KUALA LUMPUR: Pavilion Real Estate Investment Trust
’s (Pavilion REIT) net profit surged 205.7% to RM61.2mil in the third quarter ended Sept 30 from RM20mil a year ago.
In a filing to Bursa Malaysia today, Pavilion REIT announced total gross revenue of RM143.6mil, up 26.7% as compared to the same quarter in the preceding year of RM113.3mil.
“This increase is mainly attributed to higher rental revenue and income from advertising, as all economic sectors and businesses were allowed to reopen,” Pavilion REIT said in a statement.
Its total property operating expenses were lower by RM12.4mil or 18.9% as compared to the same quarter of the preceding year, mainly as no pandemic rebates were given to tenants during the quarter.
Pavilion REIT said these were offset by higher utility costs as the 10% rebate given by the government ended in December 2021 as well as the imposition of a tariff surcharge of 3.7 sen per kilowatt hour to the non-domestic sector.
Maintenance and marketing expenses also increased with the resumption of activities during this endemic period.
Net property income increased by RM42.7mil or 90.1% for the third quarter of 2022 as compared to the same quarter in 2021.
In the first nine months to Sept 30, its income after taxation rose 153.1% to RM181.4mil from RM71.7mil last year while revenue grew 16.35% to RM423.9bil against RM364.3mil.
On its outlook, the manager of Pavilion REIT is confident that the growth momentum of the retail sector is expected to remain strong in spite of the purchasing power of consumers having been affected by inflation and other economic factors.
