CDL H-Trusts' Q2 DPS falls 0.9% on weaker net property income

CDL Hospitality Trusts on Friday reported a 0.9 per cent fall in distribution per stapled security (DPS), reflecting lower net property income.

DPS for the three months ended June 30, 2016, stood at 2.23 Singapore cents, compared to 2.25 Singapore cents a year ago.

Net property income (NPI) fell 0.9 per cent to S$31.3 million, as contributions from Singapore hotels and Maldives Resorts declined due to the soft trading environment. Hotels in Australia and New Zealand also recorded lower fixed rents due to local currency weakness against the Singapore dollar.

The decline in NPI was mitigated in part by inorganic contribution from its UK hotel Hilton Cambridge City Centre, growth from the Japan hotels as well as incremental income from the newly refurbished mall, Claymore Connect.