TORONTO, ON–(Marketwired – May 04, 2017) – Canadian Real Estate Investment Trust (“CREIT”) (TSX: REF.UN) today announced results for the first quarter ended March 31, 2017.
For the three months ended March 31, 2017, CREIT reported Funds from Operations (“FFO”) of $0.84 per Unit compared to $0.78 per Unit for the same period in 2016, an increase of 7.7%.
Stephen Johnson, Chief Executive Officer, said, “We were very pleased with our positive start to 2017. We had the benefit of several non-recurring items in the quarter; however, our results were strong even without these items.” Mr. Johnson added, “Our solid financial results in the first quarter of 2017 were driven by occupancy strength in our real estate portfolio and the income contributed as several phases of various development projects were completed.”
For the three months ended March 31, 2017 and 2016, FFO was as follows:
| Three months ended March 31 | |||||||
| Change | |||||||
| ($ thousands, except per-Unit amounts) | 2017 | 2016 | ($) | (%) | |||
| FFO | $ 61,834 | $ 57,198 | $ 4,636 | 8.1% | |||
| FFO per Unit | $ 0.84 | $ 0.78 | $ 0.06 | 7.7% | |||
The chart below provides a summary of net income for the three months ended March 31, 2017 and 2016.
| Three months ended March 31 | |||||
| ($ thousands, except per-Unit amounts) | Change | ||||
| 2017 | 2016 | ($) | |||
| Net income excluding fair value gains (losses) and income taxes | $ 60,879 | $ 56,263 | $ 4,616 | ||
| Net income | $ 49,355 | $ 57,176 | ($ 7,821) | ||
| Net income per Unit | $ 0.67 | $ 0.78 | ($ 0.11) | ||
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 months ended March 31, 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, May 5, 2017 at 11:00 a.m. EDT
Dial-in number: (647) 427-2311 or (866) 521-4909
Conference call ID: 99629056
A taped replay of the call will be available until June 5, 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: http://www.creitwebcast20170505.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.
Contact
For further information, please contact:
Stephen Johnson
Chief Executive Officer
416-628-7878
sjohnson@creit.ca
Rael Diamond
Chief Operating Officer
416-628-7861
rdiamond@creit.ca
Mario Barrafato
Chief Financial Officer
416-628-7872
mbarrafato@creit.ca