REITs
3 Singapore REITs Paying Dividends in March
By Gerald Wong, CFA • 10 Mar 2024 • 0 min read
We feature three Singapore REITs that are paying out dividends this month.
In this article
What happened?
Investors love receiving dividends.
There is nothing nicer than the sound of money hitting your bank account.
Dividends not only serve as a tangible return on your investment but also act as a layer of passive income to supplement your earned income.
The good news is that the Singapore stock market is filled with stocks that pay out consistent dividends.
The REIT sector, in particular, stands out because of the dependable nature of its distributions.
After we shared a list of REITs that raised their dividends in 2023, some of you asked if we have a list of REITs paying out dividends this month.
Here are three stocks we uncovered that are paying out dividends later this month, including CapitaLand China Trust, Daiwa House Logistics Trust, and Far East Hospitality Trust.
Singapore REITs paying dividends in March
#1 – CapitaLand China Trust (SGX: AU8U)
First on the list is CapitaLand China Trust, or CLCT, Singapore’s largest China-focused REIT with a portfolio of nine shopping malls, five business park properties, and four logistics park properties.
CapitaLand China Trust’s share price has tumbled over the past year to reach a 52-week low of S$0.73.
The REIT’s gross revenue rose by 3.3% year on year in 2023 to RMB 1.91 billion, as its portfolio occupancy stood high at 91.4%.
Its retail portfolio enjoyed a strong rebound after China’s economy reopened, registering a 45.8% year-on-year jump in shopping traffic for 2023.
Tenant sales also shot up 41.5% year on year in the same year, exceeding 2019’s pre-pandemic levels.
Net property income (NPI) also increased by 5.3% year on year to RMB 1.29 billion.
However, distribution per unit (DPU) for 2023 tumbled by 10.1% year on year to S$0.0674 because of high interest expenses and a stronger Singapore dollar.
For the second half of 2023 (2H 2023), the DPU declared stood at S$0.03 and will be paid on 28 March 2024.
Despite the weaker DPU performance, CLCT sported sturdy portfolio valuations with its portfolio seeing just a slight 0.9% year-on-year dip in valuation to RMB 24.4 billion for 2023.
The REIT manager remains optimistic about China’s long-term growth.
It has divested six out of seven of its IPO assets and is looking to sell more non-core assets to recycle capital into higher growth opportunities.
Find out how much dividends you would have received as a shareholder of CapitaLand China Trust in the past 12 months with the calculator below.
Learn more about CapitaLand China Trust dividend history and dividend payment dates
To find out more about CapitaLand China Trust, you can watch our Corporate Connection webinar in the video below.
#2 – Daiwa House Logistics Trust (SGX: DHLU)
Daiwa House Logistics Trust, or DHLT, is up next.
The Japanese REIT’s portfolio comprises 16 high-quality, modern logistics assets with a total value of JPY 89.1 billion as of 31 December 2023.
After recovering strongly at the end of 2023, Daiwa House Logistics Trust’s share price has pulled back slightly this year to reach S$0.59 as of 8 March 2024.
DHLT pulled off a commendable performance for 2023.
DHLT pulled off an impressive feat with 100% lease renewal since its IPO, ending 2023 with full occupancy for its portfolio.
Gross revenue and NPI both fell by 3.7% and 5% year on year, respectively, to S$59.9 million and S$45.3 million.
The fall was attributed to the weakness in the Japanese Yen when translated into Singapore dollars.
The REIT’s aggregate leverage stood at 35.2% as of 31 December 2023 with a low cost of debt of just 0.99% and high interest coverage at nearly 12 times.
Last year, DHLT announced two acquisitions – one in Vietnam and the other in Japan, that are expected to be completed in the first half of 2024.
Aggregate leverage is projected to climb to 39.1% when both acquisitions are successfully concluded.
Despite the weaker NPI performance, the Japanese REIT’s DPU rose 0.2% year on year to S$0.0522 because of a realised exchange gain from income hedging.
For 2H 2023, the DPU came in at S$0.0261 which will be paid on 26 March 2024.
Find out how much dividends you would have received as a shareholder of Daiwa House Logistics Trust in the past 12 months with the calculator below.
Learn more about Daiwa House Logistics Trust dividend history and dividend payment dates
#3 – Far East Hospitality Trust (SGX: Q5T)
Far East Hospitality Trust, or FEHT, is our third stock to be featured.
The hospitality trust owns a portfolio of 12 Singapore hotels and serviced residences totalling 3,015 rooms.
Its assets are valued at approximately S$2.51 billion as of 31 December 2023.
2023 saw a strong recovery for FEHT because of the surge in demand for air travel and vacations.
Gross revenue for the year jumped 27.8% year on year to S$106.8 million while NPI climbed 27.7% year on year to S$98.7 million.
FEHT’s hotel portfolio saw average occupancy rise 6.3% year on year to 80.1% with revenue per available room (RevPAR) soaring 47.8% year on year to S$136.
Its serviced residences division didn’t fare too badly either, with occupancy inching up 0.3 percentage points year on year to 87.8% and RevPAR increasing by 17% year on year to S$229.
FEHT is undertaking tenant revitalisation measures to refresh its offerings and keep guests coming back.
It provided ancillary spa services for hotel guests at Orchard Rendezvous Hotel and introduced a rooftop restaurant providing events collaboration for Village Changi Hotel.
The REIT manager expects upcoming tourism developments such as the rejuvenation of Sentosa and the development of the Mandai Wildlife Reserve to boost tourism further.
These developments, along with the planned expansion of Singapore’s Integrated Resorts, should bode well for the REIT in the years ahead.
Distribution per stapled security (DPSS) increased by 25.1% year on year to S$0.0409.
This will make Far East Hospitality one of the rare REITs that managed to raise dividends in 2023.
For 2H 2023, the hospitality trust is paying out a DPU of S$0.0217 on 21 March 2024.
Find out how much dividends you would have received as a shareholder of Far East Hospitality Trust in the past 12 months with the calculator below.
Learn more about Far East Hospitality Trust dividend history and dividend payment dates
What would Beansprout do?
There are numerous dividend-paying stocks in the market.
However, you need to pay attention to businesses that can sustain or even increase their dividends over time.
By identifying strong businesses and/or REITs, you can become a successful income investor who can sit back and enjoy a steady stream of passive dividend income.
To learn more about how to choose the best REIT for your portfolio, check out our complete guide to Singapore REITs.
If you are looking for Singapore stocks and dividends with upcoming dividend payments, here is a convenient list of companies that are paying out dividends later this month and in April.
Join the Beansprout Telegram group or Facebook group to get the latest updates on Singapore REITs, stocks, bonds and ETFs.
Discover Singapore stocks, REITs and ETFs with upcoming dividend payments
Read also
Gain financial insights in minutes
Subscribe to our free weekly newsletter for more insights to grow your wealth
Comments0 comments