This press release accommodates forward-looking info that’s based mostly on assumptions and is subject to dangers and uncertainties, as noted within the cautionary notice in this press release.
TORONTO, AUGUST 13, 2019 (GLOBE NEWSWIRE) – Dream Unlimited Corp. (TSX: DRM and DRM.PR.A) ("Dream", "Company" or "we") as we speak posted financial results for 3 and six months for the period ended June 30, 2019. Earnings per share (“EPS”) for the three months ended June 30, 2019 have been $ zero.10 and $ zero.27 ($ 0.27), respectively, within the comparative interval of $ zero.14 and $ 0.37, which excludes dream associated working revenue and truthful worth adjustments. Trust in Actual Estate Options (TSX: DRA.UN) (“Dream Options”). On June 30, 2019, Dream's fairness elevated independently to $ 9.56 per share from $ 9.33 on December 31, 2018 (1). Our recurring revenue enterprise (consisting of stabilized revenue generating belongings and asset management) has risen to 50% of ebook worth per share from 48% firstly of the yr. The city improvement phase, which includes Toronto and Ottawa improvement funds, has risen to 10 % from 8 %, and our western Canadian group improvement phase has declined to 40 % from 45 %, a development that’s anticipated to continue.
Michael Cooper, Chief Government Officer and Chief Government Officer, Dream feedback: “We are delighted that for the primary time it has risen to 50% in recent times in our strategic efforts to improve our investment in top quality recurring belongings by means of inner progress, improvement and acquisitions. accounting capital. We consider that the share of recurring revenue might be even larger as asset administration and the Arapahoe pool are accounted for at value. We have now had a really profitable quarter as most of the Initiatives underway progress. We made a brand new cross partnership in the Arapahoe Basin, signed a 155,000 sq ft lease with the federal government to build the primary new business building for our Zibi challenge in Ottawa, acquired key approvals for Brightwater, our harbor credit score improvement and approval for a $ 750 worth of our enterprise. "
The next desk summarizes our outcomes for the three and six months ended June 30, 2019.
|30. for the three months ending June 30, 19659006.|
|(in hundreds of Canadian dollars per share, ending June 6, 2009) ||2019||2018||2019||2018|
|united Dream (19659024] united.|
|Internet margin (2)||25.6%||21.5%||28.9%||||23.9%|
|Earns Ings ( loss) before taxes||$||(11,567)||$||(31,334)||$||(48,158)||||120,zero63|
|profit or loss for the period||] $||(11,089)||$||(26,906)|| $||(44613)||$||120152|
|Primary earnings per share (loss) (4)||(zero.11)||(zero.25)||$ 19659042] (zero.42)||$||1.10|
|diluted earnings per share (loss)||$||(0.11)||$  (0.25)||$||(zero.42)||$||1.08|
|dream unbiased (5):|
|internet margin||$||11,444||. 19659040]||6,206||25,648||17,533|
|Internet cadence proportion (2)||. 18.1%||12.7%||23.5%||17.8%|
|revenue earlier than taxes||. ]||14,641||[||20,341||[||38,381||49,826|
|. 19659040]||$||10607||$||15509 ||$||29073||$||39537|
|EBITDA (three)||$||] 24318||$  28671||$||57218||$||65798|
|Primary (four) and diluted earnings per share||$||0.10||$||0.14||$  0.27||$  0.37|
|Dream unbiased (5):||30. June 2019||31. December 2018|
|Complete belongings||||$||2163403||[1 9659040]||2,056,028|
|[velat yhteensä]||1,096,673||1,0||1,05 19659043]|
|Fairness (excluding non-controlling interests) (1)||1,zero15,639||1,001,317|| Fairness per share (1)||9.56||$||9.33 . )||Equity (excluding non-controlling pursuits) and equity per share excluding the non-controlling curiosity of $ 51.1 million as of June 30, 2019 ($ 43.9 million as of December 31, 2018) and consists of the Firm's funding in Dream Options. June 30, 2019 and December 31, 2018, respectively $ 91.three million and $ 72.7 million. See pages 25 and 26 for more info on management discussion and analysis (“MD&A”) for the three and six months ended June 30, 2019.|
|(2)||Internet revenue margin (see “No IFRS Measures” part of MD&A) for 3 months and six months for the month ended June 30, 2019) represents internet margin as a proportion of internet gross sales.|
|(three)||EBITDA (see “Non-IFRS Measures” for the three and six months period ended June 30, 2019) is calculated as interest, tax, depreciation and amortization.|
|(4)||Primary EPS is calculated by dividing the profit attributable to fairness holders of Dream by the weighted average variety of class A unusual shares and class B widespread shares excellent through the period. See management dialogue under on the consolidated results for the three and six months ended June 30, 2019.|
