CDL Hospitality Trusts (CDLHT) reported net property income (NPI) increase of 37.8% (or S$14.0 million) year-on-year (yoy) to S$51.0 million for 1H 2022. The increase was mainly attributed to the Singapore and UK hotels as well as Maldives resorts, which increased collectively by S$16.9 million yoy.

NPI growth was also contributed by Claymore Connect which grew S$1 million due to tenant recovery and normalisation of Singapore’s retail trade. The increases were partially offset by lower NPI from the Australia and New Zealand portfolio, which collectively declined by S$4.8 million.

Total distribution to Stapled Securityholders for 1H 2022 was S$25.2 million and DPS was 2.04 cents, an increase of 68.4% and 67.2% yoy respectively.

Mr Vincent Yeo, Chief Executive Officer of CDLHT’s managers, said, “We are very pleased to see a strong recovery in trading for many of our portfolio hotels. In particular, the growth momentum experienced in our core market, Singapore, is promising. Across our global portfolio, nine of our portfolio hotels have seen RevPAR in June 2022 exceeding June 2019 pre-pandemic levels, with the RevPAR for another four portfolio hotels already above 90% of June 2019. This recovery is very encouraging given that travel out of China and Japan, traditionally strong outbound markets, still faces constraints. Strong growth has been seen in the leisure and project group market while the recovery in the primary corporate market is more nascent.”

Please click here for CDLHT’s full 1H 2022 update.

Hong Leong Finance

Hong Leong Finance (HLF) reported net profit of S$45.1 million for the half year 2022, an increase of 1.0% from S$44.7 million a year ago.

The resilient performance was underpinned by higher net interest income of 8.1% at $96.4 million, boosted by improved interest yield on the healthy asset growth and lower funding cost sustained amidst elevated benchmark rates driven by global interest rate hikes. Net interest margin was lifted by 10 basis points to 1.5 per cent.

Fee and commission income surged 73.6% to $8.1 million for first half-year 2022 led by fee income from rebound lending activities.

Net allowances for loans and other financial assets stood at $1.8 million arising from higher allowances for non credit-impaired loans. Net loan assets rose to S$11.4 billion, up 7.1% over the previous year’s base.

Earnings per share stood at 20.14 Singapore cents for the half year, up from 19.97 cents a year ago. An interim dividend of 3.75 cents per share will be paid on 1 September 2022.

Please click here for HLF’s full 1H 2022 results.

First Sponsor Group Limited

First Sponsor Group achieved a net profit of S$71.3 million for 1H2022, a 3.5% growth from S$69 million in the same period last year. The group’s revenue fell 26.5% year on year (y-o-y) to $115.3 million due to the decrease in revenues from the sale of development properties and property financing. 

The lower revenue from the sale of properties was mainly due to the first-time profit recognition of SOHO loft units in Plot F of the Millennium Waterfront project in 1H2021. The lower revenue was offset by rental income from investment properties and revenue from hotel operations, which rose 7.6% y-o-y and 217.5% y-o-y to $6.3 million and $48.6 million respectively.

The higher rental income from investment properties was mainly due to the contribution from the East Sun Entities which were consolidated by the group with effect from March 31, 2021. 

The higher revenue from hotel operations came from the 11 Bilderberg hotels in the Netherlands, which was consolidated by the group with effect from May 2. The rest of the European hotels saw revenue surge 281% y-o-y, underpinned by the strong demand arising from the removal of the Covid-19 restrictions. 

As at June 30, cash and cash equivalents stood at $651.9 million. The Board has approved an interim tax-exempt (one-tier) cash dividend of 1.1 Singapore cents per share for FY2022 which is the same as that of last year.

Please click here for First Sponsor’s full 1H 2022 update.