CRCT

CRCT: Company reported a strong set of results for FY12. Reports 0.9% increase in DPU to 2.30¢ for 4Q12, bringing FY12 DPU to 9.54¢, indicative yield of 5.8%. Income available for distribution grew 7% y/y to $16.8m for 4Q12, with FY12 income growing by 16% to $66.8m. Gearing is low at 28%, with average cost of debt at 2.6% (lower than industry peers). Mgmt attributed good performance to rental growth and higher rental income from tenants' sales in multi-tenanted malls. Going forward, mgmt sees that the Company will continue to ride on the wave of international retailer expansion into China and generate further organic growth by optimising the retail mix at its malls. Mgmt is confident that China will continue to see positive momentum in retail sales going forward. Company is currently trading at 1.4x P/B.