(Constituted in the Republic of Singapore pursuant to a Trust Deed dated 29 January 2008 (as amended))

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

TABLE OF CONTENTS

Item No.

Description

Page No.

-

Summary Results of Mapletree Industrial Trust Group

2

-

Introduction

3

1(a)

Statement of Total Return and Distribution Statement

4

- 7

1(b)(i)

Statement of Financial Position (MIT Group)

8

- 9

1(b)(ii)

Statement of Financial Position (MIT)

10

- 11

1(c)

Statement of Cash Flows

11

- 13

1(d)(i)

Statement of Movements in Unitholders' Funds (MIT Group)

13

- 14

1(d)(ii)

Statement of Movements in Unitholders' Funds (MIT)

15

- 16

1(d)(iii)

Details of Any Change in Units

17

2 & 3

Audit Statement

17

4 & 5

Changes in Accounting Policies

17

- 18

6

Earnings Per Unit ("EPU") and Distribution Per Unit ("DPU")

18

- 19

7

Net Asset Value ("NAV") and Net Tangible Asset ("NTA") Per Unit

19

8

Review of the Performance

19

- 23

9

Variance from Prospect Statement

23

10

Outlook and Prospects

23

- 24

11 & 12

Distributions

24

- 25

13 & 14

Segment Information (MIT Group)

26

15

General Mandate relating to Interested Person Transactions

27

16

Confirmation pursuant to Rule 720(1) of the Listing Manual

27

17

Confirmation by the Board

27

1

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Summary Results of Mapletree Industrial Trust Group1 ("MIT Group")

3QFY19/20

2QFY19/20

Inc/(Dec)

3QFY18/19

Inc/(Dec)

%

%

Gross revenue (S$'000)2

102,610

101,872

0.7

93,571

9.7

Net property income (S$'000)2

81,905

79,989

2.4

71,875

14.0

Amount available for distribution

69,436

63,507

9.3

58,253

19.2

(S$'000)2

No. of units in issue ('000)

2,200,749

2,200,484

*

1,898,997

15.9

Distribution per unit (cents)

3.16

3.13

1.0

3.07

2.9

Comprising:

- Advanced distribution for the

period

2.93

from 1 July 2019 to 25 September 2019

(paid on 21 October 2019)

- Balance distribution from 26 September

0.20

2019 to 30 September 2019 (payable

with 3QFY19/20 distribution)

* Percentage is less than 0.1%

Footnotes:

1

2

MIT Group comprises Mapletree Industrial Trust ("MIT") and its wholly owned subsidiaries.

Gross revenue and net property income do not include MIT's interests in the joint ventures with Mapletree Investments Pte Ltd, as these are equity accounted. Amount available for distribution includes distributions declared by the joint ventures.

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Introduction

MIT is a real estate investment trust listed on the Main Board of Singapore Exchange. Its principal investment strategy is to invest in a diversified portfolio of income-producing real estate used primarily for industrial purposes in Singapore, and income-producing real estate used primarily as data centres worldwide beyond Singapore, as well as real estate-related assets.

On 16 September 2019, MIT and Mapletree Investments Pte Ltd ("MIPL") formed an unlisted single purpose trust, Mapletree Rosewood Data Centre Trust ("MRODCT") (i) to acquire 100% interest in 10 powered shell data centres (the "Powered Shell Portfolio") and (ii) to enter into a joint venture with Digital Realty Trust, L.P. to co-invest in three fully fitted hyperscale data centres (the "Turnkey Portfolio"). The 13 data centres are located in North America, with 12 in the United States and one in Canada. MRODCT held 100% interest in the Powered Shell Portfolio and 80% interest in the Turnkey Portfolio. Under the joint venture agreement, MIPL and MIT holds 50:50 interest in

MRODCT.

On 1 November 2019, MRODCT completed the acquisition of the Turnkey Portfolio. The purchase consideration for MRODCT's 80% stake in the Turnkey Portfolio was approximately US$810.6 million (S$1,102.4 million1). The acquisition of the Powered Shell Portfolio was completed on 14 January 2020.

MIT Group's property portfolio comprises 87 industrial properties in Singapore and 17 data centres in the United States (through the joint ventures with MIPL in Mapletree Redwood Data Centre Trust ("MRDCT") and MRODCT). The properties in Singapore include Hi-Tech Buildings, Flatted Factories, Business Park Buildings, Stack-up/Ramp-up Buildings and Light Industrial Buildings. As at 31 December 2019, MIT's total assets under management was S$5.4 billion.

MIT's distribution policy is to distribute at least 90.0% of its amount available for distribution, comprising substantially rental income from the letting of its properties and related property services income after deduction of allowable expenses, as well as interest income from the periodic placement of cash surpluses in bank deposits.

1 Based on the exchange rate of US$1.00 to S$1.360.

3

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

1(a) Consolidated Profit or Loss and Distribution Statement (MIT Group) (3QFY19/20 vs 3QFY18/19)

Consolidated Profit or Loss

Gross revenue

Property operating expenses (Note A)

Net property income

Interest income

Borrowing costs (Note B)

Manager's management fees

  • Base fees
  • Performance fees Trustee's fees
    Other trust expenses
    Net foreign exchange loss
    Share of profit of joint ventures (net of taxes)1
    Profit for the period before income tax
    Income tax expense
    Profit for the period after income tax

Increase/

3QFY19/20

3QFY18/19

(Decrease)

(S$'000)

(S$'000)

%

102,610

93,571

9.7

(20,705)

(21,696)

(4.6)

81,905

71,875

14.0

2,125

63

3,273.0

(12,072)

(10,058)

20.0

(5,628)

(5,148)

9.3

(2,951)

(2,588)

14.0

(161)

(146)

10.3

(342)

(472)

(27.5)

(125)

(92)

35.9

6,848

4,021

70.3

69,599

57,455

21.1

(49)

-

**

69,550

57,455

21.1

Distribution Statement

Profit for the period

Adjustment for net effect of non-tax deductible items and other adjustments (Note C)

Distributions declared by joint ventures

Amount available for distribution

Increase/

3QFY19/20

3QFY18/19

(Decrease)

(S$'000)

(S$'000)

%

69,550

57,455

21.1

(6,812)

(3,400)

100.4

6,698

4,198

59.6

69,436

58,253

19.2

Footnote:

1 Share of profit of joint ventures (net of taxes) relates to MIT's equity interest in the joint ventures with MIPL. The results for the joint ventures were equity accounted for at the Group level.

