Press release from CNW Group
Pure Industrial Real Estate Trust Announces Release of Q2 2013 Financial Results
Monday, August 12, 2013
Pure Industrial Real Estate Trust Announces Release of Q2 2013 Financial Results08:00 EDT Monday, August 12, 2013
/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES./
VANCOUVER, Aug. 12, 2013 /CNW/ - Pure Industrial Real Estate Trust ("PIRET" or the "Trust") (TSX: AAR.UN) is pleased to announce the release of its financial results for the three and six months ended June 30, 2013.
Q2 2013 Financial Results
The financial results, consisting of PIRET's unaudited interim condensed financial statements for the three and six months ended June 30, 2013, and Management's Discussion and Analysis ("MD&A") dated August 12th, 2013, are available on SEDAR (www.sedar.com) or the Trust's website (www.piret.ca).
Highlights for the six months ended June 30, 2013:
- As at June 30, 2013, PIRET's portfolio consists of 161 properties representing gross leasable area ("GLA") of over 12.7 million square feet, an increase from 87 properties and 6.9 million square feet of GLA at December 31, 2012.
- PIRET raised $253.8 million by issuing 50,255,000 Class A units from two bought deal public offerings.
- The occupancy continues to be consistently strong at 98% for our portfolio as at June 30, 2013, with a weighted average lease term of 7.2 years.
Investment properties increased to $1,312.0 million as at June 30, 2013 from $743.9 million at December 31, 2012 due primarily to the acquisition of 75 properties with 5.8 million square feet of GLA. Of these 75 acquisitions, 59 were purchased as part of an industrial portfolio located in Ontario for $360.0 million. With these acquisitions, PIRET continues to execute its accretive growth strategy and diversify its portfolio geographically. The acquisitions have strengthened the Trust's high quality national and regional tenant base within Canada.
Loan to Gross Book Value as at June 30, 2013 was 53.9%, up slightly from 51.9% at December 31, 2012.
Revenue for the six months ended June 30 increased 91% from $23.5 million in 2012 to $45.0 million in 2013. For the three months ended June 30, PIRET's revenues increased 111% from $12.2 million in 2012 compared to $25.8 million in 2013.
Earnings from property operations increased by 87% for the six months ended June 30, 2013 compared to the same period at June 30, 2012 from $17.9 million to $33.5 million. For the three months ended June 30, PIRET's earnings from property operations increased 108% from $9.2 million in 2012 to $19.2 million in 2013.
Funds from operations ("FFO")1
for the six months ended June 30, 2013 increased to $21.5 million compared to $11.4 million for the same period in 2012. On a per unit basis, FFO for the six months ended June 30, 2013 increased slightly to $0.19 when compared to $0.18 for the same period in 2012, an increase of 5.6%. For the three months ended June 30, 2013, the FFO per unit increased 11.1% from $0.09 to $0.10 for the same quarter in 2012.
The FFO payout ratio for the six months ended June 30, 2013 trended downward to 80.7% from 87.3% in the same period in 2012 and decreased from 87.4% to 78.3% for the three months ended June 30, 2013 compared to the same quarter in 2012.
On an Adjusted funds from operations ("AFFO")1
basis, there was an increase from $10.3 million to $19.3 million for the six months ended June 30, 2012 and 2013 respectively. On a per unit basis, AFFO was $0.17 for the six months ended June 30, 2013 and $0.16 for the six months ended June 30, 2012, an increase of 6.3%. For the three months ended June 30, 2013, the AFFO per unit increased 12.5% from $0.08 to $0.09 for the same quarter in 2012.
The AFFO payout ratio continues to trend downwards from 96.6% in 2012 to 90.0% in 2013 for the first six months; and from 98.5% to 86.9% for the three months ended June 30 in 2012 and 2013
|Selected Financial Information|
|($000s, except per unit basis)||
For the six months
ended June 30
For the three months
ended June 30
|Earnings from property operations||33,475||17,921||19,215||9,249|
|Distributions declared per unit||0.16||0.15||0.08||0.08|
|FFO (1) per unit (diluted)||0.19||0.18||0.10||0.09|
|AFFO (1) per unit (diluted)||0.17||0.16||0.09||0.08|
As previously announced on July 29, 2013, management will host the conference call at 5:00 pm (EDT), 2:00 pm (PDT), on Monday, August 12, 2013, to review the financial results and corporate developments for the three and six months ended June 30, 2013.
To participate in this conference call, please dial one of the following numbers approximately 10 minutes prior to the commencement of the call, and ask to join the Pure Industrial Real Estate Trust Conference Call.
Dial in numbers:
Toll free dial in number (from Canada and USA)...................................1-888-390-0546
International or Local Toronto...............................................................1-416-764-8688
1 FFO and AFFO are widely accepted supplemental measures of financial performance for real estate entities. However, these measures are not defined under IFRS. PIRET's MD&A, available on SEDAR at www.sedar.com, provides more detail regarding this measure.
Conference Call Replay
If you cannot participate on August 12, a replay of the conference call will be available by dialing one of the following replay numbers. You will be able to dial in and listen to the conference 120 minutes after the meeting end time, and the replay will be available until August 19, 2013.
Please enter the Replay ID# 607421, followed by the # key.
Replay toll free dial in number (from Canada and USA)...........................1-888-390-0541
Replay international or local Toronto.......................................................1-416-764-8677
About Pure Industrial Real Estate Trust
PIRET is an unincorporated, open-ended investment trust that acquires, owns and operates a diversified portfolio of income-producing industrial properties in primary markets across Canada. PIRET focuses exclusively on investing in industrial properties and is the largest internally managed publicly traded REIT in Canada that offers investors exclusive exposure to Canada's industrial asset class.
Additional information about PIRET is available at www.piret.ca or www.sedar.com.
Certain statements contained in this news release may constitute forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as "anticipate", "plan", "expect", "may", "will", "intend", "should", and similar expressions. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The forward-looking statements contained in this news release are based on certain key expectations and assumptions made by PIRET.
Although PIRET believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because PIRET can give no assurance that they will prove to be correct. Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to, the failure to satisfy the conditions to complete the acquisition, the inability to obtain mortgage financing on expected terms, competitive factors in the industries in which PIRET operates, prevailing economic conditions, and other factors, many of which are beyond the control of PIRET.
The forward-looking statements contained in this news release represent PIRET's expectations as of the date hereof, and are subject to change after such date. PIRET disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required under applicable securities regulations.
The Toronto Stock Exchange has not reviewed nor approved the contents of this press release and does not accept responsibility for the adequacy or accuracy of this press release.
SOURCE: Pure Industrial Real Estate Trust (PIRET)
For further information:
Director of Investor Relations
Pure Industrial Real Estate Trust
Suite 910, 925 West Georgia Street
Vancouver, BC V6C 3L2
Phone: (604) 681-5959 or (888) 681-5959
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