The earnings season is upon us once again, and over the next couple of weeks, it’s time to have a look at the business updates or financial results posted by companies for the quarter ended 31 March 2025.
First up (at least where my investments are concerned) are the Mapletree REITs. Speaking of which, there are 3 of them listed on the Singapore Exchange, each with a different investment objective:
- Mapletree Logistics Trust (SGX: M44U) – it invests in logistics properties in Asia
- Mapletree Industrial Trust (SGX: ME8U) – it invests in industrial and data centre properties in Singapore, the United States, and recently, it diversified its investment into Japan
- Mapletree Pan Asia Commercial Trust (SGX: N2IU) – it invests in retail and/or office properties in key gateway cities in Asia, including Singapore, Hong Kong, China, Japan, and South Korea
2 things in common among the 3 Mapletree REITs – they are all included in Singapore’s benchmark Straits Times Index (STI), and they have a quarterly distribution payout policy.
Personally, I’m invested in all 3 of them (you can check out a full list of all the Singapore-listed companies I have investments in here), and over the next couple of days, I’ll be sharing my review of their latest 4Q and FY2024/25 results as and when they are made available.
Starting off this time round is Mapletree Logistics Trust (SGX: M44U), or MLT, where they have made available its 4Q and FY2024/25 results yesterday evening (23 April). For information, Mapletree Pan Asia Commercial Trust will be reporting its 4Q and FY2024/25 results before market hours on Friday (25 April), followed by Mapletree Industrial Trust next Wednesday (30 April) evening.
Before we begin, a quick introduction about MLT for those who are new to the Singapore-listed REIT – back when it was listed in July 2005, it was Singapore’s first Asia-focused logistics REIT. Currently, its portfolio comprises 180 properties in Singapore. Australia, China, Hong Kong, India, Japan, Malaysia, South Korea, and Vietnam, valued at S$13.3 billion.
On some of the latest developments by the REIT in recent months, it has made a number of divestment announcements – 2 properties in Malaysia (located in Shah Alam and Senai, Johor, completed between January and March 2025), and 1 in Singapore (31 Perjuru Lane, with the transaction expected to be completed by 2Q FY2025/26).
In this post, you will find my review of MLT’s latest financial figures, portfolio occupancy and debt profile, as well as its distribution payout to unitholders:
Financial Figures (4Q FY2023/24 vs. 4Q FY2024/25, and FY2023/24 vs. FY2024/25)
4Q FY2023/24 vs. 4Q FY2024/25:
| 4Q FY2023/24 | 4Q FY2024/25 | % Variance | |
| Gross Revenue (S$’mil) | $181.0m | $179.6m | -0.8% |
| Property Operating Expenses (S$’mil) | $25.7m | $26.8m | +4.3% |
| Net Property Income (S$’mil) | $155.3m | $152.8m | -1.6% |
| Distributable Income to Unitholders (S$’mil) | $110.4m | $99.1m | -10.2% |
The low single-digit percentage decline in MLT’s gross revenue and net property income in 4Q was pretty much similar to that reported in the first 3 quarters of the current financial year under review (compared against the respective time periods a year ago).
Gross revenue dipped by 0.8% year on year to S$179.6 million mainly due to lower contribution from existing properties mainly in China, absence of revenue contribution from divested properties, and effect from the depreciation of various currencies (such as the South Korean Won, Australian Dollar, and Japanese Yen) against the Singapore Dollar, partly offset by the appreciation of the Malaysian Ringgit and the Hong Kong Dollar.
Property operating expenses saw a 4.3% year-on-year increase to S$26.8 million due to higher utility expenses and property maintenance expenses, contributions from acquisitions completed in 1Q FY2024/25, partly offset by the absence of property expenses from divested properties, and effect from the depreciation of various currencies against the Singapore Dollar.
As a result of a lower net property income, coupled with a 4.0% year-on-year increase in borrowing costs (mainly due to higher average interest rate on existing debts, and incremental borrowings to fund acquisitions made in 1Q FY2024/25), along with an enlarged unit base, distributable income to unitholders fell by 10.2% year on year to S$99.1 million.
