Keppel REIT (K71U) Investor presentation summary

FY 2024 key highlights

• Property income rose 12.2% year-on-year to $261.6m, with net property income up 10.7% to $201.9m.

• Distribution per unit (DPU) decreased by 3.4% to 5.60 cents due to higher borrowing costs.

• Portfolio committed occupancy reached 97.9%, with a strong rental reversion of +13.2%.

• Aggregate leverage stood at 41.2%, with 69% of borrowings on fixed rates and an all-in interest rate of 3.40% p.a.

• Portfolio WALE was 4.7 years, with top 10 tenants’ WALE at 9.0 years.

Financial results and capital management

• Net property income attributable to unitholders increased 11.7% to $182.9m.

• Distributable income from operations declined 2.1% to $194.5m, mainly due to higher borrowing costs.

• Adjusted NAV per unit was $1.24, down 3.9% from the previous year.

• Sustainability-focused funding made up 82% of total borrowings, with a disciplined approach to refinancing and capital management.

Portfolio review and performance

• $9.5b diversified portfolio across Singapore, Australia, South Korea, and Japan, anchored by prime commercial assets.

• Singapore contributed 69.1% of attributable NPI, Australia 27.0%, South Korea 3.4%, and Japan 0.5%.

• New assets and expansions, including 255 George Street and 2 Blue Street, supported higher NPI in Australia.

• Portfolio WALE was 4.7 years, with a well-staggered lease expiry profile and high tenant retention.