PETALING JAYA: The net profit of Axis Real Estate Investment Trust (Axis-REIT) increased by almost a quarter in the first quarter ended March 31, on the back of higher income.

       Axis-REIT, which owns 60 properties according to its website, reported a 24.64% year-on-year (y-o-y) jump in net profit to RM39.84mil in the January to March 2022 period.

       In comparison, the REIT made a net profit of RM31.96mil in the previous corresponding quarter.

       Axis-REIT’s revenue also increased by double digits in the first quarter, at a growth rate of 16.02% y-o-y to RM66.69mil from RM57.48mil a year earlier.

       In a filing with Bursa Malaysia yesterday, Axis-REIT said the realised net income from its operations was RM39.1mil for the latest first quarter.

       This is after deducting total expenditure of RM27.59mil, of which RM8.76mil were attributable to property expenses and RM18.83mil to non-property expenses.

       “The manager has proposed to distribute 99% from realised income available for distribution generated from operations for the first quarter of 2022,” it said.

       Axis-REIT proposed a distribution per unit (DPU) of 2.42 sen in the January to March 2022 period, as compared to 2.23 sen in the previous corresponding quarter.

       The trust’s earnings per unit (EPU) were 2.44 sen in the first quarter.

       “During the financial period ended March 31, a total of RM5.35mil has been incurred for enhancement of the properties of Axis-REIT.

       “Out of this amount, RM2.68mil was incurred for the ongoing development project, namely the proposed development of Bukit Raja Distribution Centre 2 (BRDC 2),” it said.Looking ahead, the management of Axis-REIT said they remain cautious of the current Covid-19 pandemic which has caused a global economic downturn.

       “During this challenging and uncertain time, the manager is actively managing the portfolio and exercising prudent capital management at all times in order for Axis-REIT to deliver sustainable EPU and DPU payout to the unitholders.

       “Positively, the current gearing level of 29% provides headroom for Axis-REIT to continue its yield accretive acquisition strategy should good opportunities come along,” it said in the filing.As per its website, Axis-REIT offers a diverse range of warehouse and office spaces to the business segment. Its 60 properties are located across Klang Valley, Johor, Penang, Pahang, Negri Sembilan and Kedah.