FREEHOLD, N.J., May 9, 2011 /PRNewswire/ -- UMH Properties, Inc.
(NYSE Amex: UMH) reported funds from operations (FFO) of
$3,512,000 or $.25 per share for the quarter ended March 31, 2011, as compared to $2,889,000 or $0.24
per share for the for the quarter ended March 31, 2010. Net income amounted to
$2,125,000 or $.15 per share for the quarter ended March 31, 2011, as compared to $1,885,000 or $0.15
per share for the quarter ended March 31,
2010.
A summary of significant financial information for the three
months ended March 31, 2011 and 2010
is as follows:
|
For the
Three Months Ended
March
31,
|
|
|
|
|
2011
|
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
Total Income
|
$
|
9,016,000
|
|
$
|
8,161,000
|
|
|
Total Expenses
|
$
|
8,043,000
|
|
$
|
7,144,000
|
|
|
Gain on Securities Transactions,
net
|
$
|
1,542,000
|
|
$
|
982,000
|
|
|
Net Income
|
$
|
2,125,000
|
|
$
|
1,885,000
|
|
|
Net Income per Share
|
$
|
.15
|
|
$
|
.15
|
|
|
FFO (1)
|
$
|
3,512,000
|
|
$
|
2,889,000
|
|
|
FFO per Share
(1)
|
$
|
.25
|
|
$
|
.24
|
|
|
Weighted Average Shares
Outstanding
|
|
13,928,000
|
|
|
12,290,000
|
|
|
|
|
|
|
|
|
|
(1) Non-GAAP Information:
Funds from Operations (FFO) is defined as net income
excluding gains (or losses) from sales of depreciable assets, plus
depreciation. FFO per share is defined as FFO divided by the
weighted average shares outstanding. FFO and FFO per share
should be considered as supplemental measures of operating
performance used by real estate investment trust (REITs). FFO
and FFO per share exclude historical cost depreciation as an
expense and may facilitate the comparison of REITs which have
different cost basis. The items excluded from FFO and FFO per
share are significant components in understanding and assessing the
Company's financial performance. FFO and FFO per share (1) do
not represent cash flow from operations as defined by generally
accepted accounting principles; (2) should not be considered as
alternatives to net income or net income per share as measures of
operating performance or to cash flows from operating, investing
and financing activities; and (3) are not alternatives to cash flow
as a measure of liquidity. FFO and FFO per share, as
calculated by the Company, may not be comparable to similarly
entitled measures reported by other REITs.
|
|
|
|
|
|
|
|
|
The Company's FFO for the quarter ended March 31, 2011 and 2010 is calculated as
follows:
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
Net Income
|
$2,125,000
|
|
$1,885,000
|
|
|
Gain on Sales of
Depreciable Assets
|
(9,000)
|
|
(15,000)
|
|
|
Depreciation Expense
|
1,396,000
|
|
1,019,000
|
|
|
|
|
|
|
|
|
FFO
|
$3,512,000
|
|
$2,889,000
|
|
|
|
|
|
|
|
|
The following are the cash flows provided (used) by operating,
investing and financing activities for the three months ended
March 31, 2011 and 2010:
|
|
|
|
2011
|
|
2010
|
|
|
|
|
|
|
|
|
Operating
Activities
|
$2,376,000
|
|
$2,681,000
|
|
|
Investing
Activities
|
(2,763,000)
|
|
(848,000)
|
|
|
Financing
Activities
|
5,273,000
|
|
493,000
|
|
|
|
|
|
|
|
|
Samuel A. Landy, President,
stated, "We are pleased with our first quarter results. FFO
amounted to $3,512,000 or
$0.25 per share for the quarter ended
March 31, 2011 as compared to
$2,889,000 or $0.24 per share for the quarter ended
March 31, 2010. This increase
was primarily the result of the acquisitions of seven communities
in 2010. Occupancy remained unchanged from year-end at 78%.
Our securities portfolio has continued to perform well, with
$1.5 million in gains realized thus
far in 2011 and an additional $4.7
million in unrealized gains at quarter end.
"We have continued to strengthen our already strong balance
sheet and at quarter end had approximately $10.5 million in cash, and $30 million in REIT securities. Following
up on the seven communities we acquired in 2010, we intend to
continue to increase our portfolio of high quality manufactured
home communities. Thus far in 2011, we have contracted to
purchase three communities located in the Nashville, Tennessee region for an aggregate
purchase price of approximately $13.3
million. These three all-age family communities total 680
sites situated on 209 acres. The average occupancy for these
communities is 73%. The closing is expected to be completed
by the end of the second quarter 2011. This acquisition is
subject to due diligence and other customary closing conditions and
therefore there can be no assurance that this acquisition will take
place by the end of the second quarter 2011 or at all. We are very
pleased with our recent acquisitions and look forward to continued
progress on the acquisition front."
UMH, a publicly-owned REIT, owns and operates thirty-five
manufactured home communities located in New Jersey, New
York, Pennsylvania,
Ohio and Tennessee. In addition, the Company owns
a portfolio of REIT securities.
Certain statements included in this press release which are not
historical facts may be deemed forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Although the Company believes the expectations reflected in
any forward-looking statements are based on reasonable assumptions,
the Company can provide no assurance those expectations will be
achieved. Factors and risks that could cause actual results or
events to differ materially from expectations are contained in the
Company's annual report on Form 10-K and described from time to
time in the Company's other filings with the SEC. The Company
undertakes no obligation to publicly update or revise any
forward-looking statements whether as a result of new information,
future events, or otherwise.
SOURCE UMH Properties, Inc.