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Anonymous

15 Apr 2021

General Investing

How to analyse REITS annual report for Fundamentals?

My first time reading through financial statement Of Capitaland vs Capitaland Int Comm Trust(CICT) in REITS context, queries for example:

1) under Capitaland, there is “group” and “company”. What is the key concept or relationship?

2) under CICT, statement of total return did not include “company/trust” . Why is it so?

3) what’s the key criteria to compare “group” vs “trust” in the financial statement? Is it usually a relativity? Anything to take note in particular?

Discussion (3)

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Samantha Ong

15 Apr 2021

Seedly Student Ambassador 2020/21 at Seedly

If you are looking at buying REITs which is a trust, companies have different financial results and presentations for the various trusts they offer. For example, under Capitaland, there are around 6 REITs focusing on the different real estate segments like retail, residential, logistics, etc so each will have its own set of financial results.

If as a whole, you are looking at buying CapitaLand Limited stock/ looking at the future strategy of the company, then it will be good to look at the group financials and presentation.

Hope this helps :)

Hi anon, as investors, we focus on the group level as we want to have a holistic view of the numbers. Group includes all entities under CapitaLand Ltd whereas company only refers to a specific entity.

Similarly, for CICT, we look at the group level for a complete picture.

If you wish to learn how to read an annual report, you can check out the article we posted here: https://blog.seedly.sg/reading-sgx-listed-compa...

Wow so "chim". Everytime they got presentation slides. Just look at those is sufficient....

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