- Keppel REIT reported 3Q distributable income of S$53.7m, +3.9% q-o-q, -1.6% y-o-y. Organic and inorganic top-line growth was offset by higher financing expense.
- Positive reversion continued at a low double-digit pace while occupancy improved sequentially for Australia and was steady elsewhere. Gearing and debt cost inched up.
- - Read this at SGinvestors.io -
Improving operating metrics
- - Read this at SGinvestors.io -
- Contribution from associates and JVs rose 3.3% q-o-q/7.6% y-o-y led by higher rentals for ORQ and MBFC, which more than offset higher borrowing expenses.
- Financing expense rose 4.9% q-o-q/39.4% y-o-y in 3Q influencing the q-o-q/ y-o-y comparable for 3Q distributable income.
- Portfolio occupancy rose to 97.6% from 97.0% in 2Q, led by 140bps improvement in occupancy in Australia. Occupancy in Singapore was stable overall. Slippage at ORQ and OFC was offset by improvement at Keppel Bay Tower. Year-to-date rent reversion was +10.2% (+9.3% for 1H) while signing rent in Singapore was S$12.93psf (12.63 in 2Q).
Elevated gearing, focus on capital recycling
- Read more at SGinvestors.io.
Above is the excerpt from report by Maybank Research.
Clients of Maybank Securities may be the first to access the full report in PDF @ https://www.maybanktrade.com.sg/.
Krishna Guha Maybank Research | https://www.maybank.com/ 2024-10-22
Previous report by Maybank:
2024-08-02 Keppel REIT - Navigating Crosswinds; Watch On Gearing.
Price targets by 3 other brokers at Keppel REIT Target Prices.
Listing of research reports at Keppel REIT Analyst Reports.
Relevant links:
Keppel REIT Share Price History,
Keppel REIT Announcements,
Keppel REIT Dividends & Corporate Actions,
Keppel REIT News Articles
