New Threads Only:  Add to Google Reader or Homepage
New Threads & Replies:  Add to Google Reader or Homepage
Forums are for serious investors only. GuruFocus Forum Rules.

Forum List » Business News and Headlines
SEC Filings, Earing Reports, Press Releases
New Topic Search
Goto Thread: PreviousNext
Goto: Forum ListMessage ListNew TopicSearchLog In
Healthcare Realty Trust Announces Second Quarter Results
Posted by: gurufocus (IP Logged)
Date: August 10, 2009 04:46PM

Press Release: Healthcare Realty Trust Announces Second Quarter Results

NASHVILLE, Tenn., Aug. 10 /PRNewswire-FirstCall/ -- Healthcare Realty Trust Incorporated (NYSE: HR) today announced results for the second quarter ended June 30, 2009. Funds from operations ("FFO") per diluted common share for the three months ended June 30, 2009 totaled $0.44, compared with $0.38 for the three months ended June 30, 2008. FFO per diluted common share totaled $0.87 for the six months ended June 30, 2009, compared with the prior year\'s $0.77.

Funds available for distribution ("FAD") for the three months ended June 30, 2009 totaled $0.48 per diluted common share.

Revenues for the three months ended June 30, 2009 totaled $65.1 million, compared with the prior year\'s $52.6 million. Revenues for the six months ended June 30, 2009 totaled $128.1 million, compared with the prior year\'s $104.8 million. Income from continuing operations for the three months ended June 30, 2009 totaled $9.4 million, compared with $4.8 million for the three months ended June 30, 2008. Income from continuing operations for the six months ended June 30, 2009 totaled $17.1 million, compared with the prior year\'s $9.7 million.

Net income for the three months ended June 30, 2009 totaled $16.8 million, or $0.28 per diluted common share, versus $13.8 million, or $0.27 per diluted common share, for the three months ended 2008. Net income for the six months ended June 30, 2009 totaled $37.7 million, or $0.64 per diluted common share, compared with $20.6 million, or $0.41 per diluted common share for the six months ended June 30, 2008.

Healthcare Realty Trust is a real estate investment trust that integrates owning, managing and developing income-producing real estate properties associated primarily with the delivery of outpatient healthcare services throughout the United States. The Company had investments of approximately $2.2 billion in 203 real estate properties and mortgages as of June 30, 2009, excluding assets classified as held for sale and including an investment in one unconsolidated joint venture. The Company\'s 198 owned real estate properties, excluding assets classified as held for sale, are comprised of six facility types, located in 28 states, totaling approximately 12.1 million square feet. The Company provides property management services to approximately 8.8 million square feet nationwide.

The Company directs interested parties to its Internet site, www.healthcarerealty.com, where information is posted regarding this quarter\'s operations. Please contact the Company at (615) 269-8175 to request a printed copy of this information.

In addition to the historical information contained within, the matters discussed in this press release may contain forward-looking statements that involve risks and uncertainties. These risks are discussed in filings with the Securities and Exchange Commission by Healthcare Realty Trust, including its Annual Report on Form 10-K for the year ended December 31, 2008 under the heading "Risk Factors," and as updated in its Quarterly Reports on Form 10-Q filed thereafter. Forward-looking statements represent the Company\'s judgment as of the date of this release. The Company disclaims any obligation to update forward-looking material.

HEALTHCARE REALTY TRUST INCORPORATED
                Condensed Consolidated Statements of Income (1)
                 (Dollars in thousands, except per share data)
                                  (Unaudited)


                            Three Months Ended              Six Months Ended
                                 June 30,                        June 30,
                                 --------                        --------
                             2009        2008               2009        2008
                             ----        ----               ----        ----

    REVENUES
      Master lease rent   $14,953     $15,014            $30,604     $30,703
      Property operating   45,866      32,899             88,776      65,014
      Straight-line rent      328        (126)               688        (182)
      Mortgage interest       978         542              1,468       1,067
      Other operating       3,007       4,312              6,514       8,164
                            -----       -----              -----       -----
                           65,132      52,641            128,050     104,766

    EXPENSES
      General and
       administrative       5,329       5,863             12,296      11,908
      Property operating   23,587      19,279             46,950      37,524
      Bad debts, net of
       recoveries             127         115                562         260
      Depreciation         15,575      11,665             31,300      23,127
      Amortization          1,346         566              2,827       1,150
                            -----         ---              -----       -----
                           45,964      37,488             93,935      73,969

    OTHER INCOME (EXPENSE)
      Gain on extinguishment
       of debt, net             -           9                  -           9
      Re-measurement
       gain of equity
       interest upon
       acquisition              -           -              2,701           -
      Interest expense    (10,043)    (10,886)           (20,116)    (21,764)
      Interest and
       other income,
       net                    228         486                383         622
                              ---         ---                ---         ---
                           (9,815)    (10,391)           (17,032)    (21,133)
                           ------     -------            -------     -------

