First REIT - OCBC Investment Research 2025-04-30: FX Headwinds Continue To Bite

• First REIT’s 1Q25 rental income and net property income (NPI) both declined 2.8% y-o-y to S$25.4m and S$24.6m, respectively, predominantly due to continued IDR and JPY depreciation against the S$.
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1Q25 DPU is in line with our expectations.

• Altogether, 1Q25 distributable amount declined by 2.2% y-o-y to S$12.2m, translating to a 3.3% y-o-y decline in First REIT's DPU to 0.58 Singapore cents – which constitutes 25% of our full year forecast. This implies an annualised distribution yield of around 9.1% based on First REIT's share price of S$0.255 as at 29 Apr 2025.
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Gearing nudged up.

• In terms of capital management, First REIT’s gearing nudged up 1.1 ppt from 39.6% as at 31 Dec 2024 to 40.7% as at 31 Mar 2025, as loans were drawn down for working capital purposes. Cost of debt, however, improved 30bps to 4.7% over the quarter, with 56.7% of debt on fixed rates or hedged.

S$5.8m of outstanding rental.

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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/.

Read also OCBC's most recent report:
2026-02-06 First REIT - Pending Winds Of Change.

Previous report by OCBC:
2025-11-03 First REIT - Interest Cost Savings Outpaced By SGD Appreciation.

Price targets by other brokers at First REIT Target Prices.

Listing of research reports at First REIT Analyst Reports.

Relevant links:
First REIT Share Price History,
First REIT Announcements,
First REIT Dividend Payout Dates & Corporate Actions,
First REIT News