Boardwalk REIT Reports Second Quarter Funds From Operations Per Unit Growth of 4.4% (10.3% Excluding Retirement Costs)
Boardwalk REIT Reports Second Quarter Funds From Operations Per Unit Growth of 4.4% (10.3% Excluding Retirement Costs) |
[13-August-2020] |
SUMMARY HIGHLIGHTS FOR THE THREE AND SIX-MONTH PERIODS ENDED JUNE 30, 2020
CALGARY, AB, Aug. 13, 2020 /PRNewswire/ - Boardwalk Real Estate Investment Trust (TSX: BEI.UN) Boardwalk Real Estate Investment Trust ("Boardwalk", the "REIT" or the "Trust") today announced its financial results for the second quarter of 2020. Sam Kolias; Chairman and Chief Executive Officer of Boardwalk REIT commented: "We are reporting our second quarter results today as our markets across Canada continue to move through various stages of economic relaunch. Unchanged since the beginning of the pandemic, Boardwalk's top priority remains the health and safety of both our Resident Members as well as Boardwalk's Team of Heroes who everyday are performing and delivering our essential service of safe and affordable housing. Boardwalk's second quarter results are a reflection of our commitment to providing the best product quality, service and experience which has made Boardwalk a choice housing provider, both before and through this pandemic. Our Resident Members have rewarded us with higher occupancy, retention, and net promoter scores, creating new long-lasting relationships with our Residents within our Communities. Our focus on new and innovative ways to deliver our homes in a more efficient manner is resulting in lower operating costs while improving service and experience. Boardwalk's peak performance-based culture, which was introduced in 2017 after experiencing increased competition in our core markets, provided necessary learnings on how-to gain market share, and today, Boardwalk's diverse brand and affordable product offering has allowed the Trust to exceed expectations. As we look forward to the second half of 2020, Boardwalk remains in a strong financial position to capitalize on opportunities that may arise, and is well positioned to continue delivering results for all of our stakeholders on the foundation of strong affordability within our portfolio of communities across Canada where love always lives." SECOND QUARTER & FIRST SIX-MONTHS FINANCIAL HIGHLIGHTS
*Same Property figures exclude un-stabilized properties and sold assets NOI, FFO and AFFO are widely accepted supplemental measures of the performance of a Canadian Real Estate entity; however, they are non-GAAP financial measures as they are not measures defined by International Financial Reporting Standards ("IFRS"). The reconciliation of FFO, AFFO and other financial performance measures can be found in the Management's Discussion and Analysis ("MD&A") for the three and six months ended June 30, 2020, under the section titled, "Non-GAAP Measures", which is available under the Trust's profile at www.sedar.com. SOLID OPERATIONAL PERFORMANCE
*Average occupancy is adjusted to be on a same-property basis Boardwalk's core Alberta portfolio continues to deliver solid growth with our two largest markets, Edmonton and Calgary, delivering 7.6% and 3.6% same property NOI growth in the second quarter, respectively, as compared to the same period in 2019. The Trust's Ontario and Quebec markets, which represent over 25% of the Trust's portfolio, are continuing to deliver strong and stable results with record high occupancy and increasing market rents, contributing significant NOI growth of 8.3% and 8.8%, respectively, in the second quarter compared to the second quarter of 2019. Saskatchewan's market continues to improve with the Trust's portfolio realizing 6.6% same property NOI growth in the second quarter versus the same period last year. Overall in the second quarter, the Trust delivered revenue growth of 3.1%, and reduced operating expenses by 1.8% resulting in portfolio stabilized NOI growth of 6.4%, each as compared to the same period in 2019.
