Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors

FIBRA Prologis : Announces Second Quarter 2016 Earnings Results

07/21/2016 | 06:19pm EST

MEXICO CITY, July 21, 2016 /PRNewswire/ -- FIBRA Prologis (BMV:FIBRAPL 14), the leading owner and operator of Class-A industrial real estate in Mexico, today reported results for the second quarter of 2016.

HIGHLIGHTS FROM THE QUARTER:

    --  Net effective rents on rollover increased 11.8 percent
    --  Operating portfolio occupancy ended at 96.4 percent
    --  Acquired US$51.7 million of Class-A buildings from sponsor Prologis

Funds from operations (FFO) per CBFI was Ps. 0.6919 (US$0.0404) for the second quarter compared with Ps. 0.1096 (US$0.0070) for the same period in 2015, which includes a one-time adjustment of Ps. 0.5851 (US$0.0374) per CBFI for the realized exchange loss from the reimbursement of the value-added tax paid in connection with the acquisition of the initial portfolio.

Net earnings per CBFI in the second quarter was Ps. 0.5999 (US$0.0353) compared with Ps. 0.9279 (US$0.0593) for the same period in 2015.

STRONG OPERATING PERFORMANCE CONTINUES

"I am very pleased with our performance in the quarter. The team continues to produce strong financial and operating results," said Luis Gutierrez, CEO, Prologis Property Mexico. "The operating environment remains healthy in our markets, with demand for Class-A facilities significantly outpacing existing supply."


    Operating
     Portfolio      2Q16         2Q15                       Notes
    ----------      ----         ----                       -----

    Period End             96.4%        96.0%      7 consecutive quarters with
     Occupancy                                             occupancy above 96%
    ----------              ----         ----     ----------------------------

    Leases Signed        2.1 MSF      1.4 MSF   Record leasing volume of 1.3
                                                MSF in Regional Markets for
                                                two consecutive quarters
    -------------        -------      -------  -----------------------------

    Customer
     Retention             87.0%        98.0%
    ----------              ----          ----

    Net Effective          11.8%         9.5%    Strong rent change across all
     Rent Change                                    markets, with most markets
                                                                     above 10%
    -------------           ----          ---   ------------------------------

    Cash Same Store         1.1%         4.7%   Cash same store NOI for 2Q16
     NOI                                        grew 3.1% in constant dollars
    ---------------          ---          ---  -----------------------------

    Same Store NOI         -0.9%          N/A
    --------------          ----           ---

CAPITAL DEPLOYMENT HIGHLIGHTED BY ACCRETIVE ACQUISITIONS


    US$ in millions          2Q16                        Notes
    ---------------          ----                        -----

    Building Acquisitions            US$51.7  Class-A buildings recently
                                              developed by sponsor
                                              Prologis
    ---------------------            ------- ---------------------------

    Building GLA                  750,000 SF
    ------------                  ----------

    Occupancy                          97.8%
    ---------                           ----

    Weighted avg. stabilized
     cap rate                           7.3%
    ------------------------             ---


    Development
     Stabilizations                   US$2.1 Expansion building in Reynosa
    ---------------                   ------ -----------------------------

    Stabilized GLA                 37,500 SF
    --------------                 ---------

    Occupancy                           100%
    ---------                            ---

    Weighted avg. stabilized
     yield                              9.6%
    ------------------------             ---


    Building Disposition              US$1.7  Highly specialized Class-B
                                              building sold to an end user
                                              in Monterrey
    --------------------              ------ -----------------------------

    Building GLA                   46,700 SF
    ------------                   ---------

    Occupancy                             0%
    ---------                            ---

    Weighted avg. stabilized
     cap rate                           9.0%
    ------------------------             ---

"Our acquisitions are consistent with our investment strategy, which includes a focus on high-quality assets in the deepest and most dynamic markets," Gutierrez added. "Our exclusive access to the Prologis development pipeline provides a unique competitive advantage that allows us to acquire state-of-the-art logistics facilities that strategically complement our portfolio."

FINANCIAL POSITION SUPPORTS GROWTH

As of June 30, 2016, FIBRA Prologis' liquidity was Ps. 7.4 billion (US$398.2 million), which included Ps. 7.1 billion (US$380 million) of available capacity on its unsecured credit facility and Ps. 338.5 million (US$ 18.2 million) of unrestricted cash.

Net debt as a percentage of investment properties was 30.7 percent, fixed charge coverage was 4.24x and net debt to adjusted EBITDA was 4.76x.

