There are 3 REITs sponsored by Mapletree Investments Pte Ltd, a leading real estate development, investment, capital, and property management company headquartered in Singapore: Mapletree Industrial Trust (SGX: ME8U), Mapletree Logistics Trust (SGX: M44), and Mapletree Pan Asia Commercial Trust (SGX: N2IU).

Each of the 3 REITs invests in different types of properties in various geographical locations – for the case of Mapletree Industrial Trust, it invests industrial and data centre properties in Singapore, US, and Japan; for Mapletree Logistics Trust, it invests in logistics properties in 9 countries (including Singapore) in the APAC region; and for Mapletree Pan Asia Commercial Trust invests in commercial properties (used for office and/or retail purposes) in 5 key gateway markets in Asia.

All 3 Mapletree REITs have since released their financial results for the 1st quarter of FY2024/25 ended 30 June – starting off with Mapletree Logistics Trust on 24 July, followed by Mapletree Industrial Trust one day later (25 July), and then Mapletree Pan Asia Commercial Trust on 30 July.

In this post, you will find my review on each of the 3 REITs’ latest results (presented in the order which their results are released) in terms of their latest financial figures, portfolio occupancy and debt profile, as well as distribution payout to unitholders (all 3 Mapletree REITs continue to declare a distribution payout on a quarterly basis – which is something I like as it gives me a stable stream of income in on a more regular basis).

Let’s get started:

Mapletree Logistics Trust (SGX: M44U) – Results Released on 24 July 2024

Brief Introduction:

Listed on the Singapore Exchange in July 2005, Mapletree Logistics Trust, or MLT for short, was Singapore’s first Asia Pacific-focused logistics REIT. Its investment focuses on quality, well-located income-producing logistics real estate.

Currently, its portfolio comprises of 188 properties located in the following locations (arranged alphabetically, with the number of properties in brackets): Australia (14), China (43), Hong Kong (9), India (3), Japan (24), Malaysia (14), Singapore (48), South Korea (21), and Vietnam (12), with a total value of S$13.4 billion.

Financial Results (Q1 FY2023/24 vs. Q1 FY2024/25):

	Q1 FY2023/24	Q1 FY2024/25	% Variance
Gross Revenue (S$’mil)	$182.2m	$181.7m	-0.3%
Property Operating Expenses (S$’mil)	$24.1m	$25.0m	+3.9%
Net Property Income (S$’mil)	$158.1m	$156.7m	-0.9%
Distributable Income to Unitholders (S$’mil)	$112.0m	$103.7m	-7.4%

My Observations: Overall, it’s a weaker set of results reported by MLT for the 1st quarter of FY2024/25.

Gross revenue dipped by 0.3% to S$181.7m, mainly due to lower contribution from existing properties (mainly in China), absence of revenue contribution from divested properties, and a weaker Japanese Yen and Chinese Yuan against the Singapore Dollar.

However, this was partially mitigated by higher contribution from existing properties in Singapore and Hong Kong, as well as from the newly acquired properties in Malaysia and Vietnam, along with full quarter contributions from acquisitions in Japan, South Korea, Australia, and India completed in FY2023/24.

Coupled with an increase in property operating expenses (by 3.9%, mainly due to full quarter contribution from acquisitions contributed in FY2023/24, along with higher utility expenses), net property income fell by a bigger percentage (compared to the percentage decline seen in its gross revenue) at 0.9%.

The 7.4% fall in MLT’s distributable income to unitholders was due to higher borrowing costs (which went up by 9.4% to S$38.5m), as well as lower divestment gain (of S$5.7m for Q1 FY2024/25, compared to S$8.4m in Q1 FY2023/24).

