Clipper Realty Inc. Announces Third Quarter 2024 Results
Clipper Realty reported record quarterly revenues of $37.6 million for Q3 2024, a 6.8% increase year-over-year. The company achieved record NOI of $21.8 million and AFFO of $7.8 million. Residential revenue grew 9.2% driven by higher rental rates and occupancy. The company reported a net loss of $1.1 million, improving from a $2.3 million loss in Q3 2023. New leases exceeded previous rents by nearly 10% and renewals by 6%. The company declared a quarterly dividend of $0.095 per share. Notes payable increased to $1,267.8 million due to construction loan draws for Dean Street development.
Clipper Realty ha riportato ricavi trimestrali record di 37,6 milioni di dollari per il terzo trimestre del 2024, con un aumento del 6,8% rispetto all'anno precedente. L'azienda ha raggiunto un NOI record di 21,8 milioni di dollari e un AFFO di 7,8 milioni di dollari. I ricavi residenziali sono aumentati del 9,2%, grazie a tassi di affitto più elevati e a tassi di occupazione. L'azienda ha registrato una perdita netta di 1,1 milioni di dollari, in miglioramento rispetto a una perdita di 2,3 milioni di dollari nel terzo trimestre del 2023. I nuovi contratti di affitto hanno superato i canoni precedenti di quasi il 10% e i rinnovi del 6%. L'azienda ha dichiarato un dividendo trimestrale di 0,095 dollari per azione. Le note da pagare sono aumentate a 1.267,8 milioni di dollari a causa dei prelievi di prestiti per la costruzione dello sviluppo di Dean Street.
Clipper Realty reportó ingresos trimestrales récord de 37.6 millones de dólares para el tercer trimestre de 2024, un aumento del 6.8% en comparación con el año anterior. La empresa logró un NOI récord de 21.8 millones de dólares y un AFFO de 7.8 millones de dólares. Los ingresos residenciales crecieron un 9.2% impulsados por mayores tarifas de alquiler y ocupación. La compañía reportó una pérdida neta de 1.1 millones de dólares, mejorando desde una pérdida de 2.3 millones de dólares en el tercer trimestre de 2023. Los nuevos arrendamientos superaron los alquileres anteriores en casi un 10% y las renovaciones en un 6%. La compañía declaró un dividendo trimestral de 0.095 dólares por acción. Las notas por pagar aumentaron a 1,267.8 millones de dólares debido a los retiros de préstamos de construcción para el desarrollo de Dean Street.
클리퍼 리얼티는 2024년 3분기에 3,760만 달러의 분기 기록 매출을 보고했으며, 이는 전년 대비 6.8% 증가한 수치입니다. 회사는 2,180만 달러의 NOI 기록과 780만 달러의 AFFO를 달성했습니다. 주거 매출은 임대료와 점유율 증가에 힘입어 9.2% 성장했습니다. 회사는 110만 달러의 순손실을 보고했으며, 이는 2023년 3분기에 230만 달러의 손실에서 개선된 결과입니다. 새로운 임대 계약은 기존 임대료보다 거의 10% 증가했으며, 갱신은 6% 증가했습니다. 회사는 주당 0.095 달러의 분기 배당금을 선언했습니다. 지급해야 할 노트는 Dean Street 개발을 위한 건설 대출 인출로 인해 12억 6,780만 달러로 증가했습니다.
Clipper Realty a rapporté des revenus trimestriels record de 37,6 millions de dollars pour le troisième trimestre 2024, ce qui représente une augmentation de 6,8% par rapport à l'année précédente. La société a atteint un NOI record de 21,8 millions de dollars et un AFFO de 7,8 millions de dollars. Les revenus résidentiels ont augmenté de 9,2%, grâce à des loyers plus élevés et des taux d'occupation accrus. L'entreprise a signalé une perte nette de 1,1 million de dollars, en amélioration par rapport à une perte de 2,3 millions de dollars au troisième trimestre 2023. Les nouveaux baux ont dépassé les loyers précédents de près de 10% et les renouvellements de 6%. L'entreprise a déclaré un dividende trimestriel de 0,095 dollars par action. Les notes à payer ont augmenté à 1 267,8 millions de dollars en raison des tirages de prêts de construction pour le développement de Dean Street.
