CDL forecasts weaker second-half results as asset sales slip
The Singapore developer expects some disposals to move into fiscal 2027 and says a portfolio review could lead to impairment losses.
Singapore developer City Developments Ltd (CDL) expects its financial performance for the second half of 2026 to weaken significantly, citing delayed asset disposals, currency pressures and potential property impairments.
Several transactions intended to release capital by the end of fiscal 2026 are now likely to be completed in fiscal 2027, CDL said in its third-quarter business update, according to The Edge Singapore. In the second half of 2025, the company recorded a S$473.1 million gain from disposing of its South Beach Consortium stake.
CDL said exchange-rate movements, particularly the Korean won’s appreciation against the Singapore dollar since July, would also weigh on performance. Its review of property valuations could result in impairment losses, while its Chinese office assets faced difficult market conditions as of Sept. 30.
The company announced in late September that it planned S$6 billion in divestments by fiscal 2029 to cut debt and free up capital, The Business Times reported. CDL said it had no material concerns about meeting near-term debt obligations.
Separately, CDL and its joint-venture associates recorded Singapore sales of 124 units totalling S$322.6 million in the third quarter, against 88 units valued at S$313.2 million a year earlier. With no launches during the quarter, existing developments accounted for most sales.
