CapitaLand India Trust reports 2HFY2022 DPU of 3.91 cents, 9% higher y-o-y

The manager of CapitaLand India Trust (CLINT) reported a distribution per unit (DPU) of 3.91 cents for its 2HFY2022 ended Dec 31, 2022, 9% higher than the 3.60 cents recorded in the same period of the prior year. This led to a total property income of INR11.9 billion for the full year.

The increase in DPU was mainly due to higher portfolio occupancy and income contribution from acquisitions such as the aVance 6 building in Hyderabad which the trust acquired in Mar 2021, Tengah EC Building Q1 in Aurum Q Parc at Navi Mumbai in Nov 2021, Arshiya Warehouse 7 in Mar 2022, and Industrial Facility in Mahindra World City, Chennai in May 2022.

Total property expenses also rose by 22% to INR2.5 billion, largely due to higher operational and maintenance expenses and property management fees for both existing and newly acquired properties.

As at Dec 31, 2022, CLINT had a committed portfolio occupancy of 92%, in addition to assets under management worth $2.5 billion and a gearing ratio of 37%. CEO Sanjeev Dasgupta notes plans to build two more data centres in Hyderabad and Chennai which were announced on Dec 31, in addition to the ones in Mumbai and Bangalore.

Furthermore, the acquisition of International Tech Park Pune – Hinjawadi 5 is expected to be completed soon, which will generate “stable returns” for unitholders. Dasgupta is also confident that these acquisitions will further propel CLINT in 2023.

On Feb 6, units in CLINT were flat at $1.19.

Overall, it appears that CLINT’s strategic acquisitions have enabled it to achieve a higher DPU and to position itself for further growth in the future.