|(5)||Dream unbiased represents dream unbiased results, apart from the effect of the consolidated outcomes of dream options. For extra info, see “Non-IFRS Measures” in MD&A. The stability sheet complete as of June 30, 2019 and December 31, 2018 consists of roughly $ 91.three million and $ 72.7 million, respectively, related to the Firm's investments in dream options.|
For the three months ended June 30, 2019, on a consolidated foundation. The corporate recorded a lack of $ 11.1 million in contrast to a loss of $ 26.9 million within the comparability period. Dream Options credit score models held by different unit holders are handled as a liability in Dream's condensed consolidated monetary statements and are measured at truthful value in accordance with IFRSs at every interval that leads to a loss (achieve) in Dream Options worth will increase (invoices). The reporting interval included $ 30.1 million of truthful worth losses associated to Dream Options (because of an increase in unit worth from $ 7.17 on March 31, 2019 to $ 7.68 on June 30, 2019), whereas truthful worth loss in 2014 was $ 41.8 million. the reference interval (because of the unit worth rising from $ 6.21 on March 31, 2018 to $ 6.89 on June 30, 2018). Outdoors of these modifications in truthful worth, the variance was mainly due to a better margin in our business segments and elevated fairness returns from Dream Workplace REIT (TSX: D.UN), which partially offset earlier yr good points on disposal of belongings on the market.
Through the six months ended June 30, 2019, on a consolidated basis. , the corporate recorded a loss of $ 48.2 million before tax, in contrast to $ 120.1 million a yr earlier, due to changes in dream choices trust models, which have been partially offset by greater working profit margins and increased equity returns from Dream Workplace REIT. Results for the comparability interval embrace $ 130.zero million in non-recurring internet revenue from the acquisition of Dream Options. The truthful value losses of Dream Options credit models have been $ 85.9 million for the present interval (due to an increase in unit worth from $ 6.24 on December 31, 2018 to $ 7.68 on June 30, 2019), in contrast with $ 34.four million the previous yr unit worth improve from $ 6.33 on January 1, 2018 to $ 6.89 on June 30, 2018).
In the course of the three months ended June 30, 2019, the pre-tax dream independently fell to $ 14.6 million from $ 20.three million due to decrease $ 5.7 million in truthful value adjustments and positive factors on available-for-sale monetary belongings of $ 9.four million. USD included in prior interval outcomes. They have been partially offset by $ three.eight million in increased income from our funding in Dream Workplace REIT and $ 5.2 million in greater internet margins generated by our business segments.
For the six months ended June 30, 2019, dream, dream independently calculated to $ 38.three million from $ 49.8 million in the previous yr due to lower truthful value adjustments of $ 2.1 million in financial instruments, from the sale of the asset for sale $ 9.four million within the prior interval and larger interest rates. prices of $ 2.5 million plus a $ 12.6 non-recurring achieve on the acquisition of Dream Options through the period underneath assessment. These partially offset the $ 7.9 million improve in fairness investments (including Dream Workplace REIT) and the $ 8.1 million larger internet margins generated by our enterprise segments.
Key Performance: Stabilized Income Generating Belongings and New Cross Partnership in the Arapahoe Basin
- Through the three and six months ended June 30, 2019, stabilized revenue producing belongings generated internet revenue of $ 7.four million (“NOI”). $ 19.zero million, respectively $ 1.5 million and $ 2.5 million more than in the comparative interval, mainly due to the current improve in NOI for the Arapahoe Basin.
- The popularity of the Arapahoe Basin has continued to grow during the last 15 years. The final yr of snowboarding was the primary yr we had over 500,000 ski visits. This yr we crossed 590,000 skier visits due to the newly opened ski space extension and a positive snowfall. The first-half NOI was $ 13.5 million, up $ three.5 million from final yr. As of June 30, 2019, the guide worth of the Arapahoe Basin was $ 29.four million (at depreciation).