FY2023/24 vs. FY2024/25:
| FY2023/24 | FY2024/25 | % Variance | |
| Gross Revenue (S$’mil) | $733.9m | $727.0m | -0.9% |
| Property Operating Expenses (S$’mil) | $98.9m | $101.7m | +2.8% |
| Net Property Income (S$’mil) | $634.9m | $625.3m | -1.5% |
| Distributable Income to Unitholders (S$’mil) | $447.1m | $406.4m | -9.1% |
In terms of MLT’s financial results for the full year, it’s also a slightly weaker one compared to last year.
Particularly, its gross revenue inched down by 0.9% year on year to S$727 million due to lower contributions from existing properties (mainly in China), absence of revenue contribution from divested properties, and the effect of depreciation of various currencies (mainly the Japanese Yen, South Korean Won, Vietnamese Dong, Chinese Yuan, and Australian Dollar) against the Singapore Dollar.
Property operating expenses increased by 2.8% year on year to S$101.7 million mainly due to contributions from acquisitions completed in 1Q FY2024/25 and FY2023/24, higher utility expenses, and property-related taxes, partly offset by the absence of property expenses from divested properties and the effect from depreciation of various currencies against the Singapore Dollar.
Finally, with a lower net property income, higher borrowing costs (which increased by 7.5% compared to last year mainly due to higher average interest rate on existing debts, as well as incremental borrowings to fund acquisitions made in 1Q FY2024/25), along with an enlarged unit base, MLT’s distributable income to unitholders fell by 9.1% year on year to S$406.4 million.
Portfolio Occupancy Profile (3Q FY2024/25 vs. 4Q FY2024/25)
One of the headwinds surrounding MLT is the weakness in its China properties (with lower occupancy rates, and negative rental reversions). Apart from that, its properties in the other geographical locations continue to have a stable occupancy and rental reversion.
In the table below, you will find a comparison of MLT’s portfolio occupancy profile reported for the current quarter under review (i.e., 4Q FY2024/25 ended 31 March 2025) against that reported in the previous quarter 3 months ago (i.e., 3Q FY2024/25 ended 31 December 2024):
| 3Q FY2024/25 | 4Q FY2024/25 | |
| Portfolio Occupancy (%) | 96.3% | 96.2% |
| Rental Reversion (%) | +3.4% | +5.1% |
| Portfolio WALE (years) | 2.7 years | 2.8 years |
As far as MLT’s portfolio occupancy is concerned, even though it has inched down slightly (by 0.1 percentage points, or pp) to 96.2%, but looking at the occupancy rates of its properties in the various geographical locations, they have all been maintained at above 90% (even for China, which is at 94.0%, slightly improved compared to 93.5% in the previous quarter).
Rental reversions for the REIT have also improved – from +3.4% in 3Q FY2024/25 to +5.1% in 4Q FY2024/25 if rental reversions from China are included. New and/or renewed leases in all the geographical locations are in positive rental reversions except for those in China, which was at -9.4% (even so, its a slight improvement from -10.2% in 3Q FY2024/25).
Looking at lease expiries ahead, it has 32.3% of the leases due for renewal in FY2025/26, an average of 20.9% of leases due for renewal each year between FY2026/27 and FY2027/28, with the remaining 26.0% of leases due for renewal in FY2028/29 or later.
Debt Profile (3Q FY2024/25 vs. 4Q FY2024/25)
MLT boasts a healthy debt profile, with its aggregate leverage maintained at a comfortable level of around 40% and below, and also a very high percentage of borrowings hedged at fixed rates (above 80%, which helps to mitigate the impact of fluctuating interest rates on financing costs).
Has the logistics REIT continue to maintain this trend? Let us find out in the table below, where you’ll find a comparison of its debt profile reported for the current quarter under review (i.e., 4Q FY2024/25) against that reported in the previous quarter (i.e., 3Q FY2024/25):
| 3Q FY2024/25 | 4Q FY2024/25 | |
| Aggregate Leverage (%) | 40.3% | 40.7% |
| Interest Coverage Ratio (times) | 3.4x | 2.9x |
| Average Term to Debt Maturity (years) | 3.5 years | 3.8 years |
| Average Cost of Debt (%) | 2.7% | 2.7% |
| % of Borrowings Hedged to Fixed Rates (%) | 82% | 81% |
Compared to the previous quarter, MLT’s aggregate leverage have inched up slightly (to 40.7%), but its still a healthy distance away from the regulatory limit of 50.0%. While interest coverage ratio have also weakened slightly to 2.9x, but its still well about the statutory limit of 1.5x.
