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Thursday, January 29th, 2026

OUE REIT Delivers Strong FY25 DPU Beat, Eyes Growth with Lower Debt Costs and Potential Sydney Expansion 12

Broker: DBS
Date of Report: 26 Jan 2026

Excerpt from DBS report.

    Report Summary

  • OUE REIT’s FY25 DPU rose 8.3% year-on-year to 2.23 Scts, beating DBS and consensus estimates by about 10%, mainly due to lower-than-expected finance costs.
  • Cost of debt has declined to 3.9% with further potential to decrease towards mid-3% in FY26, supporting ongoing DPU growth.
  • Office assets performed strongly with positive rental reversions and resilient demand, while hospitality showed signs of recovery and retail was softer but mitigated by active management.
  • OUE REIT is in exclusive talks to acquire a stake in Salesforce Tower, Sydney, indicating a potential shift from its pure Singapore focus for more diversified and stable income.
  • DBS maintains a BUY rating, with estimates and target price under review pending further updates after the analyst briefing.

Above is an excerpt from a report by DBS. Clients of DBS can be the first to access the full report from the DBS website : https://www.dbs.com.sg

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