Business briefing

Fortune Reit's Q4 DPU increases 16.1% to 9.72 HK cents

FORTUNE Reit saw a 16.1 per cent increase in its fourth-quarter distribution per unit (DPU) to 9.72 HK cents from 8.37 HK cents the year before. Revenue and net property income increased 34.6 per cent and 33 per cent, respectively, to HK$392.6 million (S$65 million) and HK$275.2 million, for the period ended Dec 31, 2013. For the full financial year of 2013, Fortune saw an 11.3 per cent increase in its DPU to 36 HK cents, from the 32.35 HK cents the previous year.

Based on HK$6.215, the average closing unit price in Singapore and Hong Kong as at Dec 31, 2013, the 2013 DPU represented a yield of 5.8 per cent for the year. Its total revenue and net property income for the year increased by 18.3 per cent and 17.8 per cent year-on-year to HK$1.3 billion and HK$928.3 million, respectively, due in part to higher occupancy rates and strong rental growth across the entire portfolio.