Horizon.my

Looking at the current reporting season, most Bursa Malaysia REITs seem to be experiencing flat results in terms of organic rent growth.

Hmmm… I’m beginning to sound like a vegetarian. But what I mean is that if you strip out new property acquisitions and property revaluations, you will find that most REITs are currently demonstrating flatline earnings.

For those of you who follow REITs on Bursa Malaysia, you will know that QCAPITA and AXREIT are the more active players in terms of acquiring new properties. AXREIT announced their recent Q2 results which were again driven by property revaluations and portfolio growth. QCAPITA announced its Q2 results yesterday, here’s a snapshot:

 Notes:

• Revenue and Income After Taxation in 2009Q2 were higher mainly due to the rental income from all 10 assets currently in QCAPITA’s portfolio (compared to 9 assets in 2008Q2).
• Distribution Per Unit has for the half year to Jun-09 totals 3.78 sen (compared to 3.36 sen pcp).
• There were no property revaluations so far for the current year.
• Total Property portfolio is now RM787 million, while Net Borrowings is around RM294 million.

Tesco Penang – Quill Capita’s recent foray into the Retail Property sector

Stay tuned next week for our Q&A session with Quill Capita management…