    INCOME FROM
     CONTINUING
     OPERATIONS             9,353       4,762             17,083       9,664

    DISCONTINUED OPERATIONS
      Income from
       discontinued
       operations              18       1,289                582       2,582
      Impairments               -           -                (22)        (29)
      Gain on sales
       of real estate
       properties           7,443       7,715             20,051       8,352
                            -----       -----             ------       -----
    INCOME FROM
     DISCONTINUED
     OPERATIONS             7,461       9,004             20,611      10,905
                            -----       -----             ------      ------

    NET INCOME             16,814      13,766             37,694      20,569

      Less:  Net
       income
       attributable to
       noncontrolling
       interests              (62)          -                (77)         (3)
                              ---           -                ---          --

    NET INCOME
     ATTRIBUTABLE TO
     COMMON
     STOCKHOLDERS         $16,752     $13,766            $37,617     $20,566
                          =======     =======            =======     =======

    BASIC EARNINGS PER
     COMMON SHARE
      Income from
       continuing
       operations           $0.16       $0.10              $0.29       $0.20

      Discontinued
       operations            0.13        0.18               0.36        0.22
                             ----        ----               ----        ----

      Net income
       attributable to
       common
       stockholders         $0.29       $0.28              $0.65       $0.42
                            =====       =====              =====       =====

    DILUTED EARNINGS PER
     COMMON SHARE
      Income from
       continuing
       operations           $0.16       $0.09              $0.29       $0.19

      Discontinued
       operations            0.12        0.18               0.35        0.22
                             ----        ----               ----        ----

      Net income
       attributable to
       common
       stockholders         $0.28       $0.27              $0.64       $0.41
                            =====       =====              =====       =====

    WEIGHTED AVERAGE
     COMMON SHARES
     OUTSTANDING -
     BASIC             58,128,489  49,431,724         58,153,637  49,422,391
                       ==========  ==========         ==========  ==========

    WEIGHTED AVERAGE
     COMMON SHARES
     OUTSTANDING -
     DILUTED           58,899,618  50,474,762         58,897,895  50,442,808
                       ==========  ==========         ==========  ==========

      (1) The Condensed Consolidated Statements of Income do not include all
          of the information and footnotes required by generally accepted
          accounting principles for complete financial statements.



                       HEALTHCARE REALTY TRUST INCORPORATED
                Condensed Consolidated Statements of Cash Flows (1)
                              (Dollars in thousands)
                                    (Unaudited)

                                 Three Months Ended         Six Months Ended
                                      June 30,                   June 30,
                                      --------                   --------
                                   2009      2008            2009      2008
                                    ----     ----            ----      ----

      Cash flows from operating
       activities:
        Net income               $16,814   $13,766        $37,694   $20,569
          Non-cash items:
          ---------------
          Depreciation and
           amortization - real
           estate                 16,703    12,721         33,574    25,276
          Depreciation and
           amortization - other      835       640          1,644     1,204
          Provision for bad
           debt, net of
           recoveries                129       115            566       331
          Impairments                  -         -             22        29
          Straight-line rent
           receivable               (319)      134           (672)      199
          Straight-line rent
           liability                 111        43            224        86
          Equity in (income)
           losses from
           unconsolidated joint
           ventures                    -      (116)             2       148
          Stock-based
           compensation            1,013     1,107          2,301     2,403
          Provision for
           deferred post-
           retirement benefits       475       818          1,967     1,654
          Gain on repurchase of
           notes payable               -        (9)             -        (9)
          Re-measurement gain
           of equity interest
           upon acquisition            -        -          (2,701)        -
          Other non-cash items       253       133            507       439
                                     ---       ---            ---       ---
             Total non-cash
              items               19,200    15,586         37,434    31,760

          Other items:
          ------------
          Accounts payable and
           accrued liabilities    (4,409)   (7,465)        (3,200)   (3,686)
          Other liabilities       (4,327)   (2,075)        (3,346)   (2,810)
          Other assets            (1,066)     (508)           132     5,866
          Gain on sales of real
           estate properties      (7,443)   (7,715)       (20,051)   (8,352)
          Payment of partial
           pension settlement          -         -         (2,300)        -
          State income taxes
           paid, net of refunds     (503)     (621)          (569)     (621)
                                    ----     ----            ----      ----
             Total other items   (17,748)  (18,384)       (29,334)   (9,603)
                                 -------   -------         -------   ------
          Net cash provided by
           operating activities   18,266    10,968         45,794    42,726

      Cash flows from investing
       activities:
        Acquisition and
         development of real
         estate properties       (28,715)  (18,134)       (61,791)  (37,694)
        Funding of mortgages
         and notes receivable     (5,365)   (5,916)        (8,816)   (7,181)
        Investment in
         unconsolidated joint
         ventures                   (149)        -           (149)        -
        Distributions received
         from unconsolidated
         joint ventures                -       444              -       867
        Proceeds from sales of
         real estate              18,971    18,625         82,878    22,040
        Proceeds from mortgages
         and notes receivable
         repayments                   60        43             98        79
                                      --        --             --       --
          Net cash provided by
           (used in) investing
           activities            (15,198)   (4,938)        12,220   (21,889)

