Frasers Hospitality Trust's net property income up 3.1% to $31.45m in Q4
Gross profit from its Australian portfolio rose by 4.9%.
Frasers Hospitality Trust's (FHT) net property income inched up 3.1% YoY from $30.52m to $31.45m in Q4.
According to its financial results, distributable income slightly rose 0.2% to $24.45m, whilst distribution per unit (DPU) dipped from 1.33 cents to 1.31 cents.
FHT's Australia portfolio recorded a 3.7% and 4.9% increase in gross operating revenue (GOR) and gross operating profit (GOP) respectively, with Novotel Melbourne on Collins being the key contributor to the growth.
Due to the renovation at Novotel Rockford Darling Harbour, which has been renamed Novotel Sydney Darling Square (NSDS) since 1 January 2018, revenue per available room (RevPAR) for the portfolio declined 1.8% YoY.
Excluding NSDS, RevPAR for the Sydney properties and Novotel Melbourne on Collins improved YoY by 1% and 6.1% respectively. Both cities continued to benefit from busy events calendars, with Sydney in particular benefitting from the opening of the International Convention Centre.
The Singapore portfolio reported GOR and GOP growth of 1.7% and 4.5% respectively in 1Q FY2018. InterContinental Singapore achieved higher RevPAR on the back of average daily rate (ADR) and occupancy gains as well as higher F&B outlet revenue.
On the other hand, Fraser Suites Singapore turned in lower RevPAR due to continued downward pressure on ADR. Consequently, the portfolio ADR and RevPAR were lower YoY by 2.0% and 1.0% respectively.
GOR and GOP of the UK portfolio declined 1.1% and 4% respectively due to overall weaker room revenue as well as increase in staff costs due to higher minimum wage rates.
"Pressure on GOP is expected to persist with the anticipation of further increase in minimum wage rates," the trust said.
Meanwhile, ANA Crowne Plaza Kobe reported GOR and GOP growth of 2.9% and 6.2% YoY on the back of better banquet performance due to more events being held at the hotel.
FHT commented, "Apart from continuing to drive room revenue, the hotel remains focused on increasing revenue from local and international conferences and events."
The RevPAR of The Westin Kuala Lumpur was lower than a year ago due to softer corporate demand. However, stronger banquet performance led to higher F&B revenue and consequently, GOR and GOP of the hotel increased YoY by 1.9% and 2.4% respectively.
FHT's gross revenue also rose 4.8% YoY from $39.56m to $41.45m.