Ascendas Hospitality Trust’s Q1 profits inch up 5.5% YoY to $22.6m

Thanks to robust contribution from its Japan property.

Ascendas Hospitality Trust (A-HTRUST) saw net property income (NPI) rise by 5.5% YoY to $22.6m, thanks to a robust contribution from Hotel Sunroute Osaka Namba.

According to the company's media release, gross revenue for the quarter dipped by 0.8% YoY to to $52.4m, due mainly to weaker AUD and RMB against SGD. This was partly mitigated, though, by the strengthening JPY against SGD.

Meanwhile, distributable income edged up 1.6% YoY to $14.5m, thanks to increased NPI but partly offset by realised loss in relation to currency forward contracts. Further, DPS improved marginally by 0.8% YoY to 1.29 S cents.

Moreover, hotels in A-HTRUST's Australia portfolio saw improved performance YoY, except for Courtyard by Marriott North Ryde, and Pullman and Mercure Brisbane King George Square. Average occupancy dipped 0.5 percentage point (pp) YoY to 81.3%, while average daily rate (ADR) inched up 2.4% YoY to AUD 168. Revenue per available room (RevPAR) in Q1 saw a 1.7% YoY uptick to AUD 137.

Hotels in China also posted better performance in Q1, as overall RevPAR edged up 2.9% YoY, thanks to the successful execution of volume strategy for Novotel Beijing Sanyuan in driving occupancy. ADR slipped 1.7% YoY to RMB412, while average occupancy rate inched up 3.6 pp YoY to 86.5%.

The company's Japan portfolio saw NPI for the quarter jump 22.3% YoY in JPY terms.