logo
CapitaLand Investment sinks 8% after Q1 revenue falls 24%

CapitaLand Investment sinks 8% after Q1 revenue falls 24%

Business Times02-05-2025

[SINGAPORE] CapitaLand Investment's (CLI) shares plunged more than 8 per cent on Friday (May 2) morning, after the company posted a 24 per cent decline in year-on-year revenue in Q1 2025.
Shares of CLI fell 8 per cent or S$0.22 to S$2.53 shortly after the opening bell. Around 8.1 million shares changed hands as at 10.20 am.
This comes after the real estate investment manager said in a business update on Wednesday that its revenue fell to S$496 million, down 24 per cent from S$650 million in the previous corresponding period.
Earlier this year, the company declared its ex-dividend date to be on Friday for its once-yearly dividend payout of S$0.12 per share. The dividend record date will be May 5, with the payment date on May 13.
The company attributed much of the revenue decline to the deconsolidation of CapitaLand Ascott Trust (Clas). In December 2024, CLI sold a 4.9 per cent stake in Clas for S$162 million to an unrelated party.
However, on a like-for-like basis, revenue remained 'stable' since that of Q1 2024 would have been S$496 million, after accounting for Clas' deconsolidation in both periods, the company said.
CLI's real estate investment business revenue fell by more than 40 per cent to S$242 million in Q1, from S$430 million. But this was for similar reasons – on a like-for-like basis, revenue would have decreased by 6 per cent, after adjusting for Clas' deconsolidation, said CLI.
The company said its strategic priorities remain focused on thematics and markets-focused products, such as in logistics and self-storage, living and wellness, private credit and data centres.
Following the launch of its first commercial real estate investment trust in China earlier this year, CLI also reiterated its strong foundation and long-term view of its China-based business.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Toyota chairman to face scrutiny over US$33 billion deal at shareholder meeting
Toyota chairman to face scrutiny over US$33 billion deal at shareholder meeting

Business Times

time2 hours ago

  • Business Times

Toyota chairman to face scrutiny over US$33 billion deal at shareholder meeting

[TOYOTA CITY, Japan] Toyota Motor Chairman Akio Toyoda is likely to face scrutiny over a US$33 billion take-private deal of a key supplier when shareholders assemble for the Japanese automaker's annual general meeting on Thursday. This year's gathering, set to kick off at 10.00 am (0100 GMT), marks the first time in three years that Toyoda isn't being opposed by a shareholder proxy adviser. Nevertheless, the grandson of the automaker's founder is likely to face some tough questions about governance - if this week's meeting of supplier Toyota Industries is anything to go by. Shareholders of forklift maker Toyota Industries on Tuesday voiced disapproval of the 4.7 trillion yen (S$42.4 billion) take-private bid from its parent that they said was unfair to minority shareholders. The world's top-selling automaker plans to take its supplier private in a complex, multi-part transaction that includes an offer price of 16,300 yen a share. While the price might be a good deal for Toyota Motor shareholders, critics of the bid, including London-based Zennor Asset Management, have raised concern about the transaction, particularly around the treatment of minority shareholders. 'This was not a decision that neglected minority shareholders, but rather one that was taken with all the factors in mind,' Toyota Industries' President Koichi Ito told shareholders on Tuesday. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Under the deal, a new holding company will be set up. Unlisted real estate company Toyota Fudosan will invest 180 billion yen while Toyoda will invest 1 billion yen. Toyota Motor will invest 700 billion yen for non-voting preferred shares. Tuesday's meeting ran for almost two hours, Toyota Industries' longest ever, the company said. Executives also took some two dozen questions from shareholders, the most ever. Hong Kong-based Oasis Management, which has shares in both Toyota Motor and Toyota Industries, has said it would push for a higher price. Toyota has said the acquisition would allow Toyota Industries to deepen collaboration with group companies, without concerns of short-term profit targets, as Toyota itself becomes a broader 'mobility company'. This year, prominent proxy advisory firms Glass Lewis and Institutional Shareholder Services have both recommended that shareholders re-elect Toyoda. Glass Lewis had recommended voting against him the previous two years and ISS had last year. Toyoda's position at the automaker had come under scrutiny over broader governance concerns. Neither proxy adviser gave specific reasons for the change in their recommendations this year. Toyoda has seen shareholder support slip in recent years. He was re-elected to the board with 72 per cent backing in 2024, in what he later said marked the lowest support rating ever for a Toyota director. That was down from 85 per cent and 96 per cent, respectively, in the prior two years. In a July 2024 interview by Toyota's own news outlet, Toyoda said his seat on the board could be at risk if shareholder support continued to fall. Toyota Industries, formerly Toyoda Automatic Loom Works, was founded in 1926 to make automatic looms. An automotive division within the company was set up and later spun off as Toyota Motor. REUTERS

Europe: Shares slip as markets unfazed by US-China deal
Europe: Shares slip as markets unfazed by US-China deal

Business Times

time3 hours ago

  • Business Times

Europe: Shares slip as markets unfazed by US-China deal

EUROPEAN shares saw their early gains evaporate, closing in the red on Wednesday, as the much-anticipated US-China trade talks offered scant details, despite promises of high-level agreements. The pan-European Stoxx 600 had risen following a cooler-than-expected US inflation report that eased tariff-related concerns and bolstered hopes for the Federal Reserve to cut rates. However, the index ultimately closed 0.27 per cent lower at 551.64 points- its third straight day of losses. Meanwhile, a day after officials from Washington and Beijing agreed on a framework to restore their trade truce, President Donald Trump said the US-China deal was done, with Beijing set to supply magnets and rare earth minerals. According to a White House official, the agreement with China allows the US to charge a 55 per cent tariff on imported Chinese goods, including a 10 per cent baseline 'reciprocal' tariff, a 20 per cent tariff for fentanyl trafficking and a 25 per cent tariff reflecting pre-existing tariffs. China will charge a 10 per cent tariff on US imports, the official said. Investors in Europe responded cautiously, while the talks ended in a truce, analysts said investors had hoped for more substantial progress. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'Markets had a lot of hopes that folks in London were going to see some major breakthrough and essentially all it's done is reiterate what they had a month ago,' Daniela Hathorn, senior market analyst at The benchmark index, however, was still 2 per cent shy of its February all-time high. Europe, once a prime beneficiary of the rotation out of US assets, now finds itself gripped by a pervasive caution due to Trump's mercurial tariff policies. The biggest catalysts for European markets are increased defence spending and the European Central Bank cutting borrowing costs. However, ECB officials have indicated that the easing cycle will come to an end. Traders are pricing in just one more rate cut by the tail-end of this year. 'Investors piled into European markets and have taken advantage of that cheap equity market, it's now a case of what else is going to continue to power this drive,' Hathorn added. On the markets side, the utilities sector, often traded as a bond-proxy, emerged as the day's top sectoral performer. Conversely, retailers led the decline, sinking 1.7 per cent due to a 4.4 per cent drop in Inditex after the Zara owner missed first-quarter sales forecasts. British homebuilders Bellway and Vistry saw their shares rise following finance minister Rachel Reeves' announcement of a £39 billion (S$67.5 billion) decade-long affordable housing programme that will nearly double annual spending on low-cost homes. London's FTSE 100 was up 0.1 per cent while mid-cap FTSE 250 rose 0.2 per cent. REUTERS

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into the world of global news and events? Download our app today from your preferred app store and start exploring.
app-storeplay-store