Frasers Logistics & Industrial Trust posts above-forecast Q1 DPU of 1.74 cents

THE manager of newly listed Frasers Logistics & Industrial Trust announced an above-forecast distribution per unit (DPU) of 1.74 Singapore cents for the first quarter ended Dec 31, 2016, as interest rates fell below forecast.

This is above a forecast of 1.64 cents, said the manager in a release on Friday night in its financial results for the second reporting period. The trust was listed on the mainboard of Singapore Exchange in June last year. Year-to-date, the DPU is now 3.58 cents.

Gross revenue was at A$39.7 million (S$42.9 million), lower than the forecast A$40.3 million.

Net property income after rental adjustments was at A$30.7 million, slightly under a forecast A$30.9 million.

Distributable income was thus at A$24.9 million, higher than the forecast A$23.7 million.

"The higher distributable income and DPU were due mainly to interest savings from a lower actual weighted average interest rate of 2.8 per cent per annum, compared to a forecast weighted average interest rate of 3.4 per cent per annum," said the release.

Separately, the manager said the total value of the trust's portfolio has increased 8.8 per cent since the initial public offering to A$1.74 billion as at Dec 31, 2016.