Religare Health Trust

Religare Health Trust: 4QFY14 results in line with estimates, as distributable income rose 6.2% to $11.4m, in tandem with DPU growth of 5.6% to 2¢. Meanwhile, revenue slipped 1.8% to $27.2m and net service and hospital income grew 3.9% to $16.4m, due to INR/SGD depreciation. Excluding FX effects, revenue and service income grew 6.3% and 11.6% respectively, on the back of tighter cost controls. Portfolio occupancy slipped 5ppts q/q to 73%, largely due to seasonal effects. Aggregate leverage at 6.7%, with debt headroom of $483.9m based on a 40% target ratio. At $0.885, Religare Health Trust trades at 9.3% FY14 yield and 0.99x P/B. Latest broker ratings: CIMB maintains its Add with TP of $0.91