CDL reports 3.9% rise in Patmi in 1H2025 with special dividend of 3 cents
Reduced pre-tax profit of $139.9 million in 1H2025 was mainly because of a $63.1 million net fx loss and decreased divestment gains. Leaving out the exchange loss, 1H2025 pre-tax profit would certainly have raised by 95.0% on a like-for-like basis. Patmi increased due to a reduced tax charge contrasted to the former year.
The Group’s performance was adversely affected by net foreign exchange declines of $63.1 million in 1H2025 compared to a net foreign exchange increase of $51.3 million in 1H2024. Excluding these exchange effects, the Team’s Patmi would have leapt 322.7% to $154.3 million. The depreciation of the US bill noticeably impacted the Group, primarily due to USD-denominated intercompany loans extended to fund previous US accommodation purchases and operating funding requirements. This net forex loss, paired with weak performance from the hotel operations sector, led to this section reporting a loss for 1H2025.
The property development section continued to be the biggest revenue factor with a 24.3% boost, generated by Singapore projects including The Myst, Norwood Grand and Union Square Residences, along with the divestment of the Ransome’s Wharf site in London’s Battersea location and the sale of the office part of Suzhou Hong Leong City Center in China.
CDL’s NAV since June 30 was $10.10, down seven cents since Dec 31, 2024. Its share price shut at $6.35 on Aug 12, up 24% this year.
Year-to-date, more than $1.5 billion in acquired divestments has been obtained. The anticipated fulfillment of the sale of the Group’s 50.1% stake in the South Beach mixed-use development, with divestment gains of $465 million, is in 3Q2025.
The growth in return and net earnings were generated by improved efficiency in the real property advancement sector, with complete earnings recognition from its totally sold joint venture (JV) Exec Condominium (EC) project, Copen Grand, following its finalization in April 2025, and other contributing projects including The Myst, Norwood Grand, as well as JV plans CanningHill Piers, Tembusu Grand, The Orie and Kassia.
The financial investment properties segment recorded secure earnings with a 0.4% rise, supported by higher contributions from Republic Plaza, Jungceylon Shopping Center, City Square Mall and the living industry projects in the UK and Japan, countered by lower contributions from the Group’s UK commercial estates.
City Developments (CDL) announced a 3.9% surge in Patmi to $91.2 million in 1H2025, for the 6 months to June 30. Income rose to $1.7 billion in 1H2025, up from $1.6 billion a year ago.
The hotel operations segment reported a pre-tax loss of $84.4 million in 1H2025, largely as a result of a net foreign exchange decrease from the devaluation of the USD, inflationary cost stress and weak performance in key industry like Singapore and the US.
As of June 30 the Group kept cash reserves of $1.8 billion and cash and readily available undrawn committed financial institution centers totalling $3.5 billion. After factoring in fair value on investment estates, the Group’s net gearing proportion stands at 70% (FY 2024: 69%). Average borrowing costs reduced to 4.0% for 1H2025 (FY2024: 4.4%) following price cuts across the various jurisdictions. For 1H2025, the Board has announced a special interim returns of 3.0 cents per common share.
