Dasin Retail Trust H1 DPU rises 55.2% to 2.98 Singapore cents

DASIN Retail Trust reported on Monday a 55.2 per cent increase in distribution per unit (DPU) to 2.98 Singapore cents for its first half ended June 2021, from 1.92 cents a year ago.

This included a "distribution waiver", through which major unitholders have waived a portion of their entitlement to distributions from the retail property trust.

Without the waiver, DPU for the half year rose 97.8 per cent to 2.67 Singapore cents from 1.35 cents a year ago, according to an exchange filing.

The higher DPU comes amid a 38.5 per cent increase in its revenue for the half year to S$51.3 million, mainly due to higher rental income and recovery from the impact of Covid-19, as well as contribution from Shunde Metro Mall and Tanbei Metro Mall which were acquired in July 2020.

Net property income rose from S$30.3 million a year ago to S$38.2 million in H1 2021. Distributable income more than doubled year-on-year to S$20.9 million, from S$8.8 million a year ago.

As at end-June, Dasin Retail Trust had a stable portfolio occupancy rate of 95.7 per cent and weighted average lease to expiry of 3.5 years by gross rental income, its trustee-manager said.

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It added that in line with the trust's "proactive asset management strategy", Xiaolan Metro Mall will be undergoing asset enhancement initiatives to further enhance its tenant mix, with a view to bring in new tenants mainly from the food & beverage and children sector. The initiative is expected to be completed by the end of this year.

Wang Qiu, chief executive of the trustee-manager, said: "We are pleased with the encouraging financial performance for the first half of the year despite the challenges presented by the Covid-19 pandemic.

She added that "proactive asset management" will continue with the introduction of more experiential trades and defensive retail businesses, while gradually phasing out traditional trades and introducing brands with greater ability to attract customers.

"Though uncertainties still remain with the resurgence of Covid-19 in several countries, we remain optimistic that China is on the path of recovery where the consumer sentiment has been improving," she said.

The books closure date will be on Aug 31, and the DPU of 2.98 Singapore cents is expected to be paid on Sept 28.

Dasin Retail Trust's units closed unchanged at 49 Singapore cents on Friday.