Frasers Centrepoint Trust posts 2.6% higher second-half DPU to hit new full-year record payout

Singapore-based Frasers Centrepoint Trust (FCT) reported a 2.6% increase in its distribution per unit (DPU) for the second half of FY2026, reaching $0.06214 on Oct 22. This surpassed the prior half-year figure of $0.06059 and contributed to a new full-year record payout of $0.1235. H2 distributable income rose 3.3% to $127.2 million, while revenue grew 8.7% to $223 million.

Net property income increased 11.5% to $160.9 million for the half-year period. For the full year, distributable income climbed 8.2% to $252.2 million, revenue surged 14.2% to $444.9 million, and net property income expanded 15.7% to $321.7 million. CEO Richard Ng attributed the strong performance to robust operating metrics, capital recycling strategies, and asset enhancement initiatives.

The trust also divested White Sands for $467 million, providing additional debt headroom for reinvestment in the Bayshore Drive site. FCT's leverage decreased to 38.7% as of Sept 30, with gearing expected to reach 36.8% after repaying borrowings from White Sands divestiture. Group short-term borrowings fell to $111 million, and the average borrowing cost was 3.2%, down from 3.8% in FY2025.

The trust anticipates Singapore's suburban retail market to remain resilient, with committed occupancy at 99.7% and rental reversions averaging 6.6% for FY2026.