We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Retail Value Inc | NYSE:RVI | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 3.00 | 0 | 01:00:00 |
Retail Value Inc. (NYSE: RVI) today announced operating results for the quarter ended September 30, 2020.
Results for the Quarter
Key Quarterly Operating Results
The following metrics are as of September 30, 2020:
Continental U.S.
Puerto Rico
Shopping Center Count
11
12
Gross Leasable Area (thousands)
4,539
4,432
Base Rent PSF
$13.31
$19.72
Leased Rate
90.7%
86.3%
Commenced Rate
89.8%
83.7%
NOI-Quarter (millions)
$12.0
$10.7
Impact of the COVID-19 Pandemic
The impact to the portfolio as of October 31, 2020 is as follows:
Continental U.S.
Puerto Rico
% of Tenants open and operating (pro rata average rent)
97%
96%
% of Second quarter rent paid
76%
69%
% of Third quarter rent paid
88%
84%
% of October rent paid
88%
80%
As of October 31, 2020, approximately 97% of the Company’s tenants (based on average base rents) were open for business, up from a low of 34% in early April. In Puerto Rico, while 96% of the Company’s tenants are open, most remain open subject to significant capacity and operating restrictions.
Further, as of October 31, 2020, the additional impact of the COVID-19 pandemic for the entire Company is as follows:
In addition, during the third quarter of 2020 the Company’s rental revenue and NOI were reduced by $6.1 million of uncollectible revenue primarily related to reserves associated with cash-basis tenants as well as the impact of lease modification accounting, both triggered by the impact of the COVID-19 pandemic.
The Company’s COVID-19 pandemic response remains at the forefront of our property operations objectives. As tenants ramped up their in-store operations, the Company worked to facilitate curbside and online purchase pick-up, continued with the Company’s social media and property level promotional programs, and worked to promote social distancing and CDC protocols among shopping center patrons through signage and other measures. Our property operations teams continued to maintain heightened cleaning and disinfection procedures in accordance with CDC guidelines and worked diligently to monitor the compliance of vendors’ operations with our Vendor COVID Operating Protocol.
About RVI
RVI is an independent publicly traded company trading under the ticker symbol “RVI” on the New York Stock Exchange. RVI holds assets in the continental U.S. and Puerto Rico and is managed by one or more subsidiaries of SITE Centers Corp. RVI focuses on realizing value in its business through operations and sales of its assets. Additional information about RVI is available at www.retailvalueinc.com.
Non-GAAP Measures
Funds from Operations (“FFO”) is a supplemental non-GAAP financial measure used as a standard in the real estate industry and is a widely accepted measure of real estate investment trust (“REIT”) performance. Management believes that both FFO and Operating FFO provide additional indicators of the financial performance of a REIT. The Company also believes that FFO and Operating FFO more appropriately measure the core operations of the Company and provide benchmarks to its peer group.
FFO is generally defined and calculated by the Company as net income (loss) (computed in accordance with generally accepted accounting principles in the United States (“GAAP’)) adjusted to exclude (i) gains and losses from disposition of real estate property and related investments, which are presented net of taxes, if any, (ii) impairment charges on real estate property and related investments and (iii) certain non-cash items. These non-cash items principally include real property depreciation and amortization of intangibles. The Company’s calculation of FFO is consistent with the definition of FFO provided by NAREIT. The Company calculates Operating FFO by excluding certain non-operating charges and income. Operating FFO is useful to investors as the Company removes non-comparable charges and income to analyze the results of its operations and assess performance of the core operating real estate portfolio. Other real estate companies may calculate FFO and Operating FFO in a different manner.
The Company also uses net operating income (“NOI”), a non-GAAP financial measure, as a supplemental performance measure. NOI is calculated as property revenues less property-related expenses. The Company believes NOI provides useful information to investors regarding the Company’s financial condition and results of operations because it reflects only those income and expense items that are incurred at the property level and, when compared across periods, reflects the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and disposition activity on an unleveraged basis.
FFO, Operating FFO and NOI do not represent cash generated from operating activities in accordance with GAAP, are not necessarily indicative of cash available to fund cash needs and should not be considered as alternatives to net income computed in accordance with GAAP as indicators of the Company’s operating performance or as alternatives to cash flow as a measure of liquidity. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures are included in this release herein.
Safe Harbor
RVI considers portions of the information in this press release to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, both as amended, with respect to the Company's expectation for future periods. Although the Company believes that the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be achieved. For this purpose, any statements contained herein that are not historical fact may be deemed to be forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, among other factors, the impact of the COVID-19 pandemic on the Company’s ability to manage its properties and finance its operations and on tenants’ ability to operate their businesses, generate sales and meet their financial obligations, including the obligation to pay ongoing and deferred rents; our ability to sell assets on commercially reasonable terms; our ability to complete dispositions of assets under contract; property damage, expenses related thereto and other business and economic consequences (including the potential loss of rental revenues) resulting from extreme weather conditions and natural disasters in locations where we own properties, and the ability to estimate accurately the amounts thereof; sufficiency and timing of any insurance recovery payments related to damages from extreme weather conditions and natural disasters; local conditions such as an increase in the supply of, or a reduction in demand for, retail real estate in the area; the impact of e-commerce; dependence on rental income from real property; the loss of, significant downsizing of or bankruptcy of a major tenant and the impact of any such event on rental income from other tenants at our properties; our ability to secure equity or debt financing on commercially acceptable terms or at all; impairment charges; our ability to enter into definitive agreements with regard to our financing arrangements and our ability to satisfy conditions to the completion of these arrangements; changes with respect to the Puerto Rican economy and government; the ability to secure and maintain management services provided to us, including pursuant to our external management agreement with one or more subsidiaries of SITE Centers; and our ability to maintain our REIT status. For additional factors that could cause the results of the Company to differ materially from those indicated in the forward-looking statements, please refer to the Company’s most recent reports on Form 10-K and Form 10-Q. The impacts of the COVID-19 pandemic may also exacerbate the risks described therein, any of which could have a material effect on the Company. The Company undertakes no obligation to publicly revise these forward-looking statements to reflect events or circumstances that arise after the date hereof.
