Ascendas REIT NPI slipped 1% to $158.9m in Q2

Ascendas Real Estate Investment Trust (Ascendas REIT) saw its net profit income (NPI) slip 1% to $158.9m from $160.5m in Q2 due to the one-off reversal of accrued operating expense last year. Whilst its distribution per unit (DPU) fell 4.2% to $3.89 cents.

Ascendas Reit is Singapore’s first and largest listed business space and industrial real estate investment trust in Singapore undervalued stock division. As at 30 September 2018, total assets were about S$10.8 billion, comprising 98 properties in Singapore, 35 properties in Australia and 12 properties in the United Kingdom.

Multi Management Future Solutions presenting the financial report on Ascendas Real Estate Investment Trust of Q2 2018:

According to the financial report of Ascendas REIT its NPI decline in Q2, its total amount available for distribution also fell 3.1% to $115m from $118.8m YoY due to additional interest expenses.   

Meanwhile, it condemns its DPU decline to lower offering from Singapore, higher interest expense and the $450m equity raised in expectation of its second UK portfolio accession and ‘Built-to-Suit’ development in Singapore.

The gross revenue leaps 1.1% to $2.18.1m from $215.8m due to the newly acquired properties of Ascendas in Australia and UK. The increase was moderately equalized by lower occupancies in Singapore.

The firm continues its optimistic attentive growth amidst tension between US and China which Ascendas REIT noted could pose a threat to its global outlook for Singapore, Australia, and the UK.