Gazit-Globe Reports Third Quarter 2011 Financial Results
Gazit-Globe
21.11.2011 09:03
---------------------------------------------------------------------------
FFO & FFO per share for the Quarter Increased by 28% and 14.5% respectively
Same Property NOI Growth of 4.7% for the Period
TEL-AVIV, Israel, 2011-11-21 09:00 CET (GLOBE NEWSWIRE) -- Gazit-Globe
(TASE:GLOB), one of the world's leading multi-national real estate companies
focused on acquisition, development and redevelopment of supermarket-anchored
shopping centers, announced today its financial results for the three months
(the 'quarter') and nine months (the 'period') ended September 30, 2011.
When using the term 'Group', results refer to Gazit-Globe's consolidated
financial statements. When using the term 'Company', results refer to
Gazit-Globe's solo financial statements. Unless otherwise stated, results
announced in this press release are attributable to the 'Group'.
Highlights:
-- NOI for the quarter increased by 14%; NOI totalled NIS 885 million compared
to NIS 775 million for the same quarter last year.
-- FFO for the quarter increased by 28%; FFO totalled NIS 110 million (NIS
0.71 per share) as compared to NIS 86 million (NIS 0.62 per share) for the
same quarter last year.
-- Investments during the quarter totalled NIS 1,832 million, compared to NIS
735 million in the same quarter last year. Investments during the period
totalled NIS 7.0 billion, compared to NIS 2.6 billion in the same period
last year.
-- Net income attributable to the Company's shareholders for the quarter
totalled NIS 169 million (NIS 1.09 per diluted share) compared to net
income of NIS 197 million (NIS 1.41 per diluted share) for the same quarter
last year.
-- The Group's same-property NOI grew by 4.7% for the period. As of September
30, 2011, occupancy rate was 94.3% compared to 93.5% as of September 30,
2010.
-- As of September 30, 2011, the Group had cash on hand and undrawn revolving
credit facilities in the amount of NIS 7.7 billion of which NIS 1.7 billion
is at the Company's level.
-- As of September 30, 2011, net debt to total assets (LTV) was 59.7%,
compared to 62.5% as of September 30, 2010, and 60.7% as of December 31,
2010.
-- In August 2011, S&P Maalot affirmed Gazit-Globe's domestic credit
rating of ilA+ and revised its outlook from stable to positive.
-- The Company's Board of Directors declared a quarterly cash dividend of NIS
0.39 per share payable on December 28, 2011 to shareholders of record as of
December 12, 2011. The Company's Board of Directors declared a dividend
policy for 2012 of a minimum quarterly dividend payment of NIS 0.40 per
share (NIS 1.60 per share annualized) to be distributed as of the first
quarter of 2012.
Roni Soffer, Gazit-Globe's President, said: 'We have concluded another quarter
of continued growth in all of our operational parameters, including a strong
increase in our FFO and FFO per share which also reflects our portfolio's
growth potential and the effect of capital deployment in the first nine months
of the year. The Group's organic and strategic growth continues to be our main
focus as well as maintaining a strong balance sheet and high liquidity. We have
declared a dividend policy for 2012 of an annualized dividend of 1.60 NIS per
share. This is the thirteenth year in which we have increased our dividend to
our shareholders which is now being distributed for more than 50 consecutive
quarters.'
Financial Highlights for the quarter:
-- Property rental income for the quarter increased by 15% to NIS 1,309
million compared to NIS 1,138 million for the same quarter last year.
-- NOI for the quarter increased by 14%; NOI totalled NIS 885 million compared
to NIS 775 million for the same quarter last year.
-- FFO for the quarter increased by 28%; FFO totalled NIS 110 million (NIS
0.71 per share) as compared to NIS 86 million (NIS 0.62 per share) for the
same quarter last year.
-- Net income attributable to the Company's shareholders for the quarter
totalled NIS 169 million (NIS 1.09 per diluted share) compared to net
income of NIS 197 million (NIS 1.41 per diluted share) for the same quarter
last year.
