Leave a comment

Killam Properties Inc. announced its financial results for the fourth quarter and fiscal year ended December 31, 2009.

Highlights of Killam's Q4 Financial Results

• Increased same store net operating income ("NOI") by 5.0% during the fourth quarter.

• Achieved same store operating revenue increase of 2.8% during the fourth quarter.

• Increased funds from operations ("FFO") by 14.7% to $6.4 million from $5.6 million in the fourth quarter of 2008.

• Notwithstanding a 13.6% increase in shares outstanding, maintained FFO of $0.17 per share.

• Refinanced $17.6 million in mortgage debt that matured during the fourth quarter.

• Repurchased, for $8.9 million, $10 million (face value) of the Company's $20 million outstanding unsecured subordinated debentures scheduled to mature in 2013. The transaction resulted in a $0.6 million gain in the fourth quarter.

Highlights of Killam's 2009 Year-End Financial and Operating Results

• Increased FFO by 9.0% to $0.73 per share, versus $0.67 per share in 2008.

• Increased same store NOI by 8.4% in 2009.

• Achieved same store operating revenue increase of 4.2% during 2009.

• Maintained high occupancy rates throughout the year, with average quarter-end occupancy of 98.3%, compared to 97.8% in 2008.

• Strengthened balance sheet with the successful completion of a $24.7 million public share offering and the repurchase of $10 million of the Company's subordinated debentures, reducing total gross debt to gross book value of assets to 65.2% at December 31, 2009 from 67.7% at December 31, 2008.

• Successfully refinanced $56.3 million of mortgage debt that matured in 2009 for a net cash inflow of $19.6 million.

• Completed 25 manufactured home sales and 9 home sale placements.

Killam's December 31, 2009 Audited Financial Statements and Notes and Management's Discussion and Analysis can be found under the 2009 Financial Reports of the Investors section of Killam's website at www.killamproperties.com/investors.