Highlights

CapitaLand Retail China Trust: Results Within Expectations

Date: 31/07/2019

Source  :  OCBC
Stock  :  CapitaR China Tr       Price Target  :  1.38      |      Price Call  :  HOLD
        Last Price  :  1.53      |      Upside/Downside  :  -0.15 (9.80%)
 


CapitaLand Retail China Trust (CRCT) posted results within expectations. In SGD terms, 2Q19 gross revenue dropped 1.9% YoY to S$55.2m while NPI increased 7.3% YoY to S$40.4m.

With regards to the NPI growth, note that there has been an accounting change; operating lease rental expenses associated with the CapitaMall Qihan and CapitaMall Minzhongleyuan leases have been replaced with net changes in fair value of investment properties and interest expense on lease liabilities.

In RMB terms, gross revenue was 1.9% YoY higher due to stronger rental growth from the multi-tenanted malls, offset by lower revenue from CapitaMall Grand Canyon and CapitaMall Qibao.

Overall, 2Q19 distributable income increased 5.0% YoY to S$25.4m, but due to the lack of capital distributions this quarter (2Q18 saw S$1.5m in capital distributions), the total distributable amount to unitholders dropped 1.2% YoY.

DPU decreased 3.8% YoY to 2.54 S cents or 24.6% of our initial full-year forecast which we consider with expectations. We maintain HOLD on CRCT but place our fair value of S$1.38 under review.

Source: OCBC Research - 31 Jul 2019

Share this

Related Stocks

Chart Stock Name Last Change Volume 
CapitaR China Tr 1.53 -0.01 (0.65%) 536 

  Be the first to like this.
 


 

115  136  161  690 

ActiveGainersLosers
Top 10 Active Counters
 NameLastChange 
 TEE Intl 0.047+0.001 
 HPH Trust USD 0.174+0.014 
 YZJ Shipbldg SGD 1.050.00 
 Golden Agri-Res 0.245-0.01 
 Keppel DC Reit 2.07+0.10 
 Genting Sing 0.905+0.01 
 Rex Intl 0.085-0.003 
 Spackman 0.012-0.001 
 ESR-REIT 0.54+0.015 
 Mapletree Com Tr 2.27+0.05 
Partners & Brokers