Mapletree Logistics Trust Management (MLT) has released its financial results for Q3 FY19/20. Gross revenues for the quarter increased 0.3% year-on-year to SGD*121.1m (€79m), while net property income (“NPI”) increased by 3.9% year-on-year to SGD108.6m, and MLT’s amount distributable to unitholders rose 6.5% year-on-year to SGD76.6m.
The improvement in results was mainly due to higher contributions from existing properties, partly offset by the absence of contribution from five properties in Japan divested in 1Q FY19/20.
In 3Q FY19/20, MLT’s portfolio started with 137 properties and ended with 143 properties, following the acquisitions of seven properties (one in Malaysia, two in Vietnam and a 50% interest in four properties in China), and the divestment of one property in China. The total value of assets under management as at December 31, 2019 was SGD8.3bn.
Portfolio occupancy improved from 97.5% in the previous quarter to 97.7% due to higher occupancy in Singapore, partly offset by lower occupancies in South Korea and China.
According to MLT, due to the continued geopolitical uncertainties and economic headwinds, customers remain cautious about renewals and expansion, with some looking to consolidate their operations to improve cost and operational efficiencies. This may have a negative impact on demand for warehouse space.
Source: Mapletree Logistics Trust
*$=SGD1.36 / €=SGD1.53
