For Immediate Release
CONTACT: JAMES R. MOORE
URSTADT BIDDLE PROPERTIES INC.
(203) 863-8200
URSTADT BIDDLE PROPERTIES INC. REPORTS
OPERATING RESULTS FOR SECOND QUARTER AND FIRST HALF OF FISCAL 2005
GREENWICH, CONNECTICUT, June 8, 2005 - Urstadt Biddle Properties Inc.
(NYSE:UBA and UBP), a real estate investment trust, today announced its second
quarter and six months financial results for the period ended April 30, 2005.
Diluted funds from operations ("FFO") for the quarter ended April 30, 2005
increased to $7,996,000 or $0.29 per Common share and $0.32 per Class A Common
share compared to $7,472,000 or $0.27 per Common share and $.30 per Class A
Common share in the second quarter of fiscal 2004. Net income applicable to
Common and Class A Common stockholders for the quarter was $4,826,000 or $0.18
per diluted Common share and $0.19 per diluted Class A Common share compared to
$4,679,000, or $0.17 per diluted Common share and $0.19 per diluted Class A
Common share in the corresponding three month period last year.
For the first six months of fiscal 2005, diluted FFO amounted to $15,771,000 or
$0.57 per Common share and $0.62 per Class A Common share compared to
$15,440,000 or $0.57 per Common share and $0.62 per Class A Common share in
fiscal 2004. Net income applicable to Common and Class A Common stockholders for
the first six months of fiscal 2005 was $15,112,000 or $0.55 per diluted Common
share and $0.61 per diluted Class A Common share compared to $9,763,000 or $0.36
per diluted Common share and $0.40 per diluted Class A Common share, for the
same period last year. Net income in the six-month period ended April 30, 2005
includes a gain on sale of property of $5,634,000.
Commenting on the six month operating results, Willing L. Biddle, President and
Chief Operating Officer of UBP, said the increase in the Company's FFO, earnings
and revenue growth reflects the effect of recent property acquisitions and
excellent results of recent leasing activity. Mr. Biddle stated that "Our core
property portfolio was nearly 99% leased at the end of the quarter --unchanged
from year end. Our recent lease renewals and new leases are at higher rents than
the expiring rates and our core properties in the surrounding counties of
Fairfield Connecticut and Westchester County New York continue to remain full.
We have several significant capital projects under way which will result in
increased cash flow to us when the tenants take occupancy later this year and in
2006. " Mr. Biddle continued, "We are focused on investing in high quality
shopping centers in our target region of Westchester and Putnam Counties in New
York and Fairfield County in Connecticut. Earlier this year we completed the
acquisition of our second largest property, The Dock shopping center in
Stratford, Connecticut. We are in contract to acquire an excellent property in
Westchester
County for approximately $29 million and expect to close the
purchase later this month. We are also making progress in disposing of the
remaining non-core properties in our portfolio. Shortly after the end of the
quarter, we entered into contracts to sell our Southfield Michigan office
building and our industrial property located in Dallas, Texas. We anticipate
closing on these sales during the third quarter."
Mr. Biddle continued, "Since April, we sold 1,650,000 shares of a new issue of
7.5% Series D Perpetual Preferred Stock for net proceeds of $39.8 million and
have a commitment to sell another 800,000 shares of Series D preferred stock for
net proceeds of $19.5 million on June 10th. We used $19.5 million of the
proceeds to repay all of our outstanding bank revolving credit debt and intend
to use the balance for property acquisitions and capital improvements."
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Non-GAAP Financial Measure
Funds from Operations ("FFO")
A reconciliation of FFO to net income applicable to Common and Class A Common
stockholders, (the GAAP measure the Company believes to be the most directly
comparable,) is in the financial tables accompanying this press release.
The Company believes that FFO is an additional measure of operating performance
of an equity REIT. Although FFO is a non-GAAP financial measure, the Company
believes it provides useful information to shareholders, potential investors and
management because it primarily excludes the assumption that the value of the
real estate assets diminish predictably over time and industry analysts have
accepted it as a performance measure. The Company computes FFO in accordance
with standards established by the National Association of Real Estate Investment
Trusts ("NAREIT"). FFO is defined by NAREIT as net income, excluding gains (or
losses) from debt restructuring and sales of properties plus depreciation and
amortization, and after adjustments for unconsolidated joint ventures. FFO does
not represent cash generated from operating activities in accordance with GAAP
and is not indicative of cash available to fund cash needs. FFO should not be
considered as an alternative to net income as an indicator of the Company's
operating performance or as an alternative to cash flow as a measure of
liquidity. Since all companies do not calculate FFO in a similar fashion, the
Company's calculation of FFO presented herein may not be comparable to similarly
titled measures as reported by other companies.
