SUNTEC REIT FINANCIAL RESULTS
For the 2H and Financial Year ended 31 December 2024
23 January 2025
Agenda
03 | 20 |
FY 24 Financial Overview | Singapore Office Portfolio Performance |
04 | 30 |
FY 24 Operational Overview | Australia Portfolio Performance |
05 | 35 |
Financial Highlights | UK Portfolio Performance |
16 | 37 |
Capital Management | Singapore Retail Portfolio Performance |
46 | |
Suntec Convention Performance | |
51 | |
Our ESG Commitment |
Suntec City Office, Singapore
FY 24 Financial Overview
Distributable Income from | ||
Operations1 to Unitholders | Divestment | Capital Management |
$180.9 million | ||
Divested $58.3 million of | Refinanced $950 million | |
-1.6% y-o-y | ||
strata units2 at Suntec City | Due in FY 2024 & FY 2026 | |
Distribution Per Unit from | Office Towers at 24% above | Interest Savings of |
book value | ~ $3.1 million p.a. | |
Operations1 to Unitholders | ||
6.192 cents | ||
-2.3% y-o-y |
Note: | ||
1. | Excluding capital distribution. | |
2. | Total 4 strata units of which 1 unit was completed on 6 January 2025. 3 units amounting to $50.8 million previously announced in 2023 was completed in 2024. | 3 |
FY 24 Operational Overview
Portfolio Committed | Portfolio | Portfolio Rent |
Occupancy | WALE | Reversion |
95.4% | 3.8 years | +10.6% | |
Office | vs 94.9% (FY 23) | vs 4.2 years (FY 23) | vs +13.2% (FY 23) |
97.9% | 2.3 years | +22.9% |
Retail
vs 95.2% (FY 23) | vs 2.1 years (FY 23) | vs +21.5% (FY 23) |
4
Suntec City | MBFC Properties | One Raffles Quay | Olderfleet, 477 Collins Street |
Financial
Highlights
The Minster Building | 177 Pacific Highway | 55 Currie Street | Nova Properties |
21 Harris Street | Southgate Complex |
SG Properties Provide Strong Support to Portfolio Performance
Gross Revenue (S$ mil)
NPI (S$ mil) | JV Income1,2,3 (S$ mil) |
Gross Revenue & Net Property Income:
0.9M or 0.2% | ||
462.7 | 463.6 | |
2H | 238.4 | 236.7 |
1H | 224.3 | 226.9 |
(2.4M or 0.8%)
310.8
313.2
- 159.8
- 151.0
6.0M or 6.4%
100.0
94.0 | |
47.8 | 50.3 |
46.2 | 49.7 |
Higher gross revenue due to stronger operating performance at Suntec City Office and Suntec City Mall; offset by lower occupancy at 55 Currie Street (Adelaide) and The Minster Building (London)
NPI impacted mainly by absence of one-off property tax refund at Suntec City Mall
JV Income:
Stronger operating performance at MBFC Properties and One Raffles Quay
Higher contribution from Nova Properties (London) due to reversal of impairment of receivables
Lower contribution from Southgate Complex (Melbourne) due to higher interest expense and incentives partially
FY 23 | FY 24 | FY 23 | FY 24 | FY 23 | FY 24 |
offset by higher occupancy
Notes:
- Ownership interest of 33.3% for One Raffles Quay and MBFC Properties, 50.0% for Southgate Complex and Nova Properties.
- Excludes share of loss arising from fair value adjustments of $3.2 mil for the half year ended 31 December 2024 ("2H 24") and the $40.8 mil for the half year ended 31 December 2023 ("2H 23")
- Excludes share of loss arising from value adjustments of $3.2 mil for the financial year ended 31 December 2024 ("FY 24") and $40.8 mil for the financial year ended 31 December 2023 ("FY 23")
6
DI and DPU from Operations Remained Resilient
Distributable Income (S$ mil) | DPU (SG cents) |
2H
1H
206.8 |
23.0 |
94.8 |
89.0 |
(25.9M or 12.5%)
180.9 |
92.2 |
88.7 |
7.135 |
0.794 |
3.263 |
3.078 |
(0.943¢ or 13.2%)
6.192 |
3.150 |
3.042 |
Completion of capital distribution ($23.0m)
Vacancies at 55 Currie Street and The Minster Building
Higher financing cost ($6.1m)
Better operating performance from Singapore and Sydney properties
Higher dividend contribution from Suntec Convention
FY 23 | FY 24 | FY 23 | FY 24 |
Capital Distribution | |||
7
Distribution Payment
Distribution Payment
Distribution Period
1 October 2024 - 31 December 2024
Amount (cents/unit)
1.5701,2
Ex-date | 3 Feb 2025 |
Record date | 4 Feb 2025 |
Payment date | 28 Feb 2025 |
Note:
- Total of 6.192 cents for FY 2024.
- The Manager continues to receive 50% of its asset management fees in units and balance in cash in 4Q 2024.
8
Singapore Office Portfolio
Singapore Office Portfolio Continued to Strengthen
Gross Revenue (S$ mil)
0.7M or 1.0%
72.7 73.4
NPI (S$ mil) | JV Income (S$ mil) |
0.5M or 0.9%
2.9M or 9.5%
55.7 56.2
30.5 33.4
Gross Revenue & Net Property Income:
Higher rent at Suntec City Office
JV Income:
Higher rent and occupancy at MBFC Properties
Higher rent at One Raffles Quay
Lower chilled water tariffs at One Raffles Quay and MBFC Properties
2H 23 | 2H 24 | 2H 23 | 2H 24 | 2H 23 | 2H 24 |
9
Australia Portfolio
Australia Portfolio Performance Stable
A$ mil
Gross Revenue
(0.1M or 0.2%)
NPI
(0.6M or 1.6%)
S$ mil1
Gross Revenue
(0.5M or 1.1%)
NPI
(0.8M or 2.4%)
Gross Revenue & Net Property Income:
Lower gross revenue due to lower occupancy at 55 Currie Street, mitigated by higher occupancy at 177 Pacific Highway (Sydney) and 21 Harris Street
51.3 | 51.2 | 37.3 | 36.7 | ||
2H 23 | 2H 24 | 2H 23 | 2H 24 | ||
JV Income |
45.2 | 44.7 | 32.9 | 32.1 |
2H 23 | 2H 24 | 2H 23 | 2H 24 |
JV Income
(Sydney)
Lower NPI due to higher incentives at 55 Currie Street
0.5M or 41.7% | |
1.2 | 1.7 |
2H 23 | 2H 24 |
0.5M or 50.0% | |
1.0 | 1.5 |
2H 23 | 2H 24 |
JV Income:
Higher occupancy at Southgate Complex and rent-relief provision no longer required
Note: | 10 |
1. Based on exchange rates of S$0.8741 = A$1.00 for 2H 24 and S$0.8829 = A$1.00 for 2H 23. |