Frasers Commercial Trust (FCOT) has posted a 26 percent increase in its net property income for the second quarter ended March 31, hitting $23.6 million from a year ago.
This helped boost its total distributable income, which rose 167 percent over the same period to $14.5 million. Of this, holders of Series A convertible perpetual preferred units (CPPU) got a $4.6-million share, while unitholders’ share was $9.8 million.
“The contribution from Alexandra Technopark together with better performance of the Australian properties and lower financing costs contributed to the increase in distribution income,” said Low Chee Wah, CEO of FCOT’s manager.
FCOT acquired Alexandra Technopark in August 2009 and the property contributed to its earnings for the full second quarter. From Down Under, Caroline Chisholm Centre and Central Park brought in more revenue largely as the Australian dollar strengthened.
Distribution per unit (DPU) during the second quarter was 0.32 cents – 56 percent less than last year’s 0.72 cents – as the unit base grew from a rights issue in August 2009.
Adjusting for the cash call, DPU in Q2 2009 would have been 18 cents, which worked out to a 78 percent year-on-year increase.
Distribution per CPPU was 1.36 cents in Q2.
For the first half ended March 31, the net property income of FCOT was $47.1 million, up by 27 percent from a year ago. Total distribution available increased 81 percent to $26.6 million.
Distribution per CPPU in H1 was 2.74 cents, while DPU was 0.56 cents. These distributions will be paid out on May 27.
As at March 31, the value of FCOT’s portfolio was about $1.9 billion. It had an average occupancy rate of 92.4 percent, down from 92.9 percent as at 31 December 2009.
The trust’s gearing as at March 31 was 40.1 percent, dropping slightly from 40.4 percent a quarter ago.
FCOT lost half a cent yesterday to end at 14 cents.