GUIDANCE CONFIRMED


      (US$
      in
      million,
      except
      per
      CBFI
      amounts)        Low            High                      Notes
      --------        ---            ----                      -----

     FFO                                            Excludes the impact of
     per                                            foreign exchange movements
     CBFI          US$0.1650       US$0.1800
    ----           ---------       ---------         ---------------------------

     Full
     Year
     2016
     Distributions
     per
     CBFI          US$0.1100       US$0.1100
     ------------- ---------       ---------

     Year
     End
     Occupancy               95.5%           96.5%
     ---------                ----             ----

     Same                                           Based on U.S. dollar
     Store                                          functional currency
     NOI
     (Cash)                   2.0%            3.0%
    -------                    ---              ---          ---------------------

     Annual
     Capital
     Expenditures
     as
     %
     of
     NOI                     14.0%           16.0%
     ------------             ----             ----

     Building
     Acquisitions  US$100.0        US$150.0
     ------------  --------        --------

     Asset
     Management
     and
     Professional
     Fees           US$18.0         US$20.0
     ------------   -------         -------

WEBCAST & CONFERENCE CALL INFORMATION

FIBRA Prologis will host a live webcast/conference call to discuss quarterly results, current market conditions and future outlook. Here are the event details:

    --  Friday, July 22, 2016, at 9 a.m. CT/10 a.m. ET
    --  Live webcast at www.fibraprologis.com by clicking Events
    --  Dial in: +1 877 256 7020 or +1 973 409 9692 and enter Passcode 34484434.

A telephonic replay will be available July 22-July 29 at +1 855 859 2056 from the U.S. and Canada or at +1 404 537 3406 from all other countries using conference code 34484434. The replay will be posted in the Investor Relations section of the FIBRA Prologis website.

ABOUT FIBRA PROLOGIS

FIBRA Prologis is the leading owner and operator of Class-A industrial real estate in Mexico. As of June 30, 2016, FIBRA Prologis was comprised of 190 logistics and manufacturing facilities in six industrial markets in Mexico totaling 33.3 million square feet (3.1 million square meters) of gross leasable area.

FORWARD-LOOKING STATEMENTS

The statements in this release that are not historical facts are forward-looking statements. These forward-looking statements are based on current expectations, estimates and projections about the industry and markets in which FIBRA Prologis operates, management's beliefs and assumptions made by management. Such statements involve uncertainties that could significantly impact FIBRA Prologis financial results. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," variations of such words and similar expressions are intended to identify such forward-looking statements, which generally are not historical in nature. All statements that address operating performance, events or developments that we expect or anticipate will occur in the future -- including statements relating to rent and occupancy growth, acquisition activity, development activity, disposition activity, general conditions in the geographic areas where we operate, our debt and financial position, are forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict. Although we believe the expectations reflected in any forward-looking statements are based on reasonable assumptions, we can give no assurance that our expectations will be attained and therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. Some of the factors that may affect outcomes and results include, but are not limited to: (i) national, international, regional and local economic climates, (ii) changes in financial markets, interest rates and foreign currency exchange rates, (iii) increased or unanticipated competition for our properties, (iv) risks associated with acquisitions, dispositions and development of properties, (v) maintenance of real estate investment trust ("FIBRA") status and tax structuring, (vi) availability of financing and capital, the levels of debt that we maintain and our credit ratings, (vii) risks related to our investments (viii) environmental uncertainties, including risks of natural disasters, and (ix) those additional factors discussed in reports filed with the "Comisión Nacional Bancaria y de Valores" and the Mexican Stock Exchange by FIBRA Prologis under the heading "Risk Factors." FIBRA Prologis undertakes no duty to update any forward-looking statements appearing in this release.

Non-Solicitation - Any securities discussed herein or in the accompanying presentations, if any, have not been registered under the Securities Act of 1933 or the securities laws of any state and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements under the Securities Act and any applicable state securities laws. Any such announcement does not constitute an offer to sell or the solicitation of an offer to buy the securities discussed herein or in the presentations, if and as applicable.

http://photos.prnewswire.com/prnvar/20140703/124469

Logo - http://photos.prnewswire.com/prnh/20140703/124469

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/fibra-prologis-announces-second-quarter-2016-earnings-results-300302515.html

SOURCE FIBRA Prologis


ę PRNewswire 2016
Latest news "Companies"
05:32pSOUTHERN CROSS MEDIA : Triple m adds even more star power to its cricket commentary team with cricket legends and one of australia's most loved comedians
PU
05:32pCARBON REVOLUTION : Notification regarding unquoted securities - CBR
PU
05:32pALTECH CHEMICALS : - Share Purchase Plan
PU
05:32pSUNSHINE GOLD : Assays Confirm Large Cu-Ag-Mo System at Titov
PU
05:32pPERPETUAL : Dr Adam Aitken wins 2021 Patrick White Literary Award
PU
05:31pVINTAGE ENERGY LTD (ASX : VEN) Signs Agreement for Vali Gas Sales
AQ
05:30pUK trade minister to seek closer ties on U.S. trip, deal remains distant
RE
05:27pAustralia's Boral exits U.S. with $755 million fly ash business sale
RE
05:27pALTECH CHEMICALS LTD (ASX : ATC) Share Purchase Plan
AQ
05:26pDivest brown coal or risk losing out in renewables race, ENKRAFT tells RWE
RE
Latest news "Companies"