Cromwell E-Reit H1 DPU down 2.5% to 8.502 euro cents

Singapore

CROMWELL European Real Estate Investment Trust's (Cromwell E-Reit) distribution per unit (DPU) fell by 2.5 per cent to 8.502 euro cents (14 Singapore cents) for the half-year ended June 30, from 8.717 cents a year earlier.

Gross revenue rose 5.7 per cent to 99 million euros, from 93.7 million euros in the previous year. Net property income was up 11.4 per cent to 64.3 million euros, from 57.7 million euros the year before.

The Reit's manager said the increase was mainly due to higher revenue from newly acquired assets in Italy, the Czech Republic and Slovakia, as well as the absence of doubtful debt provisions in the first half of this year. Distributable income rose 3.6 per cent to 46.2 million euros year on year, from 44.6 million euros.

The decline in DPU was attributed to a slight delay between financing and completing recent acquisitions, higher interest costs, a higher average cash balance and the absence of capital gains. Unitholders will receive a distribution of 5.602 euro cents per unit for the period from March 5 to June 30 this year, which will be paid out on Sept 28. An advanced distribution of 2.9 euro cents per unit for the period from Jan 1 to March 4 was already paid out on March 31 this year.

These results come after the five-to-one consolidation of the Reit's units in May 2021, which has resulted in an effective 76 per cent increase in trading liquidity on the Singapore Exchange over the past three months, its manager said. Units of Cromwell E-Reit closed at 2.52 euros on Friday, up 0.01 euro or 0.4 per cent.