Warehouse owner Cache Logistics Trust reported a second-quarter distribution per unit (DPU) of 1.419 cents, down 17.6 per cent from 1.722 cents a year ago.
For the three months ended June 30, income available for distribution fell 6.3 per cent to $15.2 million.
It is mainly due to lower net property income (NPI) from CWT Commodity Hub, which was converted from master lease to multi-tenancy, the divestment of its Hi-Speed Logistics Centre, and distribution to perpetual security holders.
NPI came in flat at $21.6 million.
Meanwhile, gross revenue was up 7.7 per cent at $30 million, due to incremental earnings from its nine-property Australia portfolio acquired in February, and higher contribution from 51 Alps Avenue and its rental top-up.
Distributable income for the six months to June 30 dipped 3.4 per cent to $31.4 million, while DPU fell 15.1 per cent to 2.926 cents, after factoring in an enlarged units base.
Gross revenue for the half-year period came in 7.5 per cent higher at $59.1 million from a year ago, while NPI was up 4.9 per cent at $44.5 million.
AT A GLANCE
REVENUE: $30 million (+7.7%)
INCOME AVAILABLE FOR DISTRIBUTION: $15.2 million (-6.3%)
DISTRIBUTION PER UNIT: 1.419 cents (-17.6%)
Looking ahead, ARA Trust Management (Cache), which manages the trust, believes that market sentiment has improved on the back of an increase in tenant inquiries.
Said the manager's chief executive Daniel Cerf: "With our continuing efforts at rebalancing and growing the portfolio, Cache's operating metrics remained healthy, notwithstanding the weakness in our DPU."
Cache units closed at 77.5 cents yesterday, down 1.3 per cent.