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GLP cites lower revaluations for 29% YOY dip in fiscal Q1 profit

Global Logistic Properties Ltd., amid an ongoing privatization, recorded a 29% year-over-year decrease in its profit after tax and minority interests, or PATMI, to roughly US$144.2 million in the quarter ended June 30 from US$202.9 million.

The company said in a release that the decline is due to lower revaluations in the reporting quarter, noting that without revaluations, its PATMI would have been up year on year by 130.7% to US$89.0 million from about US$38.6 million, due to foreign exchange movements.

For the first quarter of fiscal 2018, GLP's EPS fell 25.4% year on year to 3.06 cents from 4.10 cents, according to its earnings statement.

In the comparable period, earnings before interest was down 31.9% to about US$263.5 million from US$387.1 million; profit from operating activities, including results of associates and joint ventures, saw a 2.2% decline to approximately US$167.5 million from about US$171.4 million logged a year ago; and revenue saw a 26.7% uptick to about US$261.8 million from about US$206.6 million.

Separately, Nesta Investment Holdings Ltd., which intends to take GLP private, promised to keep the existing management of the target after the proposed takeover. The consortium, supported by investors including a unit of China Vanke Co. Ltd., said it recognizes the importance of management continuity for its global expansion strategy for the target, which includes the establishment of a new China fund and a possible expansion to Europe.