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Increase/

Notes

3QFY19/20

3QFY18/19

(Decrease)

(S$'000)

(S$'000)

%

Note A

Property operating expenses include:

Depreciation

(13)

(13)

-

Note B

Borrowing costs include:

Interest on borrowings

(11,556)

(10,002)

15.5

Finance cost on lease liabilities

(385)

-

**

Note C

Adjustment for net effect of non-tax

deductible/(chargeable) items and

other

adjustments comprises:

Trustee's fees

161

146

10.3

Financing related costs

355

308

15.3

Management fees paid/payable in units

647

794

(18.5)

Expensed capital items

134

169

(20.7)

Adjustments for rental incentives

(800)

(1,031)

(22.4)

Share of profit of joint ventures

(6,848)

(4,021)

70.3

Net foreign exchange loss

125

92

35.9

Others

(586)

143

(509.8)

** Not meaningful

1(a) Statement of Comprehensive Income (MIT Group) (3QFY19/20 vs 3QFY18/19)

Statement of Comprehensive Income

Increase/

3QFY19/20

3QFY18/19

(Decrease)

(S$'000)

(S$'000)

%

Profit for the period

69,550

57,455

21.1

Other comprehensive income/(loss):

Items that may be reclassified subsequently

to profit or loss:

Cash flow hedges

- Fair value gain/(loss)1

913

(2,089)

(143.7)

- Realised and transferred to

480

235

104.3

borrowing cost

Share of hedging reserve of joint ventures1

407

(1,462)

(127.8)

Currency translation differences arising from

(1,448)

(44)

3,190.9

share of joint ventures

Other comprehensive income/(loss), net

352

(3,360)

(110.5)

of tax

Total comprehensive income

69,902

54,095

29.2

Footnote:

1 These reflects the fair value changes of the interest rate swaps and currency forwards. As part of our prudent capital management, the Group enters into interest rate swaps and currency forwards to manage its interest rate risks and currency risks for the stability of the distribution.

5

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

1(a) Consolidated Profit or Loss and Distribution Statement (MIT Group) (YTD FY19/20 vs YTD FY18/19)

Consolidated Profit or Loss

Increase/

YTD FY19/20

YTD FY18/19

(Decrease)

(S$'000)

(S$'000)

%

Gross revenue

304,057

277,279

9.7

Property operating expenses

(64,244)

(65,359)

(1.7)

(Note A)

Net property income

239,813

211,920

13.2

Interest income

2,295

187

1,127.3

Borrowing costs (Note B)

(33,990)

(29,729)

14.3

Manager's management fees

-

Base fees

(16,883)

(15,240)

10.8

-

Performance fees

(8,642)

(7,629)

13.3

Trustee's fees

(472)

(433)

9.0

Other trust expenses

(1,142)

(1,602)

(28.7)

Net foreign exchange loss

(126)

(91)

38.5

Share of profit of joint ventures (net of

15,609

12,952

20.5

taxes)1

Profit for the period before income

196,462

170,335

15.3

tax

Income tax (expense)/credit

(49)

*

**

Profit for the period after income tax

196,413

170,335

15.3

Distribution Statement

Increase/

YTD FY19/20

YTD FY18/19

(Decrease)

(S$'000)

(S$'000)

%

Profit for the period

196,413

170,335

15.3

Adjustment for net effect of non-tax

deductible items and other adjustments

(14,531)

(9,900)

46.8

(Note C)

Distributions declared by joint ventures

14,302

11,388

25.6

Amount available for distribution

196,184

171,823

14.2

  • Amount less than S$1,000
  • Not meaningful

Footnote:

1 Share of profit of joint ventures (net of taxes) relates to MIT's equity interest in the joint ventures with MIPL. The results for the joint ventures were equity accounted for at the Group level.

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Increase/

Notes

YTD FY19/20

YTD FY18/19

(Decrease)

(S$'000)

(S$'000)

%

Note A

Property operating expenses include:

Reversal of impairment of trade receivables

-

(1)

**

Depreciation

(40)

(27)

48.1

Note B

Borrowing costs include:

Interest on borrowings

(32,357)

(29,485)

9.7

Finance cost on lease liabilities

(1,137)

-

**

Note C

Adjustment for net effect of non-tax

deductible/(chargeable) items and other

adjustments comprises:

Trustee's fees

472

433

9.0

Financing related costs

1,244

1,300

(4.3)

Management fees paid/payable in units

1,933

2,355

(17.9)

Expensed capital items

367

598

(38.6)

Adjustments for rental incentives

(2,391)

(2,536)

(5.7)

Share of profit of joint ventures

(15,609)

(12,952)

20.5

Net foreign exchange loss

126

91

38.5

Others

(673)

811

(183.0)

** Not meaningful

1(a) Statement of Comprehensive Income (MIT Group) (YTD FY19/20 vs YTD FY18/19)

Statement of Comprehensive Income

Increase/

YTD FY19/20

YTD FY18/19

(Decrease)

(S$'000)

(S$'000)

%

Profit for the period

196,413

170,335

15.3

Other comprehensive income/(loss):

Items that may be reclassified subsequently

to profit or loss:

Cash flow hedges

- Fair value (loss)/gain1

(7,631)

(867)

780.2

- Realised and transferred to

496

1,379

(64.0)

borrowing cost

Share of hedging reserve of joint venture1

(4,019)

1,311

(406.6)

Currency translation differences arising from

(1,194)

756

(257.9)

share of joint ventures

Other comprehensive (loss)/income, net

(12,348)

2,579

(578.8)

of tax

Total comprehensive income

184,065

172,914

6.4

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Footnote:

1 These reflects the fair value changes of the interest rate swaps and currency forwards. As part of our prudent capital management, the Group enters into interest rate swaps and currency forwards to manage its interest rate risks and currency risks for the stability of the distribution.

