Sunway REIT Declared Record High Quarterly Distribution in Second Quarter Financial Year
Feb 09, 2012
Kuala Lumpur, 9 February 2012 – Sunway REIT Management Sdn. Bhd., the manager of Sunway Real Estate Investment Trust (“Sunway REIT”), is pleased to announce the second quarter unaudited financial results for financial year ending June 2012 for the period of 1 October 2011 to 31 December 2011 (“2Q 2012”).
The manager wishes to announce a distribution income of RM53.6 million in 2Q 2012, representing an increase of 14.1% compared to the corresponding quarter in the preceeding year. This translates into a record high in quarterly distribution per unit (“DPU”) of 1.99 sen. On a year-on-year basis, DPU rose 13.7% in 2Q 2012 from 1.75 sen declared for the period 1 October 2010 to 31 December 2010 (“2Q 2011”).
For the financial quarter under review, Sunway REIT’s net property income (“NPI”) soared 25.3% year-on-year to RM78.7 million underpinned by strong performance from initial portfolio and full income recognition from Sunway Putra Place following the full control and possession of the assets on 28 September 2011. NPI for the initial portfolio of 8 assets grew by 9.6% year-on-year in 2Q 2012 to RM68.9 million while Sunway Putra Place contributed RM9.8 million in the same period.
Net realized income jumped 13.4% in 2Q 2012 to RM50.7 million, from RM44.7 million in 2Q 2011.
The initial portfolio of 8 assets recorded an increase of RM3.5 million while the balance was contributed by Sunway Putra Place. Sunway Putra Place has turnaround from a loss of RM1.8 million in 1Q 2012 to a positive RM2.6 million contribution in 2Q 2012.
Sunway Hotel Seberang Jaya has embarked on a major refurbishment exercise to re-strengthen the market position of a 4-star rated city hotel in mainland of Penang and appeal to high yield market segment and business travellers.
The refurbishment exercise is estimated to cost RM12.1 million with an estimated ROI of 10.5%. The renovation will be carried out progressively and will be completed by December 2012.
