CDL Hospitality Trusts (CDLHT) experienced growth in RevPAR across most of its portfolio, driven by increased occupancies and robust rate recovery. Accordingly, the Group’s gross revenue and Net Property Income (NPI) in 1Q 2023 increased by 31.5% and 35.0% year-on-year (“yoy”) to S$60.8 million and S$32.7 million respectively.

This comes on the back of largely higher revenue per available room across most of its properties, except those in New Zealand and Maldives.

CDLHT’s NPI from the Singapore portfolio, experienced the biggest increase of 82.5% or an absolute gain of S$8.8 million to S$19.6 million in 1Q 2023. For 1Q 2023, RevPAR for the Singapore Hotels increased by 86.1% yoy, attributed to an increase of 13.5 percentage points in occupancy and 49.2% in average rate. This was compared to a low base in 1Q 2022 as border restrictions were only fully lifted from late April 2022. Against 1Q 2019, RevPAR grew by 8.3%, driven by an increase in average rate of 36.9%.

CDLHT’s portfolio of hotels has largely recovered from the impact of the pandemic and is expected to continue benefitting from the next phase of the recovery as Chinese tourists return to international travel.

The Managers are confident of the medium to long term prospects of the Singapore market and will continue to assess opportunities to invest through asset enhancements to strengthen the competitiveness of its hotels in CDLHT’s core market.

While inflationary cost pressures, higher energy prices and funding costs may affect CDLHT’s performance in the near to medium term, the positive trends in the hospitality industry are expected to offset some of these costs, particularly in strong markets or periods of high demand.

Please click here for full details of CDLHT’s 1Q 2023 operational update.