-- The fair value gain from investment property and investment property under
development totalled NIS 233 million in the quarter compared to a fair
value gain of NIS 516 million in the same quarter last year. The Company's
share in the fair value gain from investment property and investment
property under development totalled NIS 149 million in the quarter compared
to a fair value loss of NIS 247 million in the same quarter last year.
-- Shareholders' equity as of September 30, 2011 increased to NIS 6,521
million (NIS 42.2 per share), as compared to NIS 5,280 million (NIS 38.0
per share) as of September 30, 2010, and NIS 5,915 million as of December
31, 2010.
-- EPRA NAV per share as of September 30, 2011 was NIS 46.6 compared to NIS
39.5 per share as of September 30, 2010 (The EPRA NAV was calculated based
on EPRA's new guidelines published in October 2010).
Financial Highlights for the period:
-- Property rental income for the period increased by 13% to NIS 3,847 million
compared to NIS 3,412 million for the same period last year.
-- NOI for the period increased by 13%; NOI totalled NIS 2,570 million
compared to NIS 2,266 million for the same period last year.
-- FFO for the period increased by 17%; FFO for the period totalled NIS 294
million (NIS 1.90 per share) as compared to NIS 251 million (NIS 1.81 per
share) for the same period last year.
-- Net income attributable to the Company's shareholders for the period
totalled NIS 403 million (NIS 2.58 per diluted share) compared to net
income of NIS 564 million (NIS 4.03 per diluted share) for the same quarter
last year.
Acquisition, Development and Redevelopment Activities
During the period, the Group acquired 34 income-producing properties totaling
671 thousand square meters and adjacent land parcels for future development for
an aggregate amount of NIS 5.85 billion. The Group also invested NIS 1.15
billion in new development and redevelopment projects.
As of September 30, 2011, the Group had 15 properties under development with a
gross leasable area of 167 thousand square meters and 27 properties under
redevelopment with a gross leasable area of 142 thousand square meters with a
total investment value of NIS 1,247 million. The additional cost to complete
the properties under development and redevelopment totals NIS 1,761 million.
Financing Activities
-- During the quarter, the Group raised NIS 286 million in equity as compared
to NIS 266 million during the same quarter last year. During the nine month
period ended September 30, 2011, the Group raised NIS 700 million as
compared to NIS 852 million during the same period last year.
-- As of September 30, 2011, the Group had cash on hand and undrawn revolving
credit facilities in the amount of NIS 7.7 billion of which NIS 1.7 billion
is at the Company's level.
Balance Sheet Highlights
-- As of September 30, 2011, net debt to total assets (LTV) was 59.7%,
compared to 62.5% as of September 30, 2010, and 60.7% as of December 31,
2010.
-- Shareholders' equity as of September 30, 2011 increased to NIS 6,521
million (NIS 42.2 per share), as compared to NIS 5,280 million (NIS 38.0
per share) as of September 30, 2010, and NIS 5,915 million as of December
31, 2010.
Dividend
The Company's Board of Directors declared a quarterly cash dividend of NIS 0.39
per share payable on December 28, 2011 to shareholders of record as of December
12, 2011. The quarterly cash dividend of NIS 0.39 per share represents an
annualized amount of NIS 1.56.
The Company's Board of Directors declared a dividend policy for 2012 of a
minimum quarterly dividend payment of NIS 0.40 per share (NIS 1.60 per share
annualized) to be distributed as of the first quarter of 2012.
ACCOUNTING AND OTHER DISCLOSURES
Restatement of the financial statements for the first and second quarters of
2011
As a result of EQY's restatement of its unaudited financial statements for the
three months ended March 31, 2011 and the six months ended June 30, 2011, the
Company intends to restate its financial statements for such periods, as soon
as practicable. The restatement has no impact on the Company's cash position,
its FFO and its net income attributed to its shareholders or otherwise on its
operations. The impact of the restatement is with respect to the net income and
equity attributed to non-controlling interests.
The Company believes that publication of FFO, which is calculated according to
EPRA best-practice recommendations, better reflects the operating results of
the Company, since the Company's financial statements are prepared in
conformity with IFRS. In addition, publication of FFO provides a better basis
for the comparison of the Company's operating results between different
reporting periods and strengthens the uniformity and the comparability of this
financial measure to that published by European property companies.
