KUALA LUMPUR (Jan 23): Axis Real Estate Investment Trust (Axis REIT) posted a 15.39% year-on-year increase in net property income (NPI) for the fourth quarter ended Dec 31, 2024 (4QFY2024), contributed by its new acquisitions and new tenancies.

For the 4QFY2024, Axis REIT’s NPI rose to RM76.35 million, compared to RM66.16 million a year earlier, thanks to its newly acquired properties, new tenancies from its logistics warehouse Axis Mega Distribution Centre (Phase 2), as well as positive rental reversion from the existing portfolio.

Besides, Axis REIT also realised a RM66,000 net gain from the sale of Axis Steel Centre@SiLC, which was completed in December 2024.

Revenue climbed 16.16% to RM87.76 million from RM75.56 million, according to the REIT’s filing with Bursa Malaysia.

However, net income for 4QFY2024 declined by 17.45% to RM91.01 million, compared to RM110.25 million in 4QFY2023, due to a 39.23% drop in the fair value of its investment properties.

Aside from the fourth interim income distribution of 1.1 sen per unit paid on Nov 29, 2024, Axis REIT has proposed a final income distribution of 1.27 sen per unit for the quarter under review, with the book closure and payment dates to be announced later. 

This will bring its total distribution per unit for FY2024 to 9.27 sen, higher than the 8.65 sen paid out in FY2023.

For the full FY2024, Axis REIT’s NPI increased 12.71% to RM276.62 million from RM245.43 million in FY2023. Revenue also grew 11.93% to RM320.1 million from RM285.99 million in the previous year.

Looking ahead, the REIT’s manager, Axis REIT Managers Bhd, expressed confidence in sustaining Axis REIT’s performance in FY2025, citing the strong performance of its current property portfolio and its strategy to actively pursue quality investment opportunities.

Shares of Axis REIT closed a sen higher, or 0.58%, at RM1.74 on Thursday, valuing the REIT at RM3.48 billion.