Financial Review LOANS Secured 64.5% Unsecured 35.5% BORROWINGS Floating 96.9% Fixed 3.1% Loans and Borrowings FY2024 Plots 3 and 4 of Perennial Xi’an North HSR International Healthcare and Business City and Beijing Tongzhou Integrated Development Phase 1 in China, as well as Perennial Business City and Capitol Singapore (excluding Eden Residences Capitol) in Singapore. Perennial Holdings’ investment in associated companies and joint ventures includes investments in Shenyang Longemont Shopping Mall, Shenyang Super Outlet+ Mall, Shenyang Longemont Offices, Hangzhou West HSR Integrated Development, Plot D2 of Chengdu East HSR Integrated Development and Beijing Tongzhou Integrated Development Phase 2, all of which are in China; The Skywaters, Golden Mile Singapore, CHIJMES, Caldecott Hill and Forett at Bukit Timah in Singapore; The Light City in Penang, Malaysia; The Sanctuary Collection in Greater Jakarta, Indonesia; investments in eldercare management services through Shanghai Renshoutang Eldercare Group and investments in Parry Assisted Living Care in Singapore. Projects held by Perennial HC Holdings Pte Ltd, a joint venture led by Perennial Holdings, include Perennial Tianjin South HSR International Healthcare and Business City and Perennial Kunming South HSR International Healthcare and Business City. The joint venture invests in, acquires and develops large-scale healthcarecentric transit-oriented developments in close proximity or seamlessly connected to major transportation hubs, such as HSR stations in China. Development properties comprised mainly Plot 5 of Perennial Xi’an North HSR International Healthcare and Business City, Plot 13 of Beijing Tongzhou Integrated Development Phase 1, and Eden Residences Capitol. SHAREHOLDERS’ EQUITY Perennial Holdings’ reserves comprise revenue reserves, capital reserves, foreign currency translation reserves and other reserves such as non-reciprocal capital contribution from immediate holding company and statutory reserves. There is recognition of nonreciprocal capital contribution from immediate holding company due to reclassification of loan. The decrease in foreign currency translation reserves was mainly attributable to the depreciation of RMB against the Singapore Dollar (“SGD”) by 1.4% for the 12-month period. LOANS AND BORROWINGS As at 31 December 2024, Perennial Holdings' gross borrowings stood at S$3.2 billion. The net borrowings were S$3.1 billion after taking into account the cash and cash equivalents of approximately S$0.1 billion. The net debt-equity ratio was 0.71 times as at 31 December 2024 (31 December 2023: 0.74 times), primarily driven by the repayment of bank facilities offset by an increase in drawdown of loans to finance project development. 64.5% of total debt was secured, with the balance of 33.5% falls under the unsecured debt category. 96.9% of the borrowings were on a floating rate, while the balance of 3.1% was on a fixed rate. CAPITAL MANAGEMENT As at 31 December 2024, Perennial Holdings had a total asset size of S$8.4 billion, supported by a strong equity base of S$4.3 billion and liabilities of S$4.1 billion. Perennial Holdings adopts a prudent capital management approach and actively monitors its cash flows, funding needs and debt maturity profile on an ongoing basis. Throughout the years, Perennial Holdings has expanded and strengthened its network of banking partners. Leveraging the support of these financial institutions, Perennial Holdings successfully utilised a variety of banking facilities to advance its strategic and investment goals. Perennial Holdings has also diversified its sources of funding beyond conventional bank borrowings and tapped into the debt market, such as issuances of medium-term notes (“MTN”). 36 PERENNIAL HOLDINGS PRIVATE LIMITED
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