Parkway Life Reit raises distribution per unit by 4.5% in Q4

Parkway Life Real Estate Investment Trust (PLife Reit) has raised its distribution per unit (DPU) for the fourth quarter by 4.5 per cent from a year ago to 2.82 cents.

This is on the back of a 4.5 per cent rise in distributable income to $17.04 million.

Gross revenue in the three months to Dec 31 was up 3.1 per cent to $24.7 million, as rental income contributed from the properties acquired in July and September was offset by the depreciation of the Japanese yen. Revenue was also boosted by higher rents from Singapore properties.

Net property income for the quarter rose 3.4 per cent to $23.2 million.

For the financial year ended Dec 31, DPU grew 4.2 per cent over the previous year to 10.75 cents.

Excluding a one-off tax adjustment of $0.7 million in 2012, the DPU growth would have been 5.5 per cent, the trust said.

Gross revenue for 2013 was $93.7 million compared with $94.1 million for 2012, a decrease of 0.4 per cent.

This was mainly due to depreciation of the Japanese yen offset by the revenue contribution from the properties acquired in 2012 and 2013, and higher rent from existing properties.

In its financial report released on Friday, the company said it maintains a "neutral outlook" about its medium-term acquisition prospects, as global markets are beginning to show signs of stabilising.

"We continue to believe that the long-term prospects of the regional healthcare industry will continue to be robust due to rising demand for better quality private healthcare services driven by the fast-ageing populations," it said.

PLife Reit's counter fell one cent to close at $2.28 on Friday. The financial results were released after the market closed.