* Q2 FFO C$0.20/shr vs FFO C$0.17/shr yr ago
* Q2 rental revenue C$25.9 mln vs C$23.7 mln last yr
Aug 5 (Reuters) - Canada's Killam Properties Inc KMP.TO reported higher funds from operations (FFO) for the second quarter, mainly on increased rental revenue from same-store properties and lower costs.
The company posted FFO of C$6.8 million ($6.4 million), or 20 Canadian cents a share, compared with C$5.7 million, or 17 Canadian cents a share, a year ago.
Rental revenue rose 9 percent to C$25.9 million.
The company said net operating income from same-store properties -- which account for about 96 percent of Killam's portfolio -- rose by about 10 percent during the quarter.
Shares of the company closed at C$6.66 Wednesday on the Toronto Stock Exchange.
$1=1.069 Canadian Dollar Reporting by Ashutosh Joshi in Bangalore; Editing by Anne Pallivathuckal