MapleTree Log Trust

The Board of Directors of Mapletree Logistics Trust Management Ltd. (“MLTM”), manager (“Manager”) of Mapletree Logistics Trust (“MLT”), is pleased to announce that for the financial quarter ended 30 June 2019 (“1Q FY19/20”), MLT’s amount distributable to Unitholders rose 20.8% year-on-year to S$73.6 million while distribution per Unit (“DPU”) grew 3.5% to 2.025 cents on an enlarged unit base.

 Gross revenue for 1Q FY19/20 increased 13.6% year-on-year to S$119.8 million while net property income (“NPI”) saw an 18.2% rise to S$106.1 million. The improvement in results was underpinned by a stable performance from existing properties as well as contributions from the completed

redevelopment of Mapletree Ouluo Logistics Park Phase 1 and accretive acquisitions completed in FY18/19. Overall growth was partially offset by the absence of contribution from five properties in Japan divested during 1Q FY19/20 and two properties in Singapore divested in FY18/19

Total debt outstanding declined by S$127 million from the previous quarter to S$2,963 million. The lower bank borrowings was largely due to repayment of loans with proceeds from the divestment of five properties in Japan, partially offset by additional loans drawn to fund capital expenditure as well as higher net translated foreign currency loans attributable to the appreciation of JPY and HKD.

 Accordingly, MLT’s aggregate leverage decreased to 36.8% as at 30 June 2019 from 37.7%. The weighted average borrowing cost for 1Q FY19/20 was 2.8%2 per annum.


FCF of $45066 ( $50217 - $5151) doesn't seem to be able to cover the DPU payout of $59,599.
Interest payment + Perpetual payment of another $25m..

I think is good to be cautious!

Tomorrow we will know how the market reacts to this set of financial numbers.

NAV 1.17
P/B - 1.38x
Dpu of 2.025 x 4 = 8.1 cents, Yield is about 5%.

Ideally would prefer a min yield of 6% that is around $1.35 level.

Not a call to buy or sell.

Pls dyodd.