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PR Newswire
27-04-2015, 04:18 PM
Frasers Centrepoint Trust: Sturdy set of results
Frasers Centrepoint Trust (FCT) reported gross revenue of S$47.5m and DPU of 2.963 S cents for its 2QFY15 results. This represented YoY growth of 15.9% and 2.9%, respectively, and was in-line with our expectations. Management managed to achieve positive rental reversions of 3.8% for 2QFY15. This was, however, softer than the 7.7% and 6.5% rental reversion figures recorded in 1QFY15 and FY14, respectively. The main drag came from Bedok Point. Overall portfolio occupancy remained resilient at 97.1%. Despite FCT’s strong share price performance YTD, we are reiterating our BUY rating and S$2.27 fair value estimate, which translates into potential total returns of 13.9%. We continue to like FCT for its strong balance sheet (gearing ratio of 28.6%; 87% of total debt hedged or on fixed rate basis) and defensive suburban malls portfolio. .(Wong Teck Ching Andy).
Frasers Centrepoint Trust (FCT) reported gross revenue of S$47.5m and DPU of 2.963 S cents for its 2QFY15 results. This represented YoY growth of 15.9% and 2.9%, respectively, and was in-line with our expectations. Management managed to achieve positive rental reversions of 3.8% for 2QFY15. This was, however, softer than the 7.7% and 6.5% rental reversion figures recorded in 1QFY15 and FY14, respectively. The main drag came from Bedok Point. Overall portfolio occupancy remained resilient at 97.1%. Despite FCT’s strong share price performance YTD, we are reiterating our BUY rating and S$2.27 fair value estimate, which translates into potential total returns of 13.9%. We continue to like FCT for its strong balance sheet (gearing ratio of 28.6%; 87% of total debt hedged or on fixed rate basis) and defensive suburban malls portfolio. .(Wong Teck Ching Andy).