Centro Retail Trust said it anticipates its half-year underlying profit for period ending 31 December 2010 will be 20 per cent below the $81 million from corresponding results last year.
According to the company, “prevailing market and credit conditions” will be the core driver for the changes.
“As previously disclosed by CER, a variety of market and credit factors in the US and Australia are affecting CER’s first half FY11 underlying operating performances and cash flow,” the trust said in a statement.
These driving factors include increasing interest rates, the appreciation of the Australian dollar consequently lowering the US net operating incoming and the positive performance of its Australian property investment.
Centro also noted that it has refinanced its US$362 million of maturing US debt.