CapitaLand Ascott Trust (CLAS) has reported a 6% increase in gross profit for the first half of 2025, reaching S$182.5m, alongside a 3% rise in revenue to S$398.5m. This growth is attributed to the trust’s robust operating performance, strategic portfolio reconstitution, and asset enhancement initiatives (AEIs). Revenue per available unit (REVPAU) also climbed by 3% to S$150, reflecting higher occupancy rates across key markets.
The trust’s total core distribution increased by 1% year-on-year to S$91.6m, maintaining a stable distribution per stapled security at 2.40 pence. CLAS Chairman Lui Chong Chee highlighted the trust’s resilience amidst global uncertainties, noting that 66% of gross profit was derived from stable income sources. “We continue to seek opportunities to reconstitute and enhance our portfolio,” he stated, emphasising the strategy of reinvesting proceeds from property divestments into higher-yielding acquisitions and AEIs.
Chief Executive Officer Serena Teo announced plans for three additional AEIs in 2025 and 2026, with a total capital expenditure of approximately S$205m. These initiatives aim to enhance property value and profitability in key gateway cities. The trust also acquired two hotels in Japan for JPY21b (S$178.5m), which Teo noted would more than compensate for income from previously divested properties.
Looking ahead, CLAS remains committed to strengthening its portfolio and positioning itself for future growth, supported by a strong financial position and strategic investments.
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