Page 8 - ar2011

6 CDL Hospitality Trusts
chairman’s statement
Signifcant Growth in Revenue and Operating
Performance
Gross revenue increased 15.4% from the corresponding period
in 2010 (“FY 2010 ”) to S$141.1 million.
The improved operating performance was largely due to organic
growth of the Singapore Hotels, a full year’s contribution from
the Australia Hotels and revenue contribution from the newly-
acquired Studio M Hotel. Singapore’s hospitality market grew
in 2011, with visitor arrivals increasing by 13.1% year-on-year
to 13.2 million. On the back of this increase, performance
across the Singapore Hotels improved. The Singapore Hotels
continued to register steady growth despite an increase in
hotel room supply in Singapore and room nights being taken
out of Orchard Hotel’s and Novotel Clarke Quay’s inventory
during the year for refurbishment. The average occupancy
rate of the Singapore Hotels remained high at 88%. The
average daily rate and revenue per available room rate for
the Singapore Hotels (excluding Studio M Hotel) rose 7.6%
to S$232 and 6.9% to S$204 respectively in FY 2011.
CDLHT’s hotels in Brisbane and Perth also continued to
perform strongly in 2011, bolstered by Australia’s buoyant
natural resource sector and static supply of hotel rooms.
Addition of Studio M Hotel to CDLHT’s
Investment Portfolio
The successful acquisition of Studio M Hotel in May 2011
enlarged CDLHT’s portfolio to 12 hotels with 4,305 rooms,
thereby enhancing its revenue base.
On behalf of the Board of Directors of the H-REIT Manager and the HBT Trustee-Manager, I am
pleased to present a set of healthy results for the fnancial year ended 2011 (“ FY 2011”).
Studio MHotel is a design-oriented hotel comprising two wings
of 360 rooms and is situated in the heart of the Robertson
Quay entertainment precinct. Since its acquisition, Studio
M Hotel has performed well, contributing S$7.3 million to
gross revenue in 2011.
Increased Returns to Holders of the Stapled
Securities (“Security Holders”)
In line with the improved operating results, income available
for distribution (before deducting income retained for working
capital) increased 17.4% from S$100.7 million in 2010 to
S$118.1 million (1) in 2011. Income distributed per Stapled
Security (after deducting income retained for working capital)
was 11.05 cents, 8.3% higher than 2010’s 10.20 cents.
Positioned for Further Growth
CDLHT completed several asset enhancement initiatives in
2011 to position its assets for future growth going forward.
At the 331-room Claymore Wing at Orchard Hotel, common
areas, guest rooms, meeting rooms and the Executive Club
Lounge were refurbished. At the 401-room Novotel Clarke
Quay, refurbishment of the bathrooms (together with minor
touch-ups to the guest rooms) for 357 guest rooms was
completed in 2011. The equivalent refurbishment for the
remaining 44 rooms was completed in mid-January 2012. The
Premier Lounge in Novotel Clarke Quay was also revamped in
(1) Includes a property tax refund from IRAS of S$3.3 million.