CapitaLand India Trust (CLINT) 1H FY2025 DPU Up 9% YoY: Key Highlights & Financial Performance

CapitaLand India Trust (CLINT) 1H FY2025 Analysis: DPU Increase of 9%

Date: 30 July 2025

Reporting Period: First Half of Financial Year 2025 (1H FY2025)

Business Description

CapitaLand India Trust (CLINT) is a real estate investment trust (REIT) focused on owning income-producing real estate, primarily business space, in India. [[3]] CLINT’s portfolio includes IT business parks, industrial facilities, a logistics park, and data center developments. [[3]] They operate across key Indian cities like Bangalore, Chennai, Hyderabad, Pune, and Mumbai. [[3]] CLINT aims to capitalize on the growing IT industry and logistics/industrial asset classes in India and is diversifying into data centers. [[3]]

Financial Performance Analysis

Income Statement Highlights (INR million) [[1]]

Total Property Income: Increased by 14% year-on-year (y-o-y) to INR 9,625 million.
Net Property Income (NPI): Increased by 14% y-o-y to INR 7,322 million.
Income Available for Distribution: Increased by 15% y-o-y to INR 3,843 million.
Income to be Distributed: Increased by 15% y-o-y to INR 3,458 million.

Income Statement Highlights (SGD million) [[1]]

Total Property Income: Increased by 10% year-on-year (y-o-y) to SGD 149.3 million.
Net Property Income (NPI): Increased by 10% y-o-y to SGD 113.6 million.
Income Available for Distribution: Increased by 10% y-o-y to SGD 59.6 million.
Income to be Distributed: Increased by 10% y-o-y to SGD 53.6 million.

Key Financial Metrics

Distribution Per Unit (DPU): Increased by 9% y-o-y to 3.97 Singapore cents. [[1], [2]]
Portfolio Occupancy: 90% as at 30 June 2025. [[2]]
Portfolio Rental Reversions: Positive rental reversions of 9%. [[2]]
Gearing: 42.3% as at 30 June 2025, reduced to 40.1% pro forma after issuance of subordinated perpetual securities. [[2]]

Key Strengths

DPU Growth: A significant 9% increase in DPU indicates strong performance and value creation for unitholders. [[1], [2]]
NPI Growth: 14% increase in net property income shows efficient property management and strong demand. [[1], [2]]
High Occupancy: 90% occupancy rate demonstrates the attractiveness and stability of CLINT’s properties. [[2]]
Positive Rental Reversions: Achieving 9% positive rental reversions suggests strong rental demand and pricing power. [[2]]
Strategic Acquisitions: Acquisitions like aVance II in Pune and Building Q2 in Mumbai are contributing to income. [[2]]
Data Center Development: Progress in data center development provides a future growth avenue. [[2], [3]]
Active Portfolio Management: CLINT is actively divesting assets to unlock value and reduce debt. [[2]]

Key Considerations/Risks

Gearing Ratio: While the gearing ratio is managed, it’s essential to monitor debt levels, although the report mentions active debt management. [[2]]
Operating Expenses: The report mentions NPI increase was partially offset by higher operating expenses. [[2]]
Forward-Looking Statements: The report contains forward-looking statements subject to risks and uncertainties. [[4]]

Strategic Initiatives

Data Center Focus: Long-term agreement signed with a global hyperscaler for a data center. [[3]]
Expansion in Bangalore: Forward purchase agreement for an office development to increase Bangalore portfolio. [[3]]
Divestment Plans: Actively engaging potential buyers to divest some assets, including partial stakes in data centers. [[2]]

Investment Recommendation

Based on the provided information, CLINT demonstrates strong financial performance with significant growth in DPU and NPI. Strategic initiatives in data centers and portfolio management suggest a forward-looking approach.

For Current Holders:

Recommendation: Hold. The positive financial performance, particularly the increase in DPU, and strategic initiatives support maintaining the current position. The company is actively managing its portfolio and pursuing growth opportunities.

For Potential Investors:

Recommendation: Consider Investing. CLINT presents a compelling investment opportunity due to its strong financial results, high occupancy rates, and strategic growth plans in the promising Indian real estate market. However, potential investors should carefully evaluate their risk tolerance and conduct thorough due diligence.

Disclaimer: This analysis and the recommendations are based solely on the provided document and are for informational purposes only. It does not constitute financial advice. Investors should conduct their own independent research and consult with a qualified financial advisor before making any investment decisions. Investment in REITs involves risks, including market volatility and potential loss of principal.