CAPITALAND Investment : 9CI 0% (CLI) reported a total revenue of S$650 million for the first quarter ended March 2024, down 0.2 per cent from S$651 million in the same period last year.

On Friday (Apr 26), the real estate investment manager said this demonstrated “stable” performance on a year-on-year basis.

Fee-income-related business revenue grew 7 per cent on the year to S$274 million, versus S$255 million in Q1 FY2023.

The growth was driven largely by increased revenue contributions from the commercial, lodging, and listed funds management segments, which more than offset a decline in revenue from private funds management.

CLI’s real estate investment business revenue fell 4 per cent to S$430 million from S$447 million in the same period last year, which the group noted to be “largely stable”.

The revenue decline comes after factoring in asset divestments and lower revenue from its lodging platform, Synergy, which led to lower revenue under CLI’s US and lodging segments.

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CLI also highlighted higher real estate investment revenue contributions from Japan due to increased office occupancy and the addition of three rental housing properties under the CapitaLand Ascott Trust.

Overall revenue per available unit (RevPAU) for the quarter grew 6 per cent to S$86 on a two percentage-point growth in occupancy, as well as 4 per cent higher average daily rates.

CLI noted that North Asia, excluding China, performed “strongly” with a 14 per cent growth in RevPAU.

RevPAU in the Middle East, Turkey, India and Singapore also exceeded pre-Covid levels.

Europe experienced a five percentage-point drop in occupancy as certain properties were under renovation. RevPAU for this market nonetheless remained “healthy” at 109 per cent of pre-Covid levels, said the real estate investment manager.

CLI said that while it witnessed solid performance and market fundamentals in the growth hotspots of Singapore and India, other markets “showed varied prospects”.

China remained challenged, observed the group, adding that this market was “navigating macroeconomic weakness but seeing turnaround signs”. 

As at Apr 25, 2024, the group achieved funds under management of S$100 billion.

It aims to grow this figure to S$200 billion in the next five years on the back of organic expansion and strategic inorganic initiatives, such as the selective pursuit of bolt-on or transformative mergers and acquisitions.

Shares of CLI ended S$0.01 or 0.4 per cent higher at S$2.64 on Friday.