Keppel T&T profit grew in 2014, lifted by one-off gains

SINGAPORE - Keppel Telecommunications & Transportation (Keppel T&T) reported a 34.6 per cent on-year increase in revenue to $224.6 million for the full financial year ended Dec 31, while net profit attributable to shareholders surged 290.2 per cent to $246.6 million.

For the full year, net asset value increased by 49 per cent to $1.27 per share, the company added while announcing a final dividend of 3.5 cents per share and a special dividend of 11.5 cents.

The rise in profit came partly from the gains on disposal of two data centre properties in Singapore - including Keppel Digihub and Keppel Datahub in the fourth quarter into the Keppel DC Real Estate Investment Trust (Reit), Keppel T&T said when announcing its latest results on Jan 20.

Excluding the one-off gains, earnings of the mainboard-listed logistics and data centre provider were lifted by higher revenue from both of its two core divisions.

"The group continued to maintain high occupancy at its logistics facilities and encouraging throughput at its integrated ports in China. Construction has been completed for the new warehouses at Tampines Logistics Park in Singapore… while construction sof Tianjin Eco-city Distribution Centre in China is nearing completion," Keppel T&T said, expecting the new facilities to boost the logistics portfolio starting this year.

Meanwhile, the group's move to list Keppel DC REIT on Dec 12 was met with success, with the trust's public tranche almost 10 times subscribed. The Reit's portfolio includes four assets previously owned by Keppel T&T.

"The successful listing of Keppel DC REIT and divestment of data centre assets into the REIT have created a platoform for the group to continue to develop and grow its pipeline of data centre assets," Keppel T&T noted.

Shares of Keppel T&T closed 4.58 per cent higher at $1.485.