- 2. August 2019 we announced that we’ve got entered into a limited passport arrangement with the Ikon passport. The Ikon Cross was launched in 2018 and provides limitless or restricted entry to 40 ski areas together with Aspen, Deer Valley, Copper Mountain and many extra. When switching from a vast passport to a restricted passport, we anticipate extra skiers to ski with Arapahoe Basin tickets and carry merchandise, and we anticipate to improve skiers' revenue. With these modifications, we anticipate to provide distinctive buyer experiences as we price range 25% for skiers while growing our income.
Asset Administration and Investments in Dream Public Listed Funds
- On the finish of the three Six Months on June 30, 2019, the Asset Administration had a internet margin of $ 7.2 million and $ 16.0 million, respectively, compared to $ 7.zero million and $ 14.1 million, respectively. The modifications in the internet margin have been due to the increase in managed fee revenue and the timing of transaction activities. The asset management phase is an important source of recurring revenue for the enterprise. For extra info, see MD & A's "Recurring Revenue Sources" part.
On April 1, 2019, the Firm will enforce Dream Options Trust Models in lieu of money management fees obtainable via December 31, 2020, calculated by the Belief's December 31, 2018 NAV per unit of $ eight.74 to decide the variety of trust models receiving. . See press launch for details.
- 30. As of June 1, 2019, the administration of the reward belongings managed by Dream's publicly listed funds (Dream International REIT, Dream Industrial REIT and Dream Options) was roughly $ 7.2 billion, in contrast to $ 6.7 billion at December 31, 2018. Progress was primarily due to the procurement activities of Dream Industrial REIT (TSX: DIR.UN) and Dream International REIT (DRG.UN) through the period. Managed commission revenue from personal establishments, improvement partnerships, and / or funds was $ 1.6 billion, comparatively in step with the prior yr. The whole quantity of managed reward earning belongings was roughly $ eight.8 billion as of June 30, 2019.
- 30. As of June three, 2019, Dream's share of its equity return on its 24% investment in Dream Office REIT was $ 10.0 million and $ 15.2 million, respectively, compared to $ 6.2 million and $ 12.2 million for the comparison period. Dream Workplace REIT's internet revenue got here from rental revenue, its share of production from its funding in Dream Industrial REIT and its truthful worth positive aspects on funding properties, which have been partially offset by curiosity expense on monetary devices and truthful value losses. For the three and six months ended June 30, 2019, the benchmark NOI increased 9.9%, or $ three.1 million, to 9.6%, or $ 5.9 million, respectively, through the comparative durations, mainly due to greater utilization rental charges in downtown Toronto. , is partially offset by decrease occupancy and rental charges in other markets. Between now and right now, the corporate's investment in Dream Office REIT has generated $ 7.3 million in cashouts. On June 30, 2019, Dream Office reported a internet value of $ 25.49 at $ 31.98 on December 31, 2018. Operating profit was boosted by operating money movement retention, truthful worth increases in downtown Toronto and its share of investment revenue in Dream Industrial REIT .
- As of June 30, 2019, the truthful value of holdings in Dream's publicly listed funds (together with Dream International REIT, Dream Options and Dream Office REIT) was $ 535.9 million (based mostly on TSX closing worth), representing 69% of the company's complete the market worth. Inside this complete, Dream owned 15.0 million models or $ 354.6 million at truthful worth in Dream Workplace REIT and 15.0 million models or $ 115.three million at Dream Options (21% curiosity).
Key Results Highlights: Urban Improvement – Toronto & Ottawa
- By June 2019, Dream had approximately 12,000 houses and three.6 million retail / business sq. ft (sf) at numerous levels of design, preparation and development (100% at venture degree). This included almost 1,700 houses and zero.5 million retail / business sfs beneath improvement or already bought, the rest in the future improvement part. Of our inventory condominium tasks that have entered the market thus far, approximately 99% of those models have been pre-sold, including Riverside Square, Canary Block and Canary Commons. As well as, block 8 will embrace 750 purpose-built multi-family models in the West Don Lands improvement space, which is predicted to be built in the fourth quarter of 2018. | Our pipeline consists of: Upcoming Levels in the West Don Lands, Zibi, Distillery District, Canary District – Block 13, Brightwater (formerly referred to as “Port Credit”), CIS, Frank Gehry and Lakeshore East. For extra info on our challenge pipeline, see MD&A's "Urban Development Inventory and Piping" part.