Portfolio Occupancy Profile (Q4 FY2023/24 vs. Q1 FY2024/25):

The following table is a comparison of MLT’s portfolio occupancy profile recorded for the 1st quarter of FY2024/25 ended 30 June, against that reported in the previous quarter 3 months ago (i.e., 4th quarter of FY2023/24 ended 31 March):

	Q4 FY2023/24	Q1 FY2024/25
Portfolio Occupancy (%)	96.0%	95.7%
Rental Reversion (%)	+2.7%	+2.6%
Portfolio WALE (by NLA – years)	3.0 years	2.9 years

My Observations: The slight decline in MLT’s portfolio occupancy can be attributed to a dip in occupancy rates of its properties in all of the countries it has properties in except for Japan (which rose from 98.2% in Q4 FY2023/24 to 98.7% in Q1 FY2024/25), Australia (which inched up slightly from 99.2% in Q4 FY2023/24 to 99.3% in Q1 FY2024/25), as well as in Hong Kong and India (where there occupancy rate remained the same at 95.6% and 100% respectively).

However, I note that the occupancy rates of all of its properties in all the countries are at a very high level of 95.0% and above, except for China, at 93.1% (even so, I think it is at a good level).

Positive rental reversions were recorded for new and/or renewed leases in all of the countries except for China, which was at a negative rental reversion of -11.3% (compared to a negative rental reversion of -10.0% in Q4 FY2023/24, the decline continued this quarter).

Finally, lease expiry profile in the coming 3 years (including the current financial year 2024/25 under review) is well-staggered, with an average of about 23.4% of leases due for renewal each year.

Debt Profile (Q4 FY2023/24 vs. Q1 FY2024/25):

Similar to how I have reviewed the logistics REIT’s portfolio occupancy profile in the previous section, in this section, I will also be reviewing its debt profile by comparing the statistics reported in the current quarter under review (i.e., Q1 FY2024/25 ended 30 June) against that reported in the previous quarter 3 months ago (i.e., Q4 FY2023/24 ended 31 March):

	Q4 FY2023/24	Q1 FY2024/25
Aggregate Leverage (%)	38.9%	39.6%
Interest Coverage Ratio (times)	3.7x	3.6x
Average Term to Debt Maturity (years)	3.8 years	3.7 years
Average Cost of Debt (%)	2.7%	2.7%
% of Borrowings Hedged to Fixed Rates (%)	84%	83%

My Observations: The 0.7 percentage point (pp) increase in aggregate leverage (to 39.6%) was due to additional loans drawn to fund the acquisitions in Malaysia and Vietnam completed in Q1 FY2024/25, partially offset by loan repayment with proceeds from divestments.

Looking at the REIT’s debt maturity profile, it only has 3% (or S$197m) of borrowings due for refinancing in the remaining 3 quarters of FY2024/25 – which is minimal. In the coming 4 financial years (i.e., between FY2025/26 and FY2028/29), it has an average of about 18% of borrowings due for refinancing each year, with the remaining 26% of borrowings due for refinancing only in FY2029/30 or later – which I consider to be well-staggered.

Distribution Payout to Unitholders:

For Q1 FY2024/25, a distribution payout of 2.068 cents/unit. Compared its payout of 2.271 cents/unit, this represented a 8.9% decline, due to a lower distributable income to unitholders, as well as a higher unit base (which grew by 1.5% compared to a year ago).

Again, just like in the previous quarter, the dividend reinvestment plan will be applied to this quarter’s distribution payout. You will receive more information about it shortly.

Finally, if you are a unitholder of MLT, do take note of the following on its distribution payout:

Ex-Date: 31 July 2024
Record Date: 01 August 2024
Payout Date: 18 September 2024

CEO Ms Jean Kam's Comments and Outlook (from the REIT’s Press Release):

“MLT has delivered another set of resilient operational results underpinned by its geographically diversified portfolio. Nevertheless, we continue to face headwinds from persistently high borrowing costs, regional currency depreciation and weakness in China. We will continue to adopt prudent risk management strategies to navigate through these challenging times, while driving our portfolio rejuvenation strategy to strengthen MLT's resilience.”

