GLP J-REIT (3281)
Financial Results for the fiscal period ended August 31, 2021
SUMMARY OF FINANCIAL RESULTS (REIT)
For the 19th Fiscal Period Ended August 31, 2021
< Under Japanese GAAP>
October 13, 2021 | ||||
Name of REIT Issuer: | GLP J-REIT | Stock Exchange Listing: TSE | ||
Securities Code: | 3281 | URLhttps://www.glpjreit.com/ | ||
Representative: | (Name) Yoshiyuki Miura, (Title) Executive Director | |||
Name of Asset Manager: | GLP Japan Advisors Inc. | |||
Representative: | (Name) Yoshiyuki Miura, (Title) President | |||
Contact: | (Name) Shinji Yagiba, (Title) CFO | |||
TEL: +81-3-3289-9630 | ||||
Scheduled date to file securities report: | November 26, 2021 | |||
Scheduled date to commence distribution payments: | November 18, 2021 | |||
Supplementary materials for financial results: | ・No (Japanese / English) | |||
Yes | ||||
Holding of financial results briefing session: | ・No (For institutional investors and analysts, in both Japanese and English) | |||
Yes |
(Amounts are rounded down to the nearest million yen)
1. Financial Results for the Fiscal Period Ended August 31, 2021 (From March 1, 2021 to August 31, 2021)
(1) Operating Results | [Percentages indicate period-on-period changes] | ||||||||
Operating revenues | Operating income | Ordinary income | Net income | ||||||
Period ended | Million yen | % | Million yen | % | Million yen | % | Million yen | % | |
August 31, 2021 | 23,855 | 8.5 | 13,062 | 5.6 | 11,763 | 5.4 | 11,761 | 7.8 | |
February 28, 2021 | 21,978 | 10.5 | 12,367 | 13.7 | 11,156 | 15.1 | 10,914 | 12.6 | |
Net income | Return on | Ordinary income to | Ordinary income to | ||||||
per unit | unitholders' equity | total assets | operating revenues | ||||||
Period ended | Yen | % | % | % | |||||
August 31, 2021 | 2,680 | 2.9 | 1.5 | 49.3 | |||||
February 28, 2021 | 2,631 | 3.0 | 1.6 | 50.8 |
(2) Distributions
Distributions | Optimal payable distribution | Distributions | Payout | Distributions | ||||
(excluding OPD*) | (OPD) | (including OPD) | ||||||
Per Unit | Total | Per Unit | Total | Per Unit | Total | ratio | to net assets | |
Period ended | Yen | Million yen | Yen | Million yen | Yen | Million yen | % | % |
August 31, 2021 | 2,619 | 11,760 | 429 | 1,926 | 3,048 | 13,686 | 99.9 | 2.9 |
February 28, 2021 | 2,513 | 10,915 | 476 | 2,067 | 2,989 | 12,983 | 100.0 | 2.9 |
- "OPD" stands for "Optimal Payable Distribution" that means distributions in excess of retained earnings.
(Note 1) For the periods ended August 31, 2021 and February 28, 2021, payout ratio was calculated as follows since new investment units were issued during the period:
Payout ratio = Total distributions (excluding OPD) / Net income x 100 Payout ratio is rounded down to the first decimal place.
(Note 2) Payout ratio and distributions to net assets ratio were calculated on the basis of excluding OPD.
(Note 3) All of the amounts of OPD for the periods ended August 31, 2021 and February 28, 2021 are the refund of investment categorized as a distribution from in unitholders' capital for tax purposes. The OPD for the periods ended August 31, 2021 and February 28, 2021 includes a temporary OPD of 145 yen and 199 yen per unit, respectively. Please see "(iv) Overview of Financial Results and Cash Distributions" on page 4.
GLP J-REIT (3281)
Financial Results for the fiscal period ended August 31, 2021
(Note 4) Retained earnings decreased at a rate of 0.005 for the period ended August 31, 2021 and 0.006 for the period ended February 28, 2021, respectively, due to OPD (a refund of investment categorized as a distribution from unitholders' capital for tax purposes). These rates were calculated based on Article 23, Paragraph 1, Item 4 of the Order for Enforcement of the Corporation Tax Act.
