TORONTO, ONTARIO--(Marketwired - July 28, 2016) - The Becker Milk Company Limited (the "Company") (TSX:BEK.B)
is pleased to report the results for the year ended April 30, 2016.
HIGHLIGHTS
- Total revenues for the year ended April 30, 2016 were $3,786,257 compared to $3,968,896 for the same period in 2015;
- Net operating income for the year was $3,253,334 compared to $3,475,361 in 2015;
- Net income for the year was $1.49 per share, compared to $1.01 per share in 2015.
FINANCIAL HIGHLIGHTS
Net operating income for the year ended April 30, 2016 decreased $222,027 compared with the previous year to $3,253,334, as a
result of decreased revenue partially offset by reduced operating costs.
| |
Year ended |
|
| |
April 30 |
|
| |
2016 |
|
2015 |
|
| Property revenue |
$3,766,437 |
|
$3,952,076 |
|
| Finance income |
19,820 |
|
16,820 |
|
| Total revenues |
$3,786,257 |
|
$3,968,896 |
|
| |
|
|
|
|
| Property revenue |
$3,766,437 |
|
$3,952,076 |
|
| Property operating expenses |
(513,103 |
) |
(476,715 |
) |
| |
|
|
|
|
| Net operating income |
$3,253,334 |
|
$3,475,361 |
|
| |
|
|
|
|
| Adjusted funds from operations |
$1,475,235 |
|
$1,518,157 |
|
| |
|
|
|
|
| Net income attributable to common and special shareholders |
$2,697,023 |
|
$1,834,215 |
|
| |
|
|
|
|
| Average common and special shares outstanding |
1,808,360 |
|
1,808,360 |
|
| |
|
|
|
|
| Income per share |
$1.49 |
|
$1.01 |
|
Components of the $862,808 increase in net income for the year ended April 30, 2016 compared to the year ended April 30, 2015
are:
Changes in net income - Year ended April 30, 2016
compared to Year ended April 30, 2015 |
|
| Increase in fair value adjustment |
1,181,550 |
|
| Decrease in expenses related to strategic review |
45,434 |
|
| Decrease in current taxes |
71,817 |
|
| Increase in finance income |
3,000 |
|
| Increase in administrative expenses |
(7,801 |
) |
| Increase in losses on disposal |
(14,360 |
) |
| Increase in deferred taxes on investment properties |
(194,805 |
) |
| Decrease in net operating income |
(222,027 |
) |
| |
|
| Increase in net income |
$862,808 |
|
ADJUSTED FUNDS FROM OPERATIONS
For the year ended April 30, 2016 the Company recorded adjusted funds from operations of $1,475,235 ($0.82 per share) compared
to $1,518,157 ($0.84 per share) in 2015
| |
Year ended |
|
| |
April 30 |
|
| |
2016 |
|
2015 |
|
| Funds from operations |
$1,465,627 |
|
$1,575,204 |
|
| Items not affecting cash: |
|
|
|
|
| Straight line rent |
54,103 |
|
53,081 |
|
| Sustaining capital expenditures |
(44,495 |
) |
(110,128 |
) |
| Adjusted funds from operations |
$1,475,235 |
|
$1,518,157 |
|
| |
|
| Adjusted funds from operations per share |
$0.82 |
|
$0.84 |
|
STRATEGIC REVIEW
As reported in a press release dated August 6, 2013 the Company retained PricewaterhouseCoopers Real Estate Inc. to explore
the possible sale of the Company. This process has not reached any conclusion and is ongoing. The Company previously announced
that PWC had completed the initial steps in the sale process and that the Company was engaged in advanced discussions with a
single potential acquirer. Although those discussions were terminated in fiscal 2016, the Company continues to review its
strategic alternatives and will update the market as appropriate and as required.
As at April 30, 2016 total legal and engineering costs of $825,815 had been incurred in connection with the potential sale of
the Company.
The Company's annual financial statements for the year ended April 30, 2016, along with the Management's Discussion and
Analysis will be filed with SEDAR at www.sedar.com.
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 companies and such terms are defined
in the Management's Discussion and Analysis, such terms are not recognized terms under Canadian generally accepted accounting
principles. 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.
For the Board of Directors
G.W.J. Pottow, President