As far as its debt maturity in the coming financial years ahead is concerned, in the coming FY2026/27, it only has 7% of borrowings due for refinancing. Over the next 5 financial years (between FY2026/27 and FY2030/31), it has an average of about 16.8% of borrowings due for refinancing each year (which in my opinion is well-spread out), with the remaining 9% of borrowings due for refinancing only in FY2031/32 or later.
Distribution Payout to Unitholders
The following is MLT’s distribution payout to unitholders for 4Q FY2024/25, compared against its payout a year ago:
| 4Q FY2023/24 | 4Q FY2024/25 | % Variance | |
| Distribution Per Unit (S$’cents) | 2.211 cents | 1.955 cents | -11.6% |
Together with its payout of 2.068 cents/unit in 1Q, 2.027 cents/unit in 2Q, and 2.003 cents/unit in 3Q, MLT’s full year distribution payout for FY2024/25 amounts to 8.053 cents/unit – compared against its distribution payout of 9.003 cents/unit a year ago, this represented a 10.6% decline.
Distribution reinvestment plan will not be applied to the REIT’s distribution payout this time round, so all unitholders will receive their distributions in cash.
If you are a unitholder of MLT, do take note of the following dates on its upcoming distribution payout:
Ex-Date: 30 April 2025
Record Date: 02 May 2025
Payout Date: 13 June 2025
CEO Ms Jean Kam’s Comments and Outlook (from the REIT’s Press Release)
“Despite challenges in the China market, our geographically diversified portfolio has sustained a resilient operational performance with stable occupancy and positive rent reversions achieved in FY24/25. This has helped mitigate the drag on DPU from higher borrowing costs and a lower divestment gain.
Looking ahead, the macroeconomic outlook has grown more uncertain amid ongoing trade tensions, which could weigh on our business performance. Our priority in FY25/26 is to focus on tenant retention and cost management, as well as proactive capital management to mitigate the headwinds from higher borrowing costs and forex volatility. Our rejuvenation strategy remains intact as we continue to look out for potential opportunities to strengthen MLT’s resilience. Meanwhile, our redevelopment project at 5A Joo Koon Circle has received healthy interest from a broad range of industrialists seeking quality logistics space. Approximately 46% of the total 848,000 square feet of lettable space has been committed ahead of its TOP in May 2025 with another 30% of space in active negotiation.”
Closing Thoughts
MLT’s financial performance is still impacted by weaker currencies in the various countries against the Singapore Dollar, as well as from its contributions in China. However, for the latter, I saw some positives in that the occupancy rates of its properties in the country have improved slightly (from 93.5% in 3Q FY2024/25 to 94.0% in 4Q FY2024/25). In terms of its rental reversion, even though its still at a negative percentage (at -9.4%), but its slightly improved from the previous quarter (at -10.2%). I will be keeping a close watch on these 2 statistics in the coming quarters, to see if they continue to improve.
Apart from that, the logistics REIT has a very high portfolio occupancy rate (where its properties in all of the geographical locations are above 90%), with a positive rental reversion recorded (at +5.1%, which is an improvement from a positive rental reversion of +2.9% last year; also, its rental reversion for FY2024/25 is the highest in 5 financial years).
While aggregate leverage increased to 40.7% (which is the highest in 5 financial years), compared to 38.9% last year, but it’s still at a healthy level in my opinion. Finally, its debt refinancing over the years is very well-spread out.
With that, I have come to the end of my review of MLT’s latest results for the 4th quarter, as well as for the full year ended 31 March 2025. As much as I hope you’ve found the review useful, but do take note that all opinions expressed within are purely mine which I’m sharing for educational purposes only. They should not be taken as any buy or sell calls for the REIT’s units. You should always make your own due diligence before you embark on any investment decisions.
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Disclaimer: At the time of writing, I am a unitholder of Mapletree Logistics Trust.
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