NOTES TO THE FINANCIAL STATEMENTS
27 Segment reporting
Segment information is presented based on the information reviewed by CIT’s CODMs for performance
assessment and resource allocation.
As each investment property is mainly used for industrial (including warehousing) purposes, these investment
properties are similar in terms of economic characteristics, nature of services and type of customers. The
CODMs are of the view that CIT has only one reportable segment – Leasing of investment properties. This forms
the basis of identifying the operating segments of CIT under FRS 108
Operating Segments
.
Accordingly, no operating segment information has been prepared as CIT has only one reportable segment.
No geographical segment information has been prepared as all of CIT’s investment properties are located
in Singapore.
CIT has one tenant who contributed more than 7.3% of its total revenue during the financial year. The revenue
contributed by this tenant was approximately $7.2 million (2013: $8.7 million).
28 Financial ratios
2014
2013
%
%
Expenses to weighted average net assets
(1)
– Expense ratio excluding performance-related fee
0.92
1.08
– Expense ratio including performance-related fee
(2)
1.12
2.76
Portfolio turnover rate
(3)
0.90
12.22
(1) The annualised ratios are computed in accordance with the guidelines of Investment Management Association of Singapore. The expenses
used in the computation relate to expenses of CIT, excluding property related expenses, borrowing costs and income tax expense.
(2) The expense ratio including performance–related fee would have been 1.43 (2013: 1.51) if adjusted for actual performance fee paid and
payable of $4.4 million (2013: $3.5 million) for the financial year. The payment of performance fee are subject to an annual fee cap.
(3) The annualised ratio is computed based on the lesser of purchases or sales of underlying investment properties of CIT expressed as a
percentage of daily average net asset value.
CAMBRIDGE INDUSTRIAL TRUST | ANNUAL REPORT 2014
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