CapitaLand Malaysia Mall Trust | Annual Report 2020

FINANCIAL REVIEW GROSS REVENUE Gross revenue for FY 2020 of RM261.4 million was RM80.9 million or 23.6% lower than FY 2019. The decrease was largely due to slower retail activities amidst the various movement control orders (MCOs) which continue to be enforced at the date of this report. During the MCOs, tenants which are not categorised as essential services (Affected Tenants) were not allowed to operate their businesses. To alleviate the burden of Affected Tenants, CMMT had committed up to RM35.0 million of rental relief to support the Affected Tenants, the relief given was deducted against gross revenue. In addition, CMMT had passed on the full 15% discount on electricity to mall tenants in response to the stimulus package as announced by the Malaysian Government. The decrease in gross revenue was partially mitigated with the revenue contribution from JUMPA@Sungei Wang following the completion of asset enhancement initiative in September 2019 and the successful launch of Gurney Food Hall at Gurney Plaza in October 2020. Gross Revenue by Property FY 2020 RM’000 FY 2019 RM’000 Change (%) Gurney Plaza 121,423 152,488 (20.4) East Coast Mall 49,483 63,906 (22.6) Sungei Wang Plaza 20,094 25,409 (20.9) 3 Damansara Property 29,299 43,483 (32.6) The Mines 41,100 56,990 (27.9) Total 261,399 342,276 (23.6) NET PROPERTY INCOME Net property income (NPI) for FY 2020 of RM133.5 million was RM68.6 million, or 33.9%, lower than FY 2019. The decrease was a result of the abovementioned decrease in gross revenue, which translated into lower NPI for CMMT Group. The outstation malls comprising of Gurney Plaza and East Coast Mall fared better compared with the Klang Valley malls and continue to be the main contributors to CMMT Group. The lower NPI was also exacerbated by higher provision for doubtful debts of RM5.9 million that was mainly due to slower collection which translated into higher expected credit loss from the Affected Tenants. Net Property Income by Property FY 2020 RM’000 FY 2019 RM’000 Change (%) Gurney Plaza 80,630 108,624 (25.8) East Coast Mall 30,019 42,484 (29.3) Sungei Wang Plaza (2,408) 900 (>100.0) 3 Damansara Property 8,289 20,500 (59.6) The Mines 16,971 29,612 (42.7) Total 133,501 202,120 (33.9) 38 CAPITALAND MALAYSIA MALL TRUST • ANNUAL REPORT 2020