Thursday, November 5, 2015

Parkway Life REIT posts 3.36 cents DPU for 3QFY2015

Parkway Life REIT has declared a distribution per unit of 3.36 cents for 3QFY2015, a 15.6% increase over the 2.9 cents announced in 3QFY2014.

Revenue rose 2.5% to $26 million, on the back of higher rents in its Singapore properties, as well as the contributions from higher yielding properties which were acquired from its asset recycling initiative. Net property income rose 2.4% to $24.3 million.

Distributable income rose 15.6% to $20.3 million, due to the $2.3 million partial distribution of the gains from the divestment of seven Japan properties in December 2014.

Parkway Life REIT says the regional healthcare industry is expected to be healthy in the long run, with growing demand for better quality private healthcare services coming from the fast-aging economies. The group’s results are also bolstered by favourable rental lease structures - 93% of its Singapore and Japan portfolios have downside revenue protection - which provide for revenue stability.

Parkway’s shares closed unchanged at $2.33 on Wednesday.

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