CBL & Associates Properties, Inc (CBL) has reported a 14.87 percent fall in profit for the quarter ended Mar. 31, 2017. The company has earned $34.12 million, or $0.13 a share in the quarter, compared with $40.07 million, or $0.17 a share for the same period last year. Revenue during the quarter dropped 9.53 percent to $238.01 million from $263.08 million in the previous year period.
Cost of revenue dropped 7.30 percent or $11.14 million during the quarter to $141.57 million. Gross margin for the quarter contracted 143 basis points over the previous year period to 40.52 percent.
Total expenses were $160.91 million for the quarter, down 19.24 percent or $38.33 million from year-ago period. Operating margin for the quarter expanded 813 basis points over the previous year period to 32.39 percent.
Operating income for the quarter was $77.10 million, compared with $63.83 million in the previous year period.
For financial year 2017, Cbl & Associates Properties projects net income to be in the range of $10 million to $14 million. For fiscal year 2017, the company expects diluted earnings per share to be in the range of $2.18 to $2.24 on adjusted basis.
Revenue from real estate activities during the quarter declined 9.53 percent or $25.06 million to $238.01 million.
Income from operating leases during the quarter dropped 7.51 percent or $13.16 million to $162.14 million. Revenue from tenant reimbursements was $70.94 million for the quarter, down 9.54 percent or $7.48 million from year-ago period.
Income from management fees during the quarter jumped 33.75 percent or $0.87 million to $3.45 million. Revenue from other real estate activities during the quarter was $1.48 million, down 78.14 percent or $5.29 million from year-ago period.
CBL's president and chief executive officer Stephen Lebovitz commented, “Our malls are evolving into suburban town centers as we add more dining, entertainment, value and off-price, health and wellness, service and non-retail uses to adapt to the changing retail landscape. We faced a challenging retail environment in the first quarter, which impacted our NOI results. However, leasing demand remains strong, and we are making major progress on our anchor redevelopment program.”
Net receivables were at $118.35 million as on Mar. 31, 2017, down 7.60 percent or $9.74 million from year-ago.
Total assets declined 3.98 percent or $253.96 million to $6,129.97 million on Mar. 31, 2017. On the other hand, total liabilities were at $4,800.05 million as on Mar. 31, 2017, down 3.67 percent or $183.13 million from year-ago.
Return on assets moved down 7 basis points to 1.45 percent in the quarter. At the same time, return on equity moved down 35 basis points to 1.74 percent in the quarter.
Debt comes down marginally
Total debt was at $4,522.48 million as on Mar. 31, 2017, down 3.44 percent or $161.01 million from year-ago. Shareholders equity stood at $1,314.45 million as on Mar. 31, 2017, down 4.74 percent or $65.44 million from year-ago. As a result, debt to equity ratio went up 5 basis points to 3.44 percent in the quarter.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
