CALGARY, March 22, 2016 /CNW/ - Genesis Land
Development Corp. (TSX: GDC) (the "Corporation" or "Genesis") is
pleased to report its financial and operating results for the three
months and year ended December 31,
2015.
SUMMARY CORPORATE HIGHLIGHTS
Our key financial results and operating data are as follows:
|
|
|
|
Three months
ended
December
31,
|
Year
ended
December
31,
|
($000s, except for
per share items or unless otherwise noted)
|
2015
|
|
2014
|
2015
|
2014
|
|
|
|
|
|
|
Key Financial
Data
|
|
|
|
|
|
Total
revenues
|
36,575
|
|
28,509
|
119,088
|
134,245
|
Gross
margin
|
9,231
|
|
7,387
|
22,509
|
39,001
|
Net earnings
attributable to equity shareholders
|
5,365
|
|
2,858
|
11,014
|
17,395
|
Net earnings per share – basic and
diluted
|
0.13
|
|
0.07
|
0.25
|
0.39
|
Cash flows (used in)
from operating activities
|
(7,193)
|
|
4,099
|
(18,325)
|
42,169
|
Cash flows (used in)
from operating activities per share(1)
|
(0.16)
|
|
0.09
|
(0.41)
|
0.94
|
|
|
|
|
|
|
Key Operating
Data
|
|
|
|
|
|
Residential lots sold
to third parties (units)
|
50
|
|
3
|
69
|
124
|
Average revenue per
lot sold to third parties
|
191
|
|
208
|
188
|
192
|
Residential lots sold
through the home building business segment (units)
|
41
|
|
18
|
115
|
147
|
Homes sold
(units)
|
51
|
|
66
|
209
|
220
|
Average revenue per
home sold
|
460
|
|
422
|
489
|
436
|
New home orders
(units)
|
36
|
|
38
|
135
|
239
|
|
|
|
|
|
|
|
|
|
As at December
31,
|
|
|
|
|
2015
|
2014
|
Homes with firm
sale contracts (units)
|
|
|
|
63
|
137
|
|
|
|
|
|
|
|
|
|
|
|
As at December
31,
|
Key Balance Sheet
Data ($000s, except for per share items or unless otherwise
noted)
|
|
|
2015
|
2014
|
Cash and cash
equivalents
|
|
|
|
|
11,399
|
33,048
|
Total
assets
|
|
|
|
|
331,045
|
309,742
|
Loans and credit
facilities
|
|
|
|
|
63,819
|
23,892
|
Total
liabilities
|
|
|
|
|
106,054
|
78,468
|
Shareholders'
equity
|
|
|
|
|
212,125
|
208,101
|
Total
equity
|
|
|
|
|
224,991
|
231,274
|
(1)
|
Basic and diluted
amounts per share
|
Highlights
Volumes and Revenue:
- December 31, 2015 order book of
63 firm sales contracts compared to 137 at December 31, 2014.
- Genesis sold 51 homes in Q4 2015 with revenues of $24,068 (Q4 2014 – 66 and $27,832) and 209 homes in YE 2015 with revenues
of $102,846 (YE 2014 - 220 and
$96,029).
- Genesis sold 91 residential lots in Q4 2015 with revenues of
$15,304 (Q4 2014 – 21 and
$4,169) and 184 residential lots in
YE 2015 with revenues of $31,577 (YE
2014 – 271 and $45,026).
- The declines relate to the challenging economic conditions in
the Calgary Metropolitan Area
Net earnings and dividends:
- Net earnings were $5,365 for Q4
2015 compared to $2,858 for Q4 2014
and $11,014 for YE 2015 compared to
$17,395 for YE 2014.
- Dividends (special) of $0.12 per
share were paid in each of 2014 and 2015.
Financing:
- Genesis obtained two new land development loan facilities of
$18,840 during Q4 2015 at an interest
rate of prime + 0.75% and drew $6,495
on it during the quarter.
Additional Information
The information contained in this press release should be read
in conjunction with the consolidated financial statements for the
years ended December 31, 2015 and
2014, the related Management's Discussion and Analysis ("MD&A")
dated March 22, 2016 and the Annual
Information Form dated March 22,
2016, which have been filed with Canadian securities
regulatory authorities. Copies of these documents may be obtained
via www.sedar.com or our website at www.genesisland.com.
Genesis will no longer host a conference call to discuss the
Corporation's results. Investors and analysts with questions may
contact Stephen J. Griggs, interim
Chief Executive Officer at the contact information provided
below.
About Genesis
Genesis Land Development Corp. is a land developer and
residential home builder in the Calgary Metropolitan Area. The Corporation's
common shares are listed on the Toronto Stock Exchange (TSX:
GDC).
ADVISORIES
Forward-Looking Statements
This news release contains certain statements which
constitute forward-looking statements or information
("forward-looking statements") within the meaning of applicable
securities legislation, including Canadian Securities
Administrators' National Instrument 51-102 'Continuous Disclosure
Obligations', concerning the business, operations and
financial performance and condition of Genesis. Generally, these
forward-looking statements can be identified by the use of
forward-looking terminology such as "plans", "expects" or "does not
expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or state that
certain actions, events or results "may", "could", "would", "might"
or "will be taken", "occur" or "be achieved".
Forward-looking statements in this news release include, but
are not limited to, statements with respect to the nature of
development lands held and the anticipated inventory and
development potential of such lands, ability to bring new
developments to market, anticipated general economic and business
conditions in 2016 and beyond, including low interest rates, low
stable inflation rates, the anticipated impact on Genesis'
development and home building activities, the constraint on margins
and volumes in Calgary's home
building industry throughout 2016 and possibly beyond, the activity
levels and the revenues from the joint venture, the ability to
close the book of homes with firm sales contracts and the ability
to continue to renew or repay financial obligations and to meet
contractual obligations as they become due. Although Genesis
believes that the anticipated future results, performance or
achievements expressed or implied by the forward-looking statements
are based upon reasonable assumptions and expectations, the reader
should not place undue reliance on forward-looking statements
because they involve assumptions, known and unknown risks,
uncertainties and other factors many of which are beyond the
Corporation's control, which may cause the actual results,
performance or achievements of Genesis to differ materially from
anticipated future results, performance or achievement expressed or
implied by such forward-looking statements. Accordingly, Genesis
cannot give any assurance that its expectations will in fact occur
and cautions that actual results may differ materially from those
in the forward-looking statements.
Factors that could cause actual results to differ materially
from those set forth in the forward-looking statements include, but
are not limited to: the impact or unanticipated impact of general
economic conditions in Canada,
the United States and globally;
the impact of election of governments in Alberta and Canada and the direction of policy which could
impact the overall pace of economic growth; the impact of
contractual arrangements and incurred obligations on future
operations and liquidity; local real estate conditions, including
the development of properties in close proximity to Genesis'
properties; the uncertainties of real estate development and
acquisition activity; fluctuations in interest rates; ability to
access and raise capital on favourable terms; not realizing on the
anticipated benefits from transactions or not realizing on such
anticipated benefits within the expected time frame; labour
matters, governmental regulations, stock market volatility and
other risks and factors described from time to time in the
documents filed by Genesis with the securities regulators in
Canada available at
www.sedar.com, including the Corporation's MD&A under
the heading "Risks and Uncertainties" and the AIF under the heading
"Risk Factors". Furthermore, the forward-looking statements
contained in the news release are made as of the date of this news
release and, except as required by applicable law, Genesis does not
undertake any obligation to publicly update or to revise any of the
forward-looking statements, whether as a result of new information,
future events or otherwise.
SOURCE Genesis Land Development Corp.