KGT – BT

K-Green Trust Q1 earnings hold steady

K-GREEN Trust has reported earnings per unit for the first quarter of 0.56 cent, unchanged from the corresponding period in 2011.

Cash generated from operations was $11.7 million in the quarter ended March 31, 2012, down 21 per cent from the $14.8 million in the year-ago period.

Q1 net profit at the Singapore Exchange's sole green infrastructure business trust remained steady at $3.5 million from a year earlier.

K-Green Trust, which has three energy and water treatment plants in Singapore, will not pay out distributions for the January-March 2012 period.

First quarter revenue inched up 4.4 per cent from 2011's $18.2 million to $19 million, due to a higher operation and maintenance income.

K-Green Trust said the higher operation and maintenance income was because of "annual adjustments of operation and maintenance tariffs to account for changes in consumer price index (CPI), as well as slightly higher output from the plants".

The trust still has no external borrowings as at March 31, 2012.

The performance for K-Green Trust's three portfolio assets "is expected to remain stable".

The flue gas treatment facilities upgrade project for its Senoko waste-to-energy plant is underway and is scheduled for completion by June 2012.

K-Green Trust's trustee-manager said it will continue to consider enhancement opportunities for its three assets.

It also remains interested in acquisitions in the areas of waste management, water treatment, renewable energy and energy efficiency. Europe and Asia Pacific remain its potential acquisition grounds.

K-Green Trust closed 0.5 cent lower at 99.5 cents yesterday.