SINGAPORE (July 25): The trustee-manager of Ascendas India Trust (a-iTrust) reported a DPU of 2.05 cents for 1Q19 ended June, 28% higher compared to a year ago.
Total property income rose 10% to $49.2 million, while total property expenses increased by 1% to $11.5 million due to higher property management fees and taxes arising mainly from Anchor building which was completed in May.
Consequently, net property income increased 13% to $37.8 million.
There was also a near fourfold increase in interest income to $10.5 million from construction funding of Aurum IT SEZ, aVance 5 & 6 and aVance A1 & A2.
However, finance costs rose 47% to $11.6 million from construction funding.
Hence, ordinary profit before tax rose 37% to $32.4 million.
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After distribution adjustments, Income available for distribution came in 29% higher at $23.7 million.
As at June 30, a-iTrust’s overall committed portfolio occupancy stood at 99%, with a gearing ratio of 33%.
Based on its current gearing limit of 45%, the trust has total debt headroom of $510 million.
As at June 30, cash and cash equivalents stood at $102 million, a 54% increase from the previous year.
In its outlook statement, a-iTrust’s manager says rentals in Bangalore and Hyderabad’s IT Corridor I are expected to increase over the next few quarters due to sustained demand.
Meanwhile, rentals in Grand Southern Trunk where CyberVale is located and Hinjawadi where aVance Pune is located are expected to remain stable.
a-iTrust’s manager says it will continue to focus on enhancing the competitiveness of its properties to distinguish itself from competitors, while maintaining financial discipline, and seeking growth opportunities.
Units in a-iTrust closed 2 cents higher at $1.34 on Thursday.
