Latest Forum Topics /
CapLand China T
Last:0.625
-0.005
|
 Post Reply
|
|
Fed Increase Interest rate to 3.75%
|
|||
|
Joelton
Supreme |
08-Aug-2026 15:29
|
||
|
x 0
x 0 Alert Admin |
CLCT focuses on capital management to protect distributions as retail assets stabilise During a results briefing on Aug 5, Gerry Chan, CEO of CapitaLand China Trust&rsquo s (CLCT) manager, articulated a four-pillar strategy: to create value, unlock value, and extract value with the last pillar being proactive capital management. &ldquo In 2026 we are targeting expansion into new retail assets to replenish the lost income of CapitaMall Yuhuating. We want to keep business parks and logistics assets occupancy stable. We will continue to identify and observe whether we can unlock value from mature assets as appropriate in terms of timing and pace. Our track record and ability to identify and execute on AEIs [asset enhancement initiatives] will be a key part of extracting value from our existing assets and for any new acquisitions,&rdquo Chan adds. On the capital management front, Chan points out that the manager has driven significant interest cost savings, reduced forex risk and lowered aggregate leverage. Acquiring a new retail asset could be challenging, given the potential of the C-REIT market. According to a China International Capital Corporation research report, 87 C-REITs are listed as of July 31. These REITs cover a wide range of asset types, including infrastructure, consumption, logistics and rental housing. C-REITs&rsquo average yield as of July was around 6.02%. However, C-REITs for infrastructure trade at much higher yields while retail, consumption-related, rental housing and logistics C-REITs trade at lower average yields. CapitaLand Consumption C-REIT is trading at around RMB5.67 ($1.07), slightly below the IPO price of RMB5.70, putting its yield at below 5%. CLCT is trading at around 7.3% based on an annualised distribution per unit (DPU) of 4.9 cents. On the other hand, the three-month weighted Sora is down to around 1.12% again (after a rebound in July) versus the (five-year) loan prime rate (LPR) of 3.5% in China. Yan Lintong, CEO of CLCT&rsquo s manager, says the team is actively lowering the REIT&rsquo s cost of borrowing. &ldquo This protects distribution stability across FX and interest rate cycles.&rdquo As at end-June, CLCT&rsquo s aggregate leverage improved to 40.4%, from 42.1% a year ago and 41.4% a quarter ago. &ldquo These are due to RMB appreciation and our cross-currency, cross-border cash management efforts. Due to currency demand from strong exports in China and also PBOC&rsquo s guidance, RMB has appreciated as much as 2.7% against the SGD in 1H2026,&rdquo Yan says. The gains led to a mild uptick in the value of CLCT&rsquo s portfolio, with investment properties valued at $4.32 billion as at June 30 versus $4.2 billion as at Dec 31, 2025. As at June 30, RMB accounted for 73% of total debt, including RMB synthetic borrowings via cross-currency swaps. Including FX forward contracts, 92% of the total debt is in RMB. This reduces FX impact on gearing and NAV, Yan adds. &ldquo Although we had earlier stepped up our natural hedge effort and did not enjoy the full positive pass-through from currency appreciation, this low 40% gearing has given us a very good base in our capital management. Our year-to-date average cost of debt has fallen to 3.06% in 1H2026. This is a 40 basis point reduction y-o-y, and also a further reduction from 3.1% in 1Q2026. This translates to close to 16% interest savings y-o-y, and these are tangible outcomes from our active finance cost management,&rdquo Yan says. In 1H2026, CLCT repriced some of its mortgage loans in China and proactively shifted its SGD borrowings to RMB. &ldquo Through that process, we captured additional savings by swapping our SGD interest rate cash flow into RMB. Because the swap market actually has some favourable directions, our trailing 12-month interest coverage ratio (ICR) is maintained at 2.9 times and is stable and resilient under the Monetary Authority of Singapore&rsquo s ICR stress test scenario,&rdquo Yan