1(b)(i) Statement of Financial Position (MIT Group)

31 December 2019

31 March 2019

(S$'000)

(S$'000)

Current assets

Cash and cash equivalents

89,083

40,010

Trade and other receivables

38,733

33,487

Other current assets

1,319

1,727

Derivative financial instruments2

12

114

Loan to a joint venture1

332,547

-

Total current assets

461,694

75,338

Non-current assets

Investment properties

4,378,883

4,254,200

Investment property under development

-

82,100

Investment in joint ventures

455,473

194,101

Plant and equipment

143

183

Derivative financial instruments2

1,827

1,142

Total non-current assets

4,836,326

4,531,726

Total assets

5,298,020

4,607,064

Current liabilities

Trade and other payables

100,717

104,650

Borrowings

93,772

74,982

Lease liabilities3

190

-

Derivative financial instruments2

462

238

Current income tax liabilities

257

240

Total current liabilities

195,398

180,110

Non-current liabilities

Other payables

46,668

54,827

Borrowings

1,550,066

1,321,732

Lease liabilities3

18,970

-

Derivative financial instruments2

9,512

2,869

Total non-current liabilities

1,625,216

1,379,428

Total liabilities

1,820,614

1,559,538

Net assets attributable to Unitholders

3,477,406

3,047,526

Represented by:

Unitholders' funds

3,477,406

3,047,526

Net asset value per unit (S$)

1.58

1.51

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Footnotes:

  1. MIT has provided a unitholder's loan in proportion to MIT's 50% interest in MRODCT. The onshore debt financing was finalised on 6 January 2020.
  2. Derivative financial instruments reflect the fair value of the interest rate swaps and currency forwards entered into by the Group to manage its interest rate risks and currency risks.
  3. Includes right of use assets of S$19.7 million. The Group has recognised its existing operating lease arrangements where the Group is a lessee as right of use assets and lease liabilities with the adoption of SFRS(I) 16 Leases from 1 April 2019.

Aggregate Amount of Borrowings and Debt Securities (MIT Group)

31 December 2019

31 March 2019

(S$'000)

(S$'000)

Current

Bank loan (unsecured)

93,813

75,000

Less: Transaction costs to be amortised1

(41)

(18)

93,772

74,982

Non-current

Bank loan (unsecured)

1,145,994

918,171

Less: Transaction costs to be amortised1

(1,939)

(1,501)

1,144,055

916,670

Medium Term Notes ("MTN") (unsecured)

405,000

405,000

Change in fair value of hedged item2

1,773

921

Less: Transaction costs to be amortised1

(762)

(859)

406,011

405,062

1,643,838

1,396,714

Footnotes:

1

2

Related transaction costs are amortised over the bank loan facility periods and the tenors of the MTN.

Relates to the changes in fair value of the S$75.0 million MTN issued on 11 May 2015; the Group has adopted a fair value hedge on this series of MTN.

9

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

1(b)(ii) Statement of Financial Position (MIT)

Current assets

Cash and cash equivalents Trade and other receivables Other current assets Derivative financial instruments2 Loan to a joint venture1

Total current assets

Non-current assets

Investment properties

Investment property under development Investments in:

  • subsidiaries
  • joint ventures Plant and equipment Loan to subsidiaries4 Derivative financial instruments2
    Total non-current assets

Total assets

Current liabilities

Trade and other payables Borrowings

Lease liabilities3

Derivative financial instruments2 Current income tax liabilities

Total current liabilities

Non-current liabilities

Other payables Borrowings Lease liabilities3 Loans from a subsidiary Derivative financial instruments2

Total non-current liabilities

Total liabilities

Net assets attributable to Unitholders

Represented by:

Unitholders' funds

Net asset value per unit (S$)

31 December 2019

31 March 2019

(S$'000)

(S$'000)

70,499

22,308

40,368

33,085

793

1,138

12

114

332,547

-

444,219

56,645

3,921,370

3,807,400

-

82,100

113,585

113,585

431,367

166,158

143

183

323,394

323,394

1,827

1,142

4,791,686

4,493,962

5,235,905

4,550,607

89,732

92,298

93,772

74,982

33

-

462

238

49

32

184,048

167,550

43,097

51,807

1,144,055

916,670

9,222

-

406,011

405,062

9,512

2,869

1,611,897

1,376,408

1,795,945

1,543,958

3,439,960

3,006,649

3,439,960

3,006,649

1.56

1.49

Footnotes:

  1. MIT has provided a unitholder's loan in proportion to MIT's 50% interest in MRODCT. The onshore debt financing was finalised on 6 January 2020.
  2. Derivative financial instruments reflect the fair value of the interest rate swaps and currency forwards entered into by MIT to manage its interest rate risks and currency risks.

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

  1. Includes right of use assets of S$9.4 million. MIT has recognised its existing operating lease arrangements where the Group is a lessee as right of use assets and lease liabilities with the adoption of SFRS(I) 16 Leases from 1 April 2019.
  2. Includes MIT's quasi equity investment of S$166.6 million in Mapletree Singapore Industrial Trust ("MSIT").

1(c) Statement of Cash Flows (MIT Group)

3QFY19/20

3QFY18/19

(S$'000)

(S$'000)

Cash flows from operating activities

Profit for the period

69,550

57,455

Adjustments for:

- Income tax expense

49

-

- Interest income

(2,125)

(63)

- Borrowing costs

12,072

10,058

- Manager's management fees paid/payable in units

647

794

- Rental incentives

(433)

(1,031)

- Depreciation

13

13

- Share of profit of joint ventures

(6,848)

(4,021)

- Unrealised translation loss

*

(5)

Operating cash flows before working capital changes

72,925

63,200

Changes in operating assets and liabilities

Trade and other receivables

760

(3,471)

Trade and other payables

(401)

4,460

Other current assets

87

2,172

Cash generated from operations

73,371

66,361

Interest received

122

65

Net cash provided by operating activities

73,493

66,426

Cash flows from investing activities

Additions to investment properties and investment property under

(10,043)

(11,895)

development

Additions to plant and equipment

-

(88)

Investment in a joint venture

(189,972)

-

Distribution received from joint venture

3,733

3,884

Loan to a joint venture

(333,180)

-

Net cash used in investing activities

(529,462)

(8,099)

Cash flows from financing activities

Repayment of bank loans

(123,140)

(252,581)

Payment of financing related costs

(120)

(531)

Gross proceeds from bank loans

517,640

239,265

Payment of issue expenses

(6,385)

-

Distributions to Unitholders

(59,300)

(33,980)1

Interest paid

(7,742)

(8,885)

Payment of lease liabilities2

(579)

-

Net cash generated from/(used in) financing activities

320,374

(56,712)

Net (decrease)/increase in cash and cash equivalents

(135,595)

1,615

Cash and cash equivalents at beginning of financial period

224,678

20,646

Effects of currency translation on cash and cash equivalents

*

*

Cash and cash equivalents at end of financial period

89,083

22,261

* Amount less than S$1,000

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MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Footnotes:

1

2

This amount excludes S$22.8 million distributed through the issuance of 12,244,525 new units in MIT in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the Distribution Reinvestment Plan ("DRP").