Retail Value Inc.
Income Statement
in thousands, except per share
3Q20
3Q20
Total
Total
Continental U.S.
Puerto Rico
3Q20
9M20
Revenues:
Rental income (1)
$19,366
$20,598
$39,964
$129,593
Other property revenues
33
19
52
84
19,399
20,617
40,016
129,677
Expenses:
Operating and maintenance (2)
3,253
8,726
11,979
37,786
Real estate taxes
4,091
1,227
5,318
16,520
7,344
9,953
17,297
54,306
Net operating income (3)
12,055
10,664
22,719
75,371
Other income (expense):
Asset management fees
(2,002)
(6,650)
Interest expense, net
(5,175)
(18,127)
Depreciation and amortization
(13,797)
(44,478)
General and administrative
(860)
(2,861)
Impairment charges
(77,795)
(104,615)
Debt extinguishment costs, net
(440)
(4,417)
Other expense, net
107
441
Gain on disposition of real estate, net (4)
8,324
21,956
Loss before other items
(68,919)
(83,380)
Tax expense
(86)
(678)
Net loss
($69,005)
($84,058)
Weighted average shares – Basic & Diluted – EPS
19,829
19,798
Earnings per common share – Basic & Diluted
($3.48)
($4.25)
Revenue items:
(1)
Minimum rents
14,795
14,565
29,360
91,097
Ground lease minimum rents
1,082
2,048
3,130
9,448
Recoveries
5,402
5,993
11,395
36,111
Uncollectible revenue
(2,229)
(3,912)
(6,141)
(13,819)
Percentage and overage rent
147
277
424
1,480
Ancillary and other rental income
169
1,627
1,796
4,757
Lease termination fees
0
0
0
519
(2)
Operating expenses:
Property management fees
(850)
(1,558)
(2,408)
(7,526)
(3)
NOI from assets sold
1,914
7,813
(4)
SITE Centers disposition fees
856
2,622
Retail Value Inc.
Reconciliation: Net Income to FFO and Operating FFO
and Other Financial Information
in thousands, except per share
3Q20
9M20
Net loss attributable to Common Shareholders
($69,005)
($84,058)
Depreciation and amortization of real estate
13,780
44,427
Impairment of real estate
77,795
104,615
Gain on disposition of real estate, net
(8,324)
(21,956)
FFO attributable to Common Shareholders
$14,246
$43,028
Debt extinguishment, transaction, other, net
333
3,976
Total non-operating items, net
333
3,976
Operating FFO attributable to Common Shareholders
$14,579
$47,004
Weighted average shares and units – Basic & Diluted – FFO & OFFO
19,829
19,798
FFO per share – Basic & Diluted
$0.72
$2.17
Operating FFO per share – Basic & Diluted
$0.74
$2.37
Common stock dividends declared, per share
N/A
N/A
Certain non-cash items:
Straight-line rent
41
(476)
Straight-line fixed CAM
108
308
Loan cost amortization
(883)
(2,817)
Non-real estate depreciation expense
(17)
(51)
Capital expenditures:
Maintenance capital expenditures
471
1,134
Tenant allowances and landlord work
1,618
3,229
Leasing commissions - SITE Centers
288
1,992
Leasing commissions - external
71
226
Hurricane restorations
1,875
9,887
Retail Value Inc.
Balance Sheet
$ in thousands
At Period End
3Q20
4Q19
Assets:
Land
$414,653
$522,393
Buildings
1,085,202
1,380,984
Fixtures and tenant improvements
133,852
152,426
1,633,707
2,055,803
Depreciation
(604,085)
(670,509)
1,029,622
1,385,294
Construction in progress and land
4,811
2,017
Real estate, net
1,034,433
1,387,311
Cash
115,254
71,047
Restricted cash (1)
140,548
112,246
Receivables and straight-line (2)
27,527
25,195
Intangible assets, net (3)
10,041
19,573
Other assets, net
11,090
11,315
Total Assets
1,338,893
1,626,687
Liabilities and Equity:
Secured debt
477,087
655,833
Payable to SITE
770
105
Dividends payable
0
39,057
Other liabilities (4)
38,653
53,789
Total Liabilities
516,510
748,784
Redeemable preferred equity
190,000
190,000
Common shares
1,983
1,905
Paid-in capital
721,318
692,871
Distributions in excess of net income
(90,915)
(6,857)
Common shares in treasury at cost
(3)
(16)
Total Equity
632,383
687,903
Total Liabilities and Equity
$1,338,893
$1,626,687
(1)
Asset sale proceeds
69,720
17,388
Hurricane related escrows
41,469
57,224
Other escrows
29,359
37,634
(2)
SL rents (including fixed CAM), net
14,313
16,164
(3)
Operating lease right of use asset
1,562
1,714
(4)
Operating lease liabilities
2,663
2,835
Below-market leases, net
14,129
20,042
View source version on businesswire.com: https://www.businesswire.com/news/home/20201105006072/en/
Christa Vesy, EVP and Chief Financial Officer 216-755-5500
1 Year Retail Value Chart |
1 Month Retail Value Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions