The Becker Milk Company Limited
TSX : BEK.B

September 09, 2013 16:53 ET

The Becker Milk Company Limited Three Month Financial Results and Regular Dividend

TORONTO, ONTARIO--(Marketwired - Sept. 9, 2013) - The Becker Milk Company Limited (the "Company") (TSX:BEK.B) is pleased to report the results for the three months ending July 31, 2013.

HIGHLIGHTS

  • Total revenues for the three months ending July 31, 2013 were $989,081 compared to $1,021,729 for the same period in 2012;
  • Net operating income in Q1 2013 was $845,812 compared to $896,590 in 2012;
  • Adjusted funds from operations in Q1 2013 were $0.23 per share, compared to $0.26 per share in 2011.
FINANCIAL HIGHLIGHTS
Three months ended
July 31
2013 2012
Property revenue $971,842 $1,005,735
Finance income 17,239 15,994
Total revenues $989,081 $1,021,729
Property revenue $971,842 $1,005,735
Property operating expenses (126,030) (109,145)
Net operating income $845,812 $896,590
Adjusted funds from operations $422,375 $466,153
Net income attributable to common and special shareholders $274,351 ($142,357)
Average common and special shares outstanding 1,808,360 1,808,360
Income per share $0.15 ($0.08)

Significant components of the $416,708 increase in net income between the three months ended July 31, 2013 compared to the three months ended July 31, 2012 are:

Change in fair value of investment properties $306,190
Change in deferred taxes on investment properties 145,704
Net operating income (50,778)
Other items 15,592
Change in net income $416,708

NET OPERATING INCOME

Net operating income for the three months ended July 31, 2013, decreased by $50,779 to $845,809 compared to $896,588 in 2012. The decrease was predominantly the result of both reduced rental revenues and increased property operating and administrative expenses.

ADJUSTED FUNDS FROM OPERATIONS
Three months ended
July 31
2013 2012
Funds from opeations $440,265 $475,451
Items not affecting cash:
Straight line rent (17,890) (9,298)
Adjusted funds from operations $422,375 $466,153
Adjusted funds from operations per share $0.23 $0.26

For the three months ended July 31, 2013 the Company recorded Adjusted funds from operations of $422,375 ($0.23 per share) compared to $465,871 ($0.26 per share) in 2011. This decrease is largely the result of lower operating income.

DIVIDEND

The Directors of the Company have declared a regular dividend on Class B Special and Common Shares of 40 cents per share. The regular dividend of 40 cents will be paid to those shareholders of record as of September 20, 2013 and payable on October 3, 2013.

The dividends for Canadian tax purposes will be considered as an eligible dividend.

The Company's annual financial statements for the three months ended July 31, 2013, along with the Management's Discussion and Analysis will be filed with SEDAR at www.sedar.com.

Readers are cautioned that although the terms "Net Operating Income", and "Funds From Operations" are commonly used to measure, compare and explain the operating and financial performance of Canadian real estate companies and such terms are defined in the Management's Discussion and Analysis, such terms are not recognized terms under Canadian generally accepted accounting principles. Such terms do not necessarily have a standardized meaning and may not be comparable to similarly titled measures presented by the other publicly traded entities.

For the Board of Directors

G.W.J. Pottow, President

Contact Information

  • The Becker Milk Company Limited
    G.W.J. Pottow
    President
    416-698-2591