Wednesday, 1 August 2018

(The Star) YTL Hospitality REIT fourth quarter earnings 11% up

PETALING JAYA: YTL Hospitality Real Estate Investment Trust (REIT) recorded a 10.95% jump in earnings to RM67.55mil for the fourth quarter to June 30 on the back of the better performance of its Australian properties as a result of an increase in room sales following the completion of a refurbishment exercise.

Its Australian properties contributed some 67.73% of total revenue in the current quarter.

Revenue for the period improved marginally to RM116.6mil from RM111.13mil previously due to the weakening ringgit. For the full-year period, net profit increased to RM236.56mil from a previous loss of RM12.12mil. Revenue was almost the same at RM500.95mil from RM449.68mil previously.

This huge jump in earnings was due to a few reasons, key among them being an unrealised foreign currency gain on the Australian-dollar term loan of RM107.27mil, compared to a translation loss of RM83.54mil during the previous financial year.

There was also a fair-value gain on properties of RM58.23mil and an additional net property income of RM22.73mil, mainly contributed by its Malaysian properties.

YTL Hospitality REIT is proposing a dividend of 1.97 sen for the quarter from 1.93 sen in the same period a year ago. For the full year, this would amount to dividends of 7.87 sen from 8.08 sen previously.

In a filing with Bursa Malaysia, YTL Hospitality REIT said the income available for distribution in the current quarter of RM33.49mil was an increase of 9.24% from the previous period, mainly contributed by the acquisition of The Majestic Hotel Kuala Lumpur in November 2017.