Portfolio revenue in FY18 fell 14.8% to $133.8m due to lower occupancy rates in Singapore.
Frasers Commercial Trust (FCOT) was hit by a 19.2% YoY decrease to $21.61m in its net property income (NPI) in Q4 FY2018, an announcement revealed. Revenue also dropped 15.2% to $32.47m from $38.31m a year ago.
Despite this, distribution to unitholders jumped 10.4% to $21.42m. However, distribution per unit (DPU) dipped 0.4% YoY to $0.240.
According to the firm, their FY18 portfolio gross revenue decreased 14.8% YoY to $133.3m, dragged by lower occupancy rates for the Singapore properties, Central Park and 357 Collins Street, a property divestment, absence of a one-off payment in relation to a lease termination in Central Park in FY17, and effects of the average weaker Australia dollar compared with FY17.
For the whole of FY18, the firm’s NPI crashed 21.6% YoY to $89.3m mainly due to the lower gross revenue for the portfolio and higher maintenance expense for Caroline Chisholm Centre.
“Long-term growth will also come from enhancing our assets and on that note, we are pleased that the revamp of Alexandra Technopark is nearing completion and has already garnered very encouraging feedback from tenants and other stakeholders,” Frasers Commercial Asset Management CEO Jack Lam said.
“Likewise, we eagerly look forward to completing the rejuvenation of the retail podium at China Square Central in the later part of 2019,” Lam added.
In Q3, FCOT's NPI jumped 13.7% to $35.01m whilst its revenue rose 10.9% to $48.32m.
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