Listed industrial property fund Property For Industry has revealed a 4% increase in net rental income for the nine months to September in its third quarter results.But tax changes to the rules surrounding depreciation gave it a net loss for the period.
Listed industrial property fund Property For Industry has revealed a 4% increase in net rental income for the nine months to September in its third quarter results.
But tax changes to the rules surrounding depreciation gave it a net loss for the period.
Its net operating profit was up 15.3% to $13.7 million, but the new depreciation reporting rules meant its bottom line included a $35.3 million deferred tax liability, leaving it with a net loss of $11.1 million.
Its rental income had risen to $24.56 million thanks to rent reviews and the acquisition of its $22 million Mt Wellington property tenanted by DHL Supply Chain.
It has finished work on its property at 76 Carbine Rd, following a $1.7 million redevelopment and the building is leased to Atlas Gentech on an eight year term.
“Property For Industry’s interest costs for the nine months – the company’s largest single expense item – were again in line with the previous corresponding period at $5.963 million, with higher debt levels offset by lower interest rates,” its general manager Ross Blackmore said.
Based on distributable profit of $13.7 million, its net earnings of 6.36c a share were up from 5.58c last year.
Property For Industry’s portfolio consists of 54 properties valued at a total of $363.5 million. It is managed by AMP Capital Investors. Its shares were trading at $1.16 at press time.
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