TSX:TNT.UN - Post by User
Post by
mjh9413on Mar 19, 2019 2:09pm
169 Views
Post# 29506363
Payout Ratio
Payout RatioI see the latest financials sho some 7MM units are subject to DRIP which results in actual cash payout being beow the AFFO. This results in 11.7% of the cash payout ($1,070K out of $9122K) being re-invested in new units and this is important becasue it means about 170K new units are issued which in turn means that only $25K of increased revenues are needed to cover the equivalnet payout cost on the distribution for those new units, when the residual 'savings' to the cash payout are over $300K.
Now don't know where extra rev growth cpmes from with the increased debt and debt costs and likelihoood that rent increases might become eleusive but current status is okay for a 9% yield.