- Mapletree Pan Asia Commercial Trust reported a 5% y-o-y decline in FY24/25 gross revenue to S$908.8mil, underscored by loss of income from the Mapletree Anson divestment and foreign exchange translation losses.
FY24/25 results in line with our estimates.
- - Read this at SGinvestors.io -
- Correspondingly, 4QFY24/25 DPU retreated by 15% y-o-y to 1.95 cents, bringing full-year Mapletree Pan Asia Commercial Trust's dividends to 8.02 cents, down 10% y-o-y, in line with our estimates.
Portfolio stable q-o-q but vacancy risks persist in China and Japan assets.
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- We have previously priced in anchor vacancies within both the SII Makuhari Building and Fujitsu Makuhari Building (Seiko and Fujitsu respectively) and conservatively estimate that both assets will not find a tenant replacement for the next two years.
- On the capital front, Mapletree Pan Asia Commercial Trust strategically deployed proceeds from the Anson divestment to reduce debt to a comfortable level of 38% (from ~40.5% a year ago). Cost of debt going into FY25/26 is expected to remain stable, at the current quarter-end figure of 3.5%.
Upside surprise on valuations.
- Read more at SGinvestors.io.
