Pavilion REIT 1Q profit up 14% to RM54M

Business & Markets 2013
Written by Chong Jin Hun of theedgemalaysia.com
Wednesday, 24 April 2013 18:37
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KUALA LUMPUR (April 24): Pavilion Real Estate Investment Trust
reported a 14% growth in first quarter profit from a year earlier on
higher rentals from its prime land PROPERTIES [] here.
In a statement to the exchange today, Pavilion said net profit came to
RM54.27 million in the quarter ended March 31, 2013 (1QFY13)
compared to RM47.8 million previously. Revenue rose 11% to RM94.75
million from RM85.33 million.
"The increase was mainly contributed by retail rental from Fashion
Avenue which commenced in Q3 2012 and Pavilion Office Tower (which
has been) fully tenanted from Q3 2012," Pavilion said.
Distributable income for 1QFY13 is RM56 million or 1.86 sen per unit,
the property trust said.
Looking ahead, Pavilion said it is “confident of maintaining its current
performance for the coming quarters until year end" in anticipation that
its retail malls will continue to attract shoppers.
The firm is however less optimistic about the office space segment on
new supply coming into the market. Hence, retention of good tenants
will be a preferred strategy for revenue growth, Pavilion said.