Ascendas Hospitality Trust (A-HTRUST) saw its distribution per stapled security (DPS) increase 25.5 percent year-on-year to 1.72 cents in the fourth quarter ended March 2018 from 1.37 cents previously.
This comes as income available for distribution, minus the income retained for working capital, increased 26.3 percent to $19.5 million, largely due to the inclusion of fees received in connection with the divestment of the two hotels in Beijing.
Gross revenue and net property income fell 4.6 percent and 8.0 percent to $54.7 million and $23.7 million respectively.
On a full year basis, DPS grew 3.2 percent to 5.86 cents. Gross revenue inched up by 0.1 percent to $224.4 million, while net property income dropped 3.5 percent to $95.7 million.
In a statement, A-HTRUST revealed that its portfolio valuation posted a modest growth of $10.5 million, or 0.6 percent growth year-on-year to $1.634 billion this year.
Its balance sheet “remained healthy with gearing ratio of 30.8 percent as at 31 March. 77.2 percent of the borrowings are on fixed rates to mitigate against volatile interest rate environment”, it said.
Looking ahead, A-HTRUST expects competition in suburban Sydney and Melbourne hotel markets to intensify, while that in Singapore is expected to ease.
“The hotel market performance for Osaka is expected to remain stable with moderate growth in the near term as inbound visitors to the city is expected to continue supporting the hotel market,” it added.