My Review on The Singaporean Investor’s YouTube Channel:

Mapletree Industrial Trust (SGX: ME8U) – Results Released on 25 July 2024

Brief Introduction:

Listed on the Singapore Exchange in October 2010, Mapletree Industrial Trust, or MIT for short, invests in a diversified portfolio of income-producing real estate used primarily for industrial purposes (including hi-tech buildings, business park buildings, flatted factories, stack-up/ramp-up buildings, and light industrial buildings) in Singapore, as well as data centre purposes worldwide beyond the city state.

Currently, its portfolio comprises 83 properties in Singapore, 56 properties in North America (including 13 data centres held through the joint venture with Mapletree Investments Pte Ltd), and 1 property in Japan, valued at S$9.0 billion.

Financial Results (Q1 FY2023/24 vs. Q1 FY2024/25):

	Q1 FY2023/24	Q1 FY2024/25	% Variance
Gross Revenue (S$’mil)	$170.6m	$175.3m	+2.7%
Property Operating Expenses (S$’mil)	$39.8m	$42.7m	+7.4%
Net Property Income (S$’mil)	$130.8m	$132.5m	+1.3%
Distributable Income to Unitholders (S$’mil)	$89.9m	$97.9m	+9.0%

My Observations: Overall, its a stable set of results for the REIT, where its gross revenue, net property income, as well as its distributable income to unitholders all saw y-o-y improvements – and personally for me as a unitholder, it is encouraging to note.

Gross revenue was up by 2.7% to S$175.3m, which can be attributed to contributions from data centre in Osaka, Japan, which was acquired in September 2023, along with new leases and renewals across various property clusters. However, this was partially offset by a loss of income in the North American portfolio due to non-renewal of leases, and divestment of the Tanglin Halt cluster in March 2024.

The 7.4% climb in property operating expenses is due to higher utilities and marketing costs, which led to its net property income recording a smaller percentage improvement, by 1.3% to S$132.5m.

Finally, the distributable income to unitholders rose by 9.0% to S$97.9m mainly due to higher net property income, and higher distribution declared by joint venture (due to distribution withheld in Q1 FY2023/24 in view of the uncertainty arising from a MIT tenant’s filing of Chapter 11 of the United States Bankruptcy Code on 4 June 2023), partially offset by higher borrowing costs.

Portfolio Occupancy Profile (Q4 FY2023/24 vs. Q1 FY2024/25):

Moving on, let us have a look at MIT’s portfolio occupancy profile in the table below – you will find statistics reported for the current quarter (i.e., Q1 FY2024/25 ended 30 June) compared against the previous quarter 3 months ago (i.e., Q4 FY2023/24 ended 31 March):

	Q4 FY2023/24	Q1 FY2024/25
Portfolio Occupancy (%)	91.4%	91.9%
Portfolio WALE (by Gross Rental Income – years)	4.40 years	4.60 years

My Observations: Just like its financial performance, portfolio occupancy profile have also improved – particularly, its occupancy rate was up by 0.5pp to 91.9%, which can be attributed to an improvement in occupancy rates in its data centres (up from 87.7% in Q4 FY2023/24 to 89.2% in Q1 FY2024/25), hi-tech buildings (up from 88.6% in Q4 FY2023/24 to 89.3% in Q1 FY2024/25), as well as in its stack-up/ramp-up buildings (up from 96.4% in Q4 FY2023/24 to 97.4% in Q1 FY2024/25).

Lease expiries in the coming years ahead (including in the remaining 3 quarters of the current financial year 2024/25) are very well-spread out – with about 17% of leases due for renewal each year.

Debt Profile (Q4 FYFY2023/24 vs. Q1 FY2024/25):

The table below is a comparison of MIT’s debt profile – just like for its portfolio occupancy profile, you will find statistics reported for Q4 FY2024/25 ended 30 June compared against that reported in Q1 FY2024/25 ended 31 March:

	Q4 FY2023/24	Q1 FY2024/25
Aggregate Leverage (%)	38.7%	39.1%
Interest Coverage Ratio (times)	4.5x	4.7x
Average Term to Debt Maturity (years)	3.8 years	3.6 years
Average Cost of Debt (%)	3.1%	3.2%
% of Borrowings Hedged to Fixed Rates (%)	84.6%	82.1%

My Observations: Unlike its financial performance and portfolio occupancy, MIT’s debt profile (for the current quarter under review, compared against the previous quarter 3 months ago) was a mixed bag – with aggregate leverage and average cost of debt inching up slightly to 39.1% and 3.2% respectively, along with its percentage of borrowings hedged to fixed rates down slightly to 82.1%, while its interest coverage ratio improved slightly to 4.7x.

