Frasers Centrepoint Trust (FCT) posted net property income of S$160.76 million for the six months ended 31 Mar 2026, up 20.2 per cent year-on-year, supported mainly by maiden contributions from the recently acquired Northpoint City South Wing and firm rental growth across its suburban malls.
Gross revenue climbed 20.3 per cent YoY to S$221.87 million. Distributions to unitholders rose 13.6 per cent to S$125.04 million, translating into a distribution per unit (DPU) of 6.136 Singapore cents, 1.4 per cent higher than the 6.054 cents declared a year earlier. The payout is scheduled for 29 May 2026.
Portfolio income benefited from a 6.5 per cent average rental reversion, committed occupancy of 99.8 per cent and shopper traffic growth of 1.8 per cent. Tenant sales gained 3.2 per cent YoY. During the half, 289,100 sq ft of leases were signed or renewed, and 48 new-to-portfolio brands were introduced across the estate, including rumeL and Pull-Tab Coffee.
Earnings were partially offset by the divestment of Yishun 10 Retail Podium and temporary income disruption from asset enhancement works at Hougang Mall. Aggregate leverage stood at 40.0 per cent as at 31 Mar 2026, while the average cost of borrowing eased to 3.2 per cent in the second quarter from 3.5 per cent in the preceding quarter. About two-thirds of total borrowings are hedged at fixed rates, and all FY26 debt has been refinanced, extending the average debt maturity to 3.92 years.
FCT is pressing ahead with growth initiatives. The asset enhancement initiative (AEI) at Hougang Mall, which has 88 per cent of space pre-committed, remains on track for completion in Sep 2026 and targets a 7 per cent return on investment. A separate AEI at NEX will begin in May 2026 to unlock additional retail and office space. Electricity costs for FY26 are fully hedged, and part of FY27 consumption is covered.
Chief executive officer Richard Ng said the first-half performance reflected the resilience of the trust’s heartland mall portfolio. He noted that proactive capital and cost management, coupled with strategic refurbishments, had underpinned earnings despite an uncertain macroeconomic backdrop. Ng added that FCT will “continue to execute its growth strategy with discipline”, focusing on portfolio optimisation, selective acquisitions and community engagement to sustain footfall and tenant sales.
The manager expects Singapore’s suburban retail market to remain supported by population growth, rising household incomes and limited new supply, although it will monitor economic conditions closely. Ongoing plans include repositioning Causeway Point as a regional retail hub and exploring partnerships, such as a financing scheme with CIMB Singapore, to bolster tenant resilience.
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