SINGAPORE (April 27): The manager of Frasers Logistics & Industrial Trust (FLT) has reported a 2Q distribution per unit (DPU) of 1.76 cents, down 2.8% on-year from 1.81 cents in 2Q18 due to the softening of the AUD and EUR against the SGD.

In AUD terms, DPU grew 7.1% to 1.82 Australian cents in 2Q19 from 1.70 Australian cents on higher revenue and adjusted net property income (NPI) after taking into account acquisitions from FY18.

Revenue for the quarter grew 36.9% to A$59.7 million from A$43.6 million in 2Q18, while adjusted NPI was up 43.3% to A$47.9 million from A$33.4 million in the previous year.

This comes after factoring in acquisitions in Europe, Australia and the Netherlands, partially offset by the divestment of two properties in Aug 2018.

See: Frasers Logistics Trust buys portfolio of 21 properties in Germany, Holland from sponsor for $515 mil

As at end-March 2019, total portfolio occupancy was 99.6% with a weighted average lease expiry (WALE) by gross rental income (GRI) of 6.61 years, and minimal lease expiries by GRI of 1.3% for the year ended Sept 2019.

Cash and cash equivalents at the end of the period under review stood at A$99.13 million compared to A$74.5 million a year ago.

“Looking forward, we will continue to manage and explore opportunities for growth and maximise our portfolio’s potential,” comments Robert Wallace, CEO of the manager.

"The prime logistics sector across our key markets of Germany, Netherlands as well as the eastern seaboard of Australia remain well-supported by investments in infrastructure and an expanding e-commerce market. We will also continue to keep a watchful eye on developments in the macro environment which may invariably impact our business," he adds.

Units in FLT closed 1 cent higher at $1.18 on Friday.