Keppel Reit posts 12.5% drop in Q3 DPU to 1.4 cents

SINGAPORE - Keppel Reit has declared a distribution per unit (DPU) of 1.4 cents for the third quarter, down 12.5 per cent from the 1.6 cents in the same period a year ago.

Net property income for the three months to Sept 30 inched up 0.3 per cent to $31.7 million, bolstered by higher contributions from Bugis Junction Towers, 275 George Street and 8 Exhibition Street, said the manager in a filing to the Singapore Exchange on Tuesday.

Rental support fell 22.4 per cent to $3.2 million, while share of results of associates sank 17.1 per cent to $20.4 million.

Income available for distribution, as a result, dropped 10.4 per cent to $47 million.

Earnings per unit for the quarter eased to 1.1 cents compared with 1.16 cents previously. Net asset value per unit stood at $1.42 as at Sept 30, down slightly from $1.44 as at Dec 31 last year.

The manager said the Reit's aggregate leverage remained stable quarter-on-quarter at 38.8 per cent, while its weighted average term to maturity of borrowings was three years.

Overall committed occupancy for the Reit's portfolio remained healthy at 99.6 per cent.

Keppel Reit units closed 0.8 per cent or one cent higher at $1.195 on Tuesday, before the results were announced.