Financial

Waypoint REIT (ASX:WPR) reports $93.3M net profit in H1

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Waypoint REIT reported a statutory net profit of $93.3 million for the half-year ended June 30, up from $29.1 million in the same period last year.

The significant increase was largely due to valuation movements on investment property, with a net gain of $35.7 million in the first half compared to a net loss of $31.1 million in the prior year.

Distributable earnings remained steady at $55.6 million, supported by $2.4 million in increased rental income from annual rent escalations and $400,000 in reduced operating expenses, although higher net interest expenses from increased debt costs partially offset the gains.

Net tangible assets per security rose 2.1% to $2.79, driven primarily by valuation movements on investment property and derivative financial instruments.

"Our focus on long-term returns from our high-quality portfolio continues to benefit our security holders," said Waypoint REIT's Managing Director and CEO Hadyn Stephens.

He also highlighted that net tangible assets per security increased 2.1% to $2.79.

The company's portfolio metrics remained robust, with a portfolio occupancy rate of 99.9% and a weighted average lease expiry of 7.6 years.

Moreover, 77 properties representing 19% of the portfolio were independently valued during the period.

Waypoint REIT's capital management strategy also saw developments, including entering into a new $500 million syndicated bank debt facility to replace $410 million of existing debt.

As of June 30, gearing was 32.6% with $203 million in undrawn facilities available, illustrating the company's strong liquidity position.

Waypoint REIT is Australia's largest listed real estate investment trust focusing solely on fuel and convenience retail properties.

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