Hutchison Port Holdings Trust (HPHT) have been in a downtrend since its IPO days.
Investors like myself were attracted to the dividend yield. Its net asset to debt is comparatively lower than the REITs, so its in a good situation there.
Unfortunately, unlike a lot of the REITs the results in these transhipment ports have been very challenging.
HPHT just announced their latest first quarter 2018 results and net profit is down by 12.9%.
That isn’t surprising.
What we find interesting would be the slight change in narrative in the commentary.
If we start reading from 1st quarter 2017 commentary:
then 2nd quarter 2017:
then 3rd quarter 2017:
then this 1st quarter 2018:
The narrative seems to be a cut and copy for the first 3 quarter. For the upcoming first quarter there is a shift in tune. It gives the idea that perhaps management think they are not ......