adds. Currently, CLCT plans to keep 60% to 70% of its debt on a fixed rate basis. And, based on the current interest rate curves, the manager can fix rates more efficiently in RMB without paying too much for tenure. &ldquo We also continue to push for natural hedging and balance our SGD and RMB debt mix,&rdquo Yan says. Although most of the refinancing of the year is done &mdash hence it is easier to gauge distributable income in the second half &mdash CLCT has a free trade zone bond of RMB600 million that matures in October. The current coupon is 3.8%. &ldquo We are confident that we can refinance it for much below 3% and bring a very meaningful savings in interest expense. In terms of a cross-currency swap, there is a significant savings from SGD to RMB because of the yield curve. We are ready to capture this favourable interest rate environment which helps in stabilising DPU. We have successfully brought down the cost of debt from mid-3% to low 3% which we hope to maintain and to report a high 2% number (for the future),&rdquo Yan adds. C-REITs vs S-REITs Chan says although C-REITs see lower yields than CLCT, the latter&rsquo s average cost of debt is very competitive. Secondly, C-REITs have a regulatory gearing ceiling of around 28% compared to S-REITs&rsquo 50%. Although the time to IPO has become shorter for C-REIT aspirants, not everything that is submitted gets approved. &ldquo There&rsquo s a long backlog, [with] China being so big. Timing is shortened but provided you get into the queue,&rdquo Chan says. Third, C-REITs have to buy 100% of the asset. &ldquo We are more flexible. S-REITs can take 51%. Some have taken minority stakes or significant majority stakes,&rdquo he adds. In addition, valuations are scrutinised by the regulators. When CLCT and the CapitaLand Group decided to list the C-REIT, the initial NPI yield for Yuhuating, before the IPO premium, was around 6.7%. &ldquo That&rsquo s not widely off the mark of what we will be willing to buy an asset,&rdquo Chan says. In 1H2026, CLCT announced a DPU of 2.45 cents. This was above expectations and came in at 51.7% and 52.1% of JP Morgan&rsquo s and Bloomberg&rsquo s estimates for FY2026, a JP Morgan report notes. The key positives were improved retail occupancy and rising shopper traffic and tenant sales. Even the long-suffering logistics portfolio experienced rental reversion narrowing to &ndash 1.2% in 2Q2026 compared with &ndash 24.5% in 2025. However, business parks continue to be in the doldrums, in particular the oversupplied Hangzhou submarket. Chan says he is prioritising &ldquo occupancy through active retention of existing tenants and conversion of our listing pipelines&rdquo . JP Morgan retains a neutral rating on CLCT with a June 2027 price target of 66 cents. |
||
| Useful To Me Not Useful To Me | |||
|
Joelton
Supreme |
06-Aug-2026 10:25
|
||
|
x 0
x 0 Alert Admin |
CLCT held up 1HFY2026 DPU at 2.45 cents despite softer economy and divestment CapitaLand China Trust (CLCT) has reported a DPU of 2.45 cents for its 1HFY2026, versus 2.49 cents paid in the year earlier, as it was able to maintain resilient performance in its properties. Despite softer macroeconomic conditions and absence of income from the since divested CapitaMall Yuhuating, distribution income for the same six months ended June was $43.2 million, versus $43.4 million in the year earlier. CLCT believes it was able to report this resilient performance because of completed asset enhancement initiatives (AEI), and improved financing costs. On a same-store basis, excluding CapitaMall Yuhuatingก ฆ s contribution in 1HFY2025, DPU for 1HFY2026 increased by 2.9% y-o-y from 2.38 cents. Gross revenue, meanwhile was $152.3 million, down 4.4% net property income was down 2.5% to S103.9 million, down mainly due to the divestment of CapitaMall Yuhuating. On a same-store basis, gross revenue would have remained relatively stable, while NPI would have increased by 1.3%. CLCTก ฆ s retail portfolio, which accounts for 70.6% of its total portfolio gross rental income, saw an increase in occupancy to 97.3% in 1HFY2026, up from 96.9% a year ago. Same-store