Clipper Realty berichtete von rekordverdächtigen vierteljährlichen Einnahmen in Höhe von 37,6 Millionen Dollar für das 3. Quartal 2024, was einem Anstieg von 6,8% im Vergleich zum Vorjahr entspricht. Das Unternehmen erzielte einen Rekord-NOI von 21,8 Millionen Dollar und ein AFFO von 7,8 Millionen Dollar. Die Einnahmen aus Wohnimmobilien stiegen um 9,2%, bedingt durch höhere Mietpreise und Belegungsraten. Das Unternehmen meldete einen Nettoverlust von 1,1 Millionen Dollar, eine Verbesserung im Vergleich zu einem Verlust von 2,3 Millionen Dollar im 3. Quartal 2023. Neue Mietverträge überstiegen die vorherigen Mieten um fast 10% und Verlängerungen um 6%. Das Unternehmen erklärte eine vierteljährliche Dividende von 0,095 Dollar pro Aktie. Die zu zahlenden Anleihen stiegen auf 1.267,8 Millionen Dollar aufgrund von Baukreditabrufen für die Entwicklung von Dean Street.
- Record quarterly revenue of $37.6M, up 6.8% YoY
- Record NOI of $21.8M and AFFO of $7.8M
- Residential revenue increased 9.2%
- New lease rates up 10% and renewals up 6%
- Net loss reduced from $2.3M to $1.1M YoY
- Quarterly net loss of $1.1M
- Increased bad debt expense at Flatbush Gardens
- Higher property taxes and payroll costs
- NYC tenant plans to vacate 250 Livingston Street in 2025
- Potential loss on 10W 65th Street property sale
Insights
The Q3 2024 results show mixed performance with some concerning trends. While achieving record quarterly revenue of
Highlights for the Three Months Ended September 30, 2024
-
Record quarterly revenues of
for the third quarter of 2024$37.6 million -
Quarterly income from operations of
for the third quarter of 2024$10.8 million -
Record net operating income (“NOI”)1 of
for the third quarter of 2024$21.8 million -
Quarterly net loss of
for the third quarter of 2024$1.1 million -
Record adjusted funds from operations (“AFFO”)1 of
for the third quarter of 2024$7.8 million -
Declared a dividend of
per share for the third quarter of 2024$0.09 5
David Bistricer, Co-Chairman, and Chief Executive Officer, commented,
“The Company continued to grow its revenue, NOI and AFFO in the third quarter of 2024, producing record results for all these metrics on the basis of our very strong residential leasing. We continue to have high occupancy and good renter demand in our buildings. For all our properties, new leases exceeded previous rents by nearly
Financial Results for the Three Months Ended September 30, 2024
For the third quarter of 2024, revenues increased by
For the third quarter of 2024, net loss was
For the third quarter of 2024, AFFO was
__________ |
1 NOI and AFFO are non-GAAP financial measures. For a definition of these financial measures and a reconciliation of such measures to the most comparable GAAP measures, see “Reconciliation of Non-GAAP Measures” at the end of this release. |
Balance Sheet
At September 30, 2024, notes payable (excluding unamortized loan costs) was
Dividend
The Company today declared a third quarter dividend of
Conference Call and Supplemental Material
The Company will host a conference call on October 31, 2024, at 5:00 PM Eastern Time to discuss the third quarter 2024 results and provide a business update. The conference call can be accessed by dialing (800) 346-7359 or (973) 528-0008, conference entry code 308211. A replay of the call will be available from October 31, 2024, following the call, through November 14, 2024, by dialing (800) 332-6854 or (973) 528-0005, replay conference ID 308211. Supplemental data to this press release can be found under the “Quarterly Earnings” navigation tab on the “Investors” page of our website at www.clipperrealty.com. The Company’s filings with the Securities and Exchange Commission (the “SEC”) are filed at www.sec.gov under Clipper Realty Inc.
About Clipper Realty Inc.
