Keppel DC REIT property, Keppel DC Singapore 4. (Keppel DC REIT)

Keppel DC REIT has reported gross revenue of SGD60.2 million for its 1Q 2020, an increase of 25.5% year-on-year.

Net property income (NPI) was up 28.3% at SGD55.4 million, while distributable income increased by 32% to SGD35.8 million including capex reserves.

As a result, indicated distribution per unit (DPU) for the quarter is 2.085 cents, up 8.6% year-on-year.

However, Keppel DC REIT has adopted a half-yearly announcement of financial statements with effect from the financial year ending 31 December 2020, and no distribution has been declared for the quarter.

The REIT’s aggregate leverage for the quarter was at 32.2% with average cost of debt at 1.7%.

For the quarters ahead, Keppel DC REIT expects to see healthy demand for its properties.

“Demand is expected to hold up in a pandemic as data centres support mission critical operations”, said the REIT in an update on 21 April.

The REIT also expects higher data traffic as well as accelerated pace of cloud and technological adoption as more work and transact from home in 2020 due to the COVID-19 outbreak.

Keppel DC REIT was last done on the Singapore Exchange (SGX) at SGD2.44.

By Shariffa Al-Habshee

Shariffa joined REITsWeek in 2017, and monitors Asia-Pacific REITs for the publication.