Far East Hospitality Trust H2 DPS down 7.7% at S$0.0192

[SINGAPORE] The manager of Far East Hospitality Trust (FEHT) posted a distribution per stapled security (DPS) of S$0.0192 for its second half ended Dec 31, 2025, a 7.7 per cent decline from S$0.0208 in the previous corresponding period.

This brought total DPS for the 2025 financial year to S$0.037, down 8.4 per cent from S$0.0404 in FY2024.

The declines in DPS for H2 and FY2025 were due to a lower distribution of other gains for both periods, which led to a decrease in distributions to stapled securityholders, the manager said on Thursday (Feb 12).

For the half year, income available for distribution rose 13 per cent year on year (yoy) to S$37 million from S$32.7 million. Full-year income available for distribution rose 1.9 per cent to S$67.9 million, from S$66.6 million previously.

This increase was driven mainly by lower net finances, the manager said.

Gerald Lee, chief executive officer of FEHT’s manager, noted that operating conditions stabilised in the second half of the year despite a “slow start” in the first few months, amid global uncertainties.

“Performance of our properties improved, supported by more stabilised operating conditions in Singapore, stronger contributions from our commercial premises, and the maiden contribution from our Japan hotel,” he said.

He added that FEHT would remain focused on capital management and controlling cost: “With a strong balance sheet, FEHT is well positioned to pursue opportunities that can enhance income resilience over the longer term.”

For the six months, net property income (NPI) climbed 2.1 per cent yoy to S$50.9 million from S$49.9 million. In tandem, full-year NPI fell 2.8 per cent to S$96.6 million from S$99.3 million.

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Revenue for H2 rose 9 per cent on the year to S$59.8 million from S$54.9 million in H2 2024. Full-year revenue grew marginally by 2.5 per cent to S$111.4 million from S$108.7 million.

By segment

The Singapore hotel segment recorded a 0.3 percentage point improvement in average occupancy, which rose to 81.3 per cent in FY2025, from 81 per cent in FY2024.

For the full-year, the segment’s average daily rate (ADR) fell 4.1 per cent to S$170, from S$178, as revenue per available room (RevPAR) fell 3.8 per cent to S$139 from S$144.

The manager attributed this to a more competitive operating environment and the absence of large-scale events that had supported demand in the prior year. Softer corporate and leisure demand in H1 also weighed on room rates.

Meanwhile, the Singapore serviced residences segment logged a 2.7 percentage point decline in average occupancy, which fell to 81.5 per cent in FY2025 from 84.2 per cent in FY2024.

ADR was largely steady at S$270, against S$271 in the previous year, supported by a higher proportion of leisure and short-stay guests, which partially mitigated the impact of weaker long-stay corporate bookings, the manager said. The segment’s RevPAR fell 3.4 per cent to S$220 from S$228.

For the Japan hotel segment, Four Points by Sheraton Nagoya achieved a total revenue of S$6.8 million for the year, reflecting a partial-year contribution following its acquisition in April 2025.

The hotel – the first Japanese hotel acquisition of FEHT – posted a 7.6 per cent yoy increase in RevPAR to 8,334 yen (S$68.88), supported by improved airport traffic and demand related to the meetings, incentives, conventions and exhibitions sector.

Stapled securities of FEHT closed Thursday 0.8 per cent or S$0.005 lower at S$0.62.