OUE Hospitality Trust posts lower distribution per unit of 1.61 cents

SINGAPORE - OUE Hospitality Trust (OUE H-Reit) posted a distribution per stapled security (DPS) of 1.61 cents for the first quarter.

The DPS - to be paid out on June 9 - is down from the 1.68 cents in the same period a year ago.

Net property income inched up 0.3 per cent to $25.7 million, while gross revenue climbed 2.1 per cent to $29.3 million, thanks to higher turnover from both the trust's hospitality and retail segments.

Revenue for its retail segment, comprising rental and other income from the Mandarin Gallery shopping mall grew 0.7 per cent to $9.3 million, thanks to higher rental rates.

Rent at the mall came in at $24.6 per square foot per month, compared with $23.6 psf per month the same time a year ago.

Property expenses, however, rose 16.8 per cent to $3.6 million, due to the newly acquired Crowne Plaza Changi Airport (CPCA) hotel.

Net finance expenses, at $4.2 million, were also up by 30 per cent due to the interest expense on the borrowings drawn down to fund the acquisition of CPCA.

Earnings per stapled security came in at 1.39 cents, down from the 1.49 cents previously, while net asset value per stapled security stood at 90 cents as at Mar 31, unchanged from that at Dec 31 last year.

OUE Hospitality Trust units closed half a cent down at 97 cents on Thursday. The trust announced its results after market close.