Diversified Royalty Corp T.DIV

Second Quarter 2021 Results

[Betteryear2]

VANCOUVER, British Columbia, Aug. 12, 2021 (GLOBE NEWSWIRE) -- Diversified Royalty Corp. (TSX: DIV and DIV.DB) (the “Corporation” or “DIV”) is pleased to announce its financial results for the three months ended June 30, 2021 (“Q2 2021”) and six months ended June 30, 2021.

Highlights

• Revenue of $9.2 million in Q2 2021 and $16.8 million for the six months ended June 30, 2021, up 45.8% compared to the three months ended June 30, 2020 (“Q2 2020”) and 23.8% compared to the six months ended June 30, 2020
   
• Adjusted revenue of $10.4 million in Q2 2021 and $19.2 million for the six months ended June 30, 2021, up 38.7% and 20.5%, respectively, compared to the same periods in 2020
   
• Distributable cash of $6.8 million in Q2 2021 and $12.7 million for the six months ended June 30, 2021, up 38.3% and 22.0%, respectively, compared to the same periods in 2020
   
• Increased annual dividend by 5% to $0.21 per share, effective with the August 2021 monthly dividend
   
• Appointment of Mr. Kevin Smith as a new independent director

https://www.globenewswire.com/news-release/2021/08/12/2280190/0/en/Diversified-Royalty-Corp-Announces-Second-Quarter-2021-Results-and-Appointment-of-New-Independent-Director.html

[Tommy123]

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[Tommy123]

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[nedstar71]

I've been saying for years they should have put some money into real estate and it would have been a fantastic idea.  But that was years ago.  Now I'm not sure it makes sense.  All properties are insanely overvalued at this point and in my opinion it isn't sustainable.  If interest rates ever go up, which at some point they have to, valuations will drop

[Tommy123]

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[CanSiamCyp]

Tommy: Right on! With that much human inflow, I can see continued profitability for the ownership of most classes of real estate in Canada - industrial, grocery, apartment in particular. Have now got >30 % of portfolio in various classes of real estate. Even if inflation shoots up - thanks to Turdo's incessant spending - I think that the real estate prices will keep up with inflation and

[JayBanks]

Question: Would this not change the finacial structure of the company and have a need to utilize REIT standards? Or would we create a private "Diversified REIT" portfolio and the dividends from that would go up to the parent DIV and then back down to us? Would that not also change our whole tax structure both individually and corporately? This "fantastic" idea seems pretty

[CanSiamCyp]

Good point Jay! Alaris restructured - not for this particular reason - but for other tax-related reasons cuz they have majority US-based assets. When investors discovered that the newly created Income Trust paid out distributions and not pure dividends (eligible for the DTC), there was a lot of unhappy campers! In my case, I rolled the Alaris holdings from our margin account into my RRSP (with a

[Tommy123]

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[JayBanks]

If Diversified were to come out with a stand alone REIT, I would encourage that, and take a look at it as a possible investment, but I would be comparing it with so many other REITs for my investment dollars. For some sort of competitive advantage, they would have to specialize in some way that others haven't yet which seems difficult. But rolling it into the current company seems illogical in

[Tommy123]

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[Tommy123]

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[nedstar71]

Agreed.  I think my original idea was years ago when they were divesting of their single royalty Franworks, the restuarant chain mainly out west when oil was cratering and I was thinking forget the royalty aspect and basically go pure REIT, which would have been a great idea given the market at the time.  Long time ago though so I could be mistaken.  I personally do like the idea of

[Tommy123]

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[nedstar71]

It may take another dividend bump up a penny to get this over $3.  That or another royalty deal as long as the market likes it.  Would be nice to see something happening either way.

[Tommy123]

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