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.

K-Green Trust’s H2 distribution up

K-GREEN Trust posted a net profit of $16 million for the year ended Dec 31, 2011, 17.3 per cent higher than its projection of $13.6 million.

Distribution per unit (DPU) for the second half- year of 2011 was 4.69 cents, 8.8 per cent higher than the 4.31 cents paid for the June 29 to Dec 31 period in 2010.

As the business trust was listed on June 29, 2010, full-year comparisons with 2010’s earnings are not meaningful.

Together with the DPU of 3.13 cents for the period from Jan 1 to June 30, 2011, total cash distribution for FY2011 was 7.82 cents, representing a distribution yield of 8.6 per cent based on K-Green’s unit closing price of 90.5 cents on Dec 31, 2011.

Said Thomas Pang, CEO of Keppel Infrastructure Fund Management Pte Ltd, trustee-manager of K- Green Trust: ‘K-Green Trust has achieved good performance in the year 2011. In 2012, we will focus on acquisitions in areas of waste management, water treatment, renewable energy and energy efficiency, including assets which were identified under the Rights of First Refusal, as well as asset enhancement opportunities in our existing portfolio.’

Revenue for the year was $90.6 million, 17.9 per cent higher than the projected figure of $76.8 million. This was mainly due to $10.1 million higher recognition of construction revenue, following a shift in the schedule of flue gas upgrading works for Senoko Plant from FY2010 to FY2011. This is in progress and is scheduled for completion by June this year.

K-Green said the underlying performance of the three assets in its portfolio – Senoko Waste-to-Energy Plant, Keppel Seghers Tuas Waste-to-Energy Plant, and Keppel Seghers Ulu Pandan NEWater Plant – is expected to remain stable.

The company said ‘all three assets have long-term concession agreements with Singapore statutory bodies’, namely the National Environment Agency and Public Utilities Board.

K-Green Trust closed 2 cents higher at 95.5 cents yesterday.

K-Green Trust’s Q3 earnings down 14% to $3.8m

K-GREEN Trust reported third quarter earnings of $3.8 million, down 14 per cent from $4.4 million in the same quarter last year.

Third quarter revenue likewise fell 5.8 per cent to $24.6 million from $26.1 million.

For the nine months ended Sept 30, 2011, Singapore’s only listed green infrastructure trust recorded profit after tax of $11.7 million, 14.6 per cent higher than the $10.2 million projected.

Turnover for the period was $69.7 million, beating projections of $57.5 million by 19.5 per cent.

The group said comparing nine-month 2011 statements with the previous corresponding period was ‘not meaningful’ because K-Green Trust only owned one of the current three plants in its portfolio for the full nine-month period in 2010.

The Senoko waste-to-energy plant was acquired on Aug 31, 2009. However, the Tuas waste-to-energy plant and Ulu Pandan NEWater plant only started contributing to K-Green’s financials after they were acquired on June 29, 2010, the day when the business trust was listed.

Earnings per unit for the third quarter was 0.6 cents, down from 0.7 cents last year.

The group’s assets totalled $714.2 million as at end-September 2011, $47.7 million lower than at the previous year’s end. Net asset value per unit for the quarter decreased to $1.10 from $1.16.

The group had no external borrowings as at Sept 30, 2011.

K-Green said its three assets’ income comes from capacity payments that offer ‘stable source of income with little correlation to economic or demographic fluctuations’.

It is still interested in acquiring more assets, and highlighted four plants to which it has rights of first refusal.

Three are district cooling plants in Singapore located in Biopolis, Changi Business Park and Woodlands Wafer Fab Park.

The other is a Sweden-based waste-to-energy plant that is 22 per cent owned by Keppel Seghers.

K-Green Trust closed unchanged at 90 cents yesterday.

K-Green Trust posts Q2 profit of $4.4m

K-GREEN Trust registered profit after tax of $4.4 million for its second quarter ended June 30.

Profits for H1 were $7.9 million, 16.9 per cent higher than the projected $6.8 million.

Q2 revenue was $25.9 million while revenue for the first six months of the year was $44.1 million, 15.8 per cent higher than the $38.1 million projected for the period.

The higher revenue contributions during the first six months were due to a $4.1 million increase in construction revenue from its Senoko Waste-to-Energy (WTE) Plant, and $1.9 million higher operation and maintenance income.

K-Green Trust is Singapore’s only listed green infrastructure trust and pays distributions from residual cash flow.

K-Green has three assets, namely Tuas design-build-own-operate Plant, Ulu Pandan NEWater Plant, and the Senoko WTE Plant.

K-Green has no external borrowings. Cash generated from K-Green’s operations for its second quarter was $6.9 million while that for H1 was $21.7 million.

After taking into account interest, taxes and working capital, total distribution payable for H1 was $19.7 million.

Distribution per unit (DPU) for H1 was 3.13 cents, in line with the forecast amount in its introductory document.

K-Green is on track to fulfil its forecast 7.82 cents full-year DPU.

Net asset value per unit as at June 30, 2011, was $1.13.

K-Green closed down a cent to $1.065 yesterday.

SINGAPORE: K-Green Trust said its profit after tax achieved for the first quarter of 2011 was S$3.5 million – 5.4 per cent higher than its forecast.

No comparative figures were given as the business trust, managed by Keppel Infrastructure Fund Management, was listed on the Singapore Exchange on June 29, 2010.

The trust's earnings per unit for the three months ended March 31 was 0.56 Singapore cents.

The trust said its free cash flow for the quarter was S$9.5 million, while its net asset value per unit as at 31 March was S$1.12.

The trust owns waste treatment and NEWater facilities Senoko Plant, Tuas DBOO Plant and Ulu Pandan Plant.