Clipper Realty Inc. (NYSE: CLPR) is a self-administered and self-managed real estate company that acquires, owns, manages, operates, and repositions multifamily residential and commercial properties in the
Forward-Looking Statements
Various statements contained in this press release, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward-looking statements. These forward-looking statements may include estimates concerning capital projects and the success of specific properties. Our forward-looking statements are generally accompanied by words such as "estimate," "project," "predict," "believe," "expect," "intend," "anticipate," "potential," "plan" or other words that convey the uncertainty of future events or outcomes. The forward-looking statements in this press release speak only as of the date of this press release.
We disclaim any obligation to update these statements unless required by law, and we caution you not to rely on them unduly. We have based these forward-looking statements on our current expectations and assumptions about future events. While our management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties), most of which are difficult to predict and many of which are beyond our control and which may cause our actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by these forward-looking statements. For a discussion of these and other important factors that could affect our actual results, please refer to our filings with the SEC, including the "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2023, and other reports filed from time to time with the SEC.
Clipper Realty Inc. Consolidated Balance Sheets (In thousands, except for share and per share data) |
||||||||
|
|
September 30,
|
|
|
December 31,
|
|
||
|
|
(unaudited) |
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
|
|
|
Investment in real estate |
|
|
|
|
|
|
|
|
Land and improvements |
|
$ |
571,988 |
|
|
$ |
571,988 |
|
Building and improvements |
|
|
735,208 |
|
|
|
726,273 |
|
Tenant improvements |
|
|
3,366 |
|
|
|
3,366 |
|
Furniture, fixtures and equipment |
|
|
13,758 |
|
|
|
13,278 |
|
Real estate under development |
|
|
137,685 |
|
|
|
87,285 |
|
Total investment in real estate |
|
|
1,462,005 |
|
|
|
1,402,190 |
|
Accumulated depreciation |
|
|
(235,817 |
) |
|
|
(213,606 |
) |
Investment in real estate, net |
|
|
1,226,188 |
|
|
|
1,188,584 |
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
|
18,622 |
|
|
|
22,163 |
|
Restricted cash |
|
|
17,472 |
|
|
|
14,062 |
|
Tenant and other receivables, net of allowance for doubtful accounts of |
|
|
6,317 |
|
|
|
5,181 |
|
Deferred rent |
|
|
2,191 |
|
|
|
2,359 |
|
Deferred costs and intangible assets, net |
|
|
5,783 |
|
|
|
6,127 |
|
Prepaid expenses and other assets |
|
|
10,444 |
|
|
|
10,854 |
|
TOTAL ASSETS |
|
$ |
1,287,017 |
|
|
$ |
1,249,330 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND EQUITY (DEFICIT) |
|
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
|
|
Notes payable, net of unamortized loan costs of |
|
$ |
1,257,731 |
|
|
$ |
1,205,624 |
|
Accounts payable and accrued liabilities |
|
|
21,768 |
|
|
|
20,994 |
|
Security deposits |
|
|
9,044 |
|
|
|
8,765 |
|
Other liabilities |
|
|
7,937 |
|
|
|
6,712 |
|
TOTAL LIABILITIES |
|
|
1,296,480 |
|
|
|
1,242,095 |
|
|
|
|
|
|
|
|
|
|
Equity: |
|
|
|
|
|
|
|
|
Preferred stock, |
|
|
- |
|
|
|
- |
|
Common stock, |
|
|
160 |
|
|
|
160 |
|
Additional paid-in-capital |
|
|
89,818 |
|
|
|
89,483 |
|
Accumulated deficit |
|
|
(93,562 |
) |
|
|
(86,899 |
) |
Total stockholders' equity |
|
|
(3,584 |
) |
|
|
2,744 |
|
|
|
|
|
|
|
|
|
|
Non-controlling interests |
|
|
(5,879 |
) |
|
|
4,491 |
|
TOTAL EQUITY (DEFICIT) |
|
|
(9,463 |
) |
|
|
7,235 |
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND EQUITY (DEFICIT) |
|
$ |
1,287,017 |
|
|
$ |
1,249,330 |
|
