The trust reported its net property income for the second quarter ended June 30 jumped 67.4% year-on-year (y-o-y) to RM105.7mil as total revenue soared by 57.5% y-o-y to RM133.7mil.
KUALA LUMPUR: IGB Real Estate Investment Trust
(REIT) is benefitting from the reopening of the economy as sales of clients improve and shoppers return, while its rental support is lower.
The trust reported its net property income for the second quarter ended June 30 jumped 67.4% year-on-year (y-o-y) to RM105.7mil as total revenue soared by 57.5% y-o-y to RM133.7mil.
“The higher total revenue, net property income and profit after taxation were mainly due to the lower rental support provided to tenants in the current quarter, arising from the economic reopening and improving retail sales of tenants,” the trust said in its filing with Bursa Malaysia yesterday.
The trust’s net profit jumped 88.4% y-o-y to RM83.5mil, while earnings per unit rose to 2.33 sen for the same period.
“The distributable income for the current quarter amounted to RM89.8mil, consisting of realised profit of RM83.5mil and the non-cash adjustments arising mainly from manager fees payable in units of RM6mil,” it said.
It also declared a dividend per unit of 2.45 sen, which will go ex on Aug 9 and be paid on Aug 29.
Meanwhile, IGB Commercial-REIT, which went public in September 2021, reported a second quarter (ended June 30) net property income of RM30.08mil. This came on the back of RM48.34mil in gross revenue.
IGB Commercial-REIT’s net profit for the quarter was RM18.09mil.
Basic earnings per unit for the quarter was at 0.78 sen and the trust declared a dividend per unit of 1.93 sen.
“Occupancies of the portfolio have remained relatively stable. As at June 30, the average occupancy rate of IGB Commercial-REIT’s 10 buildings was 71.4%. Rental reversions are predicted to be flat,” it said in a filing with Bursa Malaysia. It added the office market remains favourable to tenants.
“IGB Commercial-REIT will work tirelessly to position itself as the preferred partner for quality real estate solutions,” it added.
