CDL Hospitality Trusts 2Q distributable income dips 6.4%

CDL Hospitality Trusts reported a dip in second quarter results, on the back of lower revenue from its Singapore Hotels.

Income available for distribution fell 6.4 per cent to $29.4 million for the three months to Jun 30, from $31.4 million a year ago.

Net property income came in at $32.6 million, down 4.4 per cent from the corresponding period a year ago.

Revenue for the same period was also down 2.9 per cent to $35.6 million.

CDL Hospitality Trusts - comprising CDL Hospitality Real Estate Investment Trust and CDL Hospitality Business Trust - said that revenue was dragged down by economic uncertainty, causing corporate demand to fall during the period.

Distribution per stapled security fell to 2.72 cents from 2.92 cents in the second quarter last year.

The Reit added the increased supply of new hotel rooms in Singapore and lower average room rates also contributed to the fall in revenue.

"The competitive landscape is expected to continue impacting the performance of CDL Hospitality Trust's Singapore Hotels for the rest of 2013," it said.