Clipper Realty Inc. Consolidated Statements of Operations (In thousands, except per share data) (Unaudited) |
||||||||||||||||
|
|
Three Months Ended
|
|
|
Nine Months Ended
|
|
||||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
REVENUES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential rental income |
|
$ |
27,846 |
|
|
$ |
25,501 |
|
|
$ |
81,700 |
|
|
$ |
74,481 |
|
Commercial rental income |
|
|
9,776 |
|
|
|
9,627 |
|
|
|
29,028 |
|
|
|
28,857 |
|
TOTAL REVENUES |
|
|
37,622 |
|
|
|
35,128 |
|
|
|
110,728 |
|
|
|
103,338 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING EXPENSES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Property operating expenses |
|
|
8,482 |
|
|
|
7,930 |
|
|
|
26,098 |
|
|
|
22,811 |
|
Real estate taxes and insurance |
|
|
7,562 |
|
|
|
7,374 |
|
|
|
22,137 |
|
|
|
24,610 |
|
General and administrative |
|
|
3,370 |
|
|
|
3,340 |
|
|
|
10,380 |
|
|
|
10,029 |
|
Transaction pursuit costs |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
357 |
|
Depreciation and amortization |
|
|
7,456 |
|
|
|
7,282 |
|
|
|
22,289 |
|
|
|
21,376 |
|
TOTAL OPERATING EXPENSES |
|
|
26,870 |
|
|
|
25,926 |
|
|
|
80,904 |
|
|
|
79,183 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
INCOME FROM OPERATIONS |
|
|
10,752 |
|
|
|
9,202 |
|
|
|
29,824 |
|
|
|
24,155 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense, net |
|
|
(11,840 |
) |
|
|
(11,527 |
) |
|
|
(35,320 |
) |
|
|
(32,996 |
) |
Loss on extinguishment of debt |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
(3,868 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
|
(1,088 |
) |
|
|
(2,325 |
) |
|
|
(5,496 |
) |
|
|
(12,709 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable to non-controlling interests |
|
|
676 |
|
|
|
1,444 |
|
|
|
3,414 |
|
|
|
7,892 |
|
Net loss attributable to common stockholders |
|
$ |
(412 |
) |
|
$ |
(881 |
) |
|
$ |
(2,082 |
) |
|
$ |
(4,817 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted net loss per share |
|
$ |
(0.05 |
) |
|
$ |
(0.09 |
) |
|
$ |
(0.20 |
) |
|
$ |
(0.36 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares / OP units |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding |
|
|
16,077 |
|
|
|
16,063 |
|
|
|
16,072 |
|
|
|
16,063 |
|
OP units outstanding |
|
|
26,317 |
|
|
|
26,317 |
|
|
|
26,317 |
|
|
|
26,317 |
|
Diluted shares outstanding |
|
|
42,394 |
|
|
|
42,380 |
|
|
|
42,389 |
|
|
|
42,380 |
|
Clipper Realty Inc. Consolidated Statements of Cash Flows (In thousands) (Unaudited) |
||||||||
|
|
Nine Months Ended September 30, |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(5,496 |
) |
|
$ |
(12,709 |
) |
|
|
|
|
|
|
|
|
|
Adjustments to reconcile net loss to net cash provided by operating activities: |
|
|
|
|
|
|||
Depreciation |
|
|
22,211 |
|
|
|
21,296 |
|
Amortization of deferred financing costs |
|
|
1,591 |
|
|
|
1,098 |
|
Amortization of deferred costs and intangible assets |
|
|
440 |
|
|
|
441 |
|
Amortization of above- and below-market leases |
|
|
- |
|
|
|
(18 |
) |
Loss on extinguishment of debt |
|
|
- |
|
|
|
3,868 |
|
Deferred rent |
|
|
168 |
|
|
|
66 |
|
Stock-based compensation |
|
|
1,987 |
|
|
|
2,214 |
|
Bad debt expense |
|
|
24 |
|
|
|
(120 |
) |
Changes in operating assets and liabilities: |
|
|
|
|
|
|
|
|
Tenant and other receivables |
|
|
(1,160 |
) |
|
|
(103 |
) |
Prepaid expenses, other assets and deferred costs |
|
|
315 |
|
|
|
3,328 |
|
Accounts payable and accrued liabilities |
|
|
(247 |
) |
|
|
(4,366 |
) |
Security deposits |
|
|
279 |
|
|
|
713 |
|
Other liabilities |
|
|
1,225 |
|
|
|
1,422 |
|
Net cash provided by operating activities |
|
|
21,337 |
|
|
|
17,130 |
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
|
|
|
|
|
Additions to land, buildings and improvements |
|
|
(57,097 |
) |
|
|
(27,783 |
) |
Net cash used in investing activities |
