Hektar Real Estate Investment Trust (Hektar REIT) posted a stronger set of first-quarter results for the period ended March 31, 2026 (1Q26), with net realised income rising 11.8% year-on-year to RM4.65 million, supported by improved occupancy, positive rental reversion and ongoing cost optimisation across its retail portfolio.
Revenue remained broadly stable at RM31.02 million, while net property income (NPI) increased 1.8% to RM15.28 million, with margins strengthening to 49.2% from 48.5% a year earlier, reflecting improved operational efficiency and better tenant mix.
Leasing activity remained healthy during the quarter, with committed occupancy rising to 86.1%. Hektar REIT secured 30 new and renewed tenancies, achieving a 3% positive rental reversion, anchored by new and renewed tenants including Target Supermarket, Honda and Lucky Cup, which further enhanced footfall-driving tenant composition across its malls.
Portfolio resilience was also supported by continued tenant remixing initiatives and disciplined cost management, which helped offset a still-cautious retail environment.
As at end-March 2026, total assets stood at RM1.46 billion, while net asset value per unit remained stable at RM1.045. Total borrowings were recorded at RM603.13 million.
Executive Director and CEO of Hektar Asset Management, Zainal Iskandar, said the results reflected the effectiveness of ongoing operational initiatives and improving leasing traction across its retail assets, while highlighting the resilience of its education-linked income stream.
Looking ahead, he shared that the REIT remains cautiously optimistic, supported by improving retail conditions, stable domestic demand and continued opportunities from asset enhancement initiatives and income-accretive acquisitions.
