Keppel DC REIT (AJBU) reported that distributable income for the three months ended Mar, 31 2026 rose 20.7 % year on year to 74.613 million Singapore dollars, driven mainly by the acquisition of Tokyo Data Centre 3 and the purchase of the remaining interests in Keppel DC Singapore 3 and 4, as well as higher contributions from contract renewals and rental escalations.

Gross revenue increased 18.4 % to 120.956 million Singapore dollars, while net property income climbed 19.4 % to 105.173 million Singapore dollars. Distribution per unit advanced 13.2 % to 2.833 Singapore cents.

The data-centre focused trust closed the quarter with portfolio occupancy of 95.6 % and a weighted average lease expiry of 6.5 years. Aggregate leverage stood at 35.1 %, providing approximately 550 million Singapore dollars of debt headroom within the manager’s 40 % internal threshold. The average cost of debt improved by 20 basis points quarter on quarter to 2.6 %, with 84.8 % of total borrowings on fixed rates and a weighted average debt tenor of 3.3 years.

Keppel DC REIT said finance costs rose 20.8 % to 15.053 million Singapore dollars, reflecting loans taken in the previous quarter to fund acquisitions. It maintained a trailing 12-month interest coverage ratio of 7.2 times.

Looking ahead, the trust highlighted that only about 6 % of rental income is due for renewal annually in 2026 and 2027, supporting income visibility. Management expects continued demand for data-centre capacity, underpinned by structural drivers such as artificial-intelligence workloads, and noted minimal direct impact from higher energy prices, with net electricity costs accounting for less than 3 % of operating expenses.