BEK.B Becker Milk Co Ltd

The Becker Milk Company Limited (the “Company”) (TSX-BEK.B) is pleased to report the results for the year ended April 30, 2024.

HIGHLIGHTS

• Total revenues for the year ended April 30, 2024 were $3,045,648 compared to $2,860,435 for the same period in 2023;
• The non-IFRS financial measure Net Operating Income for the year was $2,375,060 compared to $2,294,028 in 2023;
• Net income for the year was $0.07 per share, compared to a net loss of $0.43 per share in 2023.

FINANCIAL HIGHLIGHTS

Total revenue for the year ended April 30, 2024 improved $185,213 compared to the year ended April 30, 2023, a result of both higher property revenue and finance income.

	Year ended
	April 30
	2024				2023
Property revenue	$2,792,736				$2,712,093
Finance income	252,912				148,342
Total revenues	$3,045,648				$2,860,435
Net income (loss) attributable to common
and special shareholders	$124,478				($778,354)
Average common and special shares outstanding	1,808,360				1,808,360
Income (loss) per share	$0.07				($0.43)

Components of the $902,832 improvement in net income for the year ended April 30, 2024 compared to the year ended April 30, 2023 were:

Changes in Net Income - Year ended April 30, 2024
compared to year ended April 30, 2023
Decrease in the unfavourable fair value adjustment	$702,473
Increase in finance income	104,570
Increase in net operating Income	81,032
Decrease in expenses related to strategic review	40,641
Increase in gain on disposal	17,199
Decrease in administrative expenses	485
Decrease in recovery of deferred income taxes	(19,738)
Increase in current taxes	(23,830)
Decrease in net loss	$902,832

The decrease in the unfavourable fair value adjustment to investment properties was the result of a reduced upward adjustment in investment property capitalization rates during year ended April 30, 2024, as compared to the year ended April 30, 2023.

Non-IFRS financial measures

Net operating income

The non-IFRS financial measure Net Operating Income for the year ended April 30, 2024 was $2,375,060, a $81,032 increase compared with the previous year. This increase was primarily the result of improved property revenue related to higher recovery of operating costs from tenants.

	Year ended
	April 30
	2024		2023
Property revenue	$2,792,736		$2,712,093
Property operating expenses	(417,676)		(418,065)
Net operating income	$2,375,060		$2,294,028

Funds from operations and Adjusted funds from operations

For the year ended April 30, 2024 the Company recorded Adjusted funds from operations of $920,029 ($0.51 per share) compared to $612,280 ($0.34 per share) in 2023.

	Year ended
	April 30
	2024		2023
Net income (loss)	$124,478		($778,354)
Add (deduct) items not affecting cash:
Adjustment to fair value of investment properties	987,885		1,690,358
Loss (gain) on sale of investment properties	(2,122)		15,077
Tax on gains from sale of property	27,755		54,736
Deferred income taxes	(150,082)		(169,820)
Funds from operations	987,914		811,997
Deduct non-operating items:
Expenses related to strategic review	-		40,641
Sustaining capital expenditures	(67,885)		(240,358)
Adjusted funds from operations	$920,029		$612,280
Adjusted funds from operations per share	$0.51		$0.34

STRATEGIC REVIEW

The Board of Directors continually evaluates strategic directions for the Company and has engaged in discussions with potential acquirers. While the Company has engaged in some discussions within the last year, none of those discussions are active at this time. The Company continues to review its strategic alternatives and will update the market as appropriate, and as required.

The Company’s annual financial statements for the year ended April 30, 2024, along with the Management’s Discussion and Analysis will be filed with SEDAR at www.sedarplus.ca.

Readers are cautioned that although the terms “Net Operating Income”, and “Funds From Operations” are commonly used to measure, compare and explain the operating and financial performance of Canadian real estate companies and such terms are defined in the Management’s Discussion and Analysis, such terms are not recognized terms under Canadian generally accepted accounting principles. Such terms do not necessarily have a standardized meaning and may not be comparable to similarly titled measures presented by the other publicly traded entities.

For the Board of Directors G.W.J. Pottow, President Tel: 416-698-2591