Mapletree Pan Asia Commercial Trust (N2IU) Q2 24/25 earnings summary

Executive summary

• Total assets under management stood at S$15.5 billion as of 30 September 2024, spanning 17 commercial properties across five Asian markets.

• Singapore assets, especially VivoCity, drove higher comparable gross revenue and NPI, offsetting overseas headwinds and FX impacts.

• Aggregate leverage reduced to 38.4% after Mapletree Anson divestment; portfolio committed occupancy at 90.3%.

• Divestment of Mapletree Anson completed on 31 July 2024 for S$775 million, strengthening the balance sheet.

• Portfolio resilience supported by positive rental reversions and proactive asset management.

Financial highlights

• 2Q FY24/25 gross revenue was S$225.6 million (down 6.1% YoY); NPI at S$167.7 million (down 8.5% YoY); DPU: 1.98 cents (down 11.6% YoY).

• 1H FY24/25 gross revenue: S$462.3 million (down 3.1% YoY); NPI: S$347.1 million (down 4.2% YoY); DPU: 4.07 cents (down 7.9% YoY).

• Amount available for distribution in 2Q was S$104.0 million (down 11.9% YoY).

• Net finance expenses fell 2.6% YoY in 2Q FY24/25 due to debt repayment from divestment proceeds.

• Net loss after tax for 2Q FY24/25 was S$9.1 million, mainly due to fair value losses on investment properties.

Outlook and guidance

• Singapore remains a stable anchor, with high occupancy and healthy rental reversions expected to support performance.

• Management expects continued resilience from Singapore assets, with proactive strategies to address challenges in Japan and China.

• Market softness in Makuhari, Japan, is expected to have limited impact due to its small portfolio share; strategic options are being assessed.

• No plans for DPU top-ups or share buybacks at present; capital recycling and selective acquisitions/divestments will be considered based on market conditions.

• Broader market faces uncertainties from geopolitical tensions, interest rates, and new supply in key markets.