|
|
| AMLI Residential Reports Third Quarter 2001 Operating Results and Increases Dividend |
CHICAGO, Oct. 30 /PRNewswire/ -- AMLI Residential Properties Trust (NYSE: AML) announced today operating results for the third quarter 2001 including Funds from Operations ("FFO") of $0.67 per share, which is consistent with First Call's current FFO estimate and the Company's recently revised guidance. Funds From Operations FFO for the third quarter totaled $16,848,000, or $0.67 per common share, compared to $17,804,000, or $0.72 per common share, for the third quarter 2000, a per share decrease of 6.9%. FFO for the nine months ended September 30, 2001 was $48,241,000, or $1.93 per share, compared to $50,982,000, or $2.07 per share, for the nine months ended September 30, 2000, a per share decrease of 6.8%. Material items comprising differences in the Company's third quarter 2001 FFO compared to the comparable period in 2000 are: -- $0.05 per share increase in AMLI's share of net operating income from all communities -- $0.02 per share increase in co-investment fee income, primarily from higher compensation earned from the sale of AMLI at Willowbrook in 2001 compared to the compensation earned from the sale of AMLI at Pleasant Hill in 2000 -- A decrease of $0.03 per share in AMLI's share of FFO and interest income from its Service Companies, $0.02 per share of which relate to gains on out-parcel land sales in 2000 that did not occur in 2001 -- A one-time charge of $0.02 per share relating to the complete write-off of AMLI's only two technology investments -- A one-time charge of $0.03 relating to the mark-to-market on a portion of the Company's interest rate hedges -- $0.03 per share increase in interest expense, comprised of (i) a $0.04 per share increase in AMLI's share of interest expense included in Share of Partnership FFO and (ii) a $0.01 decrease in the balance of the Company's Interest Expense (before the impact of the mark-to-market noted above) -- Other items of income or expense that, in the aggregate, net to a decrease of $0.01 per share Two items comprising a significant portion of the difference in FFO between the nine months ended September 30, 2001 and the comparable period last year are (i) the expensing of $0.03 per share of interest in 2001 associated with the Company's inventory of land held for development, which was capitalized in 2000 and (ii) the recognition of $0.10 per share of gains from land sales, which occurred only in 2000. Net Income and Earnings Per Share Net income for the quarter and nine months ended September 30, 2001 was $19,244,000 and $39,874,000, respectively, as compared to $15,242,000 and $57,264,000, respectively, in the year earlier periods, representing an increase of 26.3% and a decrease of 30.4%, respectively. Diluted Earnings Per Share ("EPS") for the quarter ended September 30, 2001 was $0.89 compared to $0.71 for the comparable period of 2000, an increase of 25.4%. For the nine months ended September 30, 2001, EPS was $1.86 compared to $2.70 for the comparable period of 2000, a decrease of 31.1%. The increase in net income and EPS for the current year's quarter over last year, as well as the decrease in net income and EPS for the current year's nine months over last year, is primarily due to the amount and timing of sales of out-parcel land and interest in operating communities. Same Community Results On a combined same community basis, which includes wholly-owned and co- investment communities, for the quarter ended September 30, 2001 versus the prior year period, total property revenues increased 2.3%, operating expenses increased 8.9%, and net operating income ("NOI") decreased 1.7%. The increase in operating expenses is primarily attributable to increases in repair and maintenance (partially the result of an increase in the amount of exterior painting costs), marketing costs (primarily attributable to increased efforts to maintain and improve leasing at the Company's communities) and utility costs (primarily related to an increase in unoccupied and make-ready apartments). Weighted average occupancy, quarter over quarter, increased slightly to 93.2% from 92.9%. Other Operating Results Total property revenues, including both wholly-owned communities and co- investment communities (at 100%) were $71,302,000 and $211,086,000, respectively, for the quarter and nine months ended September 30, 2001, as compared with $63,456,000 and $174,987,000, respectively, for comparable periods in 2000, an increase of 12.4% and 20.6%, respectively. Revenues from wholly-owned communities, as reflected on the Company's Statements of Operations for the three-month and nine-month periods ended September 30, 2001, totaled $34,298,000 and $98,075,000, respectively, as compared with $34,135,000 and $99,057,000, respectively, for comparable periods in 2000, a 0.5% increase and 1.0% decrease, respectively. Earnings before interest, taxes, depreciation and amortization ("EBITDA") for the quarter and nine months ended September 30, 2001 was $23,826,000 and $68,443,000, respectively, representing