Was extremely delighted to see that SPH Reit increasing its quarterly dividend distribution again!
Below is the chart from SPH Reit that shows the profile of its dividend distribution in the last seven quarters.
Understandably, COVID19 had hit it and its shareholders hard in 2020. We had to accept 1/4 of the typical quarterly dividend and pray hard that COVID would pass and dividend distribution would be restored.
While COVID is still with us, we have learned to live with it by making changes to our lifestyle and doing widespread vaccination among the population. Footfall of Heartland mall has largely returned and tenants’ sales has restored.
As a result, retail mall reit companies are feeling less anxious about cashflow and thus having more confidence to restore dividends.
Based on the last 4 quarters, SPH Reit is providing shareholders with 4.5% yield. If the next quarter is also 1.2 cents or so, then the yield would increase further to 5.3% which is back to the “good old days”...