SINGAPORE (Feb 13): The manager of Accordia Golf Trust, the business trust comprising investments in golf course assets in Japan, reported 3Q17 DPU of 1.70 cents, down 18.7% from 2.09 cents a year ago in 3Q16.
Operating income fell 4.6% to JPY13.9 billion ($170.6 million) from JPY14.6 million. Revenue fell 4.7% to JPY13.8 billion. Last October, typhoons consecutively struck Japan on weekends and some golf courses were forced to close operations when this was the best time to make sales.
In addition, golf courses in western Japan were affected by heavier snowfall in December 2017 and number of players and operating days decreased compared to 3Q16.
Other expenses fell 2.8% to JPY10.6 billion as most items of operating expenses such as merchandise and material expenses, fell in line with decrease in number of players in 3Q17.
Operating profit fell 10% to JPY3.3 billion led by lower revenue due to bad weather and a decrease in membership revenue.
Profit attributable to AGT unitholders fell 12.7% to JPY2.6 billion from JPY3 billion.
Total distributable income attributable to unitholders in 3Q17 was JPY1.6 billion, which was 15.2% lower than in 3Q16.
In its outlook, the manager of AGT says the Japanese economy is expected to continue its recovery with solid domestic and foreign demand.
Units in AGT closed at 66 cents on Tuesday.
