Highlights
- Shares of Charter Hall Social Infrastructure REIT jumped 7.6% to AU$2.78, the highest since October 2024.
- The real estate investment trust (REIT) posted a 1H25 profit of AU$31 million, reversing a AU$10.9 million loss from the previous year.
- CQE raised its FY25 distribution guidance to 15.2 cents per unit, up from 15.0 cents.
Charter Hall Social Infrastructure REIT (ASX:CQE) saw its shares soar 7.6% on Tuesday, hitting a multi-month high of AU$2.78 after reporting a turnaround in earnings and increasing its distribution guidance.
Earnings Rebound Sparks Rally
CQE reported a net profit of AU$31 million for the first half of FY25, marking a sharp reversal from the AU$10.9 million loss in 1H24. The improved financials reflect significant rental income and asset performance in the social infrastructure sector, which includes childcare, healthcare, and education properties.
Boost in Distribution Guidance
Alongside its earnings recovery, CQE raised its FY25 distribution guidance to 15.2 cents per unit, up from the previous forecast of 15.0 cents per unit. The increase highlights management’s confidence in sustained cash flow and portfolio performance.
Stock Performance and Market Sentiment
CQE has gained 8.2% year-to-date, including today’s surge, making it one of the top gainers on the ASX200 index.