2023 ‘unusually difficult year’, but CLI’s CEO is ‘confident’ about what is to come
The year 2023 has been “abnormally difficult”, said Capitaland Investment’s (CLI) team chief executive officer Lee Chee Koon in a New Year message to employee. Despite doing the job “very quite hard” and continuing to be clear and focused on the team’s targets, CLI will encounter asset value reductions for the FY2023 concluded Dec 31, 2023, across the different markets it is managing in.
Stocks in CLI closed at $3.16 on Dec 29, 2023.
In addition to his message, Lee pointed out a number of geopolitical and economic headwinds including the ongoing Russia-Ukraine battle and the unraveling dilemma in the Middle East that will impact on the way the team can relocate and develop.
” We should be ready to switch this into our advantage. Currently, we are observing some interesting opportunities arise which would certainly not have been available when times were excellent,” he proceeded. “The secret is never to lose a situation. We will remain to make sure we have the balance sheet and stand prepared to make bold transfer to carry a step change to our services. We will focus on meeting the demands of our clients and in so doing, we are going to develop a base of recurring fee income and strong business value according to our vision to be the preferred worldwide legitimate possession manager creating favorable sustainable influence.”
That said, Lee states he stays positive about the future, as he sees “amazing chances for growth in each of our business verticals”, particularly in Asia Pacific.
On Dec 8, 2023, CLI announced that it assumes reasonable value losses on its profile of financial investment real properties, mainly attributable to the investment real estates in China, Australia, Europe, the UK and the United States. The fair worth decreases are non-cash in nature and arose mostly as a result of higher capitalisation prices and weaker market sentiments, claimed the team.
” Although these losses might be non-cash in nature, they will certainly still affect CLI’s full-year outputs. This is although that our underlying operating productivity continues to be resilient and our business units remain to place highly for the future. Our operating earnings additionally remains strong, steered by our rate revenue, and we are relocating the right direction,” said Lee.
Therefore, CLI anticipates to disclose a considerable decrease in its overall patmi for FY2023 on a y-o-y basis.
He includes that he is “of the sight that several companies could deal to navigate a constantly high interest rate atmosphere and a politically divided environment.”