As far as the REIT’s aggregate leverage is concerned, it is still at a very healthy level – where there remains a good debt headroom before the regulatory limit of 50.0% is reached. Also, with 82.1% of borrowings hedged at fixed rates, it is one of the highest among the 40+ Singapore-listed REITs.

In terms of debt maturity, it only has 6% (or S$203m) of borrowings due for refinancing in the remaining 3 quarters of the current financial year 2024/25. In the next 4 financial years (between FY2025/26 and FY2028/29), it has about 20.5% of borrowings due for refinancing each year – which I consider to be well-spread out. The remaining 12% of borrowings will be due for refinancing only in FY2030/31 or later.

Distribution Payout to Unitholders:

For Q1 FY2024/25, a distribution payout of 3.43 cents/unit was declared – a slight 1.2% improvement from its payout of 3.39 cents/units declared last year, mainly driven by a higher net property income, a higher distribution declared by joint venture, Mapletree Rosewood Data Centre Trust.

Additionally, the REIT’s distribution payout this time round includes the distribution of net divestment gain of S$13.4m from 115A & 115B Commonwealth Drive over 4 quarters from Q1 FY2024/25 to Q4 FY2024/25.

The REIT will resume its distribution reinvestment plan this time round to help maintain a healthy debt headroom for growth opportunities. More details will be made available shortly.

If you are a unitholder of MIT, do take note of the following dates regarding its distribution payout:

Ex-Date: 01 August 2024
Record Date: 02 August 2024
Payout Date: 12 September 2024

CEO Ms Lily Ler’s Comments & Outlook (from the REIT's Press Release):

“MIT has made a positive start to the financial year, marked by the revenue contribution from the Osaka Data Centre. We remain cautious of the pressures from higher property operating expenses and borrowing costs amid an uncertain macroeconomic environment. Going forward, we will continue to execute our growth strategy through accretive investments and selective divestments of non-core assets. The resumption of the DRP will help to maintain a healthy debt headroom for growth opportunities.”

My Review on The Singaporean Investor’s YouTube Channel:

Mapletree Pan Asia Commercial Trust (SGX: N2IU) – Results Released on 30 July 2024

Brief Introduction:

First listed as Mapletree Commercial Trust in April 2011, where it invests in commercial properties in Singapore, it was renamed to Mapletree Pan Asia Commercial Trust, or MPACT for short, in August 2022 following its merger with Mapletree North Asia Commercial Trust, which invests in commercial properties in Hong Kong, China, Japan, and South Korea.

Currently, its portfolio comprises 17 properties across 5 key gateway markets of Asia (with the number of properties in brackets): Singapore (4), Hong Kong (1), China (2), Japan (9), and South Korea (1). The REIT has a total portfolio value of S$15.7 billion.

Financial Results (Q1 FY2023/24 vs. Q1 FY2024/25):

	Q1 FY2023/24	Q1 FY2024/25	% Variance
Gross Revenue (S$’mil)	$237.1m	$236.7m	-0.2%
Property Operating Expenses (S$’mil)	$57.9m	$57.3m	-1.1%
Net Property Income (S$’mil)	$179.2m	$179.4m	+0.1%
Distributable Income to Unitholders (S$’mil)	$114.8m	$110.8m	-3.5%

My Observations: Overall, it was a rather muted set of results for MPACT for the 1st quarter of the financial year 2024/25, compared against the same time period last year.

Gross revenue inched down by 0.2% to S$236.7m due to lower contribution from its overseas properties (particularly from its properties in China and Japan due to unfavourable forex impact), partially offset by higher contribution from its Singapore properties (coming from fixed rent, car park income, as well as advertising and promotion income).

