TSX: MRT.UN
MISSISSAUGA, ON, May 7, 2012 /CNW/ - Morguard Real Estate
Investment Trust ("the Trust") (TSX: MRT.UN) today announced its
financial results for the three months ended March 31, 2012 ("Q1").
Net income for Q1 2012, increased to
$44.0 million or $0.76 per unit ($0.72 per unit fully diluted), compared with
$23.3 million or $0.41 per unit ($0.40 per unit fully diluted) for the same period
in 2011.
Funds from operations ("FFO") for Q1 2012,
totalled $19.6 million or
$0.34 per unit ($0.33 per unit fully diluted), compared to
$19.6 million or $0.35 per unit ($0.33 per unit fully diluted) for the same period
in 2011.
Net operating income for Q1 2012, increased to
$33.8 million, compared with
$33.2 million for the same period in
2011.
NET OPERATING INCOME, FFO
This press release and accompanying financial
information make reference to net operating income and funds from
operations ("FFO") on a total and per unit basis. Net
operating income is defined as income from property operations
after operating expenses have been deducted, but prior to deducting
interest expense, general and administrative expenses and fair
value gains (losses). FFO is defined as net income prior to
extraordinary items, valuation adjustments, and certain other
non-cash items, if any.
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 investment trusts and such
terms are defined in the Management's Discussion and Analysis, such
terms are not recognized terms under IFRS. 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.
FINANCIAL STATEMENTS AND MORGUARD'S
DISCUSSION AND ANALYSIS
Morguard REIT's Q1 2012 Consolidated Financial
Statement and Management's Discussion and Analysis along with its
2011 Annual Report are available on Morguard REIT's website at
www.morguardreit.com and have been filed with SEDAR at
www.sedar.com
ABOUT MORGUARD REAL ESTATE INVESTMENT
TRUST
Morguard REIT is a closed-end real estate
investment trust, which owns a diversified portfolio of 53 retail,
office and mixed-use properties in Canada with a book value of $2.1 billion and approximately 8.5 million square
feet of leaseable space.
Consolidated Balance Sheet
| As at |
March 31, |
December 31, |
| (In thousands of dollars) |
2012 |
2011 |
| |
|
|
| Assets |
|
|
| Real estate properties |
$ 2,149,096 |
$ 2,119,084 |
| Amounts receivable |
9,251 |
8,851 |
| Other assets |
6,763 |
1,321 |
| Cash and cash equivalents |
8,452 |
8,134 |
| |
$
2,173,562 |
$ 2,137,390 |
| |
|
|
| Liabilities |
|
|
| Mortgages and bonds payable |
$
797,828 |
$
799,672 |
| Convertible debentures payable |
86,529 |
86,457 |
| Accounts payable and other liabilities |
43,335 |
34,496 |
| Bank indebtedness |
41,439 |
43,852 |
| |
969,131 |
964,477 |
| |
|
|
| Unitholders' Equity |
1,204,431 |
1,172,913 |
| |
$
2,173,562 |
$
2,137,390 |
Consolidated Statements of Income and Comprehensive
Income
| (In thousands of Canadian dollars, except
per-unit amounts) |
|
|
| For the three months ended March 31 |
2012 |
2011 |
| |
|
|
| Revenue from real estate properties |
$
61,521 |
$
59,067 |
| Property operating expenses |
25,734 |
24,020 |
| Property management fees |
1,998 |
1,883 |
| Net operating income |
33,789 |
33,164 |
| |
|
|
| Interest expense |
13,210 |
12,651 |
| General and administrative |
1,315 |
1,216 |
| Amortization expense |
12 |
9 |
| Other income |
(38) |
— |
| Fair value gains on real estate properties |
(24,696) |
(4,039) |
| Net income for the period |
$
43,986 |
$ 23,327 |
| |
|
|
| Amortization - cash flow hedge |
241 |
236 |
| Comprehensive income |
$
44,227 |
$ 23,563 |
| |
|
|
| Net income per unit |
|
|
|
Basic |
$ 0.76 |
$ 0.41 |
| Diluted |
$ 0.72 |
$ 0.40 |
Reconciliation of Net Income to Funds from Operations
| (In thousands of Canadian dollars, except
per-unit amounts) |
|
|
| For the three months ended March 31 |
2012 |
2011 |
| |
|
|
| Net income for the period |
$
43,986 |
$ 23,327 |
| |
|
|
| Add/(deduct) items not affecting cash: |
|
|
| Accretion of convertible debentures |
327 |
349 |
| Fair value gains on real estate
properties |
(24,696) |
(4,039) |
| Funds from operations |
$
19,617 |
$
19,637 |
| |
|
|
| Funds from operations per unit |
|
|
| Basic |
$0.34 |
$0.35 |
| Diluted |
$0.33 |
$0.33 |
SOURCE Morguard Real Estate Investment Trust