OUE Commercial Trust's Q2 DPU 5.5% above forecast

SINGAPORE - OUE Commercial Trust's results for the second quarter exceeded its forecast, thanks to lower expenses and finance costs.

The trust, managed by OUE Commercial Reit Management, posted a distribution per unit (DPU) of 1.43 cents for the three months to June 30, 5.5 per cent higher over its forecast of 1.36 cents for the quarter.

This brings its DPU for the financial period from Jan 27, when it listed on the Singapore Exchange, to June 30 up to 2.43 cents - 4.7 per cent higher than predicted, said the trust's manager on Wednesday. This will be paid to unitholders on Sept 2.

Income available for distribution for the quarter was $12.5 million, 5.5 per cent more than its forecast.

Net property income was also 4.6 per cent higher at $14.3 million while gross revenue fell short of expectations by 0.3 per cent at $18.7 million.

"Rental reversions at both properties were positive, with OUE Bayfront and Lippo Plaza achieving renewed rentals that were respectively 6.1 per cent and 4.3 per cent high than preceding rents," said Ms Tan Shu Lin, chief executive of the manager.

Earnings per unit for the second quarter was 0.89 cent, while net asset value per unit as at June 30 was $1.06.

Its units rose half a cent to close at 83 cents on Wednesday.