As clarified in the EPRA and NAREIT position papers, the FFO measures do not
represent cash flows from current operations according to accepted accounting
principles, nor do they reflect the cash held by a company or its ability to
distribute that cash, and they are not a substitute for the reported net income
(loss). Furthermore, it is also clarified that these measures are not part of
the data audited by the Company's independent auditors.
CONFERENCE CALL/WEB CAST INFORMATION
Gazit-Globe will host a conference call and webcast in English on Monday,
November 21, 2011 at 17:00 Israel Time/ 3:00 p.m. United Kingdom/ 4:00 p.m.
Central European Time/ 10:00 a.m. Eastern Time to review Q3/2011 financial
results. Shareholders, analysts and other interested parties can access the
conference call by dialing 1 866 966 9439 (U.S./Canada) or 0800 694 0257 (U.K.)
or +44 (0) 1452 555 566 (International) or 1 809 216 057(Israel) or on the
Company's website www.gazit-globe.com, under the Investor Relations section.
For those unable to participate during the call, a replay will be available on
Gazit-Globe's website for future review.
FOR ADDITIONAL INFORMATION
A comprehensive copy of the Company's financial report is available on
Gazit-Globe website at www.gazit-globe.com. To be included in the Company's
e-mail distributions for press releases and other Company notices, please send
e-mail addresses to Ms. Avishag Kichel, International Investor Relations, at
akichel@gazitgroup.com.
ABOUT GAZIT-GLOBE
Gazit-Globe is one of the world's leading multi-national real estate companies
engaged in the acquisition, development, redevelopment and management of
supermarket-anchored shopping centers in growing urban markets. In addition,
the Company is active in North America in the healthcare real estate sector.
Gazit-Globe is listed on the Tel Aviv Stock Exchange (TASE: GLOB) and is
included in the TA-25 and the Real-Estate 15 indices. The Group operates in
more than 20 countries, owns and manages over 660 properties with a gross
leasable area of 7.0 million square meters, has a consolidated total asset
value of approximately US$18.5 billion and a gross annualized income of about
US$1.7 billion.
The Group's activities have grown significantly since it was established in
1991 while the quality of its operations and assets has been continually
enhanced. Gazit-Globe's primary objective is the creation of value through
long-term maximization of cash flow and capital appreciation from its growing
real estate portfolio, while increasing its dividends over time. Gazit-Globe's
knowledge and expertise, combined with its proactive management style and
disciplined acquisition strategy, has enabled it to grow its business
consistently and expand its portfolio into other asset classes and geographies.
Gazit-Globe continues to seek opportunities in the regions where it operates as
well as in new territories. www.gazit-globe.com.
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements relating to
Gazit-Globe's operations and the environment in which it operates that are
based on Gazit-Globe's expectations, estimates, forecasts And projections.
These statements may be identified by their use of forward-looking terminology
such as 'believes', 'expects', 'may', 'should', 'would', 'will', 'intends',
'plans', 'estimates', 'anticipates' and similar words. These statements are not
guarantees of future performance and involve risks and uncertainties that are
difficult to control or predict. Actual outcomes and results may differ
materially from those expressed or implied in these forward-looking statements.
We refer you to our latest annual report and current interim financial
statements, both of which are available on Gazit-Globe's website, for a
discussion of the risks and uncertainties associated with forward-looking
statements. You therefore should not place undue reliance on any such
forward-looking statements. Further, these forward-looking statements speak
only as of the date on which such statement is made. Except as required by laws
and regulations, Gazit-Globe undertakes no obligation to publicly update any
such statement or to reflect new information or the occurrence of future events
or circumstances.
