CMMT hit by lower income from the Klang Valley malls

KUALA LUMPUR: Capitaland Malaysia Mall Trust 's (CMMT) net profit for the third quarter ended Sept 30, 2018 (3Q18) fell to RM31.55mil from RM40.07mil recorded in the same period last year.

Revenue slipped to RM86.15mil from RM92.67mil previously.

In a filing with Bursa Malaysia today, CMMT attributed the decrease to lower occupancy at Sungei Wang Plaza, The Mines shopping mall and 3 Damansara shopping mall, downtime from asset enhancement works at Sungei Wang Plaza as well as lower rental rates at The Mines.

However, it said the decrease was mitigated by better performance from Gurney Plaza and higher rental contribution upon completion of asset enhancement works at the East Coast Mall.

Meanwhile, CMMT recorded a distribution per unit of 1.90 sen for 3Q18.

In a separate statement, CMMT's Manager, CapitaLand Malaysia Mall REIT Management Sdn Bhd (CMRM), said year-to-date, CMMT recorded net property income of RM162.1mil, which had partially mitigated the lower contributions from the Klang Valley shopping malls.

CMRM's Chairman David Wong said the group would continue to focus on strengthening the appeal of its malls through proactive asset management, including asset enhancement initiatives and tenant mix adjustments, against a backdrop of global uncertainties and challenging retail operating conditions.

“Notwithstanding the challenges, we remain committed to delivering sustainable income distributions to unitholders,” he added.  - Bernama



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