The unaudited condensed consolidated statement of profit or loss and other comprehensive income should be read in conjunction with the accompanying explanatory notes attached to the interim financial statements and the audited financial statements for the year ended 31 December 2022.

The unaudited condensed consolidated statement of financial position should be read in conjunction with the accompanying explanatory notes attached to the interim financial statements and the audited financial statements for the year ended 31 December 2022.

Quarter Results (4Q 2023 vs 4Q 2022)

The Group recorded gross revenue of RM108.5 million in 4Q 2023, an increase of RM39.6 million or 57.5% against 4Q 2022. The significant increase in gross revenue was mainly due to contribution from Queensbay Mall (QBM) post completion of its acquisition in 1Q 2023. Most of the other malls within CLMT portfolio reported an improvement in gross revenue as a result of higher occupancy and positive rental reversions.

Property operating expenses for 4Q 2023 were RM45.5 million, an increase of RM17.4 million or 61.9% against 4Q 2022. A significant portion of the increase was due to the addition of QBM post completion of acquisition in 1Q 2023 and the remaining was largely due to higher electricity surcharge of 17 sen effective from 1 July 2023 to 31 December 2023, against 3.7 sen for 4Q 2022 and higher marketing expenses on the back of higher mall activities.

Net property income (NPI) for 4Q 2023 was RM63.0 million, an increase of RM22.2 million or 54.4% against 4Q 2022 of RM40.8 million.

Net fair value gains of RM63.1 million were recognised during the quarter upon the annual revaluation of investment properties.

Other non-operating income of RM2.0 million comprised scheduled compensation income received pursuant to the termination of the previous easement agreement in relation to the car park area between SWP and Bukit Bintang Plaza and gain from divestment of 3 Damansara Office Tower (3DOT).

Finance costs for 4Q 2023 of RM24.1 million was higher than 4Q 2022 as the Group's borrowings have increased by RM768.9 million to part finance the acquisition of QBM. The Group's borrowings were also subjected to higher interest costs as a result of the Overnight Policy Rate (OPR) hikes. The average cost of debt was 4.29% p.a. for this quarter against 4Q 2022 of 3.45% p.a.

Overall, distributable income to Unitholders for 4Q 2023 was RM32.7 million, an increase of RM9.5 million or 40.8% as compared to 4Q 2022 due to the abovementioned factors.

Financial Year-to-date Results (YTD 2023 vs YTD 2022)

The Group recorded gross revenue of RM395.4 million, an increase of RM119.6 million or 43.4% against last year. The increase was mainly due to contribution from QBM which was acquired in March 2023. Most of the other malls within CLMT portfolio reported an improvement in gross revenue as a result of higher occupancy and positive rental reversions.

Property operating expenses for YTD 2023 were RM178.0 million, an increase of RM54.7 million or 44.3% against last year mainly due to (i) operating expenses of QBM (ii) higher electricity surcharge of 20 sen for 1H 2023 and subsequently reduced to 17 sen for 2H 2023 (1 February to 31 December 2022: 3.7 sen), (iii) higher service charges, (iv) higher marketing expenses on the back of higher mall activities and (v) writeback of doubtful debts provision in the previous financial year has also tapered off for the current year.

The NPI for YTD 2023 of RM217.4 million was RM64.9 million or 42.6% higher than YTD 2022 NPI of RM152.5 million.

Net fair value gain of RM55.1 million was recognised during the year upon the annual revaluation of investment properties.

Other non-operating income of RM3.6 million comprised scheduled compensation income received pursuant to the termination of the previous easement agreement in relation to the car park area between SWP and Bukit Bintang Plaza and gain from divestment of 3DOT.

Finance costs for YTD 2023 of RM84.8 million were RM38.3 million or 82.3% higher than YTD 2022 as the Group has obtained additional borrowings to part finance the acquisitions of QBM, Valdor Logistics Hub and Glenmarie Distribution Centre. Floating rate borrowings were subjected to higher interest rate due to the cumulative OPR hikes of 125 basis points since May 2022. Additionally, certain fixed rate loans which were due for refixing during the year were refixed at higher rates, reflecting the effect of OPR hikes. The YTD average costs of debt was 4.07% p.a. (YTD 2022: 3.24% p.a.).

Overall, distributable income to Unitholders for the financial year was RM109.8 million, an increase of RM22.3 million or 25.5% against YTD 2022 due to the abovementioned factors.