- In the course of the three months ended June 30, 2019, Dream acquired with the Canadian Authorities the primary tenant at Zib, a 34 acre beachfront improvement alongside the Ottawa River in Gatineau, Quebec, and Ottawa, Ontario. The 15-year lease is roughly 155,000 square ft of office area, situated at the coronary heart of the location, with unprecedented views of Parliament Hill. As well as to this building, Zib has over 450,000 sq. meters of retail and retail area in numerous levels of design / improvement. From a residential perspective, Zib's second condominium is about to be completed and anticipated occupancy rates will start in early 2020. Zibi additionally just lately introduced an progressive associate with a resident Widespread, which manages the undertaking's first rental buildings in the area. With the first part of upkeep in both Ontario and Quebec, the world is popping into an distinctive group within the heart of the metropolitan space. The dream, along with Dream Options, invests 80% in improvement.
- Through the three months ended June 30, 2019, we reached a big milestone in the first block of a purpose-built rental group in Toronto's West Don Lands ("West Don Lands"). The Federal Authorities announced a $ 357 million (100%) funding in a primary block of flats underneath improvement ("Block 8"), consisting of more than 750 rental models, of which 30% is reasonably priced, by way of CMHC's lease financing challenge. Merchandise 8 is predicted to begin development in the last quarter of 2019. Dream and Dream Options jointly own a 33.3% stake in West Don Lands, and the remaining are owned by Kilmer Van Nostrand Co. Ltd. and Tricon Capital Group.
- 30. After June 20, 2019, an agreement was made with the City of Mississauga to facilitate municipal approvals for our newly named Brightwater improvement (formerly generally known as the "Port Credit"), a serious milestone undertaking. The partnership has labored extensively with the town, residents and group to obtain this necessary part of acceptance. Brightwater is a 72-hectare beachfront improvement that may cover almost 3,000 houses and 400,000 sq. ft of economic area after completion. To date, rehabilitation of the world has begun and, pending ultimate approval in September, we anticipate development to begin in 2020. Dream and Dream Options will invest 31% in the improvement, with the rest owned by Kilmer Van Nostrand Co. , DiamondCorp. And FRAM + Slokker.
- 30. In the course of the three months ended June 1, 2019, the first building on Part 1 of Riverside Sq. began occupying most Part 1 models in the fall of 2019. Riverside Square is a 5-acre, two-phase, mixed-use improvement situated south of downtown Toronto on Queen Road East East of Valley Parkway. The first part of the venture will include 688 house models, a high-tech multi-level auto-plex and about 20,000 sf of retail GFA. The second part is planned to consist of approximately 36,000 square ft of multi-tenant retail area with a proposed grocery anchored element and 224 housing models expected to occupy in 2021. Dream will own 32.5% of the venture with partners including Streetcar Developments.
Key Results: Developments in Western Canada
- In the course of the three and six months period ended June 30, 2019, our Land and Housing Division's internet margin was $ 1.1 million and $ three.2 million, respectively, with 87 land gross sales and 52 flats. occupancy charges a yr earlier (June 30, 2018 – Damaging internet margin of $ 2.4 million and $ 5.2 million, with 98 sales of tons and 104 houses as of right now). The lower within the destructive internet margin compared to the comparative interval was due to decrease overheads and greater value restoration. Market circumstances in Saskatchewan and Alberta stay troublesome. Because the financial system operates by way of oversupply in these areas, we anticipate this phase's internet margin to enhance as we start Windfall improvement. For extra information about this phase, see MD & A's Western Canada Improvement part. Robust liquidity, operation of NCIB and return to shareholders
- as of June 2019, we had up to $ 127.7 million in unused funds. availability of credit via Dream's operational line and collateral. By June 30, 2019, the debt-to-assets ratio was 36.2% independently, down from 34.9% on December 31, 2018. Through the first six months of 2019, the debt ratio increased barely due to purchases. models in dream workplaces and dream choices, and loans for our improvement at complete value. We anticipate that by recycling capital by recycling non-core belongings, we’ll scale back the debt ratio because the debt can be repaid with internet proceeds. The corporate is concentrated on sustaining a conservative debt position and has plenty of extra liquidity even before contemplating non-convertible or deficit belongings.
