Keppel REIT posts 4.9% lower 4Q DPU of 1.36 cents

Keppel REIT posts 4.9% lower 4Q DPU of 1.36 cents

By: 
Michelle Zhu
21/01/19, 06:04 pm

SINGAPORE (Jan 21): The manager of Keppel REIT has declared a 4Q18 distribution per unit (DPU) of 1.36 cents, representing a 4.9% decline from its quarterly DPU of 1.43 cents a year ago.

This brings the trust’s FY18 DPU to 5.56 cents, down 2.5% from its DPU of 5.7 cents in FY17.

Property income for the latest quarter under review fell 14.8% to $37.8 million from $44.4 million previously due to lower income contributions from Ocean Financial Centre, 275 George Street and 8 Exhibition Street.

Share of results of associates and joint ventures declined 14.7% and 7.7%, respectively, to $16.6 million and $7.3 million compared to $19.5 million and $7.9 million in the previous year.

Borrowing costs grew 5.2% on-year to $17.6 million from $16.7 million due to higher interest expenses on term loans and revolving loans, as well as higher amortisation of capitalised transaction costs.

As such, net property income (NPI) for 4Q fell 15.8% to $30.5 million compared to $36.2 million previously, while income available for distribution fell 4.3% to $46.2 million from $48.2 million in 4Q17.

Looking ahead, Keppel REIT’s manager believes Singapore’s office market outlook remains largely positive due to a tightening supply pipeline and diverse demand drivers in spite of macroeconomic risks.

“Amidst a volatile macroeconomic environment, the manager remains focused on delivering stable and sustainable distribution through ongoing portfolio optimisation, as well as driving operational excellence in its asset and capital management efforts,” it adds.

Units in Keppel REIT closed flat at $1.18 on Monday.

Counsel argue over how witnesses' conditioned statements were prepared and used

SINGAPORE (May 27): The prosecution and defence in the 2013 penny stock crash trial on May 23 crossed swords over how conditioned statements had been prepared and the relevance of questions raised in the cross-examination of these statements. Deputy public prosecutor Peter Koy said questions by the defence counsel for alleged co-conspirators John Soh Chee Wen and Quah Su-Ling were a “distraction from the facts”. “Questions as to what was shown to the witness, what trade and telephone data was shown to the witness and which data was filtered and shown to the witness are irrelevant t....
Read More >>

Briefs

SINGAPORE (May 27): “We believe that the president of the US is engaged in a cover-up.” — US House Speaker Nancy Pelosi, following a meeting with other Democratic Party leaders on whether or not to impeach US President Donald Trump. Singapore and Malaysia suspend intercity rail project The construction of a $1.4 billion rail project linking Singapore and Malaysia’s southern state of Johor has been suspended until Sept 30. The move, which was announced on May 21, was mutually agreed to by both of the countries’ transport ministers. “This does not mean we are terminating the....
Read More >>

Entropica Labs aims to provide insights for health sciences using quantum computing

SINGAPORE (May 27): Quantum computing used to be considered a technology bordering on science fiction. But thanks to recent developments in the field, this next generation of computing is now closer to reality than before. This is opening up possibilities for many practical applications that have attracted the attention of both large corporations and entrepreneurial start-ups. One of the start-ups is Entropica Labs, which aims to develop quantum computing software to solve complex problems in the field of molecular biology. This would provide doctors with a better understanding of human phy....
Read More >>