Embassy Office Parks REIT’s net operating income jumps 12% to Rs 2,032 cr
New Delhi: Embassy Office Parks REIT’s net operating income jumped 12 percent in the fourth quarter of the fiscal 2020-2021 to Rs 2,032 crore. It distributed Rs 1,836 crore to the unit holders in the last fiscal.
The company declared distribution of Rs 530 crore or Rs 5.6 per unit for the fourth quarter ended 31 March 2021.
Embassy Office Parks Management Services Pvt Ltd is the manager of Embassy REIT, country first REIT.
The cumulative distribution by the company for the whole of fiscal 2020-2021 stands at Rs 1,836 crore or Rs 21.48 per unit, the company said in a statement.
Embassy REIT simplified the holding structure of Embassy Manyata in the last fiscal. This helped increase the tax-free component of distributions to 78 percent. The company raised Rs 5,200 crore debt in the last fiscal at 6.9 percent coupon rate and refinanced the Rs 3,280 crore loan. This led to an interest saving of 336 basis points.
The company’s balance sheet has a liquidity of Rs 1,550 crore with a lower leverage of 22 percent.
“Despite the significant challenges caused by the Covid-19 pandemic, Embassy REIT has again performed strongly and delivered on its financial guidance. Despite second wave headwinds, our global occupiers continue to report strong earnings and hiring growth which we believe will translate into demand for quality offices in due course. With our leading presence in India’s highest absorption markets, our low leverage levels and our access to capital markets, we are well positioned to capitalise on the fundamental global demand for Indian office space that will long outlast this pandemic,” said Michael Holland, chief executive officer of Embassy REIT.