Frasers Hospitality Trust Q2 DPS dips 4.2% (Amended)

INCREASE in the number of stapled securities following a rights issue led to a lower distribution per stapled security (DPS) for Frasers Hospitality Trust (FHT) in its second financial quarter.

For the three months ended March 31, DPS came in at 1.2063 Singapore cents, 4.2 per cent lower than the corresponding quarter a year ago, said the global hotel and serviced residence trust on Friday.

Its gross revenue surged 43.1 per cent to S$38.7 million, net property income spiked 29.9 per cent to S$28.9 million and distribution income jumped 21.4 per cent to S$22.3 million year-on-year.

The results were boosted by the addition of Novotel Melbourne on Collins and Maritim Hotel Dresden, and better performance of properties in Sydney, the UK and Malaysia. These were partially offset by the soft performance of properties in Singapore and Japan.

Net asset value per stapled security edged up to 76.82 Singapore cents, from 74.79 Singapore cents three months ago.

Diluted earnings per stapled security edged up to 0.82 Singapore cents in Q2 2017, from a restated 0.77 Singapore cents in the year-ago period.

Amendment note: An earlier version of this article incorrectly stated that net asset value per stapled security (NAV) was 82.90 Singapore cents on Dec 31, 2016. It is in fact 74.79 Singapore cents, which is not reflected in the company's latest financial statement. The 82.90 Singapore cents NAV was for Sept 30, 2016. The article above has been revised to reflect this.