As a result of a 1.1% decline in its property operating expenses (mainly due to lower utility expenses and property tax), MPACT’s net property income edged up by 0.1% to S$179.4m.

Distribution income to unitholders fell by 3.5% to S$110.8m due to a 9.5% jump in finance costs on Singapore Dollar, Hong Kong Dollar, and Japanese Yen borrowings.

Portfolio Occupancy Profile (Q4 FY2023/24 vs. Q1 FY2024/25):

In the table below, you’ll find a comparison of MPACT’s portfolio occupancy profile recorded for Q1 FY2024/25 ended 30 June against that recorded in Q4 FY2023/24 ended 31 March:

	Q4 FY2023/24	Q1 FY2024/25
Portfolio Occupancy (%)	96.1%	94.0%
Portfolio WALE (by Gross Rental Income – years)	2.4 years	2.5 years

My Observations: Portfolio occupancy fell by 2.1pp to 94.0% as a result of a decline in the occupancy rates in all of its properties except in China (which inched up from 87.5% in Q4 FY2023/24 to 88.2% in Q1 FY2024/25).

In terms of rental reversions for new and/or renewed leases in the quarter, only the properties in Singapore recorded a positive rental reversion. Zooming into rental reversions in China – even though in the first quarter, it was at a negative -1.3%, but it was an improvement from a negative -2.7% recorded in the previous quarter. However, rental reversions in Japan weakened from a negative rental reversion of -1.9% in the previous quarter to -12.7% in the current quarter, and rental reversions in The Pinnacle Gangnam in South Korea fell from a positive rental reversion of +39.0% in the previous quarter to a negative rental reversion of -10.9% this quarter.

Finally, lease expiries in the coming 4 years (including the remaining 3 quarters of the current financial year) are very well-staggered, with an average of about 10% of retail leases, and 10% of office/business park leases due for renewal each year.

Debt Profile (Q4 FY2023/24 vs. Q1 FY2024/25):

Just like how I have reviewed MPACT’s portfolio occupancy profile in the previous section, I will also be comparing the commercial REIT’s debt profile by taking the statistics reported for the current quarter under review (i.e., Q1 FY2024/25) against that reported in the previous quarter 3 months ago (i.e., Q4 FY2023/24), and you can find them in the table below:

	Q4 FY2023/24	Q1 FY2024/25
Aggregate Leverage (%)	40.5%	40.5%
Interest Coverage Ratio (times)	2.9x	2.8x
Average Term to Debt Maturity (years)	3.0 years	3.1 years
Average Cost of Debt (%)	3.4%	3.5%
% of Borrowings Hedged to Fixed Rates (%)	77%	79%

My Observations: Compared to the previous quarter 3 months ago, MPACT’s debt profile was little changed.

However, following the completion of divestment of Mapletree Anson on 31 July, with proceeds to be allocated towards debt reduction, MPACT’s aggregate leverage will be lowered to 37.6%, and interest coverage ratio will be improved to 3.3x. Debt headroom will also be expanded to S$3.9 billion.

Finally, debt maturity is well-staggered out, with an average of 16.2% of borrowings due for refinancing each year over the next 6 financial years (including the remaining 3 quarters of the current financial year under review).

Distribution Payout to Unitholders:

For Q1 FY2024/25, a distribution payout of 2.09 cents/unit was declared. Compared to its payout of 2.18 cents/unit in the same time period last year, this represented a 4.1% decline, due to unfavourable forex impact, as well as higher finance costs.

If you are a unitholder of MPACT, do take note of the following dates on its distribution payout:

Ex-Date: 06 August 2024
Record Date: 07 August 2024
Payout Date: 12 September 2024

CEO Ms Sharon Lim's Comments & Outlook (from the REIT's Press Release):

“Despite the broad market headwinds during the quarter, we remain confident in MPACT's ability to maintain a steady trajectory. Our Singapore assets have effectively buffered against foreign exchange fluctuations and softness in certain overseas markets. The portfolio's resilience, underpinned by healthy committed occupancy and positive rental reversion, particularly in Singapore, reinforces our ability to navigate through market cycles.