      Cash flows from financing
       activities:
        Net borrowings on
         unsecured credit
         facility                 13,000    14,000          9,000    22,000
        Repayments on notes and
         bonds payable            (1,021)     (918)       (21,569)   (1,825)
        Repurchase of notes
         payable                       -    (5,332)             -    (5,332)
        Quarterly dividends paid (22,849)  (19,534)       (45,678)  (39,067)
        Proceeds from issuance
         of common stock             165       176            348       361
        Common stock redemption        -      (282)             -      (282)
        Credit facility
         amendment fee                 -      (326)             -      (326)
        Capital contribution
         received from
         noncontrolling
         interests                     -         -            529         -
        Distributions to
         noncontrolling
         interests                   (32)        -            (75)       (3)
                                     ---         -            ---        --
          Net cash used in
           financing activities  (10,737)  (12,216)       (57,445)  (24,474)
                                 -------   -------        -------   -------

      Increase (decrease) in
       cash and cash equivalents  (7,669)   (6,186)           569    (3,637)
      Cash and cash
       equivalents, beginning of
       period                     12,376    11,068          4,138     8,519
                                  ------    ------           -----    -----
      Cash and cash
       equivalents, end of
       period                     $4,707    $4,882         $4,707    $4,882
                                  ======    ======         ======    ======



      (1) The Condensed Consolidated Statements of Cash Flows do not include
          all of the information and footnotes required by generally accepted
          accounting principles for complete financial statements.



    RECONCILIATION OF FUNDS FROM OPERATIONS (1) (2):
    (Dollars in thousands, except per share data)
    (Unaudited)

                      Three Months Ended                Six Months Ended
                           June 30,                         June 30,
                           --------                         --------
                       2009        2008                 2009        2008
                       ----        ----                 ----        ----

      Net Income
       Attributable to
       Common
       Stockholders    $16,752     $13,766            $37,617     $20,566

         Gain on sales
          of real estate
          properties    (7,443)     (7,715)           (20,051)     (8,352)
         Real estate
          depreciation
          and
          amortization  16,703      13,150             33,585      26,423
                        ------      ------             ------      ------
         Total
          adjustments    9,260       5,435             13,534      18,071
                         -----       -----             ------      ------

      Funds From
       Operations -
       Basic and
       Diluted         $26,012     $19,201            $51,151     $38,637
                       =======     =======            =======     =======

      Funds From
       Operations Per
       Common Share
       - Basic           $0.45       $0.39              $0.88       $0.78
                         =====       =====              =====       =====

      Funds From
       Operations Per
       Common Share
       - Diluted         $0.44       $0.38              $0.87       $0.77
                         =====       =====              =====       =====

      Weighted Average
       Common Shares
       Outstanding
       - Basic      58,128,489  49,431,724         58,153,637  49,422,391
                    ==========  ==========         ==========  ==========

      Weighted Average
       Common Shares
       Outstanding
       - Diluted    58,899,618  50,474,762         58,897,895  50,442,808
                    ==========  ==========         ==========  ==========



    RECONCILIATION OF FUNDS AVAILABLE FOR DISTRIBUTION (2):
    (Dollars in thousands, except per share data)
    (Unaudited)


                                                  Three Months Ended
                                                     June 30, 2009
                                                     -------------

      Net Income Attributable to Common Stockholders     $16,752

         Gain on sales of real estate properties          (7,443)
         Total non-cash items included in cash flows
          from operating activities (3)                   19,200
                                                          ------

      Funds Available For Distribution                   $28,509
                                                         =======

      Funds Available For Distribution Per Common
       Share - Diluted                                     $0.48
                                                           =====

      Weighted Average Common Shares Outstanding
       - Diluted                                      58,899,618
                                                      ==========


    (1)  Funds from operations ("FFO") is calculated according to the
         definition of the National Association of Real Estate Investment
         Trusts and is comprised primarily of net income and depreciation from
         real estate, but is not adjusted for certain non-cash income and
         expense items. Gains on the sale of real estate properties are
         excluded from FFO and FFO per share, while impairments are included
         in FFO and FFO per share.

    (2)  FFO and Funds Available For Distribution ("FAD") do not represent
         cash generated from operating activities determined in accordance
         with accounting principles generally accepted in the United States
         and are not necessarily indicative of cash available to fund cash
         needs.  FFO and FAD should not be considered alternatives to net
         income as indicators of the Company\'s operating performance or as
         alternatives to cash flow as measures of liquidity.

    (3)  See the Condensed Consolidated Statements of Cash Flows that are
         included in this earnings release.

Source: PRNewsWire



Stocks Discussed: HR,
Rate this post:




Sorry, only registered users may post in this forum.

Please Login if you have an account or Create a Free Account if you don't




Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial