Press Releases

MREIC Reports 1st Quarter Financial Results

FREEHOLD, N.J., Feb. 8, 2012 /PRNewswire/ — Monmouth Real Estate Investment Corporation (the Company) (NYSE: MNR) reported funds from operations (FFO) of $7,450,000 or $0.20 per share for the three months ended December 31, 2011, as compared to $6,596,000 or $0.19 per share for the three months ended December 31, 2010.  A summary of significant financial information for the three months ended December 31, 2011 and 2010 is as follows:Three Months EndedDecember 31,20112010Rental and Reimbursement Revenue$12,795,000$12,037,000Total Expenses$7,312,000$6,983,000Interest and Dividend Income$949,000$727,000Gain on Securities Transactions, net$2,788,000$2,808,000Income from Continuing Operations$5,367,000$4,753,000Income from Discontinued Operations$20,000$61,000Net Income Applicable to Common Shareholders$4,346,000$3,766,000Net Income Applicable to Common      Shareholders Per Share$.12$.11FFO (1)$7,450,000$6,596,000FFO Per Common Share (1)$.20$.19Weighted Avg. Common Shares Outstanding37,472,00034,095,000A summary of significant balance sheet information as of December 31, 2011 and September 30, 2011 is as follows:December 31,2011September 30,2011Total Real Estate Investments$441,211,000$409,024,000Securities Available for Sale$44,950,000$44,265,000Total Assets$511,507,000$476,987,000Mortgage Notes Payable$222,385,000$211,614,000Subordinated Convertible Debentures$8,790,000$8,915,000Loans Payable$19,456,000$16,861,000Total Shareholders’ Equity$255,565,000$234,543,000Eugene W. Landy, President, commented on the results of the first quarter of fiscal year 2012, “The first quarter represented a strong start to the new year. We acquired four new properties comprised of 540,000 square feet for a total of $35.7 million. We gained inclusion in the MSCI US REIT Index and opportunistically raised $16.8 million in new capital. We realized $2.8 million in gains on our REIT securities investments and we have now secured lease renewals on 974,000 of the 1.3 million square feet in leases originally set to expire this year. Additional lease renewals are currently under discussion. The Company remains very focused on continuing to deliver positive results and we look forward to building upon the substantial growth that was achieved in the first quarter of 2012.”Monmouth Real Estate Investment Corporation will host its First Quarter 2012 Financial Results Webcast and Conference Call.  Senior management will discuss the results, current market conditions and future outlook on Thursday, February 9, 2012 at 10:00 a.m. Eastern Time.The Company’s first quarter financial results being released herein will be available on the Company’s website at www.mreic.com in the “Financial Information and Filings” section.To participate in the Webcast, select the microphone icon at the top of the homepage on the Company’s website at www.mreic.com.  Interested parties can also participate via conference call by calling toll free 877-317-6789 (domestically) or 412-317-6789 (internationally).The replay of the conference call will be available at 12:00 p.m. Eastern Time on Thursday, February 9, 2012.  It will be available until March 10, 2012, and can be accessed by dialing toll free 877-344-7529 (domestically) and 412-317-0088 (internationally) and entering the passcode 10008445.  A transcript of the call and the webcast replay will be available at the Company’s website, www.mreic.com.Monmouth Real Estate Investment Corporation is a publicly-owned real estate investment trust specializing in net-leased industrial properties subject to long-term leases primarily to investment grade tenants.  The Company’s property portfolio consists of sixty-eight industrial properties and one shopping center located in twenty-five states.  In addition, the Company owns a portfolio of REIT securities.Certain statements included in this press release which are not historical facts may be deemed forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any such forward-looking statements are based on the Company’s current expectations and involve various risks and uncertainties.  Although the Company believes the expectations reflected in any forward-looking statements are based on reasonable assumptions, the Company can provide no assurance those expectations will be achieved. The risks and uncertainties that could cause actual results or events to differ materially from expectations are contained in the Company’s annual report on Form 10-K and described from time to time in the Company’s other filings with the SEC. The Company undertakes no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events, or otherwise. Notes:(1)  Non-GAAP Information:  FFO is defined by the National Association of Real Estate Investment Trusts (“NAREIT”) as net income applicable to common shareholders, excluding gains or losses from sales of depreciable assets, plus real estate-related depreciation and amortization.   FFO per common share is defined as FFO divided by weighted average common shares outstanding.  FFO and FFO per common share should be considered as supplemental measures of operating performance used by real estate investment trusts (REITs).  FFO and FFO per common share exclude historical cost depreciation as an expense and may facilitate the comparison of REITs which have different cost basis.  The items excluded from FFO and FFO per common share are significant components in understanding the Company’s financial performance.FFO and FFO per common share (A) do not represent cash flow from operations as defined by generally accepted accounting principles; (B) should not be considered as an alternative to net income as a measure of operating performance or to cash flows from operating, investing and financing activities; and (C) are not alternatives to cash flow as a measure of liquidity.  FFO and FFO per common share, as calculated by the Company, may not be comparable to similarly entitled measures reported by other REITs.  The Company’s FFO for the three months ended December 31, 2011 and 2010 are calculated as follows:Three Months Ended12/31/1112/31/10Net Income $5,387,000$4,815,000Income to Noncontrolling Interest(21,000)(28,000)Preferred Dividend(1,020,000)(1,020,000)Depreciation Expense2,786,0002,535,000Amortization of In-Place Lease      Intangible Assets 318,000294,000FFO$7,450,000$6,596,000The following are the cash flows provided (used) by operating, investing and financing activities for the quarters ended December 31, 2011 and 2010:20112010Operating Activities$5,762,000$4,218,000Investing Activities(32,379,000)(13,695,000)Financing Activities28,958,00010,500,000SOURCE Monmouth Real Estate Investment Corporation