For additional information:
Gadi Cunia,
Senior Executive VP and CFO
Avishag Kichel
International Investor Relations
+972 3 694 8000
News Source: NASDAQ OMX
21.11.2011 Dissemination of a Corporate News, transmitted by DGAP -
a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------------
Language: English
Company: Gazit-Globe
Israel
Phone:
Fax:
E-mail:
Internet:
ISIN: PAL0605071A3
WKN:
End of Announcement DGAP News-Service
---------------------------------------------------------------------------
Gazit-Globe
21.11.2011 09:03
---------------------------------------------------------------------------
FFO & FFO per share for the Quarter Increased by 28% and 14.5% respectively
Same Property NOI Growth of 4.7% for the Period
TEL-AVIV, Israel, 2011-11-21 09:00 CET (GLOBE NEWSWIRE) -- Gazit-Globe
(TASE:GLOB), one of the world's leading multi-national real estate companies
focused on acquisition, development and redevelopment of supermarket-anchored
shopping centers, announced today its financial results for the three months
(the 'quarter') and nine months (the 'period') ended September 30, 2011.
When using the term 'Group', results refer to Gazit-Globe's consolidated
financial statements. When using the term 'Company', results refer to
Gazit-Globe's solo financial statements. Unless otherwise stated, results
announced in this press release are attributable to the 'Group'.
Highlights:
-- NOI for the quarter increased by 14%; NOI totalled NIS 885 million compared
to NIS 775 million for the same quarter last year.
-- FFO for the quarter increased by 28%; FFO totalled NIS 110 million (NIS
0.71 per share) as compared to NIS 86 million (NIS 0.62 per share) for the
same quarter last year.
-- Investments during the quarter totalled NIS 1,832 million, compared to NIS
735 million in the same quarter last year. Investments during the period
totalled NIS 7.0 billion, compared to NIS 2.6 billion in the same period
last year.
-- Net income attributable to the Company's shareholders for the quarter
totalled NIS 169 million (NIS 1.09 per diluted share) compared to net
income of NIS 197 million (NIS 1.41 per diluted share) for the same quarter
last year.
-- The Group's same-property NOI grew by 4.7% for the period. As of September
30, 2011, occupancy rate was 94.3% compared to 93.5% as of September 30,
2010.
-- As of September 30, 2011, the Group had cash on hand and undrawn revolving
credit facilities in the amount of NIS 7.7 billion of which NIS 1.7 billion
is at the Company's level.
-- As of September 30, 2011, net debt to total assets (LTV) was 59.7%,
compared to 62.5% as of September 30, 2010, and 60.7% as of December 31,
2010.
-- In August 2011, S&P Maalot affirmed Gazit-Globe's domestic credit
rating of ilA+ and revised its outlook from stable to positive.
-- The Company's Board of Directors declared a quarterly cash dividend of NIS
0.39 per share payable on December 28, 2011 to shareholders of record as of
December 12, 2011. The Company's Board of Directors declared a dividend
policy for 2012 of a minimum quarterly dividend payment of NIS 0.40 per
share (NIS 1.60 per share annualized) to be distributed as of the first
quarter of 2012.
Roni Soffer, Gazit-Globe's President, said: 'We have concluded another quarter
of continued growth in all of our operational parameters, including a strong
increase in our FFO and FFO per share which also reflects our portfolio's
growth potential and the effect of capital deployment in the first nine months
of the year. The Group's organic and strategic growth continues to be our main
focus as well as maintaining a strong balance sheet and high liquidity. We have
declared a dividend policy for 2012 of an annualized dividend of 1.60 NIS per
share. This is the thirteenth year in which we have increased our dividend to
our shareholders which is now being distributed for more than 50 consecutive
quarters.'
Financial Highlights for the quarter:
-- Property rental income for the quarter increased by 15% to NIS 1,309
million compared to NIS 1,138 million for the same quarter last year.
-- NOI for the quarter increased by 14%; NOI totalled NIS 885 million compared
to NIS 775 million for the same quarter last year.
-- FFO for the quarter increased by 28%; FFO totalled NIS 110 million (NIS
0.71 per share) as compared to NIS 86 million (NIS 0.62 per share) for the
same quarter last year.
-- Net income attributable to the Company's shareholders for the quarter
totalled NIS 169 million (NIS 1.09 per diluted share) compared to net
income of NIS 197 million (NIS 1.41 per diluted share) for the same quarter
last year.
-- The fair value gain from investment property and investment property under
development totalled NIS 233 million in the quarter compared to a fair
value gain of NIS 516 million in the same quarter last year. The Company's
share in the fair value gain from investment property and investment
property under development totalled NIS 149 million in the quarter compared
to a fair value loss of NIS 247 million in the same quarter last year.