(3) Financial Position
Total assets | Net assets | Unitholders' equity to | Net assets per unit | ||
total assets | |||||
Period ended | Million yen | Million yen | % | Yen | |
August 31, 2021 | 785,480 | 415,543 | 52.9 | 92,541 | |
February 28, 2021 | 742,022 | 390,101 | 52.6 | 89,809 | |
(4) Cash Flows | |||||
Net cash provided by | Net cash provided by | Net cash provided by | Cash and cash | ||
(used in) operating | (used in) investing | (used in) financing | equivalents at the end | ||
activities | activities | activities | of the period | ||
Period ended | Million yen | Million yen | Million yen | Million yen | |
August 31, 2021 | 21,503 | (50,301) | 30,520 | 25,904 | |
February 28, 2021 | 14,641 | (97,829) | 88,044 | 24,180 |
2. Earnings Forecast for the Fiscal Periods Ending February 28, 2022 (From September 1, 2021 to February 28, 2022) and August 31, 2022 (From March 1, 2022 to August 31, 2022)
[Percentages indicate period-on-period changes] | ||||||||||||||
Operating | Operating | Ordinary | Net | Distributions | OPD per | Distributions | ||||||||
per unit | per unit | |||||||||||||
revenues | income | income | income | unit | ||||||||||
(excluding OPD) | (including OPD) | |||||||||||||
Period ending | Million yen | % | Million yen | % | Million yen | % | Million yen | % | Yen | Yen | Yen | |||
February 28, 2022 | 23,332 | (2.2) | 12,347 | (5.5) | 11,025 | (6.3) | 11,023 | (6.3) | 2,454 | 294 | 2,748 | |||
August 31, 2022 | 23,286 | (0.2) | 12,167 | (1.5) | 10,812 | (1.9) | 10,810 | (1.9) | 2,407 | 296 | 2,703 | |||
(Reference) Estimated net income per unit: For the fiscal period ending February 28, 2022 | 2,454 yen | |||||||||||||
For the fiscal period ending August 31, 2022 | 2,407 yen |
(Note) For the period ended August 31, 2021, GLP J-REIT reported gain on sales of GLP Okegawa, which contributed to the operating results. The decrease in operating results for the period ending February 28, 2022 is due mainly to no such gain on sales of property and equipment.
- Other
- Changes in accounting policies, changes in accounting estimates and retroactive restatement
(a) | Changes in accounting policies due to revisions to accounting standards | None |
and other regulations: | ||
(b) | Changes in accounting policies due to other reasons: | None |
(c) | Changes in accounting estimates: | None |
(d) | Retroactive restatement: | None |
(2) Number of investment units issued and outstanding
(a) Number of investment units issued and outstanding, including treasury units:
As of August 31, 2021 | 4,490,369 | Units | As | of | February | 28, | 2021 | 4,343,664 | Units |
(b) Number of treasury units: | |||||||||
As of August 31, 2021 | 0 | Units | As | of | February | 28, | 2021 | 0 | Units |
(Note) Please refer notes to "Per Unit Information" on page 31 for the number of investment units used as the basis for calculating the net income per unit.
GLP J-REIT (3281)
Financial Results for the fiscal period ended August 31, 2021
- The financial information on this report is not included in the scope of the external audit.
- Other special matters
The forward-looking statements in this material are based on the information currently available to us and certain assumptions we believe reasonable. Actual operating performance may differ substantially due to various factors. Furthermore, those statements do not guarantee the amounts of future distributions and distributions in excess of retained earnings. Please refer to "Assumptions Underlying Earnings Forecasts for the 20th Fiscal Period Ending February 28, 2022 (From September 1, 2021 to February 28, 2022) and the 21st Fiscal Period Ending August 31, 2022 (From March 1, 2022 to August 31, 2022)" on page 7 - 9 for assumptions regarding the forward-looking statements.
This is an English language translation of the original Japanese announcement of the financial statements ("Kessan Tanshin"). This translation is provided for information purpose only. Should there be any discrepancy between this translation and the Japanese original, the Japanese original shall prevail.
