|
|
| BNP Residential Properties, Inc. Announces Operating Results for The First Quarter of 2000 |
CHARLOTTE, N.C., April 25 /PRNewswire/ -- BNP Residential Properties, Inc. (Amex: BNP) today announced operating results for the quarter ended March 31, 2000. Overview: BNP Residential Properties, Inc. (formerly known as Boddie- Noell Properties), is a self-administered, self-managed real estate investment trust focused on owning and operating apartment communities in North Carolina and Virginia. We currently own and operate fifteen apartment communities containing 3,440 units. We also own 44 restaurant properties, which we lease to a third party under a master lease on a triple-net basis. Through an unconsolidated subsidiary, BNP Management, Inc., we manage four apartment communities, containing 891 apartment units. BNP Residential Properties, Inc., is structured as an UpREIT, or umbrella partnership real estate investment trust. We are the sole general partner and own a controlling interest in BNP Residential Properties Limited Partnership, the operating partnership. All of our operations are conducted through the operating partnership. Operating Results: See Tabular Information Below Revenue: For the first quarter of 2000, total revenue increased by 1.4% over the same period in 1999. The increase in total revenue was attributable to an increase in revenue from apartment operations. During the first quarter of 2000, apartment operations accounted for approximately 88% of total revenue. Apartments: Apartment rental revenue increased by 2.2% for the first quarter of 2000 as compared to the same period in 1999. The increase for the quarter was principally due to a 1.8% increase in the average occupancy at our apartment properties. For the first quarter, average economic occupancy for all apartments was 96.4% as compared to 94.6% for the first quarter of 1999. Average revenue received per occupied unit was unchanged at $729 per month for the first quarter of both 2000 and 1999. All 3,440 apartment units were in operation for the full period in both 2000 and 1999. Restaurants: Restaurant rental revenue for the first quarter of 2000 declined by 6.4% from the same period in 1999. The decline in restaurant rental revenue was due to the sale of three restaurant properties in June 1999. Restaurant rental revenue is the greater of a specified minimum rent or a percentage of food sales. For the first quarters of both 2000 and 1999, we received the minimum guaranteed rent. "Same store" sales (sales at our restaurant properties that were open throughout the first quarter of both years) increased by 0.9% for the first quarter of 2000. When adjusted for the extra day in the quarter due to leap year, "same store" sales were essentially flat. During the first quarter, restaurants that have been converted to the "Star Hardee's" showed slightly better comparisons than non-converted stores, however, management believes it is too early to determine whether this is a trend. Expenses: Expenses increased by 3.4% for the first quarter. Apartment operating expenses increased by 4.7% for the first quarter of 2000. Apartment operating expenses were generally in line with management's expectations, reflecting expected increases in compensation of on-site personnel, utilities, taxes and insurance. Net Income: On a per share basis, net income for the first quarter decreased to $0.12 per share from $0.14 per share. This decrease reflects the impact of a minor decline in operating results and an increase in the non-cash charge for depreciation. For the first quarter of 2000, earnings before depreciation, amortization, and minority interest declined by 3.0%. Non-cash charges for depreciation and amortization increased by 2.1% compared to the first quarter of 1999. The minority interest represented 23.1% of income for the first quarter of 2000 compared to 20.9% for the first quarter of 1999. The increase in the minority interest was the result of a 300,000 share buy back program completed in the first quarter of 2000 and the issuance of approximately 137,000 operating partnership units in the second half of 1999 as the final installments on certain property acquisitions. Funds from Operations: On a per share basis, funds from operations declined for the first quarter to $0.37 per share from $0.38 per share. President's Statement: D. Scott Wilkerson, President, stated, "Overall, the quarter was in line with our expectations. Despite strong competition, we have been able to maintain high occupancy and good rental revenue