- OUE REIT (SGX:TS0U) reported a stable set of results, in-line with our expectations. Revenue and net property income (NPI) was +1.7% and -2.3% y-o-y to S$148.8m and S$116.9m, respectively.
- - Read this at SGinvestors.io -
Rental reversions and RevPAR growth began to taper off
- Good rental reversions and revenue per room (RevPar) growth for the year across OUE REIT's assets, coming in at +10.7%/9.2%/19.8% for office/hospitality/retail, respectively. In our previous update, we noted that growth in these sectors in Singapore could moderate.
- Consequently, rental reversions and RevPAR growth for OUE REIT began to taper off in 4Q24. Nevertheless, these results remain healthy, and management anticipates mid-single-digit rental reversion in the near to medium term.
Slight decline of 1.4% y-o-y in FY24 DPU but above our forecast due to higher payout
- - Read this at SGinvestors.io -
Successfully divested out of China, which could be immediately accretive if proceeds are used to pare down debt
- Read more at SGinvestors.io.
Above is an excerpt from a report by OCBC Investment Research.
Clients of OCBC Securities may be the first to access the full PDF report @ https://www.iocbc.com/.
Donavan Tan OCBC Investment Research | https://www.iocbc.com/ 2025-01-24
Read also OCBC's most recent report:
2026-01-27 OUE REIT - The Start Of Something New.
Previous report by OCBC:
2025-10-24 OUE REIT - Chugging Along At A Steady Clip Towards Inklings Of Bright Spots.
Price targets by 3 other brokers at OUE REIT Target Prices.
Listing of research reports at OUE REIT Analyst Reports.
Relevant links:
OUE REIT Share Price History,
OUE REIT Announcements,
OUE REIT Dividend Payout Dates & Corporate Actions,
OUE REIT News
