Excerpts from CGSCIMB report

Parkway Life Reit (SGX: C2PU)

1H22 DPU of 7.06 Scts was in line, at 49.9% of our FY22F forecast. Stronger Singapore contributions with inbuilt rental escalation, Japan net income hedged till 1Q27. Reiterate Hold rating with an unchanged TP of S$5.05.

Parkway Life Reit 1H22 results highlights

Parkway Life Reit (PREIT) posted 1% and 1.1% yoy increases in its 1H22 revenue and NPI, respectively, to S$60.2m/S$56m. The improvement was due to contributions from new Japan properties acquired in Jul and Dec 2021, and higher rent from Singapore properties. This was partly offset by divestment of Matsudo and depreciation of the ¥. 1H22 DPU of 7.06 Scts, was up 1.5% yoy. In terms of capital management, PREIT’s gearing stood at 32.5% at end-1H22. PREIT’s gearing stood at 34.5% at end-1Q22. All-in cost of debt was at 0.61%, with 82% of its debt hedged into fixed...