CapitaLand Commercial Trust announced unaudited group and trust earnings results for the third quarter and nine months ended September 30, 2017. For the quarter, on group basis, the company reported gross rental income of SGD 68,848,000 against SGD 68,264,000 a year ago. Gross revenue was SGD 74,145,000 against SGD 74,422,000 a year ago. Net property income was SGD 58,555,000 against SGD 57,028,000 a year ago. Net income before share of profit of joint ventures was SGD 42,670,000 against SGD 32,000,000 a year ago. Net income was SGD 66,158,000 against SGD 54,158,000 a year ago. Total return for the period before tax was SGD 158,830,000 against SGD 51,596,000 a year ago. Total return for the period after tax was SGD 158,632,000 against SGD 51,431,000 a year ago. Net cash from operating activities was SGD 27,595,000 against SGD 14,312,000 a year ago. Capital expenditure on investment properties was SGD 1,015,000. Diluted earnings per unit were 4.42 cents against 1.48 cents a year ago. The decrease in gross revenue was mainly due to divestments of One George Street, Wilkie Edge and Golden Shoe Car Park. Net property income rose as compared to the same period a year ago, largely due to lower operating expenses such as property tax that offset the lower revenue.

For the quarter, on trust basis, the company reported gross rental income of SGD 47,164,000 against SGD 61,599,000 a year ago. Gross revenue was SGD 51,201,000 against SGD 67,429,000 a year ago. Net property income was SGD 40,822,000 against SGD 51,679,000 a year ago. Net income before share of profit of joint ventures was SGD 71,098,000 against SGD 56,784,000 a year ago. Net income was SGD 71,098,000 against SGD 56,784,000 a year ago. Total return for the period before tax was SGD 163,770,000 against SGD 56,784,000 a year ago. Total return for the period after tax was SGD 163,572,000 against SGD 56,547,000 a year ago. Diluted earnings per unit were 4.56 cents against 1.62 cents a year ago.

For the nine months, on group basis, the company reported gross rental income of SGD 232,432,000 against SGD 190,945,000 a year ago. Gross revenue was SGD 251,165,000 against SGD 208,851,000 a year ago. Net property income was SGD 197,513,000 against SGD 160,507,000 a year ago. Net income before share of profit of joint ventures was SGD 134,040,000 against SGD 112,037,000 a year ago. Net income was SGD 203,359,000 against SGD 190,347,000 a year ago. Total return for the period before tax was SGD 545,479,000 against SGD 187,512,000 a year ago. Total return for the period after tax was SGD 544,967,000 against SGD 187,121,000 a year ago. Net cash generated from operating activities was SGD 139,322,000 against SGD 111,721,000 a year ago. Capital expenditure on investment properties was SGD 4,138,000 against SGD 2,234,000 a year ago. Purchase of plant and equipment was SGD 261,000 against SGD 197,000 a year ago. Diluted earnings per unit were 15.46 cents against 5.35 cents a year ago. Net asset value per unit as on September 30, 2017 was SGD 1.84. Adjusted net asset value per unit as on September 30, 2017 was SGD 1.82. The increase in gross revenue was primary due to consolidation of MSO Trust's gross revenue. Net property income was higher than the same period last year largely due to higher revenue.

For the nine months, on trust basis, the company reported gross rental income of SGD 168,556,000 against SGD 184,280,000 a year ago. Gross revenue was SGD 184,048,000 against SGD 201,858,000 a year ago. Net property income was SGD 144,604,000 against SGD 155,158,000 a year ago. Net income before share of profit of joint ventures was SGD 224,556,000 against SGD 182,697,000 a year ago. Net income was SGD 224,556,000 against SGD 182,697,000 a year ago. Total return for the period before tax was SGD 551,831,000 against SGD 182,424,000 a year ago. Total return for the period after tax was SGD 551,321,000 against SGD 181,963,000 a year ago. Diluted earnings per unit were 15.64 cents against 5.20 cents a year ago. Net asset value per unit as on September 30, 2017 was SGD 1.69. Adjusted net asset value per unit as on September 30, 2017 was SGD 1.67.

Based on data from CBRE Pte. Ltd., Singapore's Core CBD occupancy rate eased to 92.5% while that of the Grade A office saw a dip by 3.9% to 91.6% as at 30 September 2017. Average monthly market rent for Grade A offices rose 1.7% to SGD 9.10 per square foot in third quarter of 2017, an indication that the market rents may have bottomed out. This rise in market rent is ahead of most property consultants' projections in the beginning of the year. However, lower net property income is expected in fiscal year 2018 at select properties in CCT's current portfolio due to flow-through of negative rent reversions of leases committed in 2017 and potentially continued negative rent reversions in 2018.