Mapletree Logistics’ Q3 net property income inches up 6.7% to $74.1m

On back of larger portfolio, strong Hong Kong revenue.

Mapletree Logistics Trust (MLT) saw a solid close to its 3QFY16, as it posted a net property income of $74.1m. According to a report by OCBC, this reflects a 6.7% YoY climb thanks to an enlarged portfolio and stronger performance in Hong Kong.

Although MLT continued to face headwinds from a muted macroeconomic environment, it was able to deliver positive rental reversions averaging 5% in the third quarter of its FY16. This thanks largely to performance in Hong Kong, Singapore and China. Meanwhile, overall portfolio occupancy was kept unchanged at 96.9% on a QoQ basis. 

Year to date, MLT has already renewed or replaced 93% of its leases due for expiry in FY16.

Meanwhile, the company’s DPU was flat at 1.87 S cents, however, on back of increased management fees and borrowing costs, as well as a larger unit base.

Gross revenue for the quarter stood at $88.9m, which translates a 7.3% YoY growth. This was underpinned by contribution from acquisitions, on top of higher revenue from existing China and Hong Kong assets. It was partially offset, though, by reduced revenue from several multi-tenanted buildings in Singapore.