Includes payments of finance cost for lease liabilities.

1(c) Statement of Cash Flows (MIT Group)

YTD FY19/20

YTD FY18/19

(S$'000)

(S$'000)

Cash flows from operating activities

Profit for the period

196,413

170,335

Adjustments for:

- Reversal of impairment of trade receivables

-

1

- Income tax expense/(credit)

49

*

- Interest income

(2,295)

(187)

- Borrowing costs

33,990

29,729

- Manager's management fees paid/payable in units

1,933

2,355

- Rental incentives

(1,474)

(2,536)

- Depreciation

40

27

- Share of profit of joint ventures

(15,609)

(12,952)

- Unrealised translation loss

*

23

Operating cash flows before working capital changes

213,047

186,795

Changes in operating assets and liabilities

Trade and other receivables

1,310

(288)

Trade and other payables

(6,851)

(5,554)

Other current assets

794

(249)

Cash generated from operations

208,300

180,704

Interest received

294

188

Income tax paid

(32)

*

Net cash provided by operating activities

208,562

180,892

Cash flows from investing activities

Additions to investment properties and investment property under

(35,309)

(125,142)1

development

Additions to plant and equipment

-

(135)

Investment in a joint venture

(265,209)

-

Distribution received from joint venture

11,222

10,357

Loan to a joint venture

(333,180)

-

Net cash used in investing activities

(622,476)

(114,920)

Cash flows from financing activities

Repayment of bank loans

(301,240)

(407,895)

Payment of financing related costs

(1,397)

(720)

Gross proceeds from bank loans

548,440

501,817

Net proceeds from issuance of new units

393,614

-

Distributions to Unitholders

(145,318)2

(146,162)3

Interest paid

(29,390)

(28,170)

Payment of lease liabilities4

(1,722)

-

Net cash generated from/(used in) financing activities

462,987

(81,130)

Net increase/(decrease) in cash and cash equivalents

49,073

(15,158)

Cash and cash equivalents at beginning of financial period

40,010

37,419

Effects of currency translation on cash and cash equivalents

*

*

Cash and cash equivalents at end of financial period

89,083

22,261

* Amount less than S$1,000

12

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Footnotes:

1

2

3

Includes the acquisition of 7 Tai Seng Drive.

This amount excludes S$4.4 million distributed through the issuance of 2,172,035 new units in MIT in 1QFY19/20 as part payment of distributions for the period from 20 February 2019 to 31 March 2019, pursuant to the DRP.

This amount excludes S$22.8 million distributed through the issuance of 12,244,525 new units in MIT in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

4 Includes payments of finance cost for lease liabilities.

1(d)(i) Statement of Movements in Unitholders' Funds (MIT Group)

3QFY19/20

3QFY18/19

(S$'000)

(S$'000)

OPERATIONS

Balance at beginning of the period

929,616

941,786

Profit for the period

69,550

57,455

Distributions

(4,402)1

(56,779)

Balance at end of the period

994,764

942,462

UNITHOLDERS' CONTRIBUTION

Balance at beginning of the period

2,499,803

1,841,503

Issue of new units pursuant to the DRP

-

22,7992

Manager's management fees paid in units

648

789

Balance at end of the period

2,500,451

1,865,091

HEDGING RESERVE

Balance at beginning of the period

(18,294)

5,532

Fair value gain/(loss)

913

(2,089)

Cash flow hedges realised and transferred to borrowing cost

480

235

Share of hedging reserve of joint venture

407

(1,462)

Balance at end of the period

(16,494)

2,216

FOREIGN CURRENCY TRANSLATION RESERVE

Balance at beginning of the period

133

128

Currency translation differences arising from share of joint

(1,448)

(44)

ventures

Balance at end of the period

(1,315)

84

Total Unitholders' funds at end of the period

3,477,406

2,809,853

Footnotes:

1 This amount represents the balance distribution from 26 September 2019 to 30 September 2019 and will be paid together with 3QFY19/20 distribution.

2 MIT Group issued 12,244,525 new units in MIT amounting to S$22.8 million in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

13

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Statement of Movements in Unitholders' Funds (MIT Group)

YTD FY19/20

YTD FY18/19

(S$'000)

(S$'000)

OPERATIONS

Balance at beginning of the period

952,473

941,088

Profit for the period

196,413

170,335

Distributions

(154,122)

(168,961)

Balance at end of the period

994,764

942,462

UNITHOLDERS' CONTRIBUTION

Balance at beginning of the period

2,100,514

1,839,263

Issue of new units pursuant to the private placement

399,999

-

Issue of new units pursuant to the DRP

4,4021

22,7992

Manager's management fees paid in units

1,921

2,349

Manager's acquisition fee paid in units

-

680

Issue expenses

(6,385)

-

Balance at end of the period

2,500,451

1,865,091

HEDGING RESERVE

Balance at beginning of the period

(5,340)

393

Fair value loss

(7,631)

(867)

Cash flow hedges realised and transferred to borrowing cost

496

1,379

Share of hedging reserve of joint venture

(4,019)

1,311

Balance at end of the period

(16,494)

2,216

FOREIGN CURRENCY TRANSLATION RESERVE

Balance at beginning of the period

(121)

(672)

Currency translation differences arising from share of joint

(1,194)

756

ventures

Balance at end of the period

(1,315)

84

Total Unitholders' funds at end of the period

3,477,406

2,809,853

Footnotes:

  1. MIT Group issued 2,172,035 new units in MIT amounting to S$4.4 million in 1QFY19/20 as part payment of distributions for the period from 20 February 2019 to 31 March 2019, pursuant to the DRP.
  2. MIT Group issued 12,244,525 new units in MIT amounting to S$22.8 million in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

14

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

1(d)(ii) Statement of Movements in Unitholders' Funds (MIT)

3QFY19/20

3QFY18/19

(S$'000)

(S$'000)

OPERATIONS

Balance at beginning of the period

882,027

907,668

Profit for the period

71,791

57,845

Distributions

(4,402)1

(56,779)

Balance at end of the period

949,416

908,734

UNITHOLDERS' CONTRIBUTION

Balance at beginning of the period

2,499,803

1,841,503

Issue of new units pursuant to the private placement

-

22,7992

Manager's management fee paid in units

648

789

Balance at end of the period

2,500,451

1,865,091

HEDGING RESERVE

Balance at beginning of the period

(11,300)

2,233

Fair value gain/(loss)

913

(2,089)

Cash flow hedges realised and transferred to borrowing cost

480

235

Balance at end of the period

(9,907)

379

Total Unitholders' funds at end of the period

3,439,960

2,774,204

Footnotes:

1

2

This amount represents the balance distribution from 26 September 2019 to 30 September 2019 and will be paid together with 3QFY19/20 distribution.

