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The Edge Singapore: SPH REIT posts 3Q DPU of 1.38 cents

Samantha Chiew Published on Mon, Jul 12, 2021

SPH REIT recorded a distribution per unit (DPU) of 1.38 cents for the period of 3QFY2021 ended June, 11.3% higher q-o-q.

In its business update released on July 12, the REIT also annouced a 22.2% y-o-y increase in gross revenue to $209.6 million, led by recovery in performance across all its assets. This increase was also supported by additional quarter of financial contribution from Westfield Marion relative to the same period last year and a decrease in rent reliefs to Singapore and Australia eligible tenants.

Revenue for Singapore increased by 16.3% y-o-y to $156.5 million, largely attributed to the decrease of rental relief granted to eligible tenants that were significantly impacted by Covid-19. Revenue for Australia increased by 43.9% y-o-y to $53.1 million, largely attributed to additional three-months contribution from Westfield Marion, which was acquired in 2QFY2020.

For the thirs quarter period, portfolio occupancy rate came in at 98.4% driven by the resilience of the suburban malls with full occupancy at The Clementi Mall and The Rail Mall. Weighted average lease expiry (WALE) was 5.4 years by net leasable area (NLA) and 3.0 years by gross rental income (GRI). 

The REIT’s weighted average term to maturity of 2.9 years is well staggered over the next five years. It has also maintained an efficient cost structure with YTD cost of debt at 1.86%, as well as ample debt headroom with additional revolving credit facility lines of $225 million available.

Units in SPH REIT closed at 93 cents on July 12. Photo: The Edge Singapore/ Samuel Chua

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