TORONTO, July 12, 2018 (GLOBE NEWSWIRE) -- The Becker Milk Company Limited (the “Company”) (TSX:BEK.B) is pleased to report the results for the year ended April 30, 2018.

HIGHLIGHTS

  • Total revenues for the year ended April 30, 2018 were $3,293,197 compared to $3,679,266 for the same period in 2017;
  • Net operating income for the year was $2,702,767 compared to $3,115,911 in 2017;
  • Net income for the year was $1.35 per share, compared to $1.25 per share in 2017.

FINANCIAL HIGHLIGHTS

Net operating income for the year ended April 30, 2018 decreased $413,144 compared with the previous year to $2,702,767, as a result of decreased revenues.

      Year ended 
      April 31 
      2018   2017 
Property revenue$3,254,846  $3,656,548 
Finance income 38,351   22,718 
Total revenues$3,293,197  $3,679,266 
    
Property revenue$3,254,846  $3,656,548 
Property operating expenses (552,079)  (540,637)
Net operating income$2,702,767  $3,115,911 
    
Adjusted funds from operations$1,070,295  $1,295,280 
    
Net income attributable to common and special shareholders$2,447,089  $2,254,903 
    
Average common and special shares outstanding 1,808,360   1,808,360 
    
Income per share$1.35  $1.25 

Components of the $192,186 increase in net income for the year ended April 30, 2018 compared to the year ended April 30, 2017 are:

Changes in net income - Year ended April 31, 2018 
compared to year ended April 31, 2017
       
Decrease in net operating income$(413,144) 
Increase in fair value adjustment 491,613  
Decrease in administrative expenses 179,058  
Decrease in recovery of deferred taxes on investment properties 24,230  
Increase in finance income 15,633  
Increase in current taxes (21,621) 
Increase in strategic expenses (56,781) 
Increase in loss on disposal (26,802) 
Increase in net income$192,186  

ADJUSTED FUNDS FROM OPERATIONS

For the year ended April 30, 2018 the Company recorded adjusted funds from operations of $1,070,295 ($0.59 per share) compared to $1,295,280 ($0.72 per share) in 2017.

      Year ended 
      April 31 
      2018   2017 
Funds from operations$1,156,076  $1,381,893 
Items not affecting cash:   
 Straight line rent   -   45,113 
 Expenses related to strategic review (56,781)    - 
 Sustaining capital expenditures (29,000)  (131,726)
Adjusted funds from operations$1,070,295  $1,295,280 
        
Adjusted funds from operations per share$0.59  $0.72 

APPOINTMENT OF DIRECTOR

At its meeting on July 10, 2018, Mr. Donald Stewart was appointed to the Board of Directors.

STRATEGIC REVIEW

Since 2014 the Board of Directors has been evaluating strategic directions for the Company and has engaged in discussions with potential acquirors. None of those discussions are active at this time. During this period a programme of divesting less desirable sites has resulted in the sale of 14 investment properties. The Company continues to review its strategic alternatives and will update the market as appropriate, and as required.

The Company’s annual financial statements for the year ended April 30, 2018, along with the Management’s Discussion and Analysis will be filed with SEDAR at www.sedar.com.

Readers are cautioned that although the terms “Net Operating Income”, and “Funds From Operations” are commonly used to measure, compare and explain the operating and financial performance of Canadian real estate companies and such terms are defined in the Management’s Discussion and Analysis, such terms are not recognized terms under Canadian generally accepted accounting principles.  Such terms do not necessarily have a standardized meaning and may not be comparable to similarly titled measures presented by the other publicly traded entities.

For the Board of Directors
G.W.J. Pottow, President
Tel: 416-698-2591