OUE Commercial REIT has declared a distribution per unit of 1.37 cents for 2HFY2021 ended Dec 2021, down 4.2% y-o-y. This brings its full year DPU to 2.6 cents, up 7% y-o-y.
For the same period, it reported net property income of $95.2 million, down 20.3% y-o-y, on the back of a 22.4% y-o-y drop in revenue to $116.3 million.
The drop was attributed to OUE C-REIT’s divestment of its 50% stake in OUE Bayfront (picture) on March 31 2021.
For the whole of FY2021, its net property income was $204.2 million, down 11.9% y-o-y. Revenue was down 14.4% y-o-y to $250 million.
As at Dec 31 2021, the valuation of OUE C-REIT’s properties was approximately $6 billion.Han Khim Siew, CEO of the REIT’s manager, notes that with the 50% sale of OUE Bayfront, the REIT’s gearing has improved to 38.7%, with the weighted average cost of debt stable at 3.2% per annum.
This “places OUE C-REIT in a strong position to pursue value-adding opportunities for future growth,” adds Han.
See also: GKE Corp expects 1HFY2025 earnings to be a 'significant' increase over 1HFY2024
OUE C-REIT closed on Feb 16 at 43 cents, up 1.18% for the day but down 2.27% year to date.
Photo: Albert Chua
