CDL marks 60th anniversary in style with record earnings of $1.3 bil

CDL posts all-time-high earnings of $1.29bCDL recorded earnings of $1.29 billion in FY2022, Tengah Plantation EC an all-time high, thanks to an operational recovery from the pandemic and divestment gains. Revenue for FY2022 was up 25.4% y-o-y to $3.29 billion, driven mainly by property development which accounted for 42% ($1.38 billion) of the total. Hotel operations also saw strong growth, with revenue up 58% and RevPAR (revenue per average room) increasing by 91% to $137.90. The group also achieved significant divestment gains from the sale of Millennium Hilton Seoul and the collective sales of Tanglin Shopping Centre and Golden Mile Complex.CDL’s resilient performance was driven by prudent divestments and strong operational performance, as well as a focus on capital recycling and asset optimisation. To mark its 60th anniversary, the Group is paying a final dividend of 8 cents per share, plus a special dividend of another 8 cents, bringing total cash dividend for FY2022 to 28 cents – compared to 12 cents paid in FY2021. As at Dec 31 2022, CDL’s net asset value (NAV) was $10.16, up 9.7%, and the revalued NAV would be $16.98.CDL Executive Chairman Kwek Leng Beng hailed theFY2022 performance as “sterling”, adding that “Riding on the return of corporate travel and unabated pent-up demand for leisure travel, our hospitality segment will continue to strengthen and is poised to be a star performer for the year ahead.” CDL Group CEO Sherman Kwek also noted that the group will continue to display discipline, agility, resilience and innovation to deliver sustainable growth and maximise long-term shareholder value.

CDL’s sterling performance in FY2022 can be attributed to the company’s focus on capital recycling and unlocking latent value via well-timed divestments, as well as a resilient operational performance. CDL recorded all-time-high earnings of $1.29 billion in FY2022 and revenue of $3.29 billion, up 25.4% year-on-year, driven mainly by its property development segment. Three major residential projects in Singapore – Amber Park, Haus on Handy and Irwell Hill Residences – all contributed to the results.

Hotel operations, which was significantly affected by the pandemic, also rebounded exceptionally well with revenue increasing by 58% and RevPAR (revenue per average room) increasing by 91% to $137.90. This was made possible thanks to a 48.9% increase in average room rates and a 14.2 percentage point improvement in occupancy.

CDL’s active divestment gains played a key role in raising its performance as well. The sale of Millennium Hilton Seoul, the gain on the deconsolidation of CDL Hospitality Trusts (CDLHT), and the collective sales of Tanglin Shopping Centre and Golden Mile Complex all resulted in significant capital gains.

Moreover, sales of residential units in Singapore totalled 1,487 in FY2022, backed by the launch of projects Piccadilly Grand and Copen Grand, both joint venture projects with MCL Land. In 1H2023, Tembusu Grand, a 638-unit development along Tanjong Katong Road and Jalan Tembusu in District 15 will be launching, as well as Newport Residences, a 45-storey freehold development comprising 246 units in Tanjong Pagar. The Myst, a 99-year leasehold condominium along Upper Bukit Timah Road, is also scheduled for launch in 2H2023.

To mark its 60th anniversary, CDL is paying a final dividend of 8 cents per share, plus a special dividend of another 8 cents, bringing total cash dividend for FY2022 to 28 cents – compared to 12 cents paid in FY2021. As at Dec 31 2022, CDL’s net asset value (NAV) was $10.16, up 9.7%, and the revalued NAV would be $16.98.

Chairman Kwek Leng Beng noted that “Riding on the return of corporate travel and unabated pent-up demand for leisure travel, our hospitality segment will continue to strengthen and is poised to be a star performer for the year ahead.” Group CEO Sherman Kwek added that CDL will continue to display discipline, agility, resilience and innovation to deliver sustainable growth and maximise long-term shareholder value.

As CDL marks its 60th anniversary, the Group has demonstrated an unwavering commitment to capitalise on new opportunities and showcase its resilience in the wake of unprecedented disruptions. All while delivering strong operational performance, capital recycling and prudent divestments, achieving an all-time-high earnings of $1.29 billion and paying out a total cash dividend of 28 cents for FY2022.