TORONTO, ON --(Marketwired - August 03, 2017) - Canadian Real Estate Investment
Trust ("CREIT") (TSX: REF.UN) today announced results for the three and six months ended June 30,
2017.
For the three months ended June 30, 2017, CREIT reported Funds from Operations ("FFO") of $0.83 per Unit compared to $0.86 per
Unit for the same period in 2016. The results include lease termination income of $0.2 million earned during the three months
ended June 30, 2017 ($6.4 million for the three months ended June 30, 2016). Excluding the impact of lease termination income in
both quarters, FFO for the current quarter increased by 7.8% ($0.83 per Unit in the second quarter of 2017, up from $0.77 per
Unit in the same period in 2016).
For the six months ended June 30, 2017, CREIT reported FFO of $1.68 per Unit, an increase of 2.4% over the same period in
2016. The results include lease termination income of $0.8 million earned during the six months ended June 30, 2017 and $6.8
million earned for the same period in 2016. Excluding the impact of lease termination income in both periods, FFO increased by
7.7% over the prior year ($1.67 per Unit in 2017 up from $1.55 per Unit in 2016).
Stephen Johnson, Chief Executive Officer, said, "We are very pleased with our financial performance for the second quarter and
year-to-date in 2017. Our core portfolio of high quality real estate assets continues to produce consistent and stable results."
Mr. Johnson added, "FFO growth in the period was driven primarily by higher rental income as a result of occupancy strength in
our real estate portfolio, the income contribution from completed development projects and our mezzanine lending program."
For the three months ended June 30, 2017 and 2016, FFO was as follows:
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Three months ended June 30 |
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Change |
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| ($ thousands, except per-Unit amounts) |
2017 |
2016 |
($) |
(%) |
|
| FFO |
$ 61,071 |
$ 62,976 |
($ 1,905) |
(3.0%) |
|
| FFO per Unit |
$ 0.83 |
$ 0.86 |
($ 0.03) |
(3.5%) |
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For the six months ended June 30, 2017 and 2016, FFO was as follows:
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Six months ended June 30 |
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Change |
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| ($ thousands, except per-Unit amounts) |
2017 |
2016 |
($) |
(%) |
|
| FFO |
$ 122,905 |
$ 120,174 |
$ 2,731 |
2.3% |
|
| FFO per Unit |
$ 1.68 |
$ 1.64 |
$ 0.04 |
2.4% |
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The charts below provides a summary of net income for the three and six months ended June 30, 2017 and 2016.
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Three months ended June 30 |
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| ($ thousands, except per-Unit amounts) |
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|
Change |
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| 2017 |
2016 |
($) |
|
Net income excluding fair value gains (losses),
property acquisition costs, and income taxes |
$ 60,259 |
$ 61,987 |
($ 1,728) |
|
| Net income |
$ 66,779 |
$ 39,856 |
$ 26,923 |
|
| Net income per Unit |
$ 0.91 |
$ 0.55 |
$ 0.36 |
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Six months ended June 30 |
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| ($ thousands, except per-Unit amounts) |
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Change |
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| 2017 |
2016 |
($) |
|
Net income excluding fair value gains (losses),
property acquisition costs, and income taxes |
$ 121,138 |
$ 118,250 |
$ 2,888 |
|
| Net income |
$ 116,134 |
$ 97,032 |
$ 19,102 |
|
| Net income per Unit |
$ 1.58 |
$ 1.33 |
$ 0.25 |
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Financial Measures and Additional Financial Information
FFO is a generally accepted supplemental measure of operating performance for real estate entities; however, it is
not a measure defined by International Financial Reporting Standards. Readers are directed to CREIT's Consolidated Financial
Statements and MD&A for a description of the measure and its reconciliation to net income.
CREIT's Condensed Consolidated Financial Statements and MD&A for the three and six months ended June 30, 2017 are posted
on CREIT's website at www.creit.ca. Readers are directed to these documents for financial details and a fulsome discussion on CREIT's
results.
Conference Call
Interested parties are invited to discuss the financial results on a conference call with senior management.
Conference call details are as follows:
Date: Friday, August 4, 2017 at 11:00 a.m. EDT
Dial-in number: (647) 427-2311 or (866) 521-4909
Conference call ID: 47346422
A taped replay of the call will be available until September 4, 2017. To access the replay, please dial (416) 621-4642 or
(800) 585-8367.
Webcast:
Alternatively, to access the simultaneous webcast, please click on the following link on CREIT's website: www.creitwebcast20170804.com. The webcast will be archived for one year.
About CREIT
CREIT is a real estate investment trust focused on accumulating and aggressively managing a portfolio of
high-quality real estate assets and delivering the benefits of real estate ownership to Unitholders. The primary benefit is a
reliable and, over time, increasing monthly cash distribution. CREIT owns a diversified portfolio of retail, industrial and
office properties.
Cautionary Statements Regarding Forward-looking Statements
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 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, except as required by law.