- Through the three and six months ended June 30, 2019, the Company purchased zero.9 million and 1.1 million voting shares for $ 6.6 million and $ 8.1 million abnormal share issuer offerings, respectively. in accordance with. Dividends of $ 2.7 million and $ 5.three million, respectively, have been declared and paid in voting shares and Class B shares held for three and six months, respectively. After June 30, 2019, a further zero.4 million models have been bought for $ 3.4 million.
The tables under summarize the monetary performance knowledge of the Dream segments for the three and six months ended June 30, 2019.
|||June 30, 2019|
|. Phase Belongings (1)||$||602,643||$||$||$||420871||$||776460||$||17896|
|Phase liabilities (1)||119,366||127,349||||233,303||210,737||] 405,918||$||1,096,693||(1)||$||483277||$||218184||] 136477||$||565723||$ (388 022||)||1,zero15,639|
|ebook equity per share (2)||$||] 4.55||1.28||$||5.33||(3, 65||)||9.56 [9,56]. 19659482]% of guide capital per share (3)||34.four%||15.5%||9.eight%||. 40.three%||n / a||100.0%|
|||for the three month interval ended June 30, 2018|
|(in hundreds of dollars)|| property
management  stabilized. revenue
|Western Canada group
|Complete Dream standalone|
|% of complete revenue(1)||19.1%||35.1%||1.4%||44.four%||—%||100.zero%|
|Internet margin(1)||$||7,zero21||$||4,4 46||$||(2,216)||$||(3,zero45)||$||—||$||6,206|
|Internet margin (%)(2)||75.four%||26.zero%||n/a||n/a||n/a||12.7%|
|% of internet margin(1)||113.1%||71.6%||(35.7%)||(49.0%)||—%||100.0%|
|Adjusted EBITDA(2)||$||13,511[1 9659485]||$||8,464||$||8,979||$||(three,155)||$||(4,477)||$||23,322|
|For the six months ended June 30, 2018|
|% of complete income(1)||19.7%||40.4%||three.1%||36.8%||—%||100%|
|Internet mar gin(1)||$||14,137||$||13,277||$||(three,149)||$||(6,732)||$||—||$||17,533|
|Internet margin (%)(2)||73.zero%||33.four%||n/a||n/a||n/a||17.8%|
|% of internet margin(1)||80.6%||75.7%||(18.zero%)||(38.three%)||—%||100%|
|As at December 31, 2018|
|Phase shareholders’ fairness(1)||$||435,936||$219,126||$||110,738||$||613,747||$||(378,290)||$||1,001,317|
|Guide fairness per share(2)||$||four.06||$||2.04||$||1.03||$||5.72||$||(three.52)||$||9.33|
|% of e-book equity per share(3)||31.6%||15.9%||8.0%||44.5%||n/a||100.0%|
Info showing on this press launch is a choose abstract of results. The monetary statements and MD&A for the Firm can be found at www.dream.ca and on www.sedar.com.
Senior administration will host a conference name on August 14, 2019 at 10:00 am (ET). To access the call, please dial 1-888-465-5079 in Canada and the USA or 416-216-4169 elsewhere and use passcode 7124 889#. To access the convention name by way of webcast, please go to Dream’s website at www.dream.ca and click on Calendar of Events within the News and Events part. A taped replay of the convention name and the webcast shall be obtainable for 90 days.
About Dream Unlimited Corp.
Dream is one in every of Canada’s leading real property corporations with over $16 billion of belongings beneath administration in North America and Europe. The scope of the business consists of asset administration and administration providers for 4 Toronto Inventory Trade (“TSX”) listed trusts and institutional partnerships, condominium and mixed-use improvement, investments in and administration of a renewable energy portfolio, business property possession, residential land improvement, and housing and multi-family improvement. Dream has a longtime monitor report for being revolutionary and for its potential to source, construction and execute on compelling investment opportunities. For further info, please contact:
Dream Unlimited Corp.
