Attention Seeking Stock: Getty Realty Corp. (NYSE: GTY)

JERICHO, N.Y., June 20, 2019 – Getty Realty Corp. (GTY) declared that it had funds from operations of $17.50M, or 42 cents per share, in the period.

Net Earnings

The Company stated net earnings for the quarter ended March 31, 2019, of $10.90M, or $0.26 per share, as contrast to net earnings of $10.00M, or $0.25 per share, for the same period in 2018.

Funds from Operations (FFO) and Adjusted Funds from Operations (AFFO)

FFO for the quarter ended March 31, 2019, was $17.80M, or $0.43 per share, as contrast to $17.80M, or $0.44 per share, for the same period in 2018.

AFFO for the quarter ended March 31, 2019, was $17.50M, or $0.42 per share, as contrast to $16.80M, or $0.42 per share, for the same period in 2018.

Results of Operations:

Revenues from rental properties increased 6.1%, or $1.90M, to $33.30M for the quarter ended March 31, 2019, as contrast to $31.40M for the same period in 2018. The growth in revenues from rental properties for the quarter ended March 31, 2019, was mainly because of revenue from properties attained by the Company in 2018, together with contractual increases. Tenant reimbursements included in revenues from rental properties which consists of real estate taxes and other municipal charges paid by the Company which were reimbursable by the tenants following the terms of triple-net lease agreements, were $3.70M and $3.10M for the three months ended March 31, 2019 and 2018, respectively.

Property costs were $5.50M for the quarter ended March 31, 2019, as contrast to $4.90M for the same period in 2018. The increase was principally because of higher reimbursable real estate taxes and professional fees related to property redevelopments.

Environmental expenses were $0.90M for the quarter ended March 31, 2019, as contrast to $1.00M for the same period in 2018. The decrease was principally because of lower environmental legal and professional fees. Environmental expenses vary from period to period and, accordingly, undue reliance should not be placed on the magnitude or the direction of change in stated environmental expenses for one period, as contrast to prior periods.

General and administrative expense was $4.00M for the quarter ended March 31, 2019, as contrast to $3.60M for the same period in 2018. The increase in general and administrative expense for the quarter ended March 31, 2019, was principally because of $0.30M of non-recurring employee related expenses attributable to retirement costs.

Impairment charges were $0.80M for the quarter ended March 31, 2019, as contrast to $2.80M for the same period in 2018. Impairment charges for the quarter ended March 31, 2019 and 2018, were mainly attributable to the effect of adding asset retirement costs because of changes in estimates associated with the Company’s environmental liabilities, reductions in estimated undiscounted cash flows expected to be received during the assumed holding period for certain of its properties, and reductions in estimated sales prices from third-party offers based on signed contracts, letters of intent or indicative bids for certain of its properties.

Balance Sheet:

As of March 31, 2019, the Company had $415.00M of outstanding indebtedness with a weighted average interest rate of 5.2%. The Company’s indebtedness consisted of $90.00M in aggregate borrowings under its credit agreement and an aggregate principal amount of $325.00M of senior unsecured notes. Total cash and cash equivalents were $19.10M as of March 31, 2019.

Nurul Atikah

Finance and Tech Contributor

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