ARA Asset Management on Tuesday posted a 2 per cent increase in its net profit to S$19.4 million, on the back of a 10 per cent rise in total revenue to S$41.4 million for its first quarter ended March 31, 2016.
This was mostly driven by the 14 per cent increase in the real estate fund manager's recurrent management fees to S$34.3 million.
This was thanks to higher Reit management fees arising from better asset performance after renovations, which also raised the valuation of the property portfolios of the Reits it manages.
In Q1, ARA also saw fee contribution from Suntec Reit's acquisition of three floors of strata office space at Suntec Tower Two, and Cache Logistic Trust's acquisition of three Australian properties in the last quarter of 2015.
There was also higher portfolio management fees from ARA China Investment Partners' purchases of two commercial properties in China, and the launch of private funds Harmony III and Harmony V in 2015.
Real estate management services fees received also rose.
ARA's shares ended half a cent lower at S$1.18 on the stock market.