decreases of 1.8% and 1.6% from prior periods, respectively. Excluding the Company's share of co-investment partnerships' interest expense, which has historically been included in the Company's disclosure, EBITDA for the quarter and nine months ended September 30, 2001 was $27,347,000 and $79,146,000, respectively, representing increases of 1.9% and 3.8% from prior periods, respectively. Third Quarter Activities During the third quarter, AMLI entered into a joint venture with the National Electrical Benefit Fund (NEBF) to develop and own AMLI at Seven Bridges in Woodridge, Illinois, a western suburb of Chicago. AMLI at Seven Bridges will be comprised of four mid-rise buildings containing 520 apartment homes. Also during the quarter, the Company purchased AMLI at the Medical Center (formerly Augusta Apartment Homes), a 334-unit luxury apartment community located in Houston Texas, and AMLI at Shadow Ridge (formerly The Woodlands of Shadow Ridge), a 222-unit luxury apartment community located in Flower Mound, Texas, a northwest suburb of Dallas. Both communities were acquired through tax-deferred third party exchanges for Federal income tax purposes, completing the use of proceeds from the sales of two Dallas, Texas communities, AMLI at Autumn Chase, a three-phase community built in 1987, 1996 and 1999 containing 690 apartments homes and AMLI on Rosemeade, a fourteen-year-old community containing 236 apartment homes. Additionally, the Company completed the sales of AMLI at Willowbrook, a 488-unit co-investment community in Willowbrook, Illinois, a western suburb of Chicago, and AMLI at Alvamar, a wholly-owned 152-unit community in Lawrence Kansas. AMLI will use the proceeds to fund ongoing acquisition and development activities. Outlook The Company currently expects FFO for the full year 2001 to be $2.59 or $2.60 per share and the fourth quarter of this year to be $0.66 or $0.67 per share, one or two cents less than the Company's previous estimate primarily attributable to the potential dilutive effect of the Company's recently announced convertible preferred stock offering. AMLI anticipates that full year EPS for 2001 will range from $2.28 to $2.33. The Company currently expects FFO for the full year 2002 to be in the range of $2.60 tor $2.70 per share. However, once the Company finishes the process of finalizing its 2002 community operating budgets, which is expected shortly, it will be in a better position to refine its 2002 estimates. Dividend Yesterday, the Board of Trustees of AMLI declared a $0.01 increase in the quarterly dividend to $0.48 per common share for the quarter ended September 30, 2001. This dividend, which is based on an annual dividend rate of $1.92 per common share, is payable on November 20, 2001 to all shareholders of record as of November 9, 2001. Conference Call AMLI will hold a conference call on Wednesday, October 31, 2001 at 2:30 p.m. ET to review these results. The call may be joined by calling 800-967- 7134. A live webcast and replay of the call can be accessed at AMLI's web site at http://www.amli.com/company_info, as well as at http://www.streetevents.com and http://www.vcall.com . Supplemental Information AMLI produces Quarterly Supplemental Information that provides detailed information regarding the Company's activities during the quarter. The Third Quarter Supplemental Information is available the AMLI's website at http://www.amli.com/company_info/share_report.html . About AMLI The AMLI(R) portfolio currently includes 70 apartment communities containing 26,826 apartment homes, with an additional 3,059 apartment homes under development or in lease-up in eight locations. AMLI Residential is focused on the development, acquisition and management of institutional quality multifamily communities in the Southeast, Southwest, Midwest and Mountain Regions areas of the U.S. AMLI Residential also serves as institutional advisor and asset manager for large pension funds, tax-exempt foundations and other financial institutions through AMLI's co-investment business. AMLI employs approximately 875 people who are dedicated to achieving AMLI's mission--Provide An Outstanding Living Environment For Our Residents. More information on AMLI is available at http://www.amli.com . Forward Looking Statements Certain matters discussed in this press release are forward looking statements within the meaning of Federal Securities Law. Although the Company believes expectations reflected in such forward looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. The factors that could cause the actual results to differ from the Company's current expectations include general economic conditions, local real estate conditions, the timely development and lease-up of communities, other risks detailed from time to time in the Company's SEC reports, including the annual report on form 10-K for the year ended December 31, 2000.SOURCE AMLI Residential Properties Trust
back to topRelated links:
Company News On-Call:
CONTACT:
Robert J. Chapman, Chief Financial Officer of
AMLI Residential Properties Trust, +1-312-984-6845
