IGB REIT 3Q profit leaps 740.4% to RM54m

KUALA LUMPUR: Two big acquisitions last year pushed IGB real estate investment trust’s (IGB REIT) net profit to RM53.8 million for the third quarter ended Sept 30, a 740.4% surge year-on-year from RM6.4 million previously.

Revenue rose to RM108 million, 8.8 times higher than RM12.3 million a year ago. Earnings per share improved to 1.58 sen compared with 0.19 sen a year ago.

For the nine months, IGB REIT recorded a net profit of RM153.9 million, increasing more than 24 times from RM6.4 million previously. Its revenue also rose in the same quantum to RM316.41 million from RM12.3 million.

In a note to Bursa Malaysia yesterday, IGB REIT attributed the better performance to the acquisitions of Mid Valley Megamall and the Gardens Mall at a combined value of RM4.6 billion. The acquisitions were completed in September last year.

IGB REIT said it expects the financial performance for 2013 financial year ending Dec 31 to be satisfactory.

This article first appeared in The Edge Financial Daily, on October 25, 2013.