NetLink NBN Trust's Distribution Sustainability Deemed Key Unit-Price Driver
Dow Jones
Aug 10
0613 GMT - NetLink NBN Trust's distribution sustainability is likely to be the key driver for its unit price, its bull at Citi Research says in a note. The trust, which owns and operates the passive fiber network infrastructure for Singapore's broadband network, posted 1Q revenue and Ebitda that was in line with consensus estimates, but profit fell short, analyst Luis Hilado says. He expects the business trust's management to address whether its distribution per unit can be maintained in the medium-to-long term at its Tuesday results briefing, flagging the trust's sequentially higher net debt-to-Ebitda ratio. Citi retains its buy rating and target price of 1.13 Singapore dollars. Units last closed flat at S$1.01, before the results.
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