1H 2024 Financial Results Webcast Briefing

Good morning to everyone. Welcome to Phrases and Appoint Trust results presentation for the first half financial year 2024 and the 31st of March, 2024. We have uploaded the press release, the results deck as well as the financial statements on the SGS map this morning. And we are happy that we have attending our briefing. And let me invite Richard, the CEO to give us a run through of the presentation. Richard, please. Yeah, hi, thanks, thanks, Han-Ling, and good morning to all of you. Thanks for joining us again for this quarter update. I'm gonna dive straight into the summary of the result deck and I'm very happy to actually share a set of healthy performance that we have for this quarter. If you look at the financial aspect of it, revenue is at 172 million, MPI 124 million. And later on, when we go into the various slides that shows the charts and so on, you will also see two charts, right?

I think we want to distinguish it a little bit because if we were to exclude CCP, which is Chinese city point, which was divested last year at the end of last calendar year, but the first queue for our financial year and also the effect of AI T1, our gross revenue actually rose 2.9% and MPI HD was higher at 2.1%. DPU, relatively stable at over 6 cents. In terms of capital management, aggregate leverage is currently at about 38.5% which is pretty healthy. Average borrowing costs, slight improvement from 4.3% in first queue down to 4.2%. ICR over three times and currently for FY24, all our financing needs has been settled. Coming to the business operation side of things, we have seen a very robust set of numbers. Occupancy, committed occupancy at close to 100%.

Printer evasion at 7.5%. Travel traffic has gone up 8.1% year on year and talent sales has continued its trajectory of improvement and we saw an increase of 4.3% year on year. And if you just take a step back, if we compare to pre-COVID same period, we actually grew by over 20%. We also have some updates on AEI, which body we'll share with you later on and as well as some highlights on our ESG activities for the quarter which are something we share with you. Next slide, please. So just a quick recap of what we have done for this quarter. If you look at what we have started off the calendar year, we use our Q2. First off the block, we made an announcement 25th January on the acquisition of the additional 24.5% stake in next. We also launched our equity fundraising,

which we did raise 200 million, 2.5 times COVID. And also some other notable things that happened during this quarter including the FCT inclusion into the Straits Times Index on 18th of March. We did an EGM on 25th of March and also completed our transactions for the 24.5% stake in next on the 26th of March. So today we own 50% stake in next as a whole. Quick update on the market. I'm not gonna spend time on the wider macro perspective because you guys know as much as we do. Maybe a little bit on the sales. So if you look at retail sales index, it's a 3% year-on-year growth. If you exclude motor vehicles compared to hours it's actually stronger. FMB sales continue to be one of the key driver at 4% year-on-year.

From the rental perspective, similar trend. Suburban more you've seen a 2.7% year-on-year growth as compared to hours for 7.5% growth. But of course the constituents of their numbers are very different from ours. Updating on the supply side of things, again we're seeing a pretty muted supply that's coming on stream all the way to 2027. And we have also included some of the projects. This is actually extracted from the research report from CVRE. So some of the names that you could see some of the smaller malls. In fact, most of them are smaller malls that's gonna be completed between now to 2027. So very limited supply and that is, that underpins the strong demand that we continue to see from retailers, especially to our stronger malls. And this is the, so the other reason why we are seeing