We are implementing strategic initiatives to drive future performance. At VivoCity, a major upgrading of Basement 2 is underway in two key phases. The first phase will increase food kiosks, while the second phase focuses on transforming lower yielding space, adding approximately 14,000 square feet of new retail area by converting carpark space. Capitalising on the area's high footfall, this initiative is set to enhance VivoCity's appeal, elevate shopper experience, and is set to deliver approximately 10% return on investment. 2 This project exemplifies our proactive approach to asset management and driving organic growth.

In addition, the proposed divestment of Mapletree Anson, a non-core asset, will bolster our financial position and strategic agility, and is expected to generate approximately 1.5% accretion to DPU (for FY23/24 on a pro forma basis). Post-divestment, Singapore remains the cornerstone of MPACT, comprising over 50% of our portfolio. Looking ahead, our management approach will continue to be agile and adaptive, focused on long-term value creation for our unitholders.”

My Review on The Singaporean Investor’s YouTube Channel:

Closing Thoughts

Here’s a quick recap of each of the 3 Mapletree REIT’s latest Q1 results:

Mapletree Logistics Trust:

Financial Performance:

• Overall a weaker one, with the 0.3% dip in gross revenue due to lower contribution from existing properties in China, absence of revenue contribution from divested properties, along with a weaker Japanese Yen and Chinese Yuan against the Singapore Dollar.
• Distribution payout to unitholders fell by 7.4% due to higher borrowing costs, as well as lower divestment gain.

Portfolio Occupancy Profile:

• Even though it dipped by 0.3pp, but it is still at a healthy level of 95.7%; with occupancy rates of its properties in all the countries but China having an occupancy rate of above 95.0%.
• Rental reversion of China worsened compared to the previous quarter (i.e., Q4 FY2023/24) – where it was at -11.3% for the current quarter under review compared to -10.0% in the previous quarter.

Debt Profile:

• Aggregate leverage inched up further to 39.6% due to additional loans drawn to fund for acquisitions in Malaysia and Vietnam completed in Q1 FY2024/25.
• MLT only has 3% of borrowings due for refinancing in the remainder of FY2024/25, and an average of 18% of borrowings due for refinancing each year over the next 4 years (between FY2025/26 and FY2028/29).

Distribution Payout to Unitholders:

• Fell by 8.9% to 2.271 cents/unit, due to lower distributable income to unitholders, and as higher unit base.

Mapletree Industrial Trust:

Financial Performance:

• Stable performance with gross revenue, net property income, and distributable income to unitholders recording y-o-y improvements of 2.7%, 1.3%, and 9.0% respectively.
• Improvements in gross revenue and net property income mainly attributed to newly acquired data centre in Osaka, Japan, along with new leases and renewals across various property clusters.
• Distributable income to unitholders was up due to a higher net property income, and higher distribution declared by joint venture, Mapletree Rosewood Data Centre Trust.

Portfolio Occupancy Profile:

• Portfolio occupancy improved by 0.5pp to 91.9% due to improvements in occupancy rates in its data centres, hi-tech buildings, as well as in its stack-up/ramp-up buildings.
• Lease expiries well-spread out over the next 4 financial years (including the current financial year under review), with about 17% of leases due for renewal every year.

Debt Profile:

• Slight negative here, with aggregate leverage and average cost of debt inching up slightly to 39.1% and 3.2% respectively, and percentage of borrowings hedged to fixed rates down slightly to 82.1%.
• However, at 39.1%, it is still a healthy level, and a good debt headroom to the regulatory limit of 50.0%.

Distribution Payout to Unitholders:

• Up by 1.2% to 3.43 cents/unit, contributed by a higher net property income, a higher distribution declared by joint venture (Mapletree Rosewood Data Centre Trust), and distribution of net divestment gain from 115A & 115B Commonwealth Drive over 4 quarters from Q1 to Q4 of FY2024/25.