at our apartment properties. We are confident we are well positioned for the future with good, well maintained apartment properties in excellent locations." Forward Looking Statement Disclosure: This press release includes forward- looking statements concerning the Company's operations, economic performance and financial condition, including, in particular, forward-looking statements regarding future operations and performance. Such statements are subject to various risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors, including the consummation, and timing of, pending acquisitions and those factors identified in the Company's annual report on Form 10-K for the year ending December 31, 1999. Information Requests: More information may be obtained by calling the company's Corporate Offices at (704) 944-0100 or on the Internet through the company website at http://www.bnproperties.com . Information requests may be e- mailed to the investor relations department at investor.relations@bnproperties.com. BNP Residential Properties, Inc. Consolidated Statements of Operations and Funds from Operations Dollars in thousands, except per share data Three months ended March 31 2000 1999 Revenues Apartment rental income $ 7,274 $ 7,116 Restaurant rental income 1,053 1,125 Interest and other income 153 119 8,480 8,360 Expenses Apartment operations 2,281 2,179 Depreciation and amortization 1,914 1,875 Administrative 641 599 Interest 2,747 2,682 7,582 7,336 Income before minority interest 898 1,025 Minority interest in operating partnership (207) (214) Net income $ 691 $ 810 Income before minority interest $ 898 $ 1,025 Depreciation 1,769 1,732 Amortization of management intangible 102 102 Funds from operations - Operating Partnership 2,769 2,858 Minority interest in funds from operations (639) (597) Funds from operations available to shareholders - basic $ 2,130 $ 2,261 Per share amounts - basic: Net income $ 0.12 $ 0.14 Funds from operations $ 0.37 $ 0.38 Per share amounts - diluted: Net income $ 0.12 $ 0.14 Funds from operations $ 0.37 $ 0.38 Weighted average shares outstanding 5,709 5,985 Weighted average Operating Partnership minority units outstanding 1,713 1,579 Weighted average total shares and minority units outstanding 7,423 7,564 We provide the following information for use by analysts and other members of the financial community for use in their detailed analyses: Three months ended March 31 2000 1999 Numerators: For basic per share amounts - Net income - basic $ 691 $ 810 Income before minority interest $ 898 $ 1,025 Depreciation 1,769 1,732 Amortization of management intangible 102 102 Minority interest in FFO (639) (597) Funds from operations available to shareholders - basic $ 2,130 $ 2,261 For diluted per share amounts - Income before minority interest $ 898 $ 1,025 Income before minority interest $ 898 $ 1,025 Depreciation 1,769 1,732 Amortization of management intangible 102 102 Funds from operations available to shareholders - diluted $ 2,769 $ 2,858 Denominators: For basic per share amounts - Weighted average shares outstanding 5,709 5,985 Effect of dilutive securities: Convertible Operating Partnership units 1,713 1,579 Stock options (A) -- 1 For diluted per share amounts - Adjusted weighted average shares and assumed conversions 7,423 7,564 (A) Includes only dilutive stock options. BNP Residential Properties, Inc. Condensed Consolidated Balance Sheets Amounts in thousands March 31 December 31 2000 1999 Assets Real estate investments at cost: Apartment properties $ 203,828 $ 203,365 Restaurant properties 40,545 40,545 244,373 243,910 Less accumulated depreciation (27,696) (25,926) 216,677 217,984 Other assets 6,206 6,286 Total Assets $ 222,883 $ 224,270 Liabilities and Shareholders' Equity Mortgage and other notes payable: Fixed rate notes payable $ 116,508 $ 116,589 Variable rate notes payable 34,169 34,294 150,677 150,883 Other liabilities 2,682 2,173 Total liabilities 153,359 153,056 Minority interest in Operating Partnership 20,961 21,317 Shareholders' equity: Common stock 57 57 Additional paid-in capital 69,707 69,962 Dividend distributions in excess of net income (21,201) (20,123) 48,563 49,896 Total Liabilities and Shareholders' Equity $ 222,883 $ 224,270 Shares and units outstanding: Common stock 5,707 5,735 Operating Partnership minority units 1,710 1,716 7,417 7,451SOURCE BNP Residential Properties, Inc.
back to topRelated links:
CONTACT:
Philip S. Payne, Executive Vice President &
CFO of BNP Residential Properties, Inc., 704-944-0100, or fax,
704-944-2039
