Stock Market Watch

Equity One – EQY – Pleased with the operating performance of core business

by ·


Equity One, Inc. (NYSE:EQY), an owner, developer, and operator of shopping centers, announced its financial results for the three months ended March 31, 2012.

Highlights for the quarter and recent activity include:

  • Generated Funds From Operations (FFO) of $0.27 per diluted share for the quarter
  • Generated Recurring FFO of $0.28 per diluted share for the quarter
  • Increased same property net operating income by 4.5% as compared to the first quarter 2011
  • Increased core occupancy to 91.2%, up 50 basis points from December 31, 2011
  • Executed 122 new leases, renewals, and options totaling 446,959 square feet at an average rent spread of 3.5%
  • Acquired or placed under contract three shopping centers located in Fairfield County, Connecticut and one center located in San Francisco, California for a gross purchase price of $189.8 million
  • Entered into a contract to acquire a retail development site in the Bronx, New York from the New York City Economic Development Corporation
  • Sold five non-core assets for $62.1 million
  • Closed a $200 million seven year unsecured term loan with an effective interest rate of 3.46% per annum

“We are pleased with the operating performance of our core business and advancements in our development and redevelopment program.” said Jeff Olson, CEO. “Our results reflect our progress in upgrading and diversifying our portfolio into high density markets including New York, San Francisco, Los Angeles, and Miami.”


Financial Highlights

In the first quarter 2012, the company generated FFO of $33.2 million, or $0.27 per diluted share, as compared to $61.0 million, or $0.52 per diluted share for the same period in 2011. The results for the first quarter of 2011 included a non cash bargain purchase gain of $30.6 million or $0.26 per diluted share related to the acquisition of Capital and Counties, USA.

Recurring FFO was $34.1 million, or $0.28 per diluted share in the first quarter of 2012 as compared to $33.3 million, or $0.28 per diluted share in the first quarter of 2011. A reconciliation of net income to FFO and the reconciling components of FFO to Recurring FFO is provided in the tables accompanying this press release.

Net income attributable to Equity One was $19.0 million and earnings per diluted share was $0.16 for the quarter ended March 31, 2012 as compared to net income of $35.0 million, or $0.32 per diluted share, for the first quarter 2011.

ABOUT EQUITY ONE, INC.

As of March 31, 2012, EQY consolidated property portfolio comprised 164 properties totaling approximately 16.9 million square feet of gross leasable area, or GLA, and included 143 shopping centers, ten development or redevelopment properties, five non-retail properties and six land parcels. As of March 31, 2012, EQY core portfolio was 91.2% leased and included national, regional and local tenants. Additionally, EQY had joint venture interests in 17 shopping centers and two office buildings totaling approximately 2.8 million square feet.

More Posts by this author

edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.


Tags:

Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

You may also like...