|
|
(57,097 |
) |
|
|
(27,783 |
) |
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
|
|
|
|
|
Payments of mortgage notes |
|
|
(1,483 |
) |
|
|
(84,241 |
) |
Proceeds from mortgage notes |
|
|
50,300 |
|
|
|
124,858 |
|
Dividends and distributions |
|
|
(13,188 |
) |
|
|
(13,044 |
) |
Loan issuance and extinguishment costs |
|
|
- |
|
|
|
(10,232 |
) |
Net cash provided by financing activities |
|
|
35,629 |
|
|
|
17,341 |
|
|
|
|
|
|
|
|
|
|
Net (decrease) increase in cash and cash equivalents and restricted cash |
|
|
(131 |
) |
|
|
6,688 |
|
Cash and cash equivalents and restricted cash - beginning of period |
|
|
36,225 |
|
|
|
30,666 |
|
Cash and cash equivalents and restricted cash - end of period |
|
$ |
36,094 |
|
|
$ |
37,354 |
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents and restricted cash - beginning of period: |
|
|
|
|
|
|||
Cash and cash equivalents |
|
$ |
22,163 |
|
|
$ |
18,152 |
|
Restricted cash |
|
|
14,062 |
|
|
|
12,514 |
|
Total cash and cash equivalents and restricted cash - beginning of period |
|
$ |
36,225 |
|
|
$ |
30,666 |
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents and restricted cash - end of period: |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
18,622 |
|
|
$ |
22,450 |
|
Restricted cash |
|
|
17,472 |
|
|
|
14,904 |
|
Total cash and cash equivalents and restricted cash - end of period |
|
$ |
36,094 |
|
|
$ |
37,354 |
|
|
|
|
|
|
|
|
|
|
Supplemental cash flow information: |
|
|
|
|
|
|
|
|
Cash paid for interest, net of capitalized interest of |
|
$ |
32,672 |
|
|
$ |
32,924 |
|
Non-cash interest capitalized to real estate under development |
|
|
1,698 |
|
|
|
339 |
|
Additions to investment in real estate included in accounts payable and accrued liabilities |
|
|
10,504 |
|
|
|
5,102 |
|
Clipper Realty Inc.
Reconciliation of Non-GAAP Measures
(In thousands, except per share data)
Non-GAAP Financial Measures
We disclose and discuss funds from operations (“FFO”), adjusted funds from operations (“AFFO”), adjusted earnings before interest, income taxes, depreciation and amortization (“Adjusted EBITDA”) and net operating income (“NOI”), all of which meet the definition of “non-GAAP financial measures” set forth in Item 10(e) of Regulation S-K promulgated by the SEC.
While management and the investment community in general believe that presentation of these measures provides useful information to investors, neither FFO, AFFO, Adjusted EBITDA, nor NOI should be considered as an alternative to net income (loss) or income from operations as an indication of our performance. We believe that to understand our performance further, FFO, AFFO, Adjusted EBITDA, and NOI should be compared with our reported net income (loss) or income from operations and considered in addition to cash flows computed in accordance with GAAP, as presented in our consolidated financial statements.
Funds From Operations and Adjusted Funds From Operations
FFO is defined by the National Association of Real Estate Investment Trusts (“NAREIT”) as net income (computed in accordance with GAAP), excluding gains (or losses) from sales of property and impairment adjustments, plus depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. Our calculation of FFO is consistent with FFO as defined by NAREIT.
AFFO is defined by us as FFO excluding amortization of identifiable intangibles incurred in property acquisitions, straight-line rent adjustments to revenue from long-term leases, amortization costs incurred in originating debt, interest rate cap mark-to-market adjustments, amortization of non-cash equity compensation, acquisition and other costs, transaction pursuit costs, loss on modification/extinguishment of debt, gain on involuntary conversion, gain on termination of lease and non-recurring litigation-related expenses, less recurring capital spending.
