Latest news with #DHLT
Business Times
3 days ago
- Business
- Business Times
Daiwa House Logistics Trust H1 DPU drops 8.6% to S$0.0224
[SINGAPORE] The manager of Daiwa House Logistics Trust (DHLT) on Friday (Aug 8) posted a distribution per unit (DPU) of S$0.0224 for its first half ended Jun 30, down 8.6 per cent from S$0.0245 in the previous corresponding period. This was attributed to higher interest expenses and lower realised exchange gains. The higher interest expenses were mainly due to new borrowings drawn for acquisitions and a higher interest rate as a result of the refinancing and restructuring of onshore yen borrowings in November 2024, said the manager. Net property income (NPI) for the period stood at S$22.5 million in Singapore-dollar terms, up 6.1 per cent from S$21.2 million previously, in light of the contributions from D Project Tan Duc 2 in Vietnam and newly added freehold logistics property DPL Gunma Fujioka in Japan. Gearing stood at 40.7 per cent as at Jun 30, with a weighted average lease expiry of 6.5 years. The interest coverage ratio including distribution for perpetual securities was 6.6 times, and portfolio occupancy was 93.2 per cent. For the Japan portfolio, NPI in yen terms declined 0.5 per cent this half year to 2.39 billion yen (S$20.8 million) from 2.4 billion yen in the corresponding year-ago period, as contributions from DPL Gunma Fujioka, DPL Ibaraki Yuki and DPL Kawasaki Yako were offset by vacancies and higher property-related expenses. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up Gross rental income in yen was 1.1 per cent higher at 2.8 billion yen for the period, from 2.77 billion yen. The manager warned that new supply of logistics space in Japan is expected to decline due to rising costs for construction and land, though the fundamentals of the Japan logistics market are expected to remain strong. Industries such as e-commerce are expected to provide support for demand. As for Vietnam, its other market, DHLT's manager said occupancy rates for industrial and logistics facilities generally improved due to factors such as the growing economy and e-commerce activities. Jun Yamamura, chief executive of the manager, said: 'Apart from the vacated space in DPL Sendai Port, leasing activities have been healthy in H1 FY2025... We will continue to work on the remaining vacant space in DPL Koriyama and DPL Sendai Port.' The manager also stated that US trade policy is likely to bring about near-term uncertainty, even as long-term fundamentals of the logistics sectors in DHLT's operating markets remain healthy. 'We remain vigilant of the near-term market uncertainties as we continue to focus on improving the occupancy of the portfolio,' said Yamamura. Units of DHLT closed 0.9 per cent or S$0.005 higher at S$0.575 on Thursday.
Business Times
09-05-2025
- Business
- Business Times
Daiwa House Logistics Trust posts 9.9% lower Q1 distributable income of S$8.2 million
[SINGAPORE] Daiwa House Logistics Trust (DHLT) announced on Friday (May 9) that its distributable income for the quarter was 9.9 per cent lower at S$8.2 million, from S$9.2 million in the same year-ago period. This was mainly attributed to increased interest expenses from additional borrowings, higher interest rates due to the refinancing and restructuring of loans, and lower realised exchange gains. Net property income (NPI) of the overall portfolio for the quarter stood at S$11.1 million in Singapore-dollar terms, up 2.7 per cent from S$10.8 million, in light of the acquisition of a single-storey cold-storage warehouse D Project Tan Duc 2 in Vietnam in September 2023. This was the real estate investment trust (Reit)'s first foray into Vietnam. Meanwhile, for the Japan portfolio, NPI in yen terms declined 1 per cent this quarter to 1.19 billion yen (S$10.6 million) from 1.2 billion yen in the corresponding year-ago period, as contributions from two-storey warehouse DPL Ibaraki Yuki acquired in March 2024 was offset by vacancies in the Japan portfolio and higher property-related expenses. Gross rental income in yen was 0.1 per cent higher at 1.39 billion yen for the period, from 1.389 billion yen. The Japan logistics market faced near-term challenges due to large supply of logistics space in certain sub-markets in recent years, said the manager. 'However, the logistics sector in Japan is expected to be stable in the long term with demand well-supported by factors such as the growth of e-commerce, which is a key driver of the demand for logistics space, continued expansion of the third-party logistics sector, and increased demand for distribution bases in relay points due to restrictions on overtime of truck drivers,' it added. The logistics segment in Vietnam is similarly expected to be positive, supported by the country's economic expansion, e-commerce sector growth and further infrastructure investments. Units of DHLT closed 1.8 per cent or S$0.01 higher at S$0.575 on Thursday.
