Brokers' take

Global Logistic Properties | Buy

Nov 9 close: S$2.04

Target price: S$2.37

OCBC Investment Research, Nov 9

GLP reported that its Q2 FY2017 profit after tax and minority interests (Patmi) increased 52 per cent to US$173 million mainly due to increased contributions from the group's fund management platform. Specifically, we understand that fund fees over the quarter rose 25 per cent year-on-year to US$47 million, comprising US$31 million of asset and property management fees and US$16 million of development fees. On a core basis (adjusting for non-recurring items and revaluations), the group's core earnings in Q2 FY2017 were 53 per cent higher year-on-year at US$68 million. In terms of the topline, GLP's revenues over the quarter also increased 13 per cent year-on-year to US$214 million mostly b…