Mapletree Pan Asia Commercial Trust:

Financial Performance:

• Gross revenue inched down by 0.2% to S$236.7m due to lower contribution from its properties in China and Japan (due to lower occupancy rates and unfavourable forex impact), partially offset by higher contribution from its Singapore properties.
• Due to a 1.1% decline in property operating expenses, its net property income edged up by 0.1% to S$179.4m.
• A 9.5% jump in finance cost saw its distributable income to unitholders decline by 3.5% to S$110.8m.

Portfolio Occupancy Profile:

• Portfolio occupancy fell by 2.1pp from the previous quarter to 94.0%, due to declines in occupancy rates in all of the REIT’s properties except for China, which inched up from 87.5% in Q4 FY2023/24 to 88.2% in Q1 FY2024/25.
• Rental reversions for new and/or renewed leases were at a negative percentage for all the geographical locations except for Singapore.
• Lease expiries in the coming 4 financial years (including the current financial year under review) very well-staggered, with an average of 10% of retail leases, and 10% of office/business park leases due for renewal each year.

Debt Profile:

• Largely unchanged compared to the previous quarter, with aggregate leverage at 40.5%, interest coverage ratio at 2.8x, and percentage of borrowings hedged at fixed rates at about 79%.
• Debt maturity is well-staggered out, with approximately 16% of borrowings due for refinancing each year over the next 6 financial years (including the remaining 3 quarters of the current financial year under review.)

Distribution Payout to Unitholders:

• Declined by 4.1% to 2.09 cents/unit, due to unfavourable forex impact, and higher finance costs.

In Closing:

Among the 3, I would say Mapletree Industrial Trust have the best set of results – where its financial performance is the only one that has managed to record a year-on-year increase in its gross revenue, net property income, and distribution payout to unitholders. The REIT is also the only one that have saw an increase in distribution payout for the 1st quarter.

In terms of portfolio occupancy rates, all 3 of them continue to maintain it at a very high level of above 90%. The same can also be said for its debt profile – in particular, their aggregate leverage has a good debt headroom to go before the regulatory limit of 50.0% is reached.

Looking ahead, I’m of the opinion that Mapletree Logistics Trust’s financial performance will continue to record a year-on-year decline in the remaining quarters of the current financial year as a result of headwinds in its properties in China (due to a lower occupancy rate, as well as a negative rental reversion for new and/or renewed leases). Weaker forex against the strong Singapore Dollar is another factor that will impact its financial performance.

For the case of Mapletree Pan Asia Commercial Trust, of particular concern is the negative rental reversion rates recorded for new and/or renewed leases in Japan and South Korea – which will impact its financial performances for the remaining quarters of the current financial year. This is on top of the weaker forex against the strong Singapore Dollar.

Finally, for the case of Mapletree Industrial Trust, I am of the opinion that should the REIT continue with its distribution reinvestment plan in the coming quarters, the dilution may impact its distribution payout in the coming quarters ahead. In terms of its financial performance in the remaining 3 quarters of the current financial year, I am of the view that it will more or less be similar to that reported this quarter.

With that, I have come to the end of my review of the 1st quarter results posted by the 3 Mapletree REITs. Do note that all the opinions expressed in this post are solely mine, which I am sharing for educational purposes only. They do not constitute any buy or sell calls for any of the REITs’ units. Please do your own due diligence prior to making any investment decisions.

Related Documents

Mapletree Logistics Trust:

• Press Release
• Financial Statements
• Presentation Slides

Mapletree Industrial Trust:

• Press Release
• Financial Statements
• Presentation Slides

Mapletree Pan Asia Commercial Trust:

• Press Release
• Financial Statements
• Presentation Slides

Disclaimer: At the time of writing, I am a unitholder of Mapletree Industrial Trust, Mapletree Logistics Trust, and Mapletree Pan Asia Commercial Trust.

The post My Review of the Mapletree REITs' Q1 FY2024/25 Results first appeared on The Singaporean Investor.