CAPITALAND Investment (CLI) on Friday (Feb 25) announced that it had achieved a net profit of S$647 million for the second half of the financial year ended Dec 31, 2021.

 

This is compared with a net loss of S$680 million in the same period the year before.

 

Earnings per share for the 6 months was S$0.153, compared with a loss per share of S$0.243 in H2 FY2020.

 

The real estate investment manager' s revenue for the half year increased by 26.2 per cent year on year to S$1.24 billion from S986 million.

 

This was attributed to the fee income-related business and the real estate investment business both recording topline growth, underpinned by a higher transactional fee income, improved operating performance from lodging assets with the easing of travel restrictions, and contributions from newly acquired assets in China and the US.

 

The board is proposing a tax-exempt ordinary dividend of S$0.12 and a special dividend of S$0.03, bringing the financial year' s total dividend to S$0.15, subject to shareholder approval.

 

For the full FY2021, the group' s revenue increased by 15.6 per cent year on year to S$2.29 billion from S$1.98 billion, due to the higher contribution from the fee income-related business and the real estate investment business from higher transactional fees and contributions from newly acquired assets.

 

The group also noted better operating performance in Singapore, China, Europe, UK, US and Australia, emphasising the consolidation of a business park property in China and a lodging group in Australia.

 

Its net profit was S$1.35 billion in FY2021, reversing a net loss of S$559 million in FY2020.

 

Earnings per share for the financial year was therefore S$0.383, compared with a loss per share of S$0.199 the year before.

 

The group is cautiously optimistic in its FY2022 outlook, as it is positive on the lifting of travel and mobility restrictions in many markets in the last quarter of FY2021, while noting rising energy prices and ongoing supply imbalances likely driving up near-term inflation and interest rates.

 

However, CLI said it is committed to achieving sustainable double-digit return on equity by growing its fund and lodging management platforms, as well as recycling at least S$3 billion worth of assets annually.

 

The group will also continue to work towards its goal of S$100 billion in funds under management by 2024, by enhancing its private equity fundraising and research capabilities, expanding product offerings and extending its network of capital partners globally.

 

It will also conduct its planned biannual review of CapitaLand' s 2030 sustainability master plan with the intent to recalibrate its sustainability targets to ensure that they continue to be relevant following the group' s restructuring in FY2021.

 

Lee Chee Koon, group chief executive of CLI, said: " As part of our growth strategy, we will focus on expanding and diversifying our investor base and network of international partners as we scale up our private equity business, tap new fundraising channels and launch new funds, even as we remain disciplined in our portfolio reconstitution and capital recycling strategies."