MIT Group issued 12,244,525 new units in MIT amounting to S$22.8 million in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

15

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Statement of Movements in Unitholders' Funds (MIT)

YTD FY19/20

YTD FY18/19

(S$'000)

(S$'000)

OPERATIONS

Balance at beginning of the period

908,907

915,043

Profit for the period

194,631

162,652

Distributions

(154,122)

(168,961)

Balance at end of the period

949,416

908,734

UNITHOLDERS' CONTRIBUTION

Balance at beginning of the period

2,100,514

1,839,263

Issue of new units pursuant to the private placement

399,999

-

Issue of new units pursuant to the DRP

4,4021

22,7992

Manager's management fee paid in units

1,921

2,349

Manager's acquisition fee paid in units

-

680

Issue expenses

(6,385)

-

Balance at end of the period

2,500,451

1,865,091

HEDGING RESERVE

Balance at beginning of the period

(2,772)

(133)

Fair value loss

(7,631)

(867)

Cash flow hedges realised and transferred to borrowing cost

496

1,379

Balance at end of the period

(9,907)

379

Total Unitholders' funds at end of the period

3,439,960

2,774,204

Footnotes:

  1. MIT Group issued 2,172,035 new units in MIT amounting to S$4.4 million in 1QFY19/20 as part payment of distributions for the period from 20 February 2019 to 31 March 2019, pursuant to the DRP.
  2. MIT Group issued 12,244,525 new units in MIT amounting to S$22.8 million in 3QFY18/19 as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

16

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

1(d)(iii) Details of Any Change in Units

3QFY19/20

3QFY18/19

YTD FY19/20

YTD FY18/19

Balance as at beginning

2,200,483,921

1,886,353,807

2,021,111,388

1,885,217,601

of the period

Manager's management

264,689

398,994

865,187

1,196,538

fees paid in units1

Manager's acquisition fee

-

-

-

338,662

paid in units1

Issue of new units pursuant

-

-

176,600,000

-

to the private placement2

Issue of new units pursuant

-

12,244,5253

2,172,0354

12,244,5253

to the DRP

Total issued units at end

2,200,748,610

1,898,997,326

2,200,748,610

1,898,997,326

of the period5

Footnotes:

1

2

3

4

The Manager has elected, in accordance with the Trust Deed, for new units to be issued as part payment of base fee and payment of acquisition fee to the Manager.

The new units were listed on 26 September 2019.

New units were issued at an issue price of S$1.8612 per unit as part payment of distributions for the period from 1 July 2018 to 30 September 2018, pursuant to the DRP.

New units were issued at issue price of S$2.0193 per unit as part payment of distributions for the period from 20 February 2019 to 31 March 2019, pursuant to the DRP.

5 There were no convertibles, treasury units and units held by subsidiaries as at 31 December 2019 and 31 December 2018.

2. Whether the figures have been audited, or reviewed and in accordance with which standard, (e.g. the Singapore Standard on Auditing 910 (Engagements to Review Financial Statements), or an equivalent standard)

The figures have not been audited or reviewed by the auditors.

3. Where the figures have been audited, or reviewed, the auditors' report (including any qualifications or emphasis of matter)

Not applicable.

4. Whether the same accounting policies and methods of computation as in the issuer's most recent audited annual financial statements have been applied

Except as disclosed in paragraph 5 below, the accounting policies and methods of computation applied in the financial statements for the current reporting period are consistent with those used in the audited financial statements for the financial year ended 31 March 2019.

17

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

5. If there are any changes in the accounting policies and methods of computation, including any required by an accounting standard, what has changed, as well as the reasons for, and the effect of the change

MIT Group has adopted the new and amended SFRS(I) and INT SFRS(I) that are mandatory for application from 1 April 2019. The adoption of these new or amended SFRS(I) and INT SFRS(I) did not result in material changes to the Group's accounting policies and has no material effect on the amounts reported for the current financial period, except for SFRS(I) 16 Leases ("SFRS(I) 16").

The Group has applied SFRS(I) 16 from its mandatory adoption date of 1 April 2019 and have applied the simplified transition approach; no restatements were made on the comparative amounts for the prior periods. With the adoption of SFRS(I) 16, an asset (the right to use the leased item) and a financial liability to pay rentals are recognised. Right of use assets were measured at the amount of the lease liability on adoption (adjusted for any prepaid or accrued lease expenses).

Prior to the adoption of SFRS(I) 16, lease payments made for land rental were presented as land rental expenses in arriving at the net property income in the Profit and Loss and formed part of the Group's operating cash flows on the Statement of Cash Flows. However, with the adoption of SFRS(I) 16, such payments were included as borrowing cost on the Profit and Loss and principal repayment was shown as a reduction in lease liabilities in the Statement of Financial Position. Payments for lease liabilities were included in the financing cash flows on the Statement of Cash Flows. There was no significant impact on distribution with the adoption of SFRS(I) 16.

6. Earnings Per Unit ("EPU") and Distribution Per Unit ("DPU")

3QFY19/20

3QFY18/19

YTD FY19/20

YTD FY18/19

Weighted average

2,200,659,4211

1,890,078,7672

2,085,516,4781

1,887,214,0312

number of units

Earnings per unit

("EPU") - Basic and

Diluted3

3.16

3.04

9.42

9.03

Based on the weighted

average number of

units in issue (cents)

No. of units in issue at

end of period

2,200,748,610

1,898,997,326

2,200,748,610

1,898,997,326

DPU

Based on number of

units in issue at end of

3.16

3.07

9.39

9.08

period (cents)

Footnotes:

  1. Weighted average number of units has been adjusted to take into account the new units issued pursuant to the private placement, DRP and as part payment of base fee to the Manager.
  2. Weighted average number of units has been adjusted to take into account the new units issued pursuant to the DRP, as well as part payment of base fee and acquisition fee to the Manager.

