1H 2022 Financial Results Briefing

The morning everyone, CICT released this first half 2022 financial results this morning. And we are pleased to have you join us both in person and online via Zoom webinar. A warm welcome to all of you. On the panel this morning, we have Mr. Toni Tan, Chief Executive Officer of CICT Manager. Ms. warm million, Chief Financial Officer. Ms. Jacqueline Lee, Head of Investment. And I'm Nathan here of investor relations. We will start today's briefing with a presentation by Toni our CEO followed by a question and answer session. Please note that this session is recorded and uploaded and will be uploaded on CICT website later.

Now may we have Toni share with us the highlights of CICT's results. Tony, please. Thanks for making good morning everyone. Morning those online. Thank you for turning up today. I think it's a busy period of a lot of without reporting. And like, like why is we an also result this morning? I think for many of you probably have heard me many times I was looked before that this year financial number will look very noisy. So, we have a couple of things we have done. We have developed a project that became a convicted. We have back a few some of the space but then there will be a little bit of time in difference. And hence this year result would be very noisy. So this is a little bit of backdrop that I just wanted to emphasize.

So let me zoom in quickly. I would not probably not drown too much time. I think probably I based on why here in the chapter and I'm sure you have a. A lot of any questions beyond all these does publish. These are easy to relate to. And obviously we tried to answer as much query as possible. So, perfectly this first half result is a process combination of things that we have done over the last six nine months. We look at some adjustment to our portfolio. We did some divestment last year with one draft street was completed in December. And then we also saw. Jake Hill was completed in March.

We went to a transaction acquired three Australian assets in December last year. Two of the assets was completed late first quarter. And the final one was when he completed almost towards the end of June. So this gives you a little bit of backdrop. Some annoyances that we come across in the number. At the same time, we have also competition of somebody projects. Namely, like 21 CQ, there was complete the last year starting to see some contribution. Given that there'll be a bit of. Period where the. A quarter mandatory. We will start to get. Some income coming from second quarter onwards. And then we are also a complete.

CapitaSpring. Completion was last year in November. And gradually we're filling up the space quite nicely. See in the slide. So today we are almost 100% few. Right. Just left one you need to. But then there'll be a time in the place. Because way hangover 10 and it's very stuck rocking. The revenue. But then they won't have to be out period where there will be revenue recognition. But then there'll be no corresponding rent paper until the. It'll be. So quite noisy number. But more substantive. Deeply from CapitaSpring perspective. But I think likely we'll come more. Many fully from second half. And really more. Many fully substating from. For day. Three. Similarly, you know, three. As said, we are fired.

And completed a. Two. Yes, that's in. During the first half, but you only really see about three months or so. Of income coming in. We also completely final in Australia. Only late June. So in fact, we have not even accounted for it for this first half. Right. Because it's just too late. It was completed to in six years. So it's kind of noisy. But nevertheless, today the context. I think overall our rental revenue has grown. Of six point six point five percent. I think. Yeah. And NPI has also blown. But then translate to DPU. I think of course you see it's a quite much no improvement for 80%. Overall from operation number perspective.

I think it's been very healthy. It seemed quite nice. I believe, including a. Back feeling of space is more together by some of the major tenants. You know, gradually we have. Secure community. So. So for you, why is this going up to about 93.8. That takes into account. Those three newly acquired sets. Sorry, I didn't mention. We also have to take in. Seven year, Robinson, which is now renamed as. Capital Sky. So corresponding company in April. So we see about two. Two months or so. But I think I'm contribution. So put it all together. And we see about four million. The. A little bit to 93.8%. They can look how Saudi assets that would require some time to rent.

But especially those new little quiet one. For me, retail perspective, I think the. We're saying quite nice. I believe no, I think probably not. Surprise to many of you who have since. The other peers result. Retail needs. quite nice uplifts, but really from second quarter onward, where the uplifting of the key measures, as I mentioned, was lifted. I think that helps a lot. Downtown, not surprisingly, outperforms the urban more, given the partly because of lower base, but also the fact that I think there's a little bit more panel with the help, some tourists that are tripling in. So we're seeing a nice uplift in the downtown more.

But now that the less urban more so is the little bit of lift, given that now the dynamic option is wider, and there's more restrictions, you know, more traffic-wise, also seeing the nice uplift as well. Secure AI we announced two days ago, and there's something shouldn't be new to all you. You know, I've been telling you that we need to do something about it. We want to increase this asset. You know, it's been very heavy, focused on nightlife, heavy, party, you know, and somewhat associated with the kind of positioning. We think in the long run, to be more sustainable for rent perspective, we need to widen the trading hours, which is why we start to introduce a trade that will bring in their craft.

At the same time, we tend to call a limit of clock key that's important, as we also well know, but you know, importantly, well, no, well, well, I will continue to be important attraction for tourists and people who want to have good time and night as well. So we brought this zone into three areas. Riverfront warehouse, the Q riverfronts are a little bit of focus on the FMB. So Q, high energy area, that's where people party in the zoopers day there, around that area location. And then the warehouse is probably the main transformation. Cara UIC are multiple shopping needs. We're going to live a little apart internally. You'll see some nice skylight. Hopefully there will be one major draw from people from all around the world and today's Singapore as well.

And it will fit you quite nicely. Hopefully by the time the project can be connected here, it's completely in 20, then it will be five to six. There will sort of bring the food into the face and integration nicely with the liberal family, a little bit of the living family, but also element that's important for a nice lifestyle. So today we have reached about 70% of pre-com currently we are about 70% of delicious room and we have challenged that slowly with the single as the least expired. But as it went, they fit into the timing of the AI we'll move them to the limitation. So there will be a little bit of adjustment going forward. The work will start in tech order.

In next month or so, so there will be a little bit of adjustment from the occupancy perspective and where as this in color, we will potentially be stay on but they may be relocated to other locations. So stay tuned. Physically you're here, you can pop in as a when is, I think you'll stay open throughout the one year or so and I'm just gonna move. Let's move. Jem. Thanks. Thanks. So, Raphors City, I think, most of the work is on track.