62 | CapitaLand Limited Annual Report 2014
Performance Overview
CapitaMalls Asia’s revenue saw a sharp improvement
of 83.8% to S$1,177.7 million, mainly driven by revenue
from its proportionate share of revenue from the sale
of Westgate Tower and higher rental revenue from its
shopping malls in Singapore and China.
Ascott’s revenue grew by 7.6% to S$682.9 million, mainly
due to contribution from newly acquired properties in
China and Japan as well as newly opened properties in
Europe.
Corporate and Others include Corporate Ofmce,
Surbana, StorHub, Financial Services and other
businesses in 7ietnam, Japan and Gulf Cooperation
Council countries. Revenue from Corporate and Others
increased to S$184.9 million and this came mainly
from our development projects in 7ietnam where sales
were higher on the improved economic sentiment and
completion of a development project in Japan.
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The Group achieved EBIT from continuing operations of
S$2.4 billion which was 7.9% higher than FY 2013’s EBIT
of S$2.3 billion.
The details of the Group’s EBIT are as follows
FY 2014
FY 2013
Restated
S$
PLOOLRQ %
S$
PLOOLRQ %
Operating promts
1,716.4 71 1,402.2 62
Portfolio (losses)/gains
(17.7) (1)
102.0
4
Revaluation gains
904.5 37
849.3 38
Impairments
(166.3) (7)
(94.9) (4)
EBIT from continuing
operations
2,436.9 100 2,258.6 100
Operating promts in FY 2014 were higher by 22.4% at
S$1,716.4million; driven by promt from the sale of Westgate
Tower, higher contribution from the shopping mall
business in Singapore and China, higher development
promts in China and 7ietnam and lower losses incurred on
re-purchase of convertible bonds.
At the EBIT level, the Group recognised a net divestment
loss of S$17.7 million as compared to a gain of
S$102.0 million in FY 2013. The divestment loss in
FY 2014 arose mainly from the sale of LOMA IT Park in
India. The Group also divested its remaining 39.1% stake
in Australand at a gain of S$12.9 million, which has been
accounted for under promt from discontinued operation.
In terms of revaluation gains, the Group recorded a net
fair value gain of S$904.5 million at the EBIT level as
compared to S$849.3 million in FY 2013. The fair value
gains from investment properties in Singapore, Malaysia
and Japan were higher, but this was partially offset by
lower fair value gains from investment properties in China,
Europe and Australia. The Group also recorded higher
impairment charges in FY 2014, mainly in respect of the
residential projects in Singapore as the market conditions
remain challenging with private residential demand and
pricing expected to further moderate in 2015.
Singapore and China markets remain the key
contributors to EBIT, accounting for 83.5% of
total EBIT (FY 2013 85.1%). Singapore EBIT was
S$1,284.6 million or 52.7% while China EBIT was
S$751.2 million or 30.8%. In terms of EBIT contribution
by asset classes, approximately 74.4% of the Group’s
EBIT came from its investment properties portfolio which
is recurring in nature.
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