18

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

3 Diluted earnings per unit were the same as the basic earnings per unit as there were no dilutive instruments in issue. The EPU were calculated using the total profit and the weighted average number of units in issue during the respective periods.

7. Net Asset Value ("NAV") and Net Tangible Asset ("NTA") Per Unit

MIT Group

MIT

31 December

31 March

31 December

31 March

2019

2019

2019

2019

NAV and NTA per

1.58

1.51

1.56

1.49

unit (S$)1

Footnote:

1 Net tangible asset per unit was the same as net asset value per unit as there were no intangible assets as at the reporting dates.

8. Review of the Performance Consolidated Profit or Loss (MIT Group) 3QFY19/20 vs 3QFY18/19

Increase/

3QFY19/20

3QFY18/19

(Decrease)

(S$'000)

(S$'000)

%

Gross revenue

102,610

93,571

9.7

Property operating expenses

(20,705)

(21,696)

(4.6)

Net property income

81,905

71,875

14.0

Interest income

2,125

63

3,273.0

Borrowing costs

(11,687)

(10,058)

16.2

Finance cost on lease liabilities

(385)

-

**

Manager's management fees

-

Base fees

(5,628)

(5,148)

9.3

-

Performance fees

(2,951)

(2,588)

14.0

Trustee's fees

(161)

(146)

10.3

Other trust expenses

(342)

(472)

(27.5)

Net foreign exchange loss

(125)

(92)

35.9

Share of profit of joint ventures

6,848

4,021

70.3

Profit for the period before

69,599

57,455

21.1

income tax

Income tax expense

(49)

-

**

Profit for the period after income

69,550

57,455

21.1

tax

Net non-tax deductible items

(6,812)

(3,400)

100.4

Distributions declared by joint

6,698

4,198

59.6

ventures

Amount available for distribution

69,436

58,253

19.2

Distribution per Unit (cents)

3.16

3.07

2.9

** Not meaningful

19

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Gross revenue for 3QFY19/20 was S$102.6 million, 9.7% (or S$9.0 million) higher than the corresponding quarter last year. This was largely due to new revenue contributions from 18 Tai Seng and 7 Tai Seng Drive as well as higher revenue contribution from 30A Kallang Place.

Property operating expenses were S$20.7 million, 4.6% (or S$1.0 million) lower than the corresponding quarter last year. This was mainly attributed to lower property maintenance expenses, utilities and marketing commission, partially offset by additional property taxes for 18 Tai Seng.

As a result, the net property income in 3QFY19/20 increased by 14.0% (or S$10.0 million) to S$81.9 million.

The amount available for distribution in 3QFY19/20 was S$69.4 million, 19.2% (or S$11.2 million) higher than the corresponding quarter last year largely due to higher net property income, interest income and distributions declared by joint ventures, partially offset by higher manager's management fees and borrowing costs. Interest income was higher at S$2.1 million as compared to S$0.1 million in 3QFY18/19 mainly due to the interest earned on loan to MRODCT. Distributions declared by joint ventures were higher due to distribution from MRODCT for the Turnkey Portfolio, which was completed in November 2019. The higher borrowing costs were due to interest expense from debt borrowed to fund the acquisition of 18 Tai Seng as well as investment in MRODCT. The interest costs incurred in relation to 7 Tai Seng Drive were expensed (instead of being capitalised) upon obtaining Temporary Occupation Permit ("TOP") also contributed to the higher borrowing costs. Higher manager's management fees were due to better portfolio performance and increased value of assets under management.

Distribution per unit for 3QFY19/20 was 3.16 cents, 2.9% higher than 3.07 cents in 3QFY18/19.

20

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Consolidated Profit or Loss (MIT Group)

YTD FY19/20 vs YTD FY18/19

Increase/

YTD FY19/20

YTD FY18/19

(Decrease)

(S$'000)

(S$'000)

%

Gross revenue

304,057

277,279

9.7

Property operating expenses

(64,244)

(65,359)

(1.7)

Net property income

239,813

211,920

13.2

Interest income

2,295

187

1,127.3

Borrowing costs

(32,853)

(29,729)

10.5

Finance cost on lease liabilities

(1,137)

-

**

Manager's management fees

-

Base fees

(16,883)

(15,240)

10.8

-

Performance fees

(8,642)

(7,629)

13.3

Trustee's fees

(472)

(433)

9.0

Other trust expenses

(1,142)

(1,602)

(28.7)

Net foreign exchange loss

(126)

(91)

38.5

Share of profit of joint ventures

15,609

12,952

20.5

Profit

for the period before

196,462

170,335

15.3

income tax

Income tax (expense)/credit

(49)

*

**

Profit for the period after income

196,413

170,335

15.3

tax

Net non-tax deductible items

(14,531)

(9,900)

46.8

Distributions declared by joint

14,302

11,388

25.6

ventures

Amount available for distribution

196,184

171,823

14.2

Distribution per Unit (cents)

9.39

9.08

3.4

  • Amount less than S$1,000
  • Not meaningful

Gross revenue for YTD FY19/20 was S$304.1 million, 9.7% (or S$26.8 million) higher compared to the corresponding period last year. This was due mainly to new revenue contributions from 18 Tai Seng, 30A Kallang Place, Mapletree Sunview 1 and 7 Tai Seng Drive.

Property operating expenses were S$64.2 million, 1.7% (or S$1.1 million) lower than the corresponding period last year. This was due mainly to lower property maintenance expenses and utilities, partially offset by additional property taxes for 18 Tai Seng and higher marketing commission.

As a result, net property income for YTD FY19/20 was S$239.8 million, 13.2% (or S$27.9 million) higher.

The amount available for distribution in YTD FY19/20 was S$196.2 million, 14.2% (or S$24.4 million) higher than YTD FY18/19 mainly due to higher net property income, interest income and distributions declared by joint ventures, partially offset by higher manager's management fees and borrowing costs. Interest income was higher mainly due to the interest earned on loan to MRODCT. Distributions declared by joint ventures were higher due to distribution from MRODCT. Higher manager's management fees were due to better

21

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

portfolio performance and increased value of assets under management. The higher borrowing costs were due to interest expense from debt borrowed to fund the acquisition of 18 Tai Seng as well as investment in MRODCT. The interest costs incurred in relation to Mapletree Sunview 1 and 7 Tai Seng Drive were expensed (instead of being capitalised) upon obtaining TOP also contributed to the higher borrowing costs.

