First Hartford : FY 2022 Unaudited Financial Statements

INDEX

FINANCIAL INFORMATION	PAGE
Financial Statements (Unaudited)
Condensed Consolidated Balance Sheets -
January 31, 2022 and April 30, 2021	2-3
Condensed Consolidated Statements of Income (Loss) for the
Three and Nine Months Ended January 31, 2022 and 2021	4
Condensed Consolidated Statements of Comprehensive Income (Loss) for
the Three and Nine Months Ended January 31, 2022 and 2021	5
Condensed Consolidated Statements of Cash Flows for the
Three and Nine Months Ended January 31, 2022 and 2021	6 -7
Notes to Condensed Consolidated Financial Statements	8 - 21

1

CONDENSED CONSOLIDATED BALANCE SHEETSASSETS

January 31, 2022	April 30, 2021
Real estate and equipment:
Developed properties and property under construction (including
$81,919,164 in January and $82,286,187 in April for VIEs)	$287,854,941	$282,477,209
Equipment and leasehold improvements (including $2,958,783 in
January and $2,874,614 in April for VIEs)	8,294,199	8,060,008
296,149,140	290,537,217
Less accumulated depreciation and amortization (including $26,595,613
in January and $24,845,237 in April for VIEs)	(71,021,288)	(69,669,929)
225,127,852	220,867,288
Property held for sale	17,536,900	-0-
Cash and cash equivalents (including $2,670,679 in January and $2,985,780
in April for VIEs)	4,430,200	11,963,381
Cash and cash equivalents - restricted (including $376,757 in January and
$371,786 in April for VIEs)	966,326	1,283,312
Marketable securities (including $536,200 in January and $587,273 in April
for VIEs)	536,200	587,273
Accounts and notes receivable (including $167,155 in January and
$123,050 in April for VIEs), less allowance for doubtful accounts of
$252,675 as of January 31, 2022 and $340,529 as of April 30, 2021	4,026,021	5,454,749
Other receivables	1,510,933	879,251
Deposits and escrow accounts (including $4,015,542 in January and
$4,418,916 in April for VIEs)	8,759,306	8,967,918
Prepaid expenses (including $1,319,635 in January and $413,520 in April	3,062,475	1,561,689
for VIEs)
Deferred expenses (including $87,184 in January and $104,200 in April for
VIEs)	4,947,589	3,039,308
Investments in affiliates	1,430,055	200
Due from related parties and affiliates	2,518,196	6,777
Deferred tax asset	-0-	-0-
Total assets	$274,852,053	$254,611,146
2

FIRST HARTFORD CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (continued)

LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIENCY)

January 31, 2022

April 30, 2021

Liabilities:
Mortgages and notes payable:
Construction loans payable	$54,352,014	$33,204,751
Mortgages payable (including $60,385,515 in January and $61,074,746 in April
for VIEs)	179,377,846	186,747,674
Notes payable (including $1,704,697 in January and $1,704,697 in April for
VIEs)	1,704,697	3,483,042
Lines of credit	6,270,000	7,610,533
Less: Deferred debt issuance costs, net (including $1,349,842 in January and
$1,385,222 in April for VIEs)	(2,405,841)	(2,346,485)
239,298,716	228,699,515
Accounts payable (including $522,529 in January and $689,557 in April for VIEs)	9,522,499	6,003,220
Other payables	3,824,981	2,654,876
Accrued liabilities (including $4,374,881 in January and $4,085,082 in April for
VIEs)	11,200,542	10,161,695
Derivative liability	2,689,613	3,871,369
Deferred income (including $196,395 in January and $201,375 in April for VIEs)	693,632	964,491
Other liabilities	615,642	615,642
Due to related parties and affiliates (including $0 in January and $522,160 in
April for VIEs)	757,946	1,009,236
Deferred tax liability	2,122,580	2,122,580
Total liabilities	270,726,151	256,102,624
Shareholders' Equity (Deficiency):
First Hartford Corporation:
Preferred stock, $1 par value; $.50 cumulative and convertible; authorized
4,000,000 shares; no shares issued and outstanding	-0-	-0-
Common stock, $1 par value; authorized 6,000,000 shares; issued 3,175,908
shares and outstanding 2,278,664 shares	3,175,908	3,175,908
Capital in excess of par	4,974,876	4,974,876
Accumulated earnings (deficit)	4,651,541	(945,742)
Accumulated other comprehensive income	-0-	-0-
Treasury stock, at cost, 897,244 shares	(4,994,594)	(4,994,594)
Total First Hartford Corporation	7,807,731	2,210,448
Noncontrolling interests	(3,681,829)	(3,701,926)
Total shareholders' equity (deficiency)	4,125,902	(1,491,478)
Total liabilities and shareholders' equity (deficiency)	$274,852,053	$254,611,146
3

