First Real Estate Investment Trust
Market Cap
S$576.0m
Last Updated
2020/04/09 13:06 UTC
Data Sources
Company Financials +
Executive Summary
First Real Estate Investment Trust (“First REIT”) is a real estate investment trust constituted by the Trust Deed entered into on 19 October 2006 between Bowsprit Capital Corporation Limited as the Manager and HSBC Institutional Trust Services (Singapore) Limited as the Trustee.
Rewards
Risk Analysis
Snowflake Analysis
Established dividend payer with mediocre balance sheet.
Similar Companies
Share Price & News
How has First Real Estate Investment Trust's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: AW9U's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
9.6%
AW9U
5.7%
SG REITs
5.0%
SG Market
1 Year Return
-25.1%
AW9U
-15.7%
SG REITs
-23.6%
SG Market
Return vs Industry: AW9U underperformed the SG REITs industry which returned -17.5% over the past year.
Return vs Market: AW9U matched the SG Market which returned -24.7% over the past year.
Shareholder returns
| AW9U | Industry | Market | |
|---|---|---|---|
| 7 Day | 9.6% | 5.7% | 5.0% |
| 30 Day | -19.9% | -20.4% | -10.8% |
| 90 Day | -25.5% | -23.7% | -22.0% |
| 1 Year | -18.5%-25.1% | -10.7%-15.7% | -20.4%-23.6% |
| 3 Year | -31.3%-44.8% | 12.2%-6.7% | -14.8%-23.9% |
| 5 Year | -26.6%-48.1% | 20.3%-13.2% | -15.4%-29.7% |
Price Volatility Vs. Market
How volatile is First Real Estate Investment Trust's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 month ago | Simply Wall St
Some First Real Estate Investment Trust (SGX:AW9U) Shareholders Are Down 26%2 months ago | Simply Wall St
First Real Estate Investment Trust (SGX:AW9U) Delivered A Better ROE Than Its Industry3 months ago | Simply Wall St
Do Institutions Own Shares In First Real Estate Investment Trust (SGX:AW9U)?Valuation
Is First Real Estate Investment Trust undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: AW9U (SGD0.75) is trading below our estimate of fair value (SGD1.63)
Significantly Below Fair Value: AW9U is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: AW9U is poor value based on its PE Ratio (13x) compared to the REITs industry average (10.1x).
PE vs Market: AW9U is poor value based on its PE Ratio (13x) compared to the SG market (10.5x).
Price to Earnings Growth Ratio
PEG Ratio: AW9U is poor value based on its PEG Ratio (1.4x)
Price to Book Ratio
PB vs Industry: AW9U is overvalued based on its PB Ratio (0.7x) compared to the SG REITs industry average (0.7x).
Next Steps
Future Growth
How is First Real Estate Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
9.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: AW9U's forecast earnings growth (9.2% per year) is above the savings rate (1.8%).
Earnings vs Market: AW9U's earnings (9.2% per year) are forecast to grow faster than the SG market (4.7% per year).
High Growth Earnings: AW9U's earnings are forecast to grow, but not significantly.
Revenue vs Market: AW9U's revenue (0.7% per year) is forecast to grow slower than the SG market (3.9% per year).
High Growth Revenue: AW9U's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: AW9U's Return on Equity is forecast to be low in 3 years time (8%).
Next Steps
Past Performance
How has First Real Estate Investment Trust performed over the past 5 years?
-5.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: AW9U has high quality earnings.
Growing Profit Margin: AW9U's current net profit margins (39.5%) are lower than last year (62.4%).
Past Earnings Growth Analysis
Earnings Trend: AW9U's earnings have declined by -5.8% per year over the past 5 years.
Accelerating Growth: AW9U's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: AW9U had negative earnings growth (-37.2%) over the past year, making it difficult to compare to the REITs industry average (4.4%).
Return on Equity
High ROE: AW9U's Return on Equity (5.7%) is considered low.
Next Steps
Financial Health
How is First Real Estate Investment Trust's financial position?
Financial Position Analysis
Short Term Liabilities: AW9U's short term assets (SGD84.8M) exceed its short term liabilities (SGD44.1M).
Long Term Liabilities: AW9U's short term assets (SGD84.8M) do not cover its long term liabilities (SGD527.4M).
Debt to Equity History and Analysis
Debt Level: AW9U's debt to equity ratio (57%) is considered high.
Reducing Debt: AW9U's debt to equity ratio has increased from 53.2% to 57% over the past 5 years.
Debt Coverage: AW9U's debt is well covered by operating cash flow (20.5%).
Interest Coverage: AW9U's interest payments on its debt are well covered by EBIT (5.2x coverage).
Balance Sheet
Next Steps
Dividend
What is First Real Estate Investment Trust's current dividend yield, its reliability and sustainability?
11.54%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: AW9U's dividend (11.54%) is higher than the bottom 25% of dividend payers in the SG market (3.1%).
High Dividend: AW9U's dividend (11.54%) is in the top 25% of dividend payers in the SG market (6.84%)
Stability and Growth of Payments
Stable Dividend: AW9U's dividends per share have been stable in the past 10 years.
