Plazacorp announces second quarter financial results
Aug 28, 2007
FREDERICTON, NB, Aug. 28 /CNW/ - Plazacorp Retail Properties Ltd.
(PLZ:TSX Venture) today announced its results for the second quarter ended
June 30, 2007.
Michael Zakuta, Plazacorp's President and CEO, said, "We are very pleased
with our financial results for the period ended June 30, 2007. The addition of
sixteen (16) new properties over the last twelve (12) months and the resulting
financial performance is a strong confirmation of our business strategy and
our ability to source, lease, develop, finance and operate retail real estate
in Atlantic Canada, Quebec and Ontario."
During the three months ended June 30, 2007, the Corporation grew its
portfolio by 5 properties from an interest in 78 properties with total assets
of $233 million to 83 properties with total assets of $248 million. Subsequent
to June 30, 2007 one additional property was added to the Company's portfolio
for a total of 84 properties.
The Corporation reported funds from operations ("FFO") of $0.054 per
share ($0.052 per share diluted) for the three months ended June 30, 2007,
representing an increase of 8% over the $0.050 per share ($0.048 per share
diluted) for the three months ended July 31, 2006.
The Corporation reported funds from operations ("FFO") of $0.119 per
share ($0.115 per share diluted) for the six months ended June 30, 2007,
representing an increase of 21% over the $0.098 per share ($0.094 per share
diluted) for the six months ended July 31, 2006.
Plazacorp's Summary of FFO for the three and six months ended June 30,
2007, compared to the three and six months ended July 31, 2006 including the
results of discontinued operations are presented below:-------------------------------------------------------------------------
(000's - except per Three Three Six Six
share amounts) Months Months Months Months
For the Periods Ended Ended Ended Ended
then Ended June 30, July 31, June 30, July 31,
2007 2006 2007 2006
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Total revenues $ 9,937 $ 8,230 $ 19,670 $ 16,309
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Basic earnings per share $ 0.004 $ 0.033 $ 0.075 $ 0.033
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Diluted earnings per
share $ 0.004 $ 0.032 $ 0.072 $ 0.032
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Net income $ 165 $ 1,366 $ 3,231 $ 1,308
Gain on disposals of
income producing
properties and surplus
lands (3) (1,169) (2,790) (1,168)
Income tax expense 124 100 383 30
Income tax expense
(recovery) included in
income from
discontinued operations (16) 43 12 84
Amortization 2,087 1,617 4,183 3,572
Amortization included
in income from
discontinued operations - 127 85 251
Non-controlling interests 90 85 170 102
Financing costs 2,954 2,486 5,723 4,869
Financing costs included
in income from
discontinued operations - 159 115 319
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Earnings before interest,
taxes, depreciation and
amortization (EBITDA) 5,401 4,814 11,112 9,367
Less:
Financing costs (2,954) (2,645) (5,838) (5,188)
Current income tax expense (8) (14) (6) (49)
Non-cash debenture interest 19 22 40 42
Equity accounting and
non-controlling interests
adjustments to FFO (76) (98) (142) (174)
Corporate amortization (8) (11) (15) (23)
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Basic FFO 2,374 2,068 5,151 3,975
Interest on dilutive
convertible debentures 90 161 178 320
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Diluted FFO $ 2,464 $ 2,229 $ 5,329 $ 4,295
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Basic weighted average
shares outstanding 43,640 41,013 43,206 40,400
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Basic FFO per share $ 0.054 $ 0.050 $ 0.119 $ 0.098
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Diluted shares
outstanding per
consolidated financial
statements 44,324 46,374 46,539 41,004
Dilutive effect of
convertible debentures 2,647 - - 4,692
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Total diluted weighted
average shares
outstanding 46,971 46,374 46,539 45,696
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Diluted FFO per share $ 0.052 $ 0.048 $ 0.115 $ 0.094
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-------------------------------------------------------------------------The Company has changed the prior year's fiscal year end for financial
reporting purpose from October 31 to December 31, 2006. As a result the
interim consolidated financial statements comparative figures and related
financial summaries will be for period ends that are different then for the
current period being reported upon.
A copy of Plazacorp's quarterly report can be found on the Corporation's
web site at www.plaza.ca and can be found on www.sedar.com
Plazacorp Retail Properties Ltd. is an owner of shopping malls and strip
plazas throughout Atlantic Canada, Quebec and Ontario. Plazacorp owns
interests in 84 properties comprising 4.0 million square feet of retail real
estate.
CAUTIONARY STATEMENTS REGARDING FORWARD LOOKING INFORMATION
This news release contains forward looking statements relating to our
operations and the environment in which we operate, which are based on our
expectations, estimates, forecasts and projections. These statements are not
future guarantees of future performance and involve risks and uncertainties
that are difficult to control or predict. Therefore, actual outcomes and
results may differ materially from those expressed in these forward looking
statements. Readers, therefore, should not place undue reliance on any such
forward looking statements. Further, a forward looking statement speaks only
as of the date on which such statement is made. We undertake no obligation to
publicly update any such statement, to reflect new information or the
occurrence of future events or circumstances.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
%SEDAR: 00012014E
For further information:
For further information: on Plazacorp, visit our website at: www.plaza.ca or contact: Earl Brewer, Chairman or Kim Sharpe, Director of Business Development, (506) 451-1826