Dexus swings to first-half profit
Make us a preferred source
Make us a preferred source on Google
The news: Property investor Dexus notched a statutory net profit of $10.3 million for the six months to December, swinging from a net loss of $597.2 million in the prior corresponding period, and reiterated its full-year guidance.
The numbers: Adjusted funds from operations (AFFO) fell 13.9% year on year to $251.8 million, weighed down by higher interest rates, lower trading profits and the continued impact of higher incentives across the portfolio.
However, Dexus reiterated its full-year AFFO guidance of 44.5 to 45.5 cents per share and distributions of 37 cents per share.
The context: Dexus said the swing to first-half profit was primarily driven by lower fair valuation losses on investment property, as a result of stabilising capitalisation rates across its portfolio compared to the prior corresponding period.
AFFO declined during the period as office and industrial property funds from operations decreased, primarily due to the impact of divestments and lower industrial one-off income.
The source: ASX announcement
