VANCOUVER, BC, June 11, 2020 /CNW/ - Wall Financial
Corporation (the "Company") released its operating results and
financial statements for the three months ended April 30, 2020. The Company recorded a net
loss attributable to shareholders of the Company for the three
months ended April 30, 2020 of
$3,876,686 or $0.11 per share compared with net earnings of
$73,662,767 or $2.17 per share for the same period of the prior
year. This loss was primarily due to the recognition of
mark-to-market losses in respect of interest rate swap contracts of
$3,838,004 and the decline in hotel
revenues for the three months ended April
30, 2020.
The declaration of the COVID-19 virus as a pandemic by the World
Health Organization on March 11,
2020, and the subsequent shut downs globally, domestically
and locally have had a significant impact on the Company's hotel
operations. The Company enacted cost reduction programs at its two
hotels, which include the closure of one of the two towers at its
downtown hotel, the furlough of all non-essential staff, and the
elimination of all but the most necessary expenses in order to
preserve cash flow. The situation is dynamic and the ultimate
duration and magnitude of the impact on the economy and the
Company's business are not known at this time. For the three months
ended April 30, 2020, the Company's
hotel operations have experienced a significant decline in current
and future guest bookings and occupancy levels are low, resulting
in a decrease of revenues from hotel operations from $17,241,196 for the three months ended
April 30, 2019 to $8,884,077 for the three months ended
April 30, 2020.
The COVID-19 pandemic did not have a significant impact to the
Company's rental and development operations. Revenues from the
Company's rental properties for the three months ended April 30, 2020 were $8,796,858 compared with $8,371,918 for the same period in the prior year.
Revenue from development operations for the three months
ended April 30, 2020 of $20,806,960 was lower than the prior year of
$224,143,267 due to fewer closings of
condominium units in the current quarter.
|
Three months ended
April 30
|
|
Revenue and
earnings
|
2020
|
2019
|
2018
|
|
Total revenue and
other income
|
$
|
38,745,252
|
$
|
251,338,349
|
$
|
23,618,769
|
|
Net earnings (loss)
attributable to shareholders of the Company
|
$
|
(3,876,686)
|
$
|
73,662,767
|
$
|
(502,180)
|
|
Earnings (loss) per
share (diluted and non-diluted)
|
$
|
(0.11)
|
$
|
2.17
|
$
|
(0.01)
|
|
|
|
|
|
Balance
sheet
|
|
April 30,
2020
|
January 31,
2020
|
January 31,
2019
|
|
Total
assets
|
$
|
1,051,706,730
|
$
|
1,051,671,420
|
$
|
1,244,788,463
|
|
Total non-current
liabilities
|
$
|
268,632,080
|
$
|
276,156,368
|
$
|
313,429,192
|
|
Dividends
paid
|
$
|
-
|
$
|
67,906,730
|
$
|
33,953,365
|
|
Dividends paid per
share
|
$
|
-
|
$
|
2.00
|
$
|
1.00
|
|
|
|
|
The above unaudited financial information, including comparative
information, is expressed in Canadian dollars and has been prepared
in accordance with International Financial Reporting Standards,
using the same accounting policies and methods of application as
described in notes 2 and 3 of the Company's audited consolidated
financial statements for the years ended January 31, 2020 and 2019.
Wall Financial Corporation is a B.C. based real estate company
active in the development and management of residential rental
apartments, development and construction of residential housing for
resale, and the development and management of hotel properties.
SOURCE Wall Financial Corporation