EC World REIT, which owns a portfolio of eight largely logistics properties in China, has reported a distribution per unit of 1.662 cents for 3QFY2021 ended Sept 30, up 19.7% y-o-y.
Net property income increased by 9.4% y-o-y to $28.6 million, on a 10.9% y-o-y increase in revenue to $31.6 million.
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Goh Toh Sim, the REIT manager’s executive director and CEO, explains the gain came from a more favaourable exchange rate of rental collected in RMB but booked in Singdollar. The REIT managed to achieve higher rental rates too.
“We remain prudent in our capital management with the retention of 5% of total amount available for distribution in 3QFY2021 for withholding tax payment upon future profit repatriation,” adds Goh.
On May 17, the REIT’s manager said it has been approached by Forchn International for a potential offer for all its properties.
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Since then, there have been no further “material developments”.
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EC World REIT closed Nov 8 at 82 cents, up 0.62% for the day and up 14.79% year to date.
Photo of Goh Toh Sim by Albert Chua of The Edge Singapore
