SINGAPORE – CDL Hospitality Trusts (CDLHT) posted a 23.4 per cent increase in its net property income (NPI) for its third quarter ended Sept 30, 2023, to $39 million, compared with $31.6 million a year earlier.
Gross revenue grew 19.8 per cent to $70.1 million from $58.5 million, with more than half of the increase contributed by its Singapore hotels, said the managers on Friday.
The broad improvement in the stapled group’s operational results reflects a continued recovery of international travel, with increases in its revenue per available room (RevPAR) across its portfolio markets, except for Australia and Germany.
RevPAR for its Singapore hotels increased 19.9 per cent year on year, supported by average room rate growth of 21.4 per cent. This is despite a 1.2 percentage point dip in occupancy.
“Four hotels in CDLHT’s Singapore portfolio – Grand Copthorne Waterfront Hotel, M Hotel, Copthorne King’s Hotel and W Hotel – achieved their highest third-quarter RevPAR,” the managers noted.
NPI of the group’s main market in Singapore increased 11.6 per cent to $25.2 million.
Among other markets in its portfolio, CDLHT recorded significant growth in Japan due to the rapid increase of international visitors. RevPAR measured in the local currency rose 102 per cent, and NPI grew 234.1 per cent in tandem.
For the three quarters ended September, the stapled group, which comprises CDL Hospitality Real Estate Investment Trust and CDL Hospitality Business Trust, posted 20.4 per cent growth in gross revenue to $189.3 million.
The growth was partially offset by lower contributions from the New Zealand hotel, after its exit from the government isolation programme and return to public trading from the second quarter of 2022.
NPI was 23.3 per cent higher than the year before at $101.9 million, driven by the Singapore, Germany, Italy and Japan portfolios, which increased collectively by $21.5 million year on year.
CDLHT’s stapled securities closed on Friday up 2.5 cents, or 2.7 per cent, at 96 cents.
