I consider this as one gem I have in my stock portfolio. Mapletree Commercial Trust currently makes up 10% of my stock portfolio. On 23rd April 2019, Mapletree Commercial Trust announced their 4QFY18/19 financial results. 4Q FY18/19 gross revenue and Net Property Income (NPI) grew 3.7% and 3.9% respectively. Income available for distribution was up 3.1%.
Here are the 4QFY18/19 financial results compared with 4QFY17/18.
| 4QFY18/19 (S$’000) | 4QFY17/18 (S$’000) | Change | |
| Gross Revenue | 112,899 | 108,880 | 3.7% |
| Net Property Income | 87,560 | 84,285 | 3.9% |
| Distributable Income | 66,861 | 64,839 | 3.1% |
| Distribution Per Unit (“DPU”) (cents) | 2.31 | 2.27 | 1.8% |
All financial results are positive!
Here are the full year FY18/19 financial results compared with FY17/18.
| FY18/19 (S$’000) | FY17/18 (S$’000) | Change | |
| Gross Revenue | 443,893 | 433,525 | 2.4% |
| Net Property Income | 347,627 | 338,845 | 2.6% |
| Distributable Income | 264,027 | 260,359 | 1.4% |
| Distribution Per Unit (“DPU”) (cents) | 9.14 | 9.04 | 1.1% |
Debt
As of 31st March 2019, the gearing ratio stood at 33.1%. The average term to maturity of debt is 3.6 years.
Occupancy
Overall portfolio committed occupancy stood at 98.5%.
Dividend Yield
Based on the dividend payout of 9.14 cents and current stock price of $1.92, this translates to a dividend yield of 4.76%. This means Mapletree Commercial Trust is considered expensive right now as most retail REITs should offer a dividend yield above 5%.
Catalyst
Giant at the basement has been replaced by FairPrice. FairPrice has started fit-out works for an integrated space of estimated 91,000 square feet while the remaining estimated 24,000 square feet of recovered anchor space on Level 1 and Basement 2 has been fully committed. The enhancement work is scheduled for completion by 2Q FY19/20, the entire changeover will deliver estimated 40% Return On Investment (ROI) in addition to positive rental uplift.