- Main Sector(s): Hospitality
- Country(s) with Assets: Australia, Singapore, England, Japan, Germany, Malaysia & Scotland
- No. of Properties (exclude development/associate/fund): 15
Performance Highlight
- REIT sponsor's shareholding: ± 10% from median
- REIT manager's shareholding: Above median for more than 10%
- Directors of REIT manager's shareholding: Above median for more than 20%
Lease Profile
- WALE: Above median for more than 20%
- Highest lease expiry within 5 years: Below median for more than 20%; Falls in 2024
- Weighted average land lease expiry: Above median for more than 20%
Debt Profile
- Gearing ratio: Above median for more than 10%
- Cost of debt: ± 10% from median
- Fixed rate debt %: ± 10% from median
- Unsecured debt %: Above median for more than 20%
- WADM: Below median for more than 20%
- Highest debt maturity within 5 years: ± 10% from median; Falls in 2023
- Interest coverage ratio: Below median for more than 20%
Diversification Profile
- Top geographical contribution: Below median for more than 20%
- Top property contribution: ± 10% from median
- Top 5 properties' contribution: ± 10% from median
- Top tenant contribution: Above median for more than 20%
- Top 10 tenants' contribution: Above median for more than 20%
Key Financial Metrics
- Property yield: Below median for more than 20%
- Management fees over distribution: Above median for more than 20%; $3.39 distribution for every dollar paid
- Distribution on capital: Below median for more than 20%
- Distribution margin: Below median for more than 20%
Trends
- Downtrend: DPU, NAV per Unit, Property Yield, Interest Coverage Ratio, Distribution on Capital, Distribution Margin
Relative Valuation
- P/NAV: Above +2SD for 1y; Above +1SD for 3y & 5y
- Dividend Yield: Average for 1y; Below average for 3y; Below -1SD for 5y
Author's Opinion
| Favorable | Less Favorable |
|---|---|
| High REIT Manager's Shareholding | High Gearing Ratio |
| High Directors of REIT Manager's Shareholding | Short WADM |
| Long WALE | Low Interest Coverage Ratio |
| Well Spread Lease Expiry | High Top Tenant & Top 10 Tenants Contributions |
| Long Weighted Average Land Lease Expiry | Low Property Yield |
| High Unsecured Debt % | Non-Competitive Management Fees |
| Low Top Geographical Contribution | Low Distribution on Capital |
| Low Distribution Margin | |
| DPU Downtrend | |
| NAV per Unit Downtrend | |
| Property Yield Downtrend | |
| Interest Coverage Ratio Downtrend | |
| Distribution on Capital Downtrend | |
| Distribution Margin Downtrend |
Performance has declined slightly as compared to the previous half-year due to the end of government quarantine business in Australia and the impact of Omicron variant. Moving forward, FHT performance is expected to recover gradually as more countries have re-open borders to travelers. Below is the snapshot of borders opening from the latest presentation:
You could also refer below for more information:
SREITs Dashboard - Detailed information on individual Singapore REIT
SREITs Data - Overview and Detail of Singapore REIT
REIT Analysis - List of previous REIT analysis posts
Singapore REITs Post Telegram Channel - Join to receive posts for Singapore REITs
REIT-TIREMENT Patreon - Support my work and get exclusive contents
REIT-TIREMENT Facebook Page - Support by liking my Facebook Page
REIT Investing Community - Facebook Group where members share and discuss REIT topic
*Disclaimer: Materials in this blog are based on my research and opinion which I don't guarantee accuracy, completeness, and reliability. It should not be taken as financial advice or a statement of fact. I shall not be held liable for errors, omissions and loss or damage due to the use of the material in this blog. Under no circumstances does the information presented on this blog represent a buy, sell, or hold recommendation on any security, please always do your own due diligence before any decision is made.
No comments:
Post a Comment