Distribution per unit for YTD FY19/20 was 9.39 cents, 3.4% higher than 9.08 cents in YTD FY18/19.

Consolidated Profit or Loss (MIT Group)

3QFY19/20 vs 2QFY19/20

Increase/

3QFY19/20

2QFY19/20

(Decrease)

(S$'000)

(S$'000)

%

Gross revenue

102,610

101,872

0.7

Property operating expenses

(20,705)

(21,883)

(5.4)

Net property income

81,905

79,989

2.4

Interest income

2,125

67

3,071.6

Borrowing costs

(11,687)

(10,961)

6.6

Finance cost on lease liabilities

(385)

(381)

1.0

Manager's management fees

-

Base fees

(5,628)

(5,714)

(1.5)

-

Performance fees

(2,951)

(2,879)

2.5

Trustee's fees

(161)

(158)

1.9

Other trust expenses

(342)

(400)

(14.5)

Net foreign exchange (loss)/gain

(125)

31

(503.2)

Share of joint ventures

6,848

4,450

53.9

Profit for the period before

69,599

64,044

8.7

income tax

Income tax expense

(49)

-

**

Profit for the period after income

69,550

64,044

8.6

tax

Net non-tax deductible items

(6,812)

(4,387)

55.3

Distributions declared by joint

6,698

3,850

74.0

ventures

Amount available for distribution

69,436

63,507

9.3

Distribution per Unit (cents)

3.16

3.13

1.0

** Not meaningful

On a quarter-on-quarter basis, net property income for 3QFY19/20 increased by 2.4% (or S$1.9 million) to S$81.9 million. The increase was mainly due to improved occupancy for Business Park Buildings, full quarter contribution from 7 Tai Seng Drive as well as lower property maintenance expenses and marketing commission.

The amount available for distribution for 3QFY19/20 was S$69.4 million, 9.3% (or S$5.9 million) higher than 2QFY19/20 largely due to higher net property income, interest income and distributions declared by joint ventures, partially offset by higher borrowing costs. Distributions declared by joint ventures were higher due to distribution from MRODCT. The

22

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

higher borrowing costs were due to interest expense from debt borrowed to fund the investment in MRODCT. Distribution per unit for 3QFY19/20 was higher at 3.16 cents compared to 3.13 cents in 2QFY19/20.

Statement of Financial Position

31 December 2019 vs 31 March 2019

Total assets increased mainly due to completion of the acquisition of the Turnkey Portfolio, recognition of right of use assets with the adoption of SFRS(I) 16, progressive development and improvement works incurred for 7 Tai Seng Drive as well as the other properties in the portfolio.

The net assets attributable to Unitholders increased by 14.1% from S$3,047.5 million as at 31 March 2019 to S$3,477.4 million as at 31 December 2019 mainly due to new units issued pursuant to the private placement.

  1. Variance from Previous Forecast / Prospect Statement
    The current results are broadly in line with the commentary made in 2QFY19/20 Financial Results Announcement under Paragraph 10 page 23. The Trust has not disclosed any financial forecast to the market.
  2. Commentary on the competitive conditions of the industry in which the group operates and any known factors or events that may affect the group in the next reporting and the next 12 month
    According to advance estimates from the Ministry of Trade and Industry ("MTI") on 2
    January 2020, the Singapore economy grew by 0.8% on a year-on-year basis ("y-o-y") in the fourth quarter of 2019 ("4Q2019"), extending the 0.7% growth in the previous quarter.
    The manufacturing sector contracted by 2.1% on a y-o-y basis in 4Q2019, extending the 0.9% decline in the previous quarter. The contraction was due to output declines in the electronics, chemicals and transport engineering clusters, which more than offset output expansions in the precision engineering, biomedical manufacturing and general manufacturing clusters. For the whole of 2019, the Singapore economy grew by 0.7%, a decline from the 3.1% growth recorded in 2018.
    The impending large supply of competing industrial space may exert pressure on both market rents and occupancy rates. The median rental rate for multi-user factory space island-wide in 4Q2019 decreased to S$1.77 per square foot per month ("psf/mth"), from
    S$1.80 psf/mth in the preceding quarter1. For business park space, the island-wide median rental rate increased to S$4.25 psf/mth from S$4.20 psf/mth in the preceding quarter.
    Based on Singapore Commercial Credit Bureau's Business Optimism Index study2, business confidence rose slightly for the first quarter of 2020, after reaching a near two- year low for the fourth quarter of 2019. A softer outlook is projected for the manufacturing and construction sectors in the coming months.
  1. Source: JTC J-Space as at 20 January 2020.
  2. Source: Singapore Commercial Credit Bureau, 1Q2020.
  3. Source: CBRE Research, 2020 U.S. Real Estate Market Outlook.

23

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

According to CBRE3, another record level of absorption for the primary data centre markets in the United States in 2019 is expected with more than 120 megawatt of preleased capacity delivering in end 2019. Total new deliveries will increase the primary markets' total data center inventory by 17.3% in 2019, increasing the competition among certain markets in 2020. The large amount of new supply comes primarily from two sources: new providers bringing their first capacity online and expansions by existing providers. Competition between providers will continue to drive market pricing and contractual terms.

The Manager will continue to proactively manage the existing portfolio and adopt a disciplined approach to investment opportunities while monitoring the global economic developments closely.

11. Distributions

  1. Current financial period

Any distributions declared for the current financial period? Yes

Name of distribution:

37th distribution for the period from 26 September 2019 to 31

December 2019

Distribution types:

Income / Capital / Tax-Exempt

Distribution rate:

Period from 26 September 2019 to 31 December 2019

Taxable Income: 3.13 cents per unit

Capital Distribution: 0.01 cent per unit

Tax-Exempt Income Distribution: 0.22 cent per unit

Par value of units:

Not meaningful

Tax rate:

Taxable Income

Qualifying investors and individuals (other than those who hold

their units through a partnership) will generally receive pre-tax

distributions. These distributions are exempt from tax in the

hands of individuals unless such distributions are derived

through a Singapore partnership or from the carrying on of a

trade, business or profession.

Qualifying foreign non-individual investors and qualifying non-

resident funds will receive their distributions after deduction of

tax at the rate of 10%.

All other investors will receive their distributions after deduction

of tax at the rate of 17%.

