Basic Profile & Key Statistics
Key Indicators
Performance Highlight
Gross revenue and NPI remain similar YoY. However, income available for distribution and DPU declined YoY due to $1.3 mil retention and management elected to receive 100% of fees in cash which amounted to $1.5 mil.
Development
Construction of the new store expansion on ST. Lucie excess land was completed ahead of schedule and the new store commenced operations in November 2023.
Related Parties Shareholding
The directors of the REIT manager hold a relatively high proportion of shares, while the REIT sponsor and REIT manager hold a relatively low proportion.
Lease Profile
The WALE is long and the lease expiry is well spread. Additionally, most properties are freehold.
Debt Profile
The overall debt profile falls within the median range with 0% unsecured debt being less favorable.
Diversification Profile
The portfolio demonstrates geographical and property diversification, although tenant contributions are concentrated.
Key Financial Metrics
Property yield and operating distributable income on capital are high. Furthermore, the management fee is low compared to operating distributable income.
DPU Breakdown
TTM Distributable Income Breakdown:94% from Operation6% from Management Fees Paid in Units
TTM DPU = 90.8% of Distributable Income
Trends
Slight Uptrend: Committed Occupancy
Flat: DPU from Operation, NAV per Unit, Property Yield, Operating Distributable Income on Capital
Downtrend: Adjusted Interest Coverage Ratio, Operating Distributable Income Margin
Relative Valuation
Dividend Yield - Average for 1y, 3y & 5y
P/NAV - Average for 1y & 3y; Below -1SD for 5y
Author's Opinion
Compared to the previous half-year, despite similar gross revenue, NPI has declined due to higher property expenses. Coupled with higher finance costs and management fees received in cash, DPU has declined by close to 20%. For debt, 6.5% will be matured in March 2024.
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*Disclaimer: The information presented on this blog is for educational and informational purposes only. The materials, including research and opinions, are based solely on my own findings and should not be considered as professional financial advice or a definitive statement of fact. I cannot guarantee the accuracy, completeness, or reliability of the information provided. I shall not be held liable for any errors, omissions, or losses that may occur as a result of using the information presented on this blog. It should be noted that the information presented on this blog does not constitute a buy, sell, or hold recommendation for any security. It is crucial to conduct your own thorough research and due diligence before making any investment decisions.
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