Global Logistics Properties profits crash 36.2% to $112.4m in 3Q15

Due to weak JV and higher operating expenses.

However, for the first nine months of FY15, GLP’s core PATMI is still in line with analyst expectations.

According to OCBC, GLP reported 3QFY15 PATMI (ending Dec-14) of US$112.4m, which decreased 36.2% YoY mostly due to lower share of results of JV/associates and higher operating expenses from an increased property portfolio and business expansion, partially offset by higher fair value gains of investment properties.

Excluding one-time items, core 9MFY15 PATMI is estimated to be US$192m, which makes up 73% of OCBC’s FY15 forecast which analysts judge to be in line with expectations.

In terms of the topline, 3QFY15 revenue inched up 0.7% to US$179.0m mainly due to the completion and stabilization of developmental projects in China with increased rents and one month’s contribution of the Brazil portfolio acquired in Jun-14, partially offset by the deferred rental revenue of Airport City Development Co, the sale of 11 properties in Japan in Mar-14 and Sep-14, and the weakening of the Yen versus the US dollar.