with the Community
Fostering Purposeful Connections with the Community Highlights of Retail/Community Engagements in 4Q 2024 Yule Be Dancing: Christmas @ Twinkle & Treats: A Sweet Christmas @ #LoveOurSeniors Bread Delivery (Nov) Raffles City 2024 (6 Nov - 31 Dec) Plaza Singapura (22 Nov - 25 Dec) CQ Halloween 2024: My
Slide 40: Market Information
Market Information Raffles City Singapore
Slide 41: Macroeconomic Outlook
Macroeconomic Outlook AUSTRALIA(2) SINGAPORE(1) GDP 3Q 2024 2025 Forecast GDP 0.8% YoY 2.3% YoY 2024 Advance Estimates 2025 Forecast Inflation Unemployment 4.0% YoY 1.0% to 3.0% YoY Dec 2024 Dec 2024 MAS Core Inflation 2.4% 4.0% Dec 2024 2025 Forecast GERMANY(3) GDP 1.8% YoY 1.0% to 2.0% YoY 2024 20
Slide 42: Resilient Retail Rents Supported by Limited Retail Supply
Resilient Retail Rents Supported by Limited Retail Supply Forecast average Singapore Private Retail Space (Islandwide)(1) – Net Demand & Supply annual gross new supply 2.0 1.8 (2025 to 2027): 0.3 mil sq ft 1.0 1.0 0.9 1.0 0.9 1.0 1.0 0.7 0.7 0.8 0.8 0.5 0.5 0.6 0.5 0.4 sq ft million 0.3 0.3 0.3 0.1
Slide 43: Known Future Retail Supply in Singapore (2025 – 2027)
Known Future Retail Supply in Singapore (2025 – 2027) Future supply are mainly in the Outside Central Region and Fringe submarkets Expected Proposed Retail Projects Submarket Location NLA (sq ft) Completion Marine Parade Underground Mall Fringe Marine Parade Road 99,80 Punggol Digital District - Pha
Slide 44: Singapore Retail Sales Performance
Singapore Retail Sales Performance Mixed performance for November 2024 with Food & Alcohol, Recreational Goods, Watches & Jewellery and Supermarkets & Hypermarkets registering more than 2% YoY growth 2021 2022 2023 YTD Nov 2024 Total Retail Sales 36.2 41.6 42.7 38.3 (excl motor vehicles) (S$ bn) Ave
Slide 45: Singapore Tourism Activity Recovery
Singapore Tourism Activity Recovery Singapore’s international visitor arrivals (IVA) reached 15.1 million for YTD Nov 2024, meeting IVA’s expectation of around 15 to 16.5 million visitors in 2024(1) 2022 2023 1H 2024 Tourism Receipts (S$ bn) 14.2 27.2 14.9 Singapore Tourist Arrival and Hotel Occupan
Slide 46: Grade A Office Rents Held Steady Despite New Supply
Grade A Office Rents Held Steady Despite New Supply Singapore Private Office Space (Central Area)(1) – Net Demand & Supply Forecast average annual gross new supply 1.9 1.9 2.0 1.7 (2025 to 2027): 0.5 mil sq ft 0.7 0.7 0.8 0.8 0.9 1.0 0.5 0.6 0.6 sq ft million 0.3 0.2 0.3 0.2 0.2 0.2 0.2 0.3 0.2 0.2
Slide 47: Known Future Office Supply in Central Area (2025 – 2027)
Known Future Office Supply in Central Area (2025 – 2027) Limited supply in CBD core(1) for the next few years (2025 – 2027); no commercial sites in CBD Core on the Government Land Sales reserve list and confirmed list(2) Expected Proposed Office Projects Submarket Location NLA (sq ft) Completion 202
Slide 48: Office Demand and Supply in Frankfurt and Two Submarkets
Office Demand and Supply in Frankfurt and Two Submarkets Frankfurt office leasing market remains challenging with rental activity largely in the 1,000 – 3,000 sqm segment, exemplifying tendency towards downsizing and enhanced focus on location and quality Frankfurt Office Banking District 800 0 240
Slide 49: Sydney CBD 4Q 2024 Prime Net Effective Rent Increased 4.0% YoY and 1.5% QoQ
Sydney CBD 4Q 2024 Prime Net Effective Rent Increased 4.0% YoY and 1.5% QoQ Positive net absorption in 4Q 2024 was mainly driven by small tenant demand of less than 1,000 sq m; Sydney CBD vacancy rate expected to stabilise with fewer completions over 2025 Sydney CBD Office Space - Net Supply, Net Ab
Slide 50: North Sydney CBD 4Q 2024 Prime Net Effective Rent Down 3.9% YoY
North Sydney CBD 4Q 2024 Prime Net Effective Rent Down 3.9% YoY but Increased 0.2% QoQ Positive leasing demand recorded in 4Q 2024; Vacancy rates are projected remain elevated with two new supply completions in 2025 but there are no known new supply beyond 2025 North Sydney CBD - Net Supply, Net Abs
Slide 51: Additional Information
Additional Information 101-103 Miller Street and Greenwood Plaza, Sydney, Australia
Slide 52: Valuation – Retail Portfolio
Valuation – Retail Portfolio Valuation Valuation Valuation as at 31 Dec 24 as at 31 Dec 23 Variance as at 31 Dec 24 S$ million S$ million S$ million % S$ per sq ft NLA Bedok Mall 815.0 805.0 10.0 1.2 3,656 Bugis Junction 1,141.0 1,130.0 11.0 1.0 2,899 CQ @ Clarke Quay 411.0 410.0 1.0 0.2 1,418 IMM B
Slide 53: Valuation – Office Portfolio
Valuation – Office Portfolio Valuation Valuation Valuation as at 31 Dec 24 as at 31 Dec 23 Variance as at 31 Dec 24 S$ million S$ million S$ million % S$ per sq ft NLA Asia Square Tower 2 2,245.0 2,243.0 2.0 0.1 2,901 CapitaGreen 1,689.0 1,681.0 8.0 0.5 2,430 Capital Tower 1,463.0 1,461.0 2.0 0.1 1,
Slide 54: Valuation – Integrated Development Portfolio
Valuation – Integrated Development Portfolio Valuation Valuation Valuation as at 31 Dec 24 as at 31 Dec 23 Variance as at 31 Dec 24 S$ million S$ million S$ million % S$ per sq ft NLA Funan 849.0(2) 814.0 35.0 4.3 1,653(4) Plaza Singapura(1) 1,441.0(2) 1,390.0 51.0 3.7 2,968 The Atrium@Orchard(1) 78
Slide 55: The End
The End For enquiries, please contact: Ms Ho Mei Peng, Head, Investor Relations Direct: (65) 6713 3668 | Email: ho.meipeng@capitaland.com CapitaLand Integrated Commercial Trust Management Limited (http://www.cict.com.sg) Tel: (65) 6713 2888 | Fax: (65) 6713 2999
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