BUSINESS

AXIS REIT SHARES UP AFTER FIRST QUARTER PROFIT JUMP

24/04/2024 12:28 PM

KUALA LUMPUR, April 24 (Bernama) -- Axis Real Estate Investment Trust (Axis REIT) shares on Bursa Malaysia rose in early trade today after its net profit increased to RM42.27 million in the first quarter of 2024 (1Q 2024) from RM30.30 million in the same period last year. 

As of 11 am, Axis REIT added 3.0 sen to RM1.89 with 793,700 shares changing hands.

The REIT’s revenue also improved to RM75.54 million from RM70.17 million previously. 

"The (REIT) manager is optimistic that given the satisfactory performance of Axis-REIT’s existing property portfolio and its growth strategy to actively pursue quality investments, it will be able to maintain its current performance for the financial year ending Dec 31, 2024," it said in a stock exchange filing yesterday. 

MIDF Research said Axis REIT's first quarter core net income of RM40.9 million met expectations, making up 26 per cent and 24 per cent of consensus full-year estimates respectively.

"We maintain our earnings forecast for FY 2024/2025/2026. Earnings outlook for Axis REIT is expected to be stable due to the defensive nature of its industrial assets. Rental income is expected to grow steadily due to healthy demand for industrial space and as most of its single-tenanted assets are on the pre-agreed step-up rate.

"Besides, its active asset acquisition will spur earnings growth as Axis REIT has a total estimated value of target acquisitions of RM200 million," it said in a note today.

MIDF said it continues to like Axis REIT for its exposure to industrial assets which is underpinned by healthy demand for industrial space and has maintained a 'buy' call on Axis REIT with an unchanged target price (TP) of RM2.00.

-- BERNAMA


BERNAMA provides up-to-date authentic and comprehensive news and information which are disseminated via BERNAMA Wires; www.bernama.com; BERNAMA TV on Astro 502, unifi TV 631 and MYTV 121 IFLIX channels and BERNAMA Radio on FM93.9 (Klang Valley), FM107.5 (Johor Bahru), FM107.9 (Kota Kinabalu) and FM100.9 (Kuching) frequencies.

Follow us on social media :
Facebook : @bernamaofficial, @bernamatv, @bernamaradio
Twitter : @bernama.com, @BernamaTV, @bernamaradio
Instagram : @bernamaofficial, @bernamatvofficial, @bernamaradioofficial
TikTok : @bernamaofficial

© 2024 BERNAMA   • Disclaimer   • Privacy Policy   • Security Policy