UBP is a self-administered equity real estate trust providing investors with a
means of participating in ownership of income-producing properties with
investment liquidity. UBP has paid 141 quarters of uninterrupted dividends since
its inception in 1969.
Certain statements contained herein may constitute "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements of
the Company to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements. Such
factors include, among other things, risks associated with the timing of and
costs associated with property improvements, financing commitments and general
competitive factors.
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URSTADT BIDDLE PROPERTIES INC. (NYSE: UBA AND UBP)
SIX MONTHS AND THREE MONTHS ENDED APRIL 30, 2005
(In thousands, except per share data)
Six Months Ended Three Months Ended
April 30, April 30,
--------- ---------
2005 2004 2005 2004
---- ---- ---- ----
Revenues:
Base rents $26,666 $24,742 $13,746 $12,305
Recoveries from tenants 8,764 7,300 4,636 3,656
Lease termination income - 542 - -
Interest and other 382 417 178 196
--- --- --- ---
35,812 33,001 18,560 16,157
------ ------ ------ ------
Operating Expenses:
Property operating 6,277 5,308 3,493 2,585
Property taxes 4,709 4,235 2,465 2,174
Interest 4,322 3,999 2,269 1,994
Depreciation and amortization 6,109 5,418 3,078 2,664
General and administrative 2,109 1,879 992 860
Directors' fees and expenses 127 105 59 48
--- --- --- ---
23,653 20,944 12,356 10,325
------ ------ ------ ------
Operating Income 12,159 12,057 6,204 5,832
Minority Interests (184) (183) (92) (91)
----- ----- ----- -----
Income from Continuing Operations 11,975 11,874 6,112 5,741
Discontinued Operations:
Income (loss) from discontinued operations (24) 263 - 125
Gain on sale of property 5,634 - - -
----- ----- ----- -----
Income from Discontinued Operations 5,610 263 - 125
----- ----- ------ -----
Net Income 17,585 12,137 6,112 5,866
Preferred Stock Dividends (2,473) (2,374) (1,286) (1,187)
------- ------- ------- -------
Net Income Applicable to Common and Class A Common Stockholders
$15,112 $9,763 $4,826 $4,679
======= ====== ====== ======
Diluted Earnings Per Share:
Per Common Share:
Income from continuing operations $.35 $.35 $.18 $.17
Income from discontinued operations $.20 $.01 - -
---- ---- ---- ----
Net Income Applicable-Common Stockholders $.55 $.36 $.18 $.17
==== ==== ==== ====
Per Class A Common Share:
Income from continuing operations $.39 $.39 $.19 $.19
Income from discontinued operations $.22 $.01 - -
---- ---- ---- ----
Net Income Applicable to Class A Common Stockholders $.61 $.40 $.19 $.19
==== ==== ==== ====
Weighted Average Number of Shares Outstanding:
Common and Common Equivalent 7,020 6,637 7,039 6,664
===== ===== ===== =====
Class A Common 18,888 18,719 18,890 18,709
====== ====== ====== ======
Dividends per share:
Common $.40 $.39 $.20 $.195
==== ==== ==== =====
Class A Common $.44 $.43 $.22 $.215
==== ==== ==== =====
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URSTADT BIDDLE PROPERTIES INC. (NYSE: UBA AND UBP)
SIX MONTHS AND THREE MONTHS ENDED APRIL 30, 2005
(In thousands, except per share data)
Reconciliation of Net Income Available to Common and Class A Six Months Ended Three Months Ended
April 30, April 30,
Common Stockholders to Funds From Operations 2005 2004 2005 2004
- -------------------------------------------- ---- ---- ---- ----
Net Income Applicable to Common and
Class A Common Stockholders $15,112 $9,763 $4,826 $4,679
Plus: Real property depreciation 4,610 4,202 2,368 2,073
Amortization of tenant improvements and allowances 1,202 1,063 593 513
Amortization of deferred leasing costs 297 229 117 116
Minority interests 184 183 92 91
Less: Gain on sale of real estate investments (5,634) - - -
------- ------ ------ -----
Funds from Operations (Diluted) $15,771 $15,440 $7,996 $7,472
======= ======= ====== ======
Per Share:
Funds from Operations (Diluted):
Common $0.57 $0.57 $0.29 $0.27
===== ===== ===== =====
Class A Common $0.62 $0.62 $0.32 $0.30
===== ===== ===== =====
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