Overview
U.S. multifamily and commercial landlord's Q1 revenue fell 3% yr/yr on lower office rents
Adjusted FFO dropped to $2.3 mln from $8.0 mln on litigation and office lease loss
Residential revenue rose 9% yr/yr on strong leasing and high occupancy
Outlook
Company expects results at Prospect House to improve as occupancy stabilizes
Clipper Realty continues to work with lender at 250 Livingston Street amid ongoing negotiations
Company reports high occupancy and strong renter demand at major residential properties
Result Drivers
RESIDENTIAL LEASING - Strong leasing, higher rental rates, and high occupancy at stabilized residential properties drove a 9.3% yr/yr increase in residential revenue
OFFICE LEASE TERMINATION - Loss of major tenant at 250 Livingston Street led to a $4 mln yr/yr drop in commercial revenue and increased losses at the property
LITIGATION SETTLEMENT - $3.6 mln charge for probable litigation settlement regarding payroll practices impacted results across all properties
Company press release: ID:nBw4SSrvSa
Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$38.10 mln
$39.60 mln (1 Analyst)
Q1 EPS
-$0.30
Q1 Net Income
-$11.10 mln
Q1 Adjusted FFO
$2.25 mln
Q1 Dividend
$0.10
Q1 Income From Operations
$4.40 mln
Analyst Coverage
The one available analyst rating on the shares is "sell"
The average consensus recommendation for the residential reits peer group is "buy."
For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.
(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)