Frasers Logistics & Commercial Trust (BUOU) Q4 2025 earnings summary

Executive summary

• Portfolio comprised 113 properties valued at S$6.9 billion as of 30 September 2025, with 95.1% occupancy and a WALE of 4.8 years.

• FY2025 revenue rose 5.6% year-over-year to S$471.5 million, with adjusted net property income up 1.9% to S$326.1 million.

• Distributable income declined 12.1% year-over-year to S$224.7 million, mainly due to higher finance costs and tax expense.

• Distribution per unit (DPU) for FY2025 was 5.95 Singapore cents, down 12.5% from FY2024.

• Strategic acquisition of a prime logistics asset in Singapore and divestment of 357 Collins Street, Melbourne, enhanced logistics focus and exited the Melbourne CBD office market.

Financial highlights

• Revenue for 2HFY25 increased 3.7% year-over-year to S$239.2 million; adjusted net property income up 2.2% to S$164.9 million.

• DPU before divestment gains rose 4.7% year-over-year in 2H FY2025.

• Distributable income for 2HFY25 was S$111.7 million, down 10.6% year-over-year.

• Aggregate leverage at 35.7% with S$507 million debt headroom to 40% AL.

• NAV per unit at S$1.10 as of 30 September 2025.

Outlook and guidance

• FY2026 distributions are not expected to exceed 2H FY2025 levels; about 75% of management fee to be paid in units.

• Strategic focus remains on growing logistics and industrial assets in developed markets with supply constraints.

• Prudent capital management and portfolio optimization are priorities to deliver long-term value.

• The REIT Manager continues to employ hedging strategies to mitigate FX and interest rate risks.

• Macroeconomic headwinds include inflation, interest rate volatility, and forex risks.