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Healthcare Realty Trust Inc. Reports Operating Results (10-Q)

November 08, 2010 | About:
10qk

10qk

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Healthcare Realty Trust Inc. (HR) filed Quarterly Report for the period ended 2010-09-30.

Healthcare Realty Trust Inc. has a market cap of $1.59 billion; its shares were traded at around $24.94 with and P/S ratio of 6.27. The dividend yield of Healthcare Realty Trust Inc. stocks is 4.81%.HR is in the portfolios of Manning & Napier Advisors, Inc, Jim Simons of Renaissance Technologies LLC.

Highlight of Business Operations:

During the first nine months of 2010, the Company disposed of seven properties in Virginia and Florida for approximately $32.9 million in net proceeds and $0.8 million in lease termination fees. The Company had a net investment in the properties of approximately $23.4 million and recognized gains on sale of approximately $8.3 million, net of closing costs and the write-off of straight-line rent receivables.

Income from continuing operations for the three months ended September 30, 2010 was $0.1 million, compared to $7.8 million for the same period in 2009. Net loss attributable to common stockholders for the three months ended September 30, 2010 was $3.2 million, or $0.05 per basic and diluted common share, compared to net income attributable to common stockholders of $9.1 million, or $0.16 per basic common share ($0.15 per diluted common share), for the same period in 2009.

Master lease rental income increased $0.2 million, or 1.6%. Master lease rental income increased approximately $0.5 million as a result of the Companys 2009 acquisitions. The Company also recognized master lease income of $0.4 million related to a new master lease agreement executed during 2009 on a property whose income was previously reported in property operating income, with the remaining $0.2 million increase related mainly to annual contractual rent increases. These increases to master lease rent were partially offset by a reduction of approximately $0.8 million related to properties whose master leases had expired and the Company began recognizing the underlying tenant rents in property operating income.

Property operating expense increased $3.1 million, or 13.3%, due mainly to the recognition of additional expenses of approximately $1.1 million from the Companys 2009 and 2010 real estate acquisitions and $0.5 million from properties that were previously under construction that commenced operations during 2009. Property operating expense also increased approximately $0.3 million for properties whose master leases expired, and the Company began incurring the underlying operating expenses of the buildings. Further, utilities increased approximately $0.4 million, property taxes increased approximately $0.4 million, payroll increased approximately $0.2 million and certain general and administrative expenses increased relating to recent real estate acquisitions totaling $0.4 million that were classified to property operating expenses. These increases were partially offset by a $0.2 million decrease from the execution of a master lease agreement in the fourth quarter of 2009 on a property whose expenses were previously reported in property operating expense.

Depreciation expense increased $1.6 million, or 10.4%, due mainly to approximately $0.6 million in additional depreciation recognized related to the Companys 2009 and 2010 real estate acquisitions and $0.6 million related to properties previously under construction that commenced operations during 2009. The remaining $0.4 million increase was due mainly to additional depreciation expense recognized related to various building and tenant improvement expenditures.

Income from continuing operations for the nine months ended September 30, 2010 was $5.9 million, compared to $23.5 million for the same period in 2009. Net income attributable to common stockholders for the nine months ended September 30, 2010 was $7.8 million, or $0.13 per basic and diluted common share, compared to $46.7 million, or $0.80 per basic common share ($0.79 per diluted common share), for the same period in 2009.

Read the The complete Report

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