Historical cost accounting for real estate assets implicitly assumes that the value of real estate assets diminishes predictably over time. In fact, real estate values have historically risen or fallen with market conditions. FFO is intended to be a standard supplemental measure of operating performance that excludes historical cost depreciation and valuation adjustments from net income. We consider FFO useful in evaluating potential property acquisitions and measuring operating performance. We further consider AFFO useful in determining funds available for payment of distributions. Neither FFO nor AFFO represent net income or cash flows from operations computed in accordance with GAAP. You should not consider FFO and AFFO to be alternatives to net income (loss) as reliable measures of our operating performance; nor should you consider FFO and AFFO to be alternatives to cash flows from operating, investing or financing activities (computed in accordance with GAAP) as measures of liquidity.
Neither FFO nor AFFO measure whether cash flow is sufficient to fund all of our cash needs, including loan principal amortization, capital improvements and distributions to stockholders. FFO and AFFO do not represent cash flows from operating, investing or financing activities computed in accordance with GAAP. Further, FFO and AFFO as disclosed by other REITs might not be comparable to our calculations of FFO and AFFO.
|
|
Three Months Ended
|
|
|
Nine Months Ended
|
|
||||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(1,088 |
) |
|
$ |
(2,325 |
) |
|
$ |
(5,496 |
) |
|
$ |
(12,709 |
) |
Real estate depreciation and amortization |
|
|
7,456 |
|
|
|
7,282 |
|
|
|
22,289 |
|
|
|
21,376 |
|
FFO |
|
$ |
6,368 |
|
|
$ |
4,957 |
|
|
$ |
16,793 |
|
|
$ |
8,667 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
AFFO |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO |
|
$ |
6,368 |
|
|
$ |
4,957 |
|
|
$ |
16,793 |
|
|
$ |
8,667 |
|
Amortization of real estate tax intangible |
|
|
120 |
|
|
|
120 |
|
|
|
361 |
|
|
|
361 |
|
Amortization of above- and below-market leases |
|
|
- |
|
|
|
(1 |
) |
|
|
- |
|
|
|
(18 |
) |
Straight-line rent adjustments |
|
|
81 |
|
|
|
39 |
|
|
|
168 |
|
|
|
66 |
|
Amortization of debt origination costs |
|
|
530 |
|
|
|
423 |
|
|
|
1,591 |
|
|
|
1,098 |
|
Amortization of LTIP awards |
|
|
713 |
|
|
|
783 |
|
|
|
1,987 |
|
|
|
2,214 |
|
Transaction pursuit costs |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
357 |
|
Loss on extinguishment of debt |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
3,868 |
|
Certain litigation-related expenses |
|
|
|
(10 |
) |
|
|
- |
|
|
|
(10 |
) |
|||
Recurring capital spending |
|
|
(50 |
) |
|
|
(51 |
) |
|
|
(184 |
) |
|
|
(375 |
) |
AFFO |
|
$ |
7,762 |
|
|
$ |
6,260 |
|
|
$ |
20,716 |
|
|
$ |
16,228 |
|
AFFO Per Share/Unit |
|
$ |
0.18 |
|
|
$ |
0.15 |
|
|
$ |
0.49 |
|
|
$ |
0.38 |
|
Adjusted Earnings Before Interest, Income Taxes, Depreciation and Amortization
We believe that Adjusted EBITDA is a useful measure of our operating performance. We define Adjusted EBITDA as net income (loss) before allocation to non-controlling interests, plus real estate depreciation and amortization, amortization of identifiable intangibles, straight-line rent adjustments to revenue from long-term leases, amortization of non-cash equity compensation, interest expense (net), acquisition and other costs, transaction pursuit costs, loss on modification/extinguishment of debt and non-recurring litigation-related expenses, less gain on involuntary conversion and gain on termination of lease.
We believe that this measure provides an operating perspective not immediately apparent from GAAP income from operations or net income (loss). We consider Adjusted EBITDA to be a meaningful financial measure of our core operating performance.
However, Adjusted EBITDA should only be used as an alternative measure of our financial performance. Further, other REITs may use different methodologies for calculating Adjusted EBITDA, and accordingly, our Adjusted EBITDA may not be comparable to that of other REITs.
