APW’s Net Income Soars 119% as NTA Per Unit Hits $4.89
AIMS Property Securities Fund (APW) reported a remarkable financial year ending June 2025, with net income and revenue more than doubling and net tangible assets per unit rising 31.8%. The fund’s conservative, debt-free approach and diversified portfolio helped it outperform the broader market despite ongoing distribution suspensions.
- Net income attributable to unitholders surged 119% to $52.6 million
- Net tangible assets per unit increased 31.8% to $4.89
- Unit price rose 87.5%, outperforming the S&P/ASX 200 Index
- No distributions paid, continuing suspension since June 2020
- Conservative, debt-free investment strategy maintained
Strong Financial Performance Amid Challenging Conditions
AIMS Property Securities Fund (ASX, APW) has delivered a standout financial year for the period ending 30 June 2025, reporting a net income attributable to unitholders of $52.6 million, more than double the $24 million recorded in the prior year. This surge was driven by a 115.9% increase in revenue from ordinary activities, reaching $54.7 million, largely reflecting strong gains in the fund’s underlying property securities portfolio.
The fund’s net tangible assets (NTA) per unit rose significantly by 31.8% to $4.89, underscoring the enhanced value of its diversified holdings. Meanwhile, the market unit price climbed 87.5% to $3.00, substantially outperforming the S&P/ASX 200 Index’s 9.97% return over the same period.
Conservative Strategy and Portfolio Diversification
APW’s investment approach remains anchored in prudence and long-term value creation. The fund continues to maintain a zero gearing policy since 2013, reflecting its conservative stance amid ongoing global economic uncertainties, including geopolitical tensions and supply chain disruptions. Its portfolio spans a mix of listed and unlisted property securities, including notable investments in AIMS APAC REIT, AIMS Growth Investment Fund, AIMS Total Return Fund, and AIMS Real Estate Opportunity Fund.
This diversified exposure has allowed APW to capitalize on growth opportunities while mitigating volatility. The fund’s underlying investments, such as the AIMS Growth Investment Fund and AIMS Total Return Fund, posted net asset value increases of 47.3% and 37.2% respectively, contributing materially to the overall performance.
Distribution Suspension Continues
In line with its cautious approach, APW has maintained its suspension of distributions since June 2020, a decision initially taken amid the COVID-19 pandemic’s market uncertainty. No distributions were paid or recommended during FY2025. The fund prioritizes preserving capital and ensuring sustainable long-term returns for unitholders over short-term payouts.
Governance and Risk Management
Governance remains a cornerstone of APW’s operations, with a compact but experienced board led by Executive Chairman George Wang. The fund adheres to robust risk management frameworks overseen by an Audit, Risk and Compliance Committee comprising independent directors. APW’s financial reporting has been audited by Hall Chadwick, with no material issues raised.
Related party transactions are transparently disclosed, including a limited bank guarantee provided to AIMS Property Fund (St Kilda Road) capped at $1.16 million, expiring in December 2025. The fund’s cash reserves remain modest at 1.33% of total assets, consistent with its investment focus.
Looking Ahead
APW signals no immediate changes to its business model or distribution policy, emphasizing disciplined capital management and cost control. The fund’s ability to outperform the broader market while maintaining a debt-free position highlights the resilience of its conservative strategy in a volatile environment.
Bottom Line?
APW’s strong FY2025 results underscore the value of conservative, diversified property securities investing, but investors will watch closely for any shift in distribution policy.
Questions in the middle?
- When might APW consider resuming distributions to unitholders?
- How will the valuation and liquidity of unlisted property securities evolve amid market conditions?
- What impact could the bank guarantee exposure have if underlying loans face stress?