retail revenue was up 0.8% y-o-y in 1HFY2026 on the back of completed AEI across three malls. On the other hand, CLCTก ฆ s business park portfolio occupancy remained resilient at 85.1%. Occupancy in its logistics park portfolio rose to 99.0% in 1HFY2026, up from 96.6% in 1HFY2025, supported by the higher occupancy at Chengdu Shuangliu Logistics Park. Gerry Chan, CEO of the manager, says CLCT' s diversified portfolio and active asset management have enabled them to maintain resilient operating performance despite macroeconomic challenges. " This is demonstrated through our effective leasing and AEI strategies in our retail portfolio, leading to an improved occupancy, stronger tenant sales and higher shopper traffic. " Building on our portfolio rejuvenation efforts, we will continue to seek retail acquisition opportunities in Tier 1 and 2 cities, while exploring AEIs to drive value creation. " We also remain focused on curating a high-quality business and logistics park portfolio that delivers stable income while attracting tenants from growth-oriented sectors in line with Chinaก ฆ s economic priorities," he adds. Gearing as at end of 1HFY2026 was 40.4%, down from 42.1% a year ago, following the repayment of loans using proceeds from the divestment of CapitaMall Yuhuating in 2025. CLCT units closed at 66 cents on Aug 4. It is down more than 17% year to date. |
||
| Useful To Me Not Useful To Me | |||
|
|
|||
|
Joelton
Supreme |
06-Aug-2026 10:20
|
||
|
x 0
x 0 Alert Admin |
CapitaLand China Trust H1 DPU falls 1.6% to S$0.0245 [SINGAPORE] The distribution per unit (DPU) of CapitaLand China Trust : AU8U +3.82% (CLCT) fell by 1.6 per cent to S$0.0245 for its first half ended Jun 30, 2026, from S$0.0249 the year before, the manager reported on Wednesday (Aug 5). Revenue was down 4.4 per cent at S$152.3 million for the half-year period, from S$159.2 million in the year-ago period. This was mainly due to the absence of contribution from CapitaMall Yuhuating following its divestment in October 2025, as well as lower occupancy and rental rates at CapitaMall Xinnan, CapitaMall Grand Canyon and CapitaMall Aidemengdun. The manager also cited lower performance from its business parks and logistics parks as a reason for the decline. In actual Singapore dollar terms, net property income for H1 fell 2.5 per cent on the year to S$103.9 million from S$106.5 million. Distributable income declined 0.6 per cent year on year to S$43.2 million from S$43.4 million. The distribution will be paid out on Sep 9. Gerry Chan, CEO of the manager, said: ก ง Building on our portfolio rejuvenation efforts, we will continue to seek retail acquisition opportunities in Tier 1 and 2 cities, while exploring asset enhancement initiatives to drive value creation.ก จ ก ง We also remain focused on curating a high-quality business and logistics park portfolio that delivers stable income while attracting tenants from growth-oriented sectors in line with Chinaก ฆ s economic priorities,ก จ he added. Retail portfolio occupancy rose to 97.3 per cent as at Jun 30, from 96.9 per cent a year earlier, while shopper traffic and tenant sales increased by 3.2 per cent and 2.6 per cent, respectively. Occupancy for its logistics park portfolio rose to 99 per cent from 96.6 per cent the year before, while business park occupancy stood at 85.1 per cent. Units of CLCT closed flat at S$0.655 on Tuesday. |
||
| Useful To Me Not Useful To Me | |||
|
pasttime
Supreme |
06-Aug-2026 07:48
Yells: "gold silver are real money. not others iou." |
||
|
x 0
x 0 Alert Admin |
the price of most reits has fallen a lot except for a few singapore base one. they are almost at near lowest. the fall mainly due to fed interest rate gone high. for china base one the property burst. this one commercial so double hit as industry hit by us actions on china. but it has also hit bottom and recovering. the new industries are no longer property only in china. now has ev, AI, chips, robots, low altitude and their whole supply chain. these has produced many new middle class and rich. applications of technology on farming also bearing food. all these will tell why good locations retails still can survive. once fed start lowering interest rate, reits price and all interest bearing one will start raising in price. time will tell. dyodd |
