Frasers Centrepoint Trust

Frasers Centrepoint Trust: Announced a good set of 4Q13 results which was largely in-line. DPU came in at 2.98c (+10%), taking DPU for FY13 to a new-high of 10.93c (+9%), representing 5.9% yield. FY13 gross revenue grew 7.3% to $158.0m on higher contributions from Causeway Point and Northpoint from better rental rates achieved for new and renewed leases during the year. Overall average portfolio occupancy was 98.4%, up from 93.6% y/y. This was mainly a result of the recovery of Causeway Point's occupancy to 99.5% upon completion of the addition and alteration works. Fundamentals remain strong with gearing at 27.6%, giving further headroom to gear up. At current price, the group trades at 1.05x P/B and 5.9% yield, evrsus Singapore retail REITs average of 6% yield and 1.0x P/B. Latest broker ratings as follows: CIMB maintains O/p with $2.05 TP