The manager of Frasers Logistics & Commercial Trust (FLCT) has reported a distribution per unit (DPU) of 3.85 cents for the 1HFY2022 ended March, 1.3% higher than the DPU of 3.80 cents in the corresponding period the year before.
Revenue for the half-year period inched up by 1.7% y-o-y to $235.7 million.
Property operating expenses increased by 0.4% y-o-y to $52.1 million.
Accordingly, net property income (NPI) increased by 2.1% y-o-y to $183.6 million.
The higher revenue and NPI were attributable to the full six months’ worth of contribution from the acquisitions made in the FY2021 ended Sept 30, 2021, as well as the early surrender fee received in the 1HFY2022. These were partly offset by the divestments made and the effects of lower exchange rates.
Distributable income for the period rose 9% y-o-y to $142.1 million.
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As at March 31, FLCT reported a portfolio occupancy of 96.1% with a weighted average lease expiry (WALE) of 4.6 years. FLCT also reported lease expiries of 3.3% of gross rental income (GRI) in the FY2022 ending Sept 30.
As at March 31, FLCT has 94 logistics and industrial properties and seven commercial properties, with a total value of approximately $6.7 billion. Its net asset value (NAV) per unit stood at $1.32.
FLCT’s aggregate leverage was 33.1% with total borrowings of $2.58 billion as at March 31.
Cash and cash equivalents as at end-March stood at $997.2 million.
“We are pleased to report a strong financial and operational performance, with 1HFY22 DPU rising 1.3% year-on-year to 3.85 cents. Operationally, the team has been busy leasing across our portfolio which has enabled the REIT to maintain a high overall occupancy of 96.1% and a healthy WALE of 4.6 years,” says Robert Wallace, CEO of the manager.
“Amid a volatile macro environment and competitive landscape, we strategically deployed our capital to pursue over $50 million in industrial development and forward-funding opportunities in the United Kingdom. The portfolio rebalancing activities conducted over the last six months – including the divestment of Cross Street Exchange in Singapore, have also provided us with significant financial strength and flexibility,” he adds.
Unitholders will receive their distributions on June 17.
Units in FLCT closed at $1.45 on May 5.