||
| Useful To Me Not Useful To Me | |||
|
pkli899
Supreme |
05-Aug-2026 20:02
|
||
|
x 0
x 0 Alert Admin |
Btw, 2014, I collected dividends of 9.18 cents per share. Compare to now, not even 5 cents a year! |
||
| Useful To Me Not Useful To Me | |||
|
|
|||
|
pkli899
Supreme |
05-Aug-2026 19:58
|
||
|
x 0
x 0 Alert Admin |
I hold CLCT since 2014. In term of quantity, it is one of the smallest among my holding of reits/trusts. Having said, it is still well over 200k units. Hence, how is &ldquo sour grape&rdquo relating to me? I talked bad about this counter not because I missed the opportunity to buy but rather because I &ldquo 恨 铁 不 成 钢 &rdquo |
||
| Useful To Me Not Useful To Me | |||
|
pasttime
Supreme |
05-Aug-2026 17:21
Yells: "gold silver are real money. not others iou." |
||
|
x 0
x 0 Alert Admin |
hahaha continue to sour grape. sep i laugh to bank to collect dividend.
|
||
| Useful To Me Not Useful To Me | |||
|
asianguy
Senior |
05-Aug-2026 16:56
|
||
|
x 0
x 0 Alert Admin |
(2.45 cents half year dividend x 2 / 65.5 - 68 cents ), getting 7.2% to 7.4% yield, not bad in today' s low interest rate environment | ||
| Useful To Me Not Useful To Me | |||
|
|
|||
|
Mark001
Veteran |
05-Aug-2026 14:27
|
||
|
x 0
x 0 Alert Admin |
Better-than-expected. A stronger RMB is precisely its advantage.
|
||
| Useful To Me Not Useful To Me | |||
|
pkli899
Supreme |
05-Aug-2026 13:40
|
||
|
x 0
x 0 Alert Admin |
As expected, nothing to shout about. If not for stronger RMB......... 
|
||
| Useful To Me Not Useful To Me | |||
|
Joelton
Supreme |
05-Aug-2026 10:33
|
||
|
x 0
x 0 Alert Admin |
CLCT held up 1HFY2026 DPU at 2.45 cents despite softer economy and divestment CapitaLand China Trust (CLCT) has reported a DPU of 2.45 cents for its 1HFY2026, versus 2.49 cents paid in the year earlier, as it was able to maintain resilient performance in its properties. Despite softer macroeconomic conditions and absence of income from the since divested CapitaMall Yuhuating, distribution income for the same six months ended June was $43.2 million, versus $43.4 million in the year earlier. CLCT believes it was able to report this resilient performance because of completed asset enhancement initiatives (AEI), and improved financing costs. On a same-store basis, excluding CapitaMall Yuhuating&rsquo s contribution in 1HFY2025, DPU for 1HFY2026 increased by 2.9% y-o-y from 2.38 cents. Gross revenue, meanwhile was $152.3 million, down 4.4% net property income was down 2.5% to S103.9 million, down mainly due to the divestment of CapitaMall Yuhuating. On a same-store basis, gross revenue would have remained relatively stable, while NPI would have increased by 1.3%. CLCT&rsquo s retail portfolio, which accounts for 70.6% of its total portfolio gross rental income, saw an increase in occupancy to 97.3% in 1HFY2026, up from 96.9% a year ago. Same-store retail revenue was up 0.8% y-o-y in 1HFY2026 on the back of completed AEI across three malls. On the other hand, CLCT&rsquo s business park portfolio occupancy remained resilient at 85.1%. Occupancy in its logistics park portfolio rose to 99.0% in 1HFY2026, up from 96.6% in 1HFY2025, supported by the higher occupancy at Chengdu Shuangliu Logistics Park. Gerry Chan, CEO of the manager, says CLCT' s diversified portfolio and active asset management have enabled them to maintain resilient operating performance despite macroeconomic challenges. " This is demonstrated through our effective leasing and AEI strategies in our retail portfolio, leading to an improved occupancy, stronger tenant sales and higher shopper traffic. " Building on our portfolio rejuvenation efforts, we will continue to seek retail acquisition opportunities in Tier 1 and 2 cities, while exploring AEIs to drive value creation. " We also remain focused on curating a high-quality business and logistics park portfolio that delivers stable income while attracting tenants from growth-oriented sectors in line with China&rsquo s economic priorities," he adds. Gearing as at end of 1HFY2026 was 40.4%, down from 42.1% a year ago, following the repayment of loans using proceeds from the divestment of CapitaMall Yuhuating in 2025. CLCT units closed at 66 cents on Aug 4. It is down more than 17% year to date. |
