KUALA LUMPUR (Oct 28): Axis Real Estate Investment Trust (KL:AXREIT) (Axis REIT) saw its third quarter net property income (NPI) rise 12% to RM69.35 million from RM61.90 million a year earlier, as it recognised contribution from newly acquired properties.

New tenancies from its logistics warehouse Axis Mega Distribution Centre (Phase 2) and positive rental reversion from its existing portfolio also boosted its NPI for the three months ended Sept 30, 2024 (3QFY2024), while total revenue or trust income came in at RM80.27 million, 11.8% higher than the RM71.81 million it logged a year ago, its Monday bourse filing showed.

The REIT, which focuses on industrial assets, declared a third interim income distribution of 2.35 sen per unit, payable on Nov 29. This brings income distribution to 6.90 sen per share year-to-date, up 0.65 sen compared with the 6.25 sen it paid in the same period last year.

For the first nine months of FY2024 (9MFY2024), the REIT posted an 11.7% increase in NPI to RM200.27 million from RM179.27 million in 9MFY2023, as total trust income rose 10.4% to RM232.34 million from RM210.44 million previously.

Its total net asset value stood at RM2.82 billion as at Sept 30, 2024, down 0.09% from RM2.83 billion as at Dec 31, 2023, with a net asset value per unit (before 2024’s third interim income distribution) of RM1.62.

With the recent completion of the acquisitions of Axis Facility 3 @ Bukit Raja and Axis Facility 1 @ Pulau Indah — both fully occupied as of October 2024 — Axis REIT Managers Bhd chief executive officer Leong Kit May said the manager of the REIT expects to further enhance Axis REIT’s income in the quarters ahead.

"With 69 properties strategically located across Malaysia, we are confident in sustaining our growth, supported by strong recurring rental income and active portfolio management,” she said in a separate statement. 

Axis REIT units settled one sen or 0.56% higher at RM1.81, valuing the REIT at a market capitalisation of RM3.16 billion.