ARREIT reports RM10.1m net profit

KUALA LUMPUR: AmanahRaya Real Estate Investment Trust (ARREIT) reported a net profit of RM10.1 million for the fourth quarter (4Q) for financial year ended Dec 31, 2010 an increase of 23% from RM8.1 million reported in the same quarter a year ago.

In a filling to Bursa Malaysia on Friday, Feb 11, revenue stood at RM16.3 million for Q4FY2010 compared to RM12 million in the preceding year's corresponding quarter, due to an upward revision in rental rates for several investment properties as well as rental received from two new investment properties. Basic earnings per share is 1.76 sen, compared to 1.89 sen a year earlier.

For the whole financial year ended Dec 31, 2010 under review, net profit was at RM41.4 million compared to RM30.8 million in FY2009. Revenue for the whole year increase 28% to RM59.5 million from RM46.5 million in FY2009.

On future prospect, the ARREIT said that it is continuously ensure its existing assets within the portfolio are well maintained to ensure the stability of rental incomes and the fund benefits from capital appreciations.

ARREIT is also actively identifying good assets for new acquisition to continuously improve the yield and further diversify the portfolio to minimise the sectoral risk, adding that the strategy of having assets with long-term leases by reputable lessees shall continue to be the focus of ARREIT to ensure sustainable return.