Sunway REIT 4Q net income RM154m

KUALA LUMPUR: Sunway Real Estate Investment Trust (REIT) recorded net income of RM154.05 million in the fourth quarter ended June 30, 2011, mainly arising from fair value gain on portfolio of assets.

Sunway REIT said on Thursday, Aug 11 that of the RM154.05 million, of which RM41.07 million were realised and the remaining RM112.98 million unrealised. In the previous corresponding period, the realised net income was RM44.13 million.

Gross revenue rose 3.7% to RM87.29 million from RM84.16 million while net property income was 2.8% higher at RM64.98 million compared with RM63.19 million.

Sunway REIT declared an income distribution totaling RM43.53 million, down 6.7% from the RM46.63 million a year ago. Its distribution per unit (DPU) was 1.62 sen.

For the FY ended June 30, net income was RM553.66 million compared with RM166.17 million in the previous financial year. The higher net income was due to an unrealized income of RM386.35 million mainly arising from fair value gain on portfolio of assets.

Gross revenue was 1.4% higher at RM327.41 million from RM322.97 million a year ago while net property income was 1.1% higher at RM244.01 million versus RM241.37 million.

For the just ended FY, income distribution declared was RM176.57 million, juist a marginal 0.1% higher than the RM176.45 million a year ago.

Sunway REIT said the original eight assets performed well despite temporary setback by Putra Place’s law suits.

It also said that the double digit rental reversion for its portfolio of 14.4% was locked in for next three years. The year-to-date total return for institutional investors who bought at 90 sen at its initial public offer was 29.3%.