American Realty Trust, Inc. Reports 1998 Second Quarter Results
DALLAS, Aug. 14 /PRNewswire/ -- American Realty Trust, Inc. (NYSE: ARB) today announced results for the second quarter and first six months of 1998. The Company reported net income of $14.8 million, or $1.38 per share, on revenues of $22.7 million for the three months ended June 30, 1998. This compares with net income of $2.5 million, or 21 cents per share, on revenues of $9.7 million for the second quarter of 1997.
For the six months ended June 30, 1998, the Company reported net income of $5.7 million, or 53 cents per share, on revenues of $40.9 million. This compares with net income of $2.8 million, or 23 cents per share, on revenues of $17.2 million for the first half of 1997.
For the three and six months ended June 30, 1998, the Company recognized gains on the sale of real estate of $9.0 million including $3.9 million on the sale of Palm Desert land, $1.9 million on the sale of Lewisville land, $848,000 on the sale of 21.2 acres of Chase Oaks land, $842,000 on the sale of 39.4 acres of Valley Ranch land, $789,000 on the sale of 150.0 acres of Rasor land and $670,000 on the sale of 21.3 acres of Parkfield land. For the corresponding period in 1997, the Company recognized gains on the sale of real estate of $8.1 million including $3.4 million on the sale of 40.2 acres of BP Las Colinas land, $676,000 on the sale of 3.0 acres of Las Colinas I land, $668,000 on the sale of 3.1 acres of Las Colinas land, $216,000 on the sale of Kamperman land, $171,000 on the sale of Osceola land and a previously deferred gain of $3.0 million on the sale of Porticos Apartments.
Rents increased from $5.0 million and $10.9 million for the three and six months ended June 30, 1997 to $15.7 million and $27.3 million for the three and six months ended June 30, 1998. The increases are primarily due to the 1997 acquisition of the four Piccadilly Hotels, Collection Retail Center, the Williamsburg Hospitality House obtained through foreclosure and the acquisition of twenty-nine apartment complexes effective April 1, 1998.
Equity in income of investees increased from $5.0 million and $5.2 million for the three and six months ended June 30, 1997 to $18.9 million and $21.3 million for the three and six months ended June 30, 1998. These increases in equity income are attributable to the Company's equity share of equity investees' gain on sale of real estate of $23.0 million and $26.2 million for the three and six months ended June 30, 1998 compared to $4.9 million and $5.9 million for the three and six months ended June 30, 1997. These increases were offset in part by an increase in the combined operating losses of the Company's equity investees. The Company's equity share of such losses being $4.2 million and $4.9 million for the three and six months ended June 30, 1998 compared to $1.1 million and $1.8 million for the same periods of 1997. |
