CapitaLand Ascendas REIT (A17U) H1 2025 earnings summary

Executive summary

• Distributable income for 1H 2025 was S$331.1 million, up 0.1% year-over-year, with DPU at 7.477 cents, down 0.6% due to a larger unit base.

• Portfolio occupancy remained healthy at 91.8% as of 30 June 2025, with positive rental reversions of 9.5%.

• Major acquisitions and redevelopments completed, including DHL Logistics Center (US) and Science Park Drive (Singapore), supporting long-term growth.

• Investment properties grew to S$16.83 billion, a 0.4% increase from 31 December 2024.

• Aggregate leverage improved to 37.4%, with a stable cost of debt at 3.7%.

Financial highlights

• Gross revenue for 1H 2025 was S$754.8 million, down 2.0% year-over-year, mainly due to divestments and decommissioning.

• Net property income declined 0.9% to S$523.4 million.

• DPU declined due to a larger unit base following private placements and management fee payments in units.

• Aggregate leverage stood at 37.4% as of 30 June 2025.

• Interest coverage ratio was 3.7x.

Outlook and guidance

• Portfolio rental reversion for FY 2025 is expected to remain in the positive mid-single digit range.

• Manager remains disciplined in pursuing accretive opportunities and expects stable returns supported by a diversified tenant base and long WALE of 3.7 years.

• Macroeconomic uncertainties, including global trade tensions and inflation, are expected to persist.