AIMS APAC REIT (O5RU) H1 2026 earnings summary

Executive summary

• Achieved robust financial and portfolio results in 1H FY2026, with gross revenue up 0.2% to S$93.7 million and net property income up 1.1% to S$68.4 million, supported by disciplined capital management and targeted acquisitions.

• Distributions to unitholders rose 1.6% to S$38.6 million, with DPU up 1.1% to 4.720 Singapore cents.

• Portfolio occupancy remained high at 93.3%, with committed leases raising it to 95.1% and positive rental reversions of 7.7%.

• Portfolio expansion included the acquisition of Framework Building, projected to deliver 2.5% DPU accretion and 8.1% NPI yield in Year 1.

• Sustainability initiatives advanced, including solar installations and a four-year consecutive GRESB score improvement.

Financial highlights

• Net income before joint venture profits rose 9.9% year-over-year to S$44.5 million.

• Share of profits from joint venture (Optus Centre, Australia) declined 22.5% to S$5.7 million due to accounting adjustments and AUD weakness.

• Borrowing costs fell 18% to S$16.0 million, reflecting lower floating rates and amortisation.

• Net asset value per unit was S$1.22 as at 30 September 2025, down from S$1.30 a year earlier.

• Cash and undrawn committed facilities totaled S$169.7 million, providing financial flexibility.

Outlook and guidance

• Management remains focused on selective acquisitions, active asset management, prudent capital management, and strategic partnerships.

• Singapore's economy grew 2.9% year-over-year in Q3 2025, with growth expected to moderate and manufacturing sector stable.

• US Federal Reserve implemented two 25bps rate cuts in 2025; RBA kept cash rate at 3.6% as inflation picked up.

• Ongoing infrastructure investments in Australia support long-term growth potential.

• Rising demand for modern logistics and high-spec industrial space positions the portfolio for sustainable growth.