FIRST HARTFORD CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (LOSS)

Three Months Ended

Jan. 31, 2022 Jan. 31, 2021

Nine Months EndedJan. 31, 2022 Jan. 31, 2021

Operating revenues:

Rental income	$8,045,055	$8,222,276	$23,941,476	$24,456,388
Service income	1,446,264	1,856,470	4,821,343	4,591,751
Sales of real estate	-0-	12,432,924	10,854,784	31,279,534
Other revenues	1,622,790	750,419	4,345,621	2,177,229
11,114,109	23,262,089	43,963,224	62,504,902
Operating costs and expenses:
Rental expenses	5,597,959	6,388,468	16,453,308	17,159,669
Service expenses	428,420	1,707,125	1,728,079	4,275,326
Cost of real estate sales	54,406	8,953,579	4,713,456	25,259,410
Other expenses	1,825,171	1,013,742	4,972,931	2,784,200
Selling, general and administrative expenses	1,707,134	1,892,253	5,750,614	5,409,127
9,613,090	19,955,167	33,618,388	54,887,732
Income from operations	1,501,019	3,306,922	10,344,836	7,617,170
Non-operating income (expense):
Interest expense	(2,572,548)	(2,743,306)	(7,717,500)	(8,169,017)
Other income (loss)	(11,178)	123,286	32,206	83,732
Gain (loss) on derivatives (non-cash)	806,119	1,450,975	1,181,756	714,285
Forgiveness of debt	-0-	-0-	1,778,345	-0-
Equity in earnings of unconsolidated subsidiaries	140,640	90,000	386,718	270,000
(1,636,967)	(1,079,045)	(4,338,475)	(7,101,000)
Income (loss) before income taxes	(135,948)	2,227,877	6,006,361	516,170
Income tax expense (benefit)	1,482	(1,227)	(290,552)	(379,900)
Consolidated net income (loss)	(137,430)	2,229,104	6,296,913	896,070
Net (income) loss attributable to noncontrolling
interests	(135,423)	(188,462)	(699,630)	303,113
Net income (loss) attributable to First Hartford
Corporation	$(272,853)	$2,040,642	$5,597,283	$1,199,183
Net income (loss) per share - basic	$(0.12)	$0.90	$2.46	$0.53
Net income (loss) per share - diluted	$(0.12)	$0.90	$2.46	$0.53
Shares used in basic per share computation	2,278,664	2,279,664	2,278,664	2,279,664
Shares used in diluted per share computation	2,278,664	2,279,664	2,278,664	2,279,664
4

FIRST HARTFORD CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)Three Months EndedJan. 31, 2022 Jan. 31, 2021

Nine Months EndedJan. 31, 2022 Jan. 31, 2021

Consolidated net income (loss)	$(137,430)	$2,229,104	$6,296,913	$896,070
Other comprehensive income (loss), net of taxes:
Unrealized gains (losses) on marketable securities	-0-	-0-	-0-	-0-
Total comprehensive income (loss)	(137,430)	2,229,104	6,296,913	896,070
Amounts attributable to noncontrolling interests:
Net (income) loss	(135,423)	(188,462)	(699,630)	303,113
Unrealized (gains) losses on marketable securities	-0-	-0-	-0-	-0-
(135,423)	(188,462)	(699,630)	303,113
Comprehensive income (loss) attributable to First
Hartford Corporation	$(272,853)	$2,040,642	$5,597,283	$1,199,183
5

See accompanying notes.