GLP J-REIT (3281) | ||
Financial Results for the fiscal period ended August 31, 2021 | ||
Table of contents | ||
1. Operating Conditions........................................................................................................................................... | 2 | |
(1) | Operating Conditions............................................................................................................................... | 2 |
2. Financial Statements.......................................................................................................................................... | 10 | |
(1) | Balance Sheets ....................................................................................................................................... | 10 |
(2) | Statements of Income ............................................................................................................................ | 12 |
(3) | Statements of Changes in Net Assets..................................................................................................... | 13 |
(4) | Statements of Distributions.................................................................................................................... | 14 |
(5) | Statements of Cash Flows...................................................................................................................... | 17 |
(6) | Notes Concerning Going Concern Assumption..................................................................................... | 18 |
(7) | Notes Concerning Significant Accounting Policies............................................................................... | 18 |
(8) | Notes to Financial Statements................................................................................................................ | 19 |
(9) | Changes in Number of Investment Units Issued and Outstanding ........................................................ | 33 |
3. Reference Information ....................................................................................................................................... | 36 | |
(1) | Price Information on Investment Assets ................................................................................................ | 36 |
(2) | Status of Capital Expenditure ................................................................................................................ | 47 |
1
GLP J-REIT (3281)
Financial Results for the fiscal period ended August 31, 2021
1. Operating Conditions
(1) Operating Conditions
[Overview of the Current Fiscal Period]
-
Brief Background of GLP J-REIT
GLP J-REIT is a real estate investment corporation ("J-REIT") specializing in logistics facilities, and it primarily invests in modern logistics facilities. GLP J-REIT was founded in accordance with the Act on Investment Trusts and Investment Corporations (hereinafter the "Investment Trust Act") with GLP Japan Advisors Inc. as the founder. It had its units listed on the Real Estate Investment Trust Market of the Tokyo Stock Exchange on December 21, 2012 (securities code: 3281).
Having the GLP Group (Note) as the sponsor group and investing in highly functional modern logistics facilities while taking advantage of the wealth of experience and management resources, GLP J-REIT aims to earn stable income and achieve steady growth in assets under management over the medium and long term. Since starting its operation as a listed J-REIT with 30 properties (total acquisition price of 208,731 million yen) in January 2013, GLP J-REIT has been steadily expanding its assets through the continuous acquisition of properties. As of the end of the current fiscal period, GLP J-REIT owns 86
properties (total acquisition price of 788,031 million yen).
(Note) The GLP Group consists of GLP Holdings Limited, the holding company of the Sponsor of GLP J-REIT, and its group companies.
(ii) Investment Environment and Business Performance
During the current fiscal period, the Japanese economy is expected to show positive growth due to factors such as the recovery of corporate capital spending, despite the continued sluggishness of consumer spending caused by the COVID-19 pandemic. As for the future outlook, although uncertainty remains due to concerns about the spread of variants, there are expectations that the economy will pick up with the progress of vaccinations and other factors.
In the logistics facilities leasing market, we believe demand remains strong, reflecting logistics industry business concerns such as labor shortage and supply chain optimization, in addition to a trend of new expansion, consolidation and integration of logistics facilities among e-commerce service and third-party logistics (3PL) companies. Under these circumstances, the balance of supply and demand for modern logistics facilities remains stable, as shown by the pre-leased ratio (Note 2) for large multi-tenant logistics facilities planned to be newly supplied in 2021, which is approximately 70% in the Tokyo metropolitan area and 90% in the Greater Osaka area as of the end of June 2021.
In the logistics real estate market, reflecting continuing monetary easing, steady demand for properties and the prospect of stable rental income, institutional investors such as pension funds and insurance companies remain eager to invest in the market, and their funds continue to flow in. As a result, capitalization rates continue to trend low while real estate prices stay high.
Under these circumstances, taking advantage of the strong demand for logistics properties, GLP J-REIT sold its trust beneficiary right of GLP Okegawa on May 31, 2021, in order to return the gain on sale to
2
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GLP J-REIT published this content on 13 October 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 13 October 2021 06:11:08 UTC.