Dream’s consolidated financial statements are ready in accordance with International Financial Reporting Requirements (“IFRS”). In this press launch, as a complement to outcomes offered in accordance with IFRS, Dream discloses and discusses certain non-IFRS financial measures, together with: Dream standalone, internet margin %, belongings underneath management, fee-earning belongings underneath management, internet operating revenue, debt to complete belongings ratio, EBITDA, adjusted EBTIDA, e-book fairness per share, and Dream Standalone primary earnings per share, as well as different measures mentioned elsewhere on this release. These non-IFRS measures will not be defined by IFRS, would not have a standardized which means and will not be comparable with comparable measures introduced by other issuers. Dream has introduced such non-IFRS measures as Management believes they’re relevant measures of our underlying working performance and debt management. Non-IFRS measures should not be thought-about as options to comparable metrics decided in accordance with IFRS as indicators of Dream’s efficiency, liquidity, cash movement and profitability. For a full description of those measures and, the place relevant, a reconciliation to probably the most instantly comparable measure calculated in accordance with IFRS, please refer to the “Non-IFRS Measures” section in Dream’s MD&A for the three and six months ended June 30, 2019.
This press launch might include forward-looking info inside the which means of relevant securities laws, including, however not limited to, statements relating to our aims and strategies to achieve these aims; our beliefs, plans, estimates, projections and intentions, and comparable statements concerning anticipated future events, future progress, results of operations, performance, enterprise prospects and opportunities, acquisitions or divestitures, tenant base, future upkeep and improvement plans and costs, capital investments, financing, the supply of financing sources, revenue taxes, emptiness and leasing assumptions, litigation and the actual estate business normally; as well as particular statements in respect of our improvement plans and proposals for future retail and condominium and mixed-use tasks and future levels of current retail and condominium and mixed-use tasks, together with projected sizes, density, makes use of and tenants; improvement timelines and anticipated returns or yields on present and future retail and condominium and mixed-use tasks, together with timing of development, advertising, leasing, completion, occupancies and closings; anticipated present and future unit sales and occupancies of our condominium and mixed-use tasks; our pipeline of retail, business, condominium and mixed-use developments tasks; improvement plans and timelines of current and future land and housing tasks, together with projected sizes, density and makes use of; anticipated current and future lot and acre sales and housing unit occupancies in our land and housing divisions and the timing of margin contributions from such sales; projected inhabitants and density in our housing developments; our capability to improve improvement on our owned lands and the anticipated returns therefrom; our anticipated possession ranges of proposed investments, together with investments in models of Dream Workplace REIT and Dream Options and different Dream Publicly Listed Funds; the event plans and proposals for Dream Options’ current and future tasks, together with projected sizes, timelines, density, makes use of and tenants; anticipated levels of improvement, asset administration and different administration fees in future durations; expected variety of skiers, skier yields, cross product sales and earnings at Arapahoe Basin; and our general financial performance, profitability and liquidity for future durations and years. Forward-looking info is predicated on a variety of assumptions and is topic to quite a few risks and uncertainties, lots of that are past Dream’s management, which might trigger actual results to differ materially from these which might be disclosed in or implied by such forward-looking info. These assumptions embrace, however will not be limited to: the character of improvement lands held and the development potential of such lands, our capacity to convey new developments to market, anticipated constructive basic economic and enterprise circumstances, including low unemployment and interest rates, constructive internet migration, oil and fuel commodity prices, our enterprise technique, including geographic focus, anticipated sales volumes, performance of our underlying enterprise segments and circumstances in the Western Canada land and housing markets. Dangers and uncertainties embrace, but are usually not restricted to, basic and native economic and enterprise circumstances, employment ranges, regulatory dangers, mortgage charges and laws, environmental dangers, shopper confidence, seasonality, antagonistic weather circumstances, reliance on key shoppers and personnel and competitors. All forward-looking info in this press release speaks as of August 13, 2019. Dream does not undertake to replace any such forward-looking info whether or not because of new info, future occasions or otherwise, besides as required by regulation. Further details about these assumptions and risks and uncertainties is disclosed in filings with securities regulators filed on SEDAR (www.sedar.com).