• The S$395 million Commercial Mortgage Backed Securities
(Euro Term Notes) were refinanced and the proportion of
unencumbered properties increased to 86.1% from 62.2%
of the portfolio.
• Weighted average all-in borrowing cost was maintained at
2.7% per annum.
• Lengthened debt maturity profile from 3.3 years to 3.6 years.
• 68.2% of A-REIT’s interest rate risk exposure is hedged
with a weighted average duration of 3.7 years.
Accolades
• A-REIT was the Winner of the “Most Transparent Company
Award” in the REITs and business trusts category at the
2014 Securities Investors Association (Singapore) Investors’
Choice Awards for the 4
th
consecutive year.
• A-REIT was awarded the Certificate of Excellence in Investor
Relations at the IR Magazine Awards & Conference – South
East Asia 2014.
• A-REIT achieved 2
nd
place in the Most Honoured Company
(Singapore) category by Institutional Investor in their 2014 All-
Asia Executive Team rankings. In addition, Executive Director
and CEO of the Manager, Mr Tan Ser Ping, was awarded
3
rd
Place in the Best CEO (Property, sell-side) category.
• Aperia and DBS Asia Hub were awarded Green Mark
(Platinum) Certification by Singapore’s Building &
Construction Authority.
The Manager continued with its three-pronged strategy of
proactive portfolio management, disciplined investment and
prudent capital and risk management whilst adapting to the
changing landscape both in Singapore and China, to deliver
predictable income and capital stability for A-REIT’s Unitholders.
FINANCIAL PERFORMANCE
FY14/15 FY13/14 Variance
Number of properties
as at 31 March
107
105
+2
Gross revenue
(S$ million)
673.5 613.6 +9.8%
NPI (S$ million)
462.7 436.0 +6.1%
Total amount available
for distribution
(S$ million)
351.1 342.0 +2.7%
DPU for the financial
year (cents)
14.60 14.24 +2.5%
Gross revenue increased 9.8% to S$673.5 million, due to full
year income contribution from investments made in FY13/14
(mainly from Nexus @one-north and A-REIT City @Jinqiao)
and maiden contributions from investments made in FY14/15
(mainly from Hyflux Innovation Centre and Aperia).
These new investments, as well as the conversion of some
properties from single-tenant to multi-tenant, contributed to
higher property operating expenses (+18.7%).
Net property income increased 6.1% from S$436.0 million to
S$462.7 million.
Total amount available for distribution grew 2.7% to
S$351.1 million.
DPU grew 2.5% to 14.60 cents in FY14/15 as compared with
14.24 cents in FY13/14. The Manager continued to pay out
100% of A-REIT’s taxable income available for distribution.
As at 31 March 2015, A-REIT remained the largest business
space and industrial REIT listed on the SGX-ST with total assets
and market capitalisation of S$8.2 billion and S$6.2 billion
respectively.
ENHANCING A-REIT’S BRANDING
During the year, we embarked on a campaign to establish a
consistent corporate image across our properties. Several
properties have been repainted in our corporate colours and
are now easily identifiable as A-REIT’s properties. We will
progressively enhance our assets to improve marketability and
differentiate our offerings from our competitors to maintain our
leadership position.
9 Changi South Street 3
Nan Wah Building
INVESTMENT HIGHLIGHTS
During the financial year, the Manager focused on strengthening
its portfolio via the acquisitions of high-quality properties and
implementation of asset enhancement initiatives to improve
portfolio returns. The Manager completed the acquisition
of Aperia, Hyflux Innovation Centre and The Kendall for a
total of S$770.6 million. Asset enhancement initiatives worth
S$60.0 million across seven properties were also completed.
These include the addition of a new warehouse annex block at
LogisTech, conversion of amenities space at 1 Changi Business
Park Crescent and various upgrading works at some of the
properties to improve building specifications.
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