CapitaLand Ascendas REIT (A17U) Q1 2025 TU earnings summary

Executive summary

• Completed S$458.2 million in investments: US acquisition, Singapore redevelopment, and two asset enhancements in 1Q 2025.

• Portfolio value reached S$16.9 billion across Singapore, US, Australia, UK/Europe, with 226 properties.

• Portfolio occupancy declined to 91.5% from 92.8% at end-2024, with positive rental reversion of 11.0%.

• Weighted average lease expiry (WALE) stable at 3.8 years, supporting income stability.

Financial highlights

• Aggregate leverage increased to 38.9% (from 37.7% at Dec 2024); interest coverage ratio steady at 3.6x.

• Weighted average all-in debt cost stable at 3.6%.

• Fixed rate debt at 73.6% of total; net debt/annualised EBITDA at 8.1x.

• Green financing totals S$2.6 billion, about 37% of total borrowings.

Outlook and guidance

• Global economic growth projected at 2.8% in 2025, with significant downside risks.

• Singapore’s GDP growth forecast downgraded to 0.0%-2.0% for 2025; core inflation eased to 0.5% YoY.

• US, Australia, UK, and Europe expected to see moderate growth; portfolio expected to remain resilient due to diversification and long WALE.

• Rental reversion for FY2025 expected to be in the positive mid-single digit range.