Canadian Net earns $11.19-million in Q3 2021- increased divy Solid Growth and increased dividend starting Jan 2022 - Reflection of solid management!
Canadian Net earns $11.19-million in Q3 2021
2021-11-24 16:50 ET - News Release
Mr. Jason Parravano reports
CANADIAN NET REIT ANNOUNCES ITS RESULTS FOR THE QUARTER ENDED SEPTEMBER 30, 2021, A 13% INCREASE IN ITS PER UNIT DISTRIBUTIONS FOR 2022 AND Q1 2022 MONTHLY DISTRIBUTIONS
Canadian Net Real Estate Investment Trust has released its results for the quarter ended Sept. 30, 2021, an increase in its per unit distributions for a 10th consecutive year, and monthly distributions for the months of January, February and March, 2022.
Results
For the quarter ended Sept. 30, 2021, Canadian Net reported recurring funds from operations (recurring FFO) per unit of 14.5 cents compared with 12.7 cents per unit for the quarter ended Sept. 30, 2020, an increase of 14 per cent. Recurring FFO was $2,790,255, an increase of 50 per cent relative to $1,864,681 in Q3 2020. During Q3 2021, the trust's property rental income was $4,885,412 compared with $3,219,366 in Q3 2020, an increase of 52 per cent. Net operating income was $3,725,787 compared with $2,477,609 in Q3 2020, an increase of 50 per cent. Canadian Net recorded a net income attributable to unitholders of $11,192,478, or 58.3 cents per unit, compared with $2,139,737, or 14.5 cents per unit in Q3 2020.
For the nine-month period ended Sept. 30, 2021, Canadian Net reported recurring FFO per unit of 43.5 cents compared with 36.1 cents per unit for the comparable period in 2020, an increase of 21 per cent. Recurring FFO was $7,848,006, an increase of 53 per cent relative to $5,139,573 for the same period in 2020. During the nine-month period ended Sept. 30, 2021, the trust's property rental income was $14,020,771 compared with $9,286,366 for the same period in 2020, an increase of 51 per cent. Net operating income was $10,417,458 compared with $7,126,776 for the same period in 2020, an increase of 46 per cent. Canadian Net recorded a net income attributable to unitholders of $17,636,921, or 97.8 cents per unit, compared with a net income of $8,773,525, or 61.6 cents per unit for the same period in 2020.
Distributions
Starting in January, 2022, the annual distribution will go from 30 cents to 34 cents per unit, representing an increase of 13.3 per cent. With this increase, Canadian Net's distributions have increased 172 per cent since its first distributions in 2012, representing a compounded annual growth rate of 10.5 per cent.
Canadian Net announces that it will make monthly cash distributions of 2.83 cents per unit, representing 34 cents per unit on an annualized basis, on Jan. 31, Feb. 28 and March 31, 2022, to unitholders of record on Jan. 14, Feb. 15 and March 15, 2022, respectively.
Collections
During Q3 2021, Canadian Net collected 100 per cent of its rents.
Jason Parravano, president and chief executive officer, says: "Q3 marked an important milestone for the REIT as we completed our first ever bought deal equity financing which will position us for growth headed into 2022. In addition, I am proud today to announce our 10th consecutive distribution increase. This increase highlights our ability to continue to execute on not only per-unit FFO growth but per-unit cash flow growth, with the ultimate goal of delivering returns to our unitholders."
The tables below represent other financial highlights as well as the reconciliation from net income to FFO for the periods ended Sept. 30, 2021, and its comparative period. This information should be read in conjunction with the consolidated financial statements and MD&A (management's discussion and analysis) for the quarter ended Sept. 30, 2021, and consolidated financial statements and MD&A for the quarter ended Sept. 30, 2020.
About Canadian Net Real Estate Investment Trust
Canadian Net is an open-ended trust that acquires and owns high-quality triple net and management-free commercial real estate properties.