||
| Useful To Me Not Useful To Me | |||
|
asianguy
Senior |
05-Aug-2026 09:23
|
||
|
x 0
x 0 Alert Admin |
CapitaLand China Trust posts 1H 2026 DPU of 2.45 Singapore cents DPU was underpinned by resilient retail performance, post-AEI income contributions and interest cost savings Singapore, 5 August 2026 &ndash CapitaLand China Trust (CLCT) reported a distribution per unit (DPU) of 2.45 Singapore cents for the six months ended 30 June 2026 (1H 2026). Distribution income was flat compared with 1H 2025, supported by resilient performance from malls, particularly those that completed asset enhancement initiatives (AEI), and improved financing costs. This demonstrates the resilience of CLCT&rsquo s portfolio despite softer macroeconomic conditions and the absence of contribution from the divested CapitaMall Yuhuating. On a same-store basis, excluding CapitaMall Yuhuating&rsquo s contribution in 1H 2025, DPU for 1H 2026 increased by 2.9% year-on-year (YoY) from 2.38 Singapore cents. Based on the record date on Friday, 14 August 2025, Unitholders can expect to receive their 1H 2026 DPU of 2.45 Singapore cents on Wednesday, 9 September 2026. This translates to a distribution yield of 7.4%1. |
||
| Useful To Me Not Useful To Me | |||
|
|
|||
|
spursfan
Supreme |
05-Aug-2026 09:10
|
||
|
x 0
x 0 Alert Admin |
1h26 results https://links.sgx.com/1.0.0/corporate-announcements/2MYQL2UQU48WJG5N/898651_1.%20CLCT%201H%202026%20News%20Release.pdf |
||
| Useful To Me Not Useful To Me | |||
|
Alignment
Elite |
03-Aug-2026 02:06
|
||
|
x 0
x 0 Alert Admin |
Not sure I would agree with the view that the article is optimistic. The article acknowledges some areas where a like-for-like comparison between China and Japan do not match up, for instance Chinese policies avoiding a Japanses style banking crisis, but these differences are I think more significant than the article implies. Chinese policies are better in part exactly because they have seen prior crashes and are behaving accordingly. Their data is also out of date. Some property segments like Shanghai prime residential had very short downturns in 2021 and are now at all time highs. Even looking at a wider more representative grouping, tier 1 residential across China troughed in 2025 and has recovered in 2026. Capitaland China specifically of course is retail malls and business parks which is a different dynamic yet again, worse than residential. |
||
| Useful To Me Not Useful To Me | |||
|
stockpicker
Master |
02-Aug-2026 16:19
|
||
|
x 0
x 0 Alert Admin |
This article said China' s property slump is half way thru if one use the Japanese' s trajectory. The Japanese slump last more than 20 years. Think the article was quite optimistic. https://sccei.fsi.stanford.edu/china-briefs/chinas-property-slump-can-curb-growth-years-even-without-banking-crisis |
||
| Useful To Me Not Useful To Me | |||
|
Alignment
Elite |
02-Aug-2026 13:08
|
||
|
x 0
x 0 Alert Admin |
At the time the fund first moved into Business Parks/logistics they should have had a shareholder vote given the change in target investments, even if strictly speaking one was not legally necessary. | ||
| Useful To Me Not Useful To Me | |||
|
pkli899
Supreme |
30-Jul-2026 09:43
|
||
|
x 0
x 0 Alert Admin |
One wrong move lead to another. Ever since they got those Business Park/Logistic assets......one poor results after another. Now only saving grace is exchange rate, from previously close to 5.60 to current around 5.24. Hopefully can help a little. |
||
| Useful To Me Not Useful To Me | |||
|
Alignment
Elite |
30-Jul-2026 07:56
|
||
|
x 1
x 1 Alert Admin |
Negative rental reversion so big, especially for business parks. Tough to know exactly when this will stabilise. | ||
| Useful To Me Not Useful To Me | |||
|
Southmouse
Member |
29-Jul-2026 18:14
|
||
|
x 0
x 0 Alert Admin |
This one so quiet?
