Mapletree Industrial Trust (MINT) has reported a distribution per unit (DPU) of 3.32 cents for the 2QFY2023/2024, 1.2% lower y-o-y. Unitholders will receive their DPUs on Dec 5.
This brings its DPU for the 1HFY2023/2024 to 6.71 cents, which is down by 2.0% y-o-y.
The REIT’s distributable income for the 2QFY2023/2024 increased by 3.5% y-o-y to $94.1 million but over an enlarged unit base under its distribution reinvestment plan.
The distributable income includes the distribution of compensation received for the compulsory acquisition of part of the land at 2 and 4 Loyang Lane of $2.1 million. The sum was withheld in the 3QFY2021/2022 over two quarters from 2QFY2023/2024 to 3QFY2023/2024. The distributable income also includes the distribution of the net divestment gain of $4.2 million from 65 Tech Park Crescent over two quarters from 2QFY2023/2024 to 3QFY2023/2024. 65 Tech Park Crescent was divested on July 20, 2017.
Distributable income for the 1HFY2023/2024 rose by 1.7% y-o-y to $187.8 million also over an enlarged unit base.
The half-year distributable income includes the distribution of net divestment gain of $15.7 million from 26A Ayer Rajah Crescent over eight quarters from 2QFY2021/2022 to 1QFY2023/2024 as well as the distribution of tax-exempt income of $6.6 million withheld in 4QFY2019/2020 over three quarters from 3QFY2022/2023 to 1QFY2023/2024.
2QFY2023/2024 gross revenue fell by 0.8% y-o-y to $174.1 million while net property income (NPI) fell by 1.4% y-o-y to $128.6 million. The lower sums were attributed to the weakening of the US dollar (USD) and loss of income from the non-renewal of leases. These were, however, offset by new leases across the group’s portfolio.
1HFY2023/2024 gross revenue rose by 0.4% y-o-y to $344.7 million due to contributions from new leases while NPI fell by 0.3% y-o-y to $259.4 million on higher property expenses.
As at Sept 30, the REIT’s overall portfolio occupancy stood at 93.2%, 0.1 percentage point lower q-o-q. Portfolio weighted average lease expiry (WALE) stood at 4.2 years by gross rental income (GRI).
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The REIT’s aggregate leverage ratio stood at 37.9% as at Sept 30 while its interest coverage ratio stood at 4.6x.
Cash and cash equivalents stood at $132.5 million as at Sept 30.
On Sept 28, MINT completed the acquisition of a data centre in Osaka, Japan, for 52.0 billion yen ($475.2 million). The REIT’s entry into Japan diversified its portfolio with North America, Singapore and Japan representing 48.5%, 47.2% and 4.3% (by assets under management) respectively.
Tham Kuo Wei, CEO of the manager, said that the acquisition represented another milestone in the REIT’s strategy to strengthen its portfolio and diversify its portfolio geographically.
“We remain focused on prudent capital management and proactive tenant retention while continuing with our portfolio rebalancing efforts through accretive investments and selective divestments of non-core assets,” he adds.
Units in MINT closed 3 cents lower or 1.37% down at $2.16 on Oct 25.
