Sunway City Kuala Lumpur, 18 August 2022 – Sunway REIT reported a set of strong financial performance for the quarter ended 30 June 2022. Revenue rose 39.8% year-on-year (y-o-y) to RM144.5 million in 2Q 2022, underpinned by strong performance from the Retail segment.
Net property income (NPI) surged 71.4% y-o-y to RM106.9 million in 2Q 2022, from RM62.3 million in the same quarter of the preceding year.
For the quarter under review, revenue for the Retail segment soared 73.0% y-o-y to RM101.4 million, boosted by improved performance across retail properties, particularly our flagship Sunway Pyramid Mall.
Retail footfall and tenants’ retail sales in the quarter under review were boosted by festive spending in conjunction with Hari Raya celebration and relaxation of COVID-19 safety measures as the nation transitioning into the endemic phase.
NPI increased at a higher quantum, from RM25.5 million in 4Q FP2021 to RM71.6 million in 2Q 2022, representing an increase of 180.5% y-o-y, largely due to the increase in revenue and the recovery of doubtful debts as a result of continued improvement in rental collection in the current quarter.
Dato’ Jeffrey Ng, Chief Executive Officer of the Manager, says the company posted a set of strong financial performance in the current quarter.
"The Retail segment continues to demonstrate strong growth during the quarter and it is encouraging that tenants’ retail sales have surpassed the pre-pandemic level in 2019. In line with the improved financial performance and cash flows, we are confident that Sunway REIT is able to maintain a distribution payout of 95% in 2022.”
“Sunway REIT maintains an optimistic outlook for 2H 2022, supported by strong growth in the Retail segment, gradual recovery in the Hotel segment, new income contribution from the new wing of Sunway Carnival Mall and resumption of income contribution from phased re-opening of our transformed flagship Sunway Resort.
"The resort is well positioned to capitalise on the anticipated gradual return of foreign tourists. All these upsides in revenue contributions are expected to cushion off the anticipated rise in interest rate."