|
||
| Useful To Me Not Useful To Me | |||
|
Joelton
Supreme |
24-Apr-2026 11:56
|
||
|
x 0
x 0 Alert Admin |
CapitaLand China Trust reports 3.5% drop in Q1 NPI to 282.4 million yuan Gross revenue for the quarter falls 5.3% to 416.4 million yuan [SINGAPORE] CapitaLand China Trust (CLCT) : AU8U +1.47% reported on Thursday (Apr 23) a 3.5 per cent decrease in net property income (NPI) to 282.4 million yuan (S$52.8 million) for its first quarter ended Mar 31, 2026, from 292.5 million yuan in the year-ago period. The decline in NPI was primarily due to the absence of contribution from CapitaMall Yuhuating, which was divested in 2025, the manager said. This was partially offset by a 3.7 per cent year-on-year cost reduction on a same-store basis. Gross revenue for the quarter fell 5.3 per cent to 416.4 million yuan from 439.7 million yuan a year earlier. Retail revenue declined 7.2 per cent year on year, largely due to the divestment of CapitaMall Yuhuating. Excluding the mall&rsquo s contribution from Q1 the year before, retail revenue saw a slight decline of 0.5 per cent. The manager attributed the fall to lower occupancy and rents at CapitaMall Xinnan, CapitaMall Grand Canyon and CapitaMall Aidemengdun, though the drop was partially offset by improvements at CapitaMall Wangjing and CapitaMall Xuefu following asset enhancement initiatives. For business and logistics parks, revenue remained flat on the year. Improved occupancy at Shanghai Fengxian Logistics Park was offset by lower rents at the Wuhan Yangluo and Chengdu Shuangliu logistics parks. Operational highlights for the retail portfolio included a 3.3 per cent year-on-year increase in shopper traffic and a 5.5 per cent rise in tenant sales. Committed occupancy for the retail portfolio was at 97 per cent. At the end of the previous quarter, committed occupancy was at 97.2 per cent. Business park occupancy for Q1 was at 86 per cent, and logistics park occupancy was at 99 per cent. The manager pointed out that cost of debt fell by about 40 basis points year on year to 3.1 per cent in Q1 2026. In its business outlook, the manager noted that China&rsquo s gross domestic product growth of 5 per cent in Q1 topped market expectations and signalled an improvement in economic momentum. Regarding China&rsquo s recently stricter e-commerce taxes and its impact on physical retail, the manager said: &ldquo This shift is anticipated to transform the sector from a traffic-driven, low-price model to a value-driven, compliant ecosystem, potentially fostering a fairer market environment for sellers operating through offline channels in the long term.&rdquo It also noted that there is an expectation for China to keep its official rates steady in 2026, with limited impact from the Middle East conflict. Still, &ldquo second-order effects may still emerge over time and management continues to closely monitor developments and potential implications&rdquo , it said. |
||
| Useful To Me Not Useful To Me | |||