Growing Dividend: AW9U's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (71.6%), AW9U's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: AW9U's dividends in 3 years are not forecast to be well covered by earnings (103.8% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.2yrs
Average management tenure
CEO
Victor Tan (52yo)
2.92s
Tenure
Mr. Tan Kok Mian, also known as Victor, has been the Acting Chief Executive Officer & Executive Director - Bowsprit Capital Corporation Limited since 2017. Mr. Tan is a Chief Executive Officer of FIRST REI ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director of Bowsprit Capital Corporation Limited | 2.92yrs | no data | 0.013% SGD73.8k | |
| Chief Financial Officer of Bowsprit Capital Corporation Limited | 2.17yrs | no data | no data | |
| Head of Asset & Investment Management of Bowsprit Capital Corporation Limited | no data | no data | no data | |
| Company Secretary | 0.67yr | no data | no data |
2.2yrs
Average Tenure
Experienced Management: AW9U's management team is considered experienced (2.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Executive Director of Bowsprit Capital Corporation Limited | 2.92yrs | no data | 0.013% SGD73.8k | |
| Chairman of Bowsprit Capital Corporation Limited | 1.5yrs | no data | no data | |
| Lead Independent Director of Bowsprit Capital Corporation Limited | 1.5yrs | no data | no data | |
| Independent Director of Bowsprit Capital Corporation Limited | 3yrs | S$75.83k | no data | |
| Independent Director of Bowsprit Capital Corporation Limited | 2.25yrs | no data | no data | |
| Independent Director of Bowsprit Capital Corporation Limited | 1.5yrs | no data | no data | |
| Non-Independent Non-Executive Director of Bowsprit Capital Corporation Limited | 1yr | no data | no data |
1.5yrs
Average Tenure
60yo
Average Age
Experienced Board: AW9U's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
First Real Estate Investment Trust's company bio, employee growth, exchange listings and data sources
Key Information
- Name: First Real Estate Investment Trust
- Ticker: AW9U
- Exchange: SGX
- Founded: 2006
- Industry: Health Care REITs
- Sector: Real Estate
- Market Cap: S$575.995m
- Shares outstanding: 799.99m
- Website: https://www.first-reit.com
Location
- First Real Estate Investment Trust
- 50 Collyer Quay
- No. 06-01, OUE Bayfront
- Singapore
- 49321
- Singapore
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| AW9U | SGX (Singapore Exchange) | Yes | Units | SG | SGD | Dec 2006 |
| F1T | DB (Deutsche Boerse AG) | Yes | Units | DE | EUR | Dec 2006 |
| FESN.F | OTCPK (Pink Sheets LLC) | Yes | Units | US | USD | Dec 2006 |
Biography
First Real Estate Investment Trust (“First REIT”) is a real estate investment trust constituted by the Trust Deed entered into on 19 October 2006 between Bowsprit Capital Corporation Limited as the Manager and HSBC Institutional Trust Services (Singapore) Limited as the Trustee. First REIT was listed on the Singapore Exchange Securities Trading Limited on 11 December 2006. On 1 March 2018, HSBC Institutional Trust Services (Singapore) Limited retired as the Trustee of First REIT in favour of Perpetual (Asia) Limited. First REIT is Singapore’s first healthcare real estate investment trust that aims to invest in a diversified portfolio of income-producing real estate and / or real estate-related assets in Asia that are primarily used for healthcare and / or healthcare-related purposes. Managed by Bowsprit Capital Corporation Limited, First REIT’s portfolio consists of twenty properties located in Indonesia, Singapore and South Korea, namely 1) Siloam Hospitals Lippo Village, 2) Siloam Hospitals Kebon Jeruk, 3) Siloam Hospitals Surabaya, 4) Imperial Aryaduta Hotel & Country Club, 5) Mochtar Riady Comprehensive Cancer Centre, 6) Siloam Hospitals Lippo Cikarang, 7) Siloam Hospitals Manado & Hotel Aryaduta Manado, 8) Siloam Hospitals Makassar, 9) Siloam Hospitals Bali, 10) Siloam Hospitals TB Simatupang, 11) Siloam Hospitals Purwakarta, 12) Siloam Sriwijaya, 13) Siloam Hospitals Kupang & Lippo Plaza Kupang, 14) Siloam Hospitals Labuan Bajo, 15) Siloam Hospitals Buton & Lippo Plaza Buton, 16) Siloam Hospitals Yogyakarta, 17) Pacific Healthcare Nursing Home @ Bukit Merah, 18) Pacific Healthcare Nursing Home II @ Bukit Panjang, 19) The Lentor Residence and 20) Sarang Hospital. Its hospital assets in Indonesia are operated by PT Siloam International Hospitals Tbk, a subsidiary of PT Lippo Karawaci Tbk, a strong brand name in the Indonesian healthcare industry supported by a team of international healthcare professionals whereas The Imperial Aryaduta Hotel & Country Club and Hotel Aryaduta Manado are operated by The Aryaduta Hotel and Resort Group. The Lippo Plaza Kupang and Lippo Plaza Buton are managed by PT Lippo Malls Indonesia. In Singapore, the nursing homes at Bukit Merah and Bukit Panjang are operated by Pacific Healthcare Nursing Home Pte. Ltd. and Pacific Eldercare and Nursing Pte. Ltd., respectively. The Lentor Residence is operated by The Lentor Residence Pte. Ltd. In South Korea, the Sarang Hospital is operated by a private doctor. Through First REIT, investors can participate in an asset class that has a focus towards Asia’s growing healthcare sector, which is boosted by an increase in life expectancy in Indonesia and the rest of Southeast Asia.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/09 13:06 |
| End of Day Share Price | 2020/04/09 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.