This article first appeared in The Edge Malaysia Weekly on October 5, 2026 - October 11, 2026

KLCCP Stapled Group (KL:KLCC) — Malaysia’s largest real estate investment trust (REIT) and custodian of the PETRONAS Twin Towers, Menara ExxonMobil, Menara 3 PETRONAS, Suria KLCC and Mandarin Oriental Kuala Lumpur — has just wrapped up another year of record financial performance.

This year, the stapled securities, comprising KLCC Property Holdings Bhd and KLCC REIT, secured The Edge Billion Ringgit Club (BRC) award for Highest growth in profit after tax (PAT) over three years among REITs. This marks its second win in the PAT category, following its first win in 2024.

KLCCP has bagged seven BRC awards in total since its listing in 2013.

The financial year ended Dec 31, 2024 (FY2024) was a milestone year for KLCCP, as it completed the acquisition of the remaining 40% stake in Suria KLCC in April that year, giving the group full ownership of the mall. The acquisition propelled the group’s revenue past the RM1.7 billion mark to RM1.71 billion in FY2024, up 5.66% from RM1.62 billion in FY2023. Net profit, represented by distributable income, expanded 9.15% to RM1.02 billion, from RM931.3 million, partly supported by the stable 100% office occupancy under triple-net-lease arrangements.

FY2025 revenue and net profit hit record highs of RM1.74 billion and RM1.28 billion respectively. The retail segment alone contributed RM450.9 million to profit before tax of RM970.3 million.

Between FY2022 and FY2025, KLCCP delivered a risk-weighted PAT compound annual growth rate (CAGR) of 22.3%, outperforming its REIT peers.

In line with the robust performance, the group declared another record distribution of 47 sen per stapled security in FY2025, compared with 44.5 sen in FY2024.

1HFY2026 results have been more measured, with net profit coming in marginally higher at RM408.6 million against RM401.9 million in the same period a year ago, driven by strong retail occupancy and rental rates.

KLCCP’s BRC win comes on the heels of the opening of its Ombak KLCC mall on Aug 21, the biggest addition to the KLCC precinct in more than a decade.

Although KLCCP itself does not own Ombak KLCC, which sits under parent KLCC Holdings, the group will earn facilities management income from it. Analysts expect this to provide incremental earnings upside as the mall ramps up occupancy and trading through 2026 and into 2027.

As at end-2025, KLCCP’s portfolio of assets was valued at RM16.7 billion.

Management has struck a cautiously confident tone on the REIT’s outlook. Speaking at the recent annual general meeting, CEO Datuk Mohd Salem Kailany said the group remains “optimistic on sustaining positive performance” through 2026, while acknowledging rising economic uncertainty, cost pressures on the retail and hotel segments, and a more challenging operating environment generally.

The group’s stated priorities for the year are strengthening its value proposition, enhancing customer experience, cost optimisation and driving operational resilience — themes repeated across its quarterly filings, which describe the group as “well positioned to capture growth opportunities through the continued expansion of its retail and hotel offerings and management services segment”.

Malaysia’s tourism push is central to that plan. The country’s Asean chairmanship and Visit Malaysia 2026 campaign are expected to drive higher international arrivals via visa facilitation and broader promotional efforts, which management hopes will benefit both Suria KLCC’s footfall and the Mandarin Oriental’s occupancy — though analysts note this tailwind could be partly offset by flight cancellations and higher travel costs stemming from ongoing conflict in West Asia.

At Mandarin Oriental Kuala Lumpur, refurbishments completed in 2025 have already strengthened its market positioning, with further “progressive enhancements” planned through 2026 to elevate the guest experience.

The single-biggest near-term catalyst is expected to be the six-storey Ombak KLCC, located a short walk from Suria KLCC. The 420,000 sq ft mall has about 120 retail lots and is anchored by Galeri PETRONAS, alongside an art gallery, outdoor plaza, rooftop garden and a tenant mix weighted towards F&B. It also features lifestyle attractions such as Nintendo and Pokémon Center pop-ups.

Rather than competing head-on with Suria KLCC, Ombak KLCC is positioned as a complementary cultural and lifestyle space intended to grow overall footfall across the wider KLCC precinct.

KLCCP’s stapled securities closed at RM9.06 at the BRC membership cut-off date of March 31, 2026, before reaching a high of RM9.41 on June 19 and subsequently closing at RM8.60 on Aug 28, giving it a market capitalisation of RM15.53 billion.

Including income distributions, the REIT generated a 16.6% CAGR in shareholder returns over the three years to end-March 2026.

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