CGS-CIMB Research and OCBC Investment Research believe that master lease income will continue to underpin Far East Hospitality Trust's (FEHT) performance for the rest of the year after it reported its 1QFY2021 ended March business update on April 30.

CGS-CIMB analysts Eing Kar Mei and Lock Mun Yee say that FEHT’s 1QFY2021 distributable income of $12.5 million (-1% y-o-y) was in line with their estimates, supported by fixed rent.

The analysts note that while revenue for the period fell by 7% y-o-y to $21.3 million due to weaker performance from serviced residences, lower finance expenses and REIT manager fees kept distributable income relatively flat. 

To continue reading,

Sign in to access this Premium article.

Subscription entitlements:

Less than $9 per month
3 Simultaneous logins across all devices
Unlimited access to latest and premium articles
Bonus unlimited access to online articles and virtual newspaper on The Edge Malaysia (single login)

Stay updated with Singapore corporate news stories for FREE

Follow our Telegram | Facebook