KUALA LUMPUR, May 21, 2009 – Al-Hadharah Boustead REIT (Al-Hadharah REIT), the only Islamic plantation REIT in the nation is on track with a positive performance in the first quarter ending 31 March 2009.
The Al-Hadharah REIT recorded a profit after tax of RM20 million representing an increase of 17% compared with last year’s result of RM17.3 million. This was mainly due to a gain of RM6.5 million on the compulsory acquisition of investment properties by the Government.
This strong performance was achieved on the back of a revenue of RM15.8 million against last year’s RM13.3 million. The key contributing factors in the increase in revenue was the additional rental income of RM2.9 million contributed by the Bebar and Malakoff estates. However, performance based profit sharing dipped slightly to RM2.5 million compared with last year’s RM2.9 million.
YBhg. Tan Sri Dato’ Lodin Wok Kamaruddin, Chairman of Boustead REIT Managers Sdn Bhd said, “Though there was a contraction in crude palm oil (CPO) prices which affected our performance based structure, our fixed rental income for the period under review grew. In addition, this gain from the compulsory acquisition of the investment properties by the Government went directly to our bottom-line. This significant gain of RM6.5 million was a primary contributing factor in pushing our profits up.”
“Moving forward, though global demand for edible oils has been affected by the credit squeeze and economic crisis, we are confident demand for palm oil will see an upward trend due to its strong popularity. On this score, we are optimistic that palm oil prices will continue to trade at the current steady price range for the year,” YBhg. Tan Sri Dato’ Lodin concluded.Forward looking statements
This release may contain certain forward-looking statements with respect to the financial conditions, results of operations and business of the Fund and certain plans and objectives of Boustead REIT Managers Sdn Bhd with respect to these items. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future and there are many factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements.
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