Plazacorp announces Q2 financial results
Aug 25, 2008
FREDERICTON, Aug. 25 /CNW/ - Plazacorp Retail Properties Ltd. (PLZ:TSX
Venture) today announced its results for the six months ended June 30, 2008.
Michael Zakuta, Plazacorp's President and CEO, said, "We are pleased with
the results for the period ended June 30, 2008. The increase in FFO is a
confirmation of our business strategy and our ability to successfully develop
and complete new development projects in a more challenging financing
environment. For the six month period ended June 30, 2008, 7 new properties
became income producing. Currently we have 7 projects under development and
two land assemblies in progress, which upon completion will deliver stronger
FFO going forward and strengthen the quality of our portfolio."
During the three months ended June 30, 2008, the Corporation grew its
portfolio to 91 properties with total assets of $298 million.
The Corporation reported funds from operations ("FFO") of $2.98 million
for the three months ended June 30, 2008, representing a 25.5% increase over
$2.37 million for the three months ended June 30, 2007. FFO per share was
$0.064 ($0.063 diluted) for the three months ended June 30, 2008, representing
an 18.5 % increase over $0.054 ($0.052 diluted) for the three months ended
June 30, 2007.
The Corporation reported funds from operations ("FFO") of $5.72 million
for the six months ended June 30, 2008, representing an 11.2% increase over
$5.15 million for the six months ended June 30, 2007. FFO per share was $0.123
($0.121 diluted) for the six months ended June 30, 2008, representing a 3.4 %
increase over $0.119 ($0.115 diluted) for the six months ended June 30, 2007.
Plazacorp's Summary of FFO for the three and six months ended June 30,
2008, compared to the three and six months ended June 30, 2007, including the
results of discontinued operations are presented below:-------------------------------------------------------------------------
(000's - except per 3 Months 3 Months 6 Months 6 Months
share amounts) Ended Ended Ended Ended
For the Periods Ended June 30, June 30, June 30, June 30,
2008 2007 2008 2007
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Total revenues $ 11,849 $ 9,937 $ 23,292 $ 19,670
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Basic earnings per
share $ 0.007 $ 0.004 $ 0.012 $ 0.075
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Diluted earnings per
share $ 0.007 $ 0.004 $ 0.012 $ 0.072
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Net income and
comprehensive
income $ 343 $ 165 $ 542 $ 3,231
Loss (gain) on
disposals of
income producing
properties and
sale of surplus land 80 (3) 80 (2,790)
Income tax expense 233 124 362 383
Income tax expense
included in income
from discontinued
operations - (16) - 12
Amortization 2,404 2,087 4,800 4,183
Amortization included
in income from
discontinued
operations - - - 85
Non-controlling
interests 115 90 215 170
Interest costs 3,514 2,954 7,069 5,723
Interest costs included
in income from
discontinued
operations - - - 115
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Earnings before
interest, taxes,
depreciation and
amortization (EBITDA) 6,689 5,401 13,068 11,112
Less:
Interest costs (3,514) (2,954) (7,069) (5,838)
Current income tax
(expense) recovery (15) (8) (30) (6)
Non-cash debenture
interest 10 19 20 40
Non-controlling interest
adjustment to FFO (331) (209) (531) (410)
Equity accounting
adjustment to FFO 148 133 279 268
Corporate amortization (6) (8) (11) (15)
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Basic FFO 2,981 2,374 5,726 5,151
Interest on dilutive
convertible debentures
before income tax 21 90 41 178
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Diluted FFO $ 3,002 $ 2,464 $ 5,767 $ 5,329
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Basic Weighted Average
Shares Outstanding 46,697 43,640 46,504 43,206
Basic FFO per share $ 0.064 $ 0.054 $ 0.123 $ 0.119
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Diluted FFO per share $ 0.063 $ 0.052 $ 0.121 $ 0.115
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-------------------------------------------------------------------------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, as at
August 25, 2008, owns interests in 91 properties comprising 4.2 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; Kim Sharpe, Director of Business Development, (506) 451-1826