Ascendas REIT DPU up 4.3% to 4 cents

Singapore and Australia acquisitions helped boost numbers.

Ascendas REIT (A-REIT) sailed through Q2 smoothly after it reported a 4.3% increase of distribution per unit (DPU) to 4.0 cents.

OCBC Investment Research said that the company reported a gross of $213.3m, 2.7% higher than last year's. Net property income also hiked up 2.6% to $153.4m.

"This was driven by acquisitions in Singapore and Australia, but partially offset by the divestment of two properties in China, coupled with the decommissioning of 50 Kallang Avenue for asset enhancement works," the OCBC Research Team said.

Occupancy rose 1.4 ppt to 91.6% thanks to lower vacancies in Australia and Singapore.

Approximately 11.8% of A-REIT's gross revenue, which are all in Singapore, is up for renewal for the remaining three quarters of its fiscal year.