- IREIT Global (SGX:UD1U)’s 2H25 DPU came in below our expectations. The major negative surprise was the significant drop in valuations of two German assets, which IREIT attributed to change in valuers.
- - Read this at SGinvestors.io -
FY25 DPU missed expectations
- FY25 IREIT Global's DPU missed expectations, due to higher finance costs and lower NPI margins.
- IREIT Global noted that while interest expense from the recent issuance of S$85m in fixed rate notes (at a coupon rate of 6.17% pa) could have been capitalised under accounting standards – as the proceeds were mainly used to fund redevelopment works – it chose not to, out of prudence.
- - Read this at SGinvestors.io -
- Additionally, valuations of IREIT Global’s Berlin campus and Concor Park unexpectedly declined by 18% y-o-y and 38% y-o-y as a result of a change in valuer, with the new valuer assuming significantly higher discount rates. As a result, NAV declined 13% y-o-y in EUR terms and gearing has risen to 44.6%.
Discussions with two potential office tenants to secure sizeable leasing commitments
- Read more at SGinvestors.io.
