CDL reports 3.9% rise in Patmi in 1H2025 with special dividend of 3 cents
As of June 30 the Group kept cash reserves of $1.8 billion and cash and available undrawn dedicated bank centers totalling $3.5 billion. After factoring in fair value on investment estates, the Group’s net gearing proportion ranks at 70% (FY 2024: 69%). Average borrowing costs reduced to 4.0% for 1H2025 (FY2024: 4.4%) following rate cuts across the numerous jurisdictions. For 1H2025, the Board has announced a special interim reward of 3.0 cents per normal share.
City Developments (CDL) announced a 3.9% surge in Patmi to $91.2 million in 1H2025, for the 6 months to June 30. Revenue rose to $1.7 billion in 1H2025, up from $1.6 billion a year ago.
CDL’s NAV as of 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.
The rise in revenue and final profit were generated by improved efficiency in the property growth section, with full revenue acknowledgment from its completely marketed joint venture (JV) Executive Condominium (EC) venture, Copen Grand, complying with its finish in April 2025, and various other contributing jobs consisting of The Myst, Norwood Grand, along with JV plans CanningHill Piers, Tembusu Grand, The Orie and Kassia.
The financial investment properties segment reported stable profits with a 0.4% rise, supported by greater contributions from Republic Plaza, Jungceylon Shopping Center, City Square Mall and the living sector projects in the UK and Japan, countered by lower payments from the Group’s UK commercial properties.
The Group’s performance was adversely impacted by net foreign exchange losses of $63.1 million in 1H2025 compared to a net foreign exchange gain of $51.3 million in 1H2024. Excluding these exchange effects, the Group’s Patmi would have leapt 322.7% to $154.3 million. The devaluation of the US bill noticeably impacted the Group, primarily due to USD-denominated intercompany loans expanded to fund previous United States accommodation acquisitions and operating funding requirements. This net forex loss, paired with weak efficiency from the hotel operations sector, led to this section reporting a loss for 1H2025.
Year-to-date, more than $1.5 billion in obtained divestments has been achieved. The anticipated finalization 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 property development segment stayed the biggest revenue factor with a 24.3% boost, steered by Singapore plans including The Myst, Norwood Grand and Union Square Residences, as well as the divestment of the Ransome’s Wharf website in London’s Battersea area and the sale of the office element of Suzhou Hong Leong City Center in China.
Reduced pre-tax revenue of $139.9 million in 1H2025 was mainly due to a $63.1 million net forex loss and reduced divestment acquires. Omitting the exchange loss, 1H2025 pre-tax profit would certainly have increased by 95.0% on a like-for-like basis. Patmi climbed because of a reduced tax charge compared to the past year.
The hotel operations segment disclosed a pre-tax loss of $84.4 million in 1H2025, mostly because of a net forex loss from the depreciation of the USD, inflationary cost stress and weaker performance in key industry like Singapore and the US.