PROVIDING OUR ESSENTIAL SERVICE OF SAFE AND AFFORDABLE HOUSING THROUGH COVID-19 The health, safety, and well-being of our Resident Members and Associates remain our top priority; and as we continue to deliver homes to our Resident Members through this pandemic, Boardwalk remains committed to providing transparency and information to its stakeholders:
Q2 REGULAR MONTHLY DISTRIBUTION ANNOUNCEMENT The Trust has confirmed its regular monthly distribution for the months of August, September and October 2020 as follows:
In line with Boardwalk's distribution policy of maximum re-investment, the Trust's payout ratio remains conservative at 35.3% of Q2-2020 FFO; and 37.6% of the last 12 months FFO. Boardwalk's regular monthly distribution provides a stable and attractive yield for the Trust's stakeholders. FINANCIAL AND SUPPLEMENTARY INFORMATION Boardwalk produces quarterly financial statements, management's discussion and analysis, and a supplemental information package that provides detailed information regarding the Trust's activities during the quarter. Financial and supplementary information is available on Boardwalk's investor website at www.bwalk.com/investors TELECONFERENCE ON SECOND QUARTER 2020 FINANCIAL RESULTS Boardwalk invites you to participate in the teleconference that will be held to discuss these results tomorrow morning (August 14, 2020) at 11:00 am Eastern Time. Senior management will speak to the period's results and provide an update. Presentation materials will be made available on Boardwalk's investor website at www.bwalk.com/investors prior to the call. Teleconference: The telephone numbers for the conference are 416-764-8650 (local/international callers) or toll-free 1-888-664-6383 (within North America). Note: Please provide the operator with the below Conference Call ID or Topic when dialing in to the call. Webcast: Investors will be able to listen to the call and view Boardwalk's slide presentation by visiting www.bwalk.com/investors prior to the start of the call. An information page will be provided for any software needed and system requirements. The webcast and slide presentation will also be available at: Boardwalk REIT Second Quarter Conference Call Webcast Link Replay: An audio recording of the teleconference will be available on the Trust's website: CORPORATE PROFILE Boardwalk REIT's Trust units are listed on the Toronto Stock Exchange, trading under the symbol BEI.UN. Additional information about Boardwalk REIT can be found on the Trust's website www.bwalk.com/investors CAUTIONARY STATEMENTS REGARDING FORWARD-LOOKING STATEMENTS Information in this news release that is not current or historical factual information may constitute forward-looking statements and information (collectively, "forward-looking statements") within the meaning of securities laws. Implicit in these forward-looking statements, particularly in respect of Boardwalk's objectives for 2020 and future periods, Boardwalk's strategies to achieve those objectives, as well as statements with respect to management's beliefs, plans, estimates and intentions, and similar statements concerning anticipated future events, results, circumstances, performance or expectations are estimates and assumptions subject to risks and uncertainties, including those described in the second quarter Management's Discussion & Analysis of Boardwalk and the year-end Management's Discussion & Analysis of Boardwalk under the heading "Risks and Risk Management", which could cause Boardwalk's actual results to differ materially from the forward-looking statements contained in this news release. Specifically, Boardwalk has made assumptions surrounding the impact of economic conditions in Canada and globally including as a result of the COVID-19 pandemic, Boardwalk's future growth potential, prospects and opportunities, the rental environment compared to several years ago, relatively stable interest costs, access to equity and debt capital markets to fund (at acceptable costs), the future growth program to enable the Trust to refinance debts as they mature, the availability of purchase opportunities for growth in Canada, general industry conditions and trends, changes in laws and regulations including, without limitation, changes in tax laws, mortgage rules and other temporary legislative changes in light of the COVID-19 pandemic, increased competition, the availability of qualified personnel, fluctuations in foreign exchange or interest rates, and stock market volatility. These assumptions, although considered reasonable by the Trust at the time of preparation, may prove to be incorrect. For more exhaustive information on these risks and uncertainties you should refer to Boardwalk's most recently filed annual information form, which is available at www.sedar.com. Forward-looking statements contained in this news release is based on Boardwalk's current estimates, expectations and projections, which Boardwalk believes are reasonable as of the current date. You should not place undue importance on forward-looking statements and should not rely upon forward-looking statements as of any other date. Except as required by applicable law, Boardwalk undertakes no obligation to publicly update or revise any forward-looking statement, whether a result of new information, future events, or otherwise. View original content:http://www.prnewswire.com/news-releases/boardwalk-reit-reports-second-quarter-funds-from-operations-per-unit-growth-of-4-4-10-3-excluding-retirement-costs-301112213.html SOURCE Boardwalk Real Estate Investment Trust | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Company Codes: Toronto:BEI.UN |
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