-- Shareholders' equity as of September 30, 2011 increased to NIS 6,521
million (NIS 42.2 per share), as compared to NIS 5,280 million (NIS 38.0
per share) as of September 30, 2010, and NIS 5,915 million as of December
31, 2010.
-- EPRA NAV per share as of September 30, 2011 was NIS 46.6 compared to NIS
39.5 per share as of September 30, 2010 (The EPRA NAV was calculated based
on EPRA's new guidelines published in October 2010).
Financial Highlights for the period:
-- Property rental income for the period increased by 13% to NIS 3,847 million
compared to NIS 3,412 million for the same period last year.
-- NOI for the period increased by 13%; NOI totalled NIS 2,570 million
compared to NIS 2,266 million for the same period last year.
-- FFO for the period increased by 17%; FFO for the period totalled NIS 294
million (NIS 1.90 per share) as compared to NIS 251 million (NIS 1.81 per
share) for the same period last year.
-- Net income attributable to the Company's shareholders for the period
totalled NIS 403 million (NIS 2.58 per diluted share) compared to net
income of NIS 564 million (NIS 4.03 per diluted share) for the same quarter
last year.
Acquisition, Development and Redevelopment Activities
During the period, the Group acquired 34 income-producing properties totaling
671 thousand square meters and adjacent land parcels for future development for
an aggregate amount of NIS 5.85 billion. The Group also invested NIS 1.15
billion in new development and redevelopment projects.
As of September 30, 2011, the Group had 15 properties under development with a
gross leasable area of 167 thousand square meters and 27 properties under
redevelopment with a gross leasable area of 142 thousand square meters with a
total investment value of NIS 1,247 million. The additional cost to complete
the properties under development and redevelopment totals NIS 1,761 million.
Financing Activities
-- During the quarter, the Group raised NIS 286 million in equity as compared
to NIS 266 million during the same quarter last year. During the nine month
period ended September 30, 2011, the Group raised NIS 700 million as
compared to NIS 852 million during the same period last year.
-- As of September 30, 2011, the Group had cash on hand and undrawn revolving
credit facilities in the amount of NIS 7.7 billion of which NIS 1.7 billion
is at the Company's level.
Balance Sheet Highlights
-- As of September 30, 2011, net debt to total assets (LTV) was 59.7%,
compared to 62.5% as of September 30, 2010, and 60.7% as of December 31,
2010.
-- Shareholders' equity as of September 30, 2011 increased to NIS 6,521
million (NIS 42.2 per share), as compared to NIS 5,280 million (NIS 38.0
per share) as of September 30, 2010, and NIS 5,915 million as of December
31, 2010.
Dividend
The Company's Board of Directors declared a quarterly cash dividend of NIS 0.39
per share payable on December 28, 2011 to shareholders of record as of December
12, 2011. The quarterly cash dividend of NIS 0.39 per share represents an
annualized amount of NIS 1.56.
The Company's Board of Directors declared a dividend policy for 2012 of a
minimum quarterly dividend payment of NIS 0.40 per share (NIS 1.60 per share
annualized) to be distributed as of the first quarter of 2012.
ACCOUNTING AND OTHER DISCLOSURES
Restatement of the financial statements for the first and second quarters of
2011
As a result of EQY's restatement of its unaudited financial statements for the
three months ended March 31, 2011 and the six months ended June 30, 2011, the
Company intends to restate its financial statements for such periods, as soon
as practicable. The restatement has no impact on the Company's cash position,
its FFO and its net income attributed to its shareholders or otherwise on its
operations. The impact of the restatement is with respect to the net income and
equity attributed to non-controlling interests.
The Company believes that publication of FFO, which is calculated according to
EPRA best-practice recommendations, better reflects the operating results of
the Company, since the Company's financial statements are prepared in
conformity with IFRS. In addition, publication of FFO provides a better basis
for the comparison of the Company's operating results between different
reporting periods and strengthens the uniformity and the comparability of this
financial measure to that published by European property companies.