The following table sets forth a reconciliation of Adjusted EBITDA for the periods presented to net loss, computed in accordance with GAAP (amounts in thousands):
|
|
Three Months Ended
|
|
|
Nine Months Ended
|
|
||||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
$ |
(1,088 |
) |
|
$ |
(2,325 |
) |
|
$ |
(5,496 |
) |
|
$ |
(12,709 |
) |
Real estate depreciation and amortization |
|
|
7,456 |
|
|
|
7,282 |
|
|
|
22,289 |
|
|
|
21,376 |
|
Amortization of real estate tax intangible |
|
|
120 |
|
|
|
120 |
|
|
|
361 |
|
|
|
361 |
|
Amortization of above- and below-market leases |
|
|
- |
|
|
|
(1 |
) |
|
|
- |
|
|
|
(18 |
) |
Straight-line rent adjustments |
|
|
81 |
|
|
|
39 |
|
|
|
168 |
|
|
|
66 |
|
Amortization of LTIP awards |
|
|
713 |
|
|
|
783 |
|
|
|
1,987 |
|
|
|
2,214 |
|
Interest expense, net |
|
|
11,840 |
|
|
|
11,527 |
|
|
|
35,320 |
|
|
|
32,996 |
|
Transaction pursuit costs |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
357 |
|
Loss on extinguishment of debt/modification of debt |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
3,868 |
|
Certain litigation-related expenses |
|
|
- |
|
|
|
(10 |
) |
|
|
- |
|
|
|
(10 |
) |
Adjusted EBITDA |
|
$ |
19,122 |
|
|
$ |
17,415 |
|
|
$ |
54,629 |
|
|
$ |
48,501 |
|
Net Operating Income
We believe that NOI is a useful measure of our operating performance. We define NOI as income from operations plus real estate depreciation and amortization, general and administrative expenses, acquisition and other costs, transaction pursuit costs, amortization of identifiable intangibles and straight-line rent adjustments to revenue from long-term leases, less gain on termination of lease. We believe that this measure is widely recognized and provides an operating perspective not immediately apparent from GAAP income from operations or net income (loss). We use NOI to evaluate our performance because NOI allows us to evaluate the operating performance of our company by measuring the core operations of property performance and capturing trends in rental housing and property operating expenses. NOI is also a widely used metric in valuation of properties.
However, NOI should only be used as an alternative measure of our financial performance. Further, other REITs may use different methodologies for calculating NOI, and accordingly, our NOI may not be comparable to that of other REITs.
The following table sets forth a reconciliation of NOI for the periods presented to income from operations, computed in accordance with GAAP (amounts in thousands):
|
|
Three Months Ended
|
|
|
Nine Months Ended
|
|
||||||||||
|
|
2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
NOI |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from operations |
|
$ |
10,752 |
|
|
$ |
9,202 |
|
|
$ |
29,824 |
|
|
$ |
24,155 |
|
Real estate depreciation and amortization |
|
|
7,456 |
|
|
|
7,282 |
|
|
|
22,289 |
|
|
|
21,376 |
|
General and administrative expenses |
|
|
3,370 |
|
|
|
3,340 |
|
|
|
10,380 |
|
|
|
10,029 |
|
Transaction pursuit costs |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
357 |
|
Amortization of real estate tax intangible |
|
|
121 |
|
|
|
120 |
|
|
|
361 |
|
|
|
361 |
|
Amortization of above- and below-market leases |
|
|
- |
|
|
|
(1 |
) |
|
|
- |
|
|
|
(18 |
) |
Straight-line rent adjustments |
|
|
81 |
|
|
|
39 |
|
|
|
168 |
|
|
|
66 |
|
NOI |
|
$ |
21,780 |
|
|
$ |
19,982 |
|
|
$ |
63,022 |
|
|
$ |
56,326 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241031488407/en/
Lawrence Kreider
Chief Financial Officer
(718) 438-2804 x2231
larry@clipperrealty.com
Source: Clipper Realty Inc.
FAQ
What was Clipper Realty's (CLPR) revenue in Q3 2024?
What was CLPR's net loss in Q3 2024?
What dividend did CLPR declare for Q3 2024?