Atrium REIT’s 1Q net income dips; declares 2.1 sen income distribution

• Gross revenue was 9.3% higher at RM11.91 million, driven by full rental income from an existing lease and higher rental rates.

KUALA LUMPUR (April 29): Atrium Real Estate Investment Trust (KL:ATRIUM) reported a dip in net income for the first quarter ended March 31, 2025 (1QFY2025) to RM6.2 million due to lower interest income, and higher finance and administrative costs.

Net income was down from RM6.3 million in 1QFY2024.

Net realised income rose 8.12% to RM5.78 million due to stronger revenue despite the increase in expenses. This led the trust to declare a first interim income distribution of 2.1 sen per unit, up from 2.0 sen last year, which will be paid on May 30, 2025.

Gross revenue was 9.3% higher at RM11.91 million, driven by full rental income from an existing lease and higher rental rates.

Atrium REIT said interest income for 1QFY2025 dropped as bank deposits were used to pay for the Atrium Bayan Lepas 2 land lease, upgrades at Atrium Shah Alam 4, and part of the Atrium Shah Alam 5 (ASA5) purchase.

Expenses also increased due to higher financing costs from a bond issuance in May 2024 and a one-time fee to secure a new tenant for ASA5.

On its prospects, Atrium REIT said it remains positive about 2025, thanks to a strong portfolio and stable tenant demand, but it is cautious due to global uncertainties.

As of March 31, 2025, all properties were fully occupied except for ASA5, which has secured a new tenant. ASA5 is being upgraded to meet the tenant’s needs, with the lease starting once the work is done.

On Tuesday, Atrium REIT closed one sen or 0.78% lower at RM1.28, giving it a market capitalisation of RM339.9 million.

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