Mapletree Logistics Trust posts 1.9% rise in Q3 DPU to 2.227 S cents
ACCRETIVE acquisitions lifted the distribution per unit (DPU) of Mapletree Logistics Trust (MLT) 1.9 per cent to 2.227 Singapore cents for the third quarter ended December, its manager announced on Thursday (Jan 19).
Gross revenue for the quarter was up 8 per cent to S$180.2 million, thanks to acquisitions completed in Q1 and the prior year.
In line with the higher topline, net property income rose 7.3 per cent to S$157.2 million. This growth was however offset by the depreciation of foreign currencies, including the Japanese yen, South Korean won and Chinese yuan, against the Singapore dollar.
Q3 DPU would have increased by 8.6 per cent or 0.189 cents, on a like-for-like basis based on the exchange rates from Q3 FY2021/2022.
For the latest nine-month period, MLT’s gross revenue grew 11.3 per cent to S$551.7 million, while DPU rose 3.4 per cent to 6.743 cents on an enlarged unit base.
Despite the positive results, MLT faces headwinds from high interest costs and forex volatility, said the manager’s chief executive officer Ng Kiat.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
“We will continue to implement prudent risk management strategies to navigate these challenges,” she said,
“In line with our portfolio rejuvenation strategy, we are divesting three properties in Singapore and Malaysia, which will provide us with greater financial flexibility to pursue investment opportunities of modern, high-specs assets.”
MLT’s portfolio occupancy stood at 96.9 per cent as at end-2022, improved from 96.4 per cent in the preceding quarter. The weighted average lease expiry for the portfolio is about 3.2 years.
The trust’s gearing stood at 37.4 per cent, with an average debt duration of 3.6 years as of end-2022.
Some 83 per cent of MLT’s total debt has been hedged into fixed rates and 79 per cent of income stream for the next 12 months had been hedged into the Singapore dollar.
“Through proactive hedging, the negative impact of rising borrowing costs and the strength of the Singapore dollar on MLT’s financial performance will be partially mitigated,” it said.
MLT closed flat at S$1.61 on Thursday.
Copyright SPH Media. All rights reserved.
