Axis Real Estate Investment Trust reported a 5.7% increase in realised net income to RM39.1 million for its third quarter results for the financial year ending 31 December 2022 from RM37 million in the previous corresponding quarter.
The increased realised net income came on the back of higher total trust income which increased by 16.4% to RM71.7 million from RM61.6 million a year ago. The total trust income growth was driven by contributions from newly acquired properties coupled with positive rental reversions recorded from the tenancy renewals and contracted step-ups in the past one year.
Year-to-date, the real estate company has completed three acquisitions, which include its largest-ever acquisition of the RM390.0 million DW1 Logistics Warehouse in Pelabuhan Tanjung Pelepas, Johor, bringing its total portfolio to 61 properties as at 30 September 2022. It is currently in the midst of finalising the recently proposed acquisition of an RM41 million industrial facility in Klang, Selangor, which is slated for completion by the fourth quarter of 2022.
For the nine months ended 30 September 2022, the group recorded a total trust income of RM210.9 million, rising by 17.5%, year on year, from RM179.5 million. The realised net income increased by 21.4% to RM121.1 million from RM99.8 million for the corresponding period last year.
Axis-REIT’s management company, Axis REIT Managers Berhad has proposed to distribute 99% of the realised income available for distribution for the quarter under review, as the third interim income distribution for the financial year ending 31 December 2022. This gives a distribution per unit of 2.45 sen which includes a non-taxable portion of approximately 0.62 sen per unit derived from capital allowances, industrial building allowances, and tax-exempt profit income which is not subject to tax.
