KUALA LUMPUR (Jan 28): KLCCP Stapled Group reported a net profit of RM70.33 million for the fourth quarter ended Dec 31, 2021 (4QFY21), compared with a net loss of RM41.84 million a year prior, as its retail and hotel segments rebounded following the transition to Phase 3 and subsequently Phase 4 of the National Recovery Plan (NRP). 

The group, which comprises KLCC Property Holdings Bhd (KLCCP) and KLCC Real Estate Investment Trust (KLCC REIT), saw its revenue increase 14.3% to RM348.17 million from RM304.71 million.

The group declared a dividend of 12.6 sen per unit — comprising 6.83 sen for KLCC REIT and 5.77 sen for KLCC Property — to be paid on Feb 28, 2022. This brings total dividends to 33.6 sen for the full financial year ended Dec 31, 2021 (FY21).

KLCCP noted that its office segment remained stable, posting a marginal revenue increase of 1.83% to RM145.39 million in 4QFY21 from RM142.77 million a year prior.

“This was mainly attributed to lower finance cost and minimal impairment recorded on the Phase 3 Redevelopment of Komplek Dayabumi,” it added.

Its retail segment recorded revenue of RM119.99 million, a 21.7% increase compared to the RM98.62 million a year earlier, driven by improved footfall and tenant sales, coupled with higher advertising income.

Revenue for its hotel segment more than doubled to RM23 million from RM9.65 million a year prior as occupancy rate recovered slightly to 29% from 14.8% in 4QFY20 — as well as better performance in food and beverage as compared to the previous year's corresponding quarter. 

Its revenue for management services, which comprise facility management and car parking management services, increased by 17.26% to RM80.46 million from RM68.62 million, on the back of higher revenue from one-off work in facilities management coupled with higher car park income in line with the easing of standard operating procedures (SOPs).

For FY21, the group’s net profit grew 14.7% to RM495.85 million versus RM432.17 million in the previous year, despite a 5.5% decline in revenue to RM1.17 billion from RM1.24 billion.

Moving forward, the REIT said it expects to continue its recovery momentum in its business segments, riding on the improved consumer confidence following the country’s high vaccination coverage and the ongoing efforts in booster shot rollout.

“Whilst the directors foresee that the consumer market will still be influenced by the Covid-19 development, the directors opine that the group’s effort in maintaining the business performance and tenants’ sustainability, as well as swift response to the SOPs, has gained the consumers’ confidence in our offices, malls and hotels,” it added.

According to KLCCP CEO Shah Mahmood, the group is also looking to reset its priorities and position its growth trajectory by building on the positive outlook for REITs in 2022.

“Riding on this positive momentum, we will continue our recovery efforts and work collaboratively with our customers for mutually beneficial outcomes,” he added.

Shares in the stapled securities gained four sen to close at RM6.37, giving a market capitalisation of RM11.5 billion.