Capital Distribution

Capital Distribution represents a return of capital to Unitholders

for Singapore income tax purposes. The amount of capital

distribution will reduce the cost of MIT Units for Singapore

income tax purposes. For Unitholders who are liable to

Singapore income tax on profits from sale of MIT Units, the

reduced cost base of their MIT Units will be used to calculate

the taxable trading gains when the MIT Units are disposed of.

Tax-Exempt Income Distribution

24

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

Tax-Exempt Income Distribution is exempt from tax in the

hands of all Unitholders.

(b)

Corresponding period of the preceding financial period

Any distributions declared for the corresponding period of the immediate preceding

financial period?

Yes

Name of distribution:

33rd distribution for the period from 1 October 2018 to 31

December 2018

Distribution types:

Income / Capital / Tax-Exempt

Distribution rate:

Period from 1 October 2018 to 31 December 2018

Taxable Income: 2.90 cents per unit

Capital Distribution: 0.02 cent per unit

Tax-Exempt Income Distribution: 0.15 cent per unit

Par value of units:

Not meaningful

Tax rate:

Taxable Income

Qualifying investors and individuals (other than those who hold

their units through a partnership) will generally receive pre-tax

distributions. These distributions are exempt from tax in the

hands of individuals unless such distributions are derived

through a Singapore partnership or from the carrying on of a

trade, business or profession.

Qualifying foreign non-individual investors will receive their

distributions after deduction of tax at the rate of 10%.

All other investors will receive their distributions after deduction

of tax at the rate of 17%.

Capital Distribution

Capital Distribution represents a return of capital to Unitholders

for Singapore income tax purposes. The amount of capital

distribution will reduce the cost of MIT Units for Singapore

income tax purposes. For Unitholders who are liable to

Singapore income tax on profits from sale of MIT Units, the

reduced cost base of their MIT Units will be used to calculate

the taxable trading gains when the MIT Units are disposed of.

Tax-Exempt Income Distribution

Tax-Exempt Income Distribution is exempt from tax in the

hands of all Unitholders.

(c)

Date payable:

26 February 2020

(d)

Book closure date:

30 January 2020

12. If no distribution has been declared/(recommended), a statement to that effect. Not applicable.

25

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

13. Segment Information (MIT Group)

3QFY19/20

3QFY18/19

S$'000

%

S$'000

%

Gross Revenue

Hi-Tech Buildings

39,597

38.6

30,144

32.2

Flatted Factories

38,191

37.2

38,552

41.2

Business Park Buildings

11,909

11.6

12,019

12.8

Stack-up/Ramp-up Buildings

11,409

11.1

11,094

11.9

Light Industrial Buildings

1,504

1.5

1,762

1.9

102,610

100.0

93,571

100.0

Net Property Income

Hi-Tech Buildings

33,016

40.3

23,654

32.9

Flatted Factories

30,110

36.8

29,475

41.0

Business Park Buildings

8,546

10.4

8,606

12.0

Stack-up/Ramp-up Buildings

9,091

11.1

8,855

12.3

Light Industrial Buildings

1,142

1.4

1,285

1.8

81,905

100.0

71,875

100.0

YTD FY19/20

YTD FY18/19

S$'000

%

S$'000

%

Gross Revenue

Hi-Tech Buildings

116,312

38.3

86,950

31.3

Flatted Factories

114,878

37.8

117,236

42.3

Business Park Buildings

35,089

11.4

35,107

12.7

Stack-up/Ramp-up Buildings

33,039

10.9

32,726

11.8

Light Industrial Buildings

4,739

1.6

5,260

1.9

304,057

100.0

277,279

100.0

Net Property Income

Hi-Tech Buildings

96,045

40.0

68,408

32.3

Flatted Factories

89,568

37.4

89,440

42.2

Business Park Buildings

24,032

10.0

23,918

11.3

Stack-up/Ramp-up Buildings

26,506

11.1

26,305

12.4

Light Industrial Buildings

3,662

1.5

3,849

1.8

239,813

100.0

211,920

100.0

14. In the review of performance, the factors leading to any material changes in contributions to turnover and earnings by the business or geographical segments

Hi-Tech Buildings was the largest contributor to MIT Group's gross revenue and net property income in 3QFY19/20 and YTD FY19/20 mainly due to new revenue contributions from 18 Tai Seng, 30A Kallang Place, Mapletree Sunview 1 and 7 Tai Seng Drive.

The gross revenue for Flatted Factories in YTD FY19/20 was lower as compared to YTD FY18/19 mainly due to pre-termination of leases by HGST Singapore Pte Ltd in FY18/19. The effect of the redevelopment of the Kolam Ayer 2 Cluster into a high-tech industrial precinct also contributed to the lower gross revenue for Flatted Factories in 3QFY19/20 and YTD FY19/20.

26

MAPLETREE INDUSTRIAL TRUST UNAUDITED FINANCIAL STATEMENT AND DISTRIBUTION ANNOUNCEMENT FOR THE FINANCIAL PERIOD FROM 1 OCTOBER 2019 TO 31 DECEMBER 2019 AND YEAR TO DATE FROM 1 APRIL 2019 TO 31 DECEMBER 2019

  1. If the Group has obtained a general mandate from shareholders for Interested Person
    Transactions ("IPT"), the aggregate value of each transaction as required under Rule
    920(1)(a)(ii). If no IPT mandate has been obtained, a statement to that effect.
    MIT Group has not obtained a general mandate from Unitholders for any Interested Person Transactions.
  2. Confirmation pursuant to Rule 720(1) of the Listing Manual
    The Manager confirms that it has procured undertakings from all its directors and executive officers, in the format set out in Appendix 7.7 under Rule 720(1) of the Listing Manual.
  3. Confirmation by the Board

The Board of Directors of the Manager has confirmed that, to the best of their knowledge, nothing has come to their attention which may render these interim financial results to be false or misleading in any material respect.

This release may contain forward-looking statements that involve risks and uncertainties. Future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, competition from other companies and venues for the sale/ distribution of goods and services, shifts in customer demands, customers and partners, changes in operating expenses, including employees wages, benefits and training, governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business. You are cautioned not to place undue reliance on these forward looking statements, which are based on current view of management of future events.

By Order of the Board

Wan Kwong Weng

Joint Company Secretary

Mapletree Industrial Trust Management Ltd.

(Company Registration No. 201015667D)

As Manager of Mapletree Industrial Trust

27

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Mapletree Industrial Trust published this content on 21 January 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 January 2020 11:58:01 UTC