As clarified in the EPRA and NAREIT position papers, the FFO measures do not
represent cash flows from current operations according to accepted accounting
principles, nor do they reflect the cash held by a company or its ability to
distribute that cash, and they are not a substitute for the reported net income
(loss). Furthermore, it is also clarified that these measures are not part of
the data audited by the Company's independent auditors.
CONFERENCE CALL/WEB CAST INFORMATION
Gazit-Globe will host a conference call and webcast in English on Monday,
November 21, 2011 at 17:00 Israel Time/ 3:00 p.m. United Kingdom/ 4:00 p.m.
Central European Time/ 10:00 a.m. Eastern Time to review Q3/2011 financial
results. Shareholders, analysts and other interested parties can access the
conference call by dialing 1 866 966 9439 (U.S./Canada) or 0800 694 0257 (U.K.)
or +44 (0) 1452 555 566 (International) or 1 809 216 057(Israel) or on the
Company's website www.gazit-globe.com, under the Investor Relations section.
For those unable to participate during the call, a replay will be available on
Gazit-Globe's website for future review.
FOR ADDITIONAL INFORMATION
A comprehensive copy of the Company's financial report is available on
Gazit-Globe website at www.gazit-globe.com. To be included in the Company's
e-mail distributions for press releases and other Company notices, please send
e-mail addresses to Ms. Avishag Kichel, International Investor Relations, at
akichel@gazitgroup.com.
ABOUT GAZIT-GLOBE
Gazit-Globe is one of the world's leading multi-national real estate companies
engaged in the acquisition, development, redevelopment and management of
supermarket-anchored shopping centers in growing urban markets. In addition,
the Company is active in North America in the healthcare real estate sector.
Gazit-Globe is listed on the Tel Aviv Stock Exchange (TASE: GLOB) and is
included in the TA-25 and the Real-Estate 15 indices. The Group operates in
more than 20 countries, owns and manages over 660 properties with a gross
leasable area of 7.0 million square meters, has a consolidated total asset
value of approximately US$18.5 billion and a gross annualized income of about
US$1.7 billion.
The Group's activities have grown significantly since it was established in
1991 while the quality of its operations and assets has been continually
enhanced. Gazit-Globe's primary objective is the creation of value through
long-term maximization of cash flow and capital appreciation from its growing
real estate portfolio, while increasing its dividends over time. Gazit-Globe's
knowledge and expertise, combined with its proactive management style and
disciplined acquisition strategy, has enabled it to grow its business
consistently and expand its portfolio into other asset classes and geographies.
Gazit-Globe continues to seek opportunities in the regions where it operates as
well as in new territories. www.gazit-globe.com.
FORWARD LOOKING STATEMENTS
This press release may contain forward-looking statements relating to
Gazit-Globe's operations and the environment in which it operates that are
based on Gazit-Globe's expectations, estimates, forecasts And projections.
These statements may be identified by their use of forward-looking terminology
such as 'believes', 'expects', 'may', 'should', 'would', 'will', 'intends',
'plans', 'estimates', 'anticipates' and similar words. These statements are not
guarantees of future performance and involve risks and uncertainties that are
difficult to control or predict. Actual outcomes and results may differ
materially from those expressed or implied in these forward-looking statements.
We refer you to our latest annual report and current interim financial
statements, both of which are available on Gazit-Globe's website, for a
discussion of the risks and uncertainties associated with forward-looking
statements. You therefore should not place undue reliance on any such
forward-looking statements. Further, these forward-looking statements speak
only as of the date on which such statement is made. Except as required by laws
and regulations, Gazit-Globe undertakes no obligation to publicly update any
such statement or to reflect new information or the occurrence of future events
or circumstances.
For additional information:
Gadi Cunia,
Senior Executive VP and CFO
Avishag Kichel
International Investor Relations
+972 3 694 8000
News Source: NASDAQ OMX
21.11.2011 Dissemination of a Corporate News, transmitted by DGAP -
a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------------
Language: English
Company: Gazit-Globe
Israel
Phone:
Fax:
E-mail:
Internet:
ISIN: PAL0605071A3
WKN:
End of Announcement DGAP News-Service
---------------------------------------------------------------------------