Retail REIT CapitaLand Mall Trust (SGX:C38U) held its AGM for FY2019 on Friday, 26 June 2020, at 4pm. Due to the ongoing Covid-19 outbreak, along with the safe distancing measures implemented by the Singapore government, the meeting was held online.
This post was originally posted here. The writer, Lim Jun Yuan is a veteran community member and blogger on InvestingNote, with username known as ljunyuan and has 1241 followers.
I have attended the meeting as a unitholder and in this post, you will find a summary of the most important pointers of CEO Tony Tan Tee Hieong’s presentation to take note of (which I have compiled for the benefit of unitholders who did not manage to attend the meeting):
Key Highlights of FY2019:
- Distributable income have grew steadily over the years, and in the latest financial year under review (i.e. FY2019), it saw a 7.5% year-on-year (y-o-y) improvement to S$441.6m. Correspondingly, the REIT saw its distribution per unit increase by 4.1% compared to the previous financial year to 11.97 cents/unit
- Annual shopper traffic saw a 1.4% y-o-y improvement due to stronger performance from suburban malls, while its tenants’ sales per square foot dipped by 1.4% in the same time period due to lower sales from the REIT’s home furnishing and electrical and electronics tenants
- In terms of the REIT’s overall portfolio occupancy rate, at 99.3% as at 31 December 2019, Mr Tan highlighted that it is above Singapore’s average portfolio occupancy for retail malls (which is 92.9% for suburban malls, and 92.0% for Orchard Road malls)
- With regard to CapitaLand Mall Trust’s debt maturity profile as at 31 December 2019, Mr Tan updated while there is S$310.2m of debt that will be expiring in the year 2020, there are bank facilities in place to refinance the entire amount. On top of that, Mr Tan also added that there are no foreign exchange risks as all the REIT’s debts are swapped to the Singapore dollar