DALLAS, Oct. 11, 2002 (PRIMEZONE) -- American Realty Investors, Inc. (NYSE:ARL) announced Friday that the company has amended its 2002 second quarter and six months reporting to reflect net losses of $15.23 million and $24.78 million, or $1.34 and $2.18 per share, on revenues of $38.64 million and $76.92 million, respectively, as compared to net incomes of $7.93 million and $9.68 million, or $.78 and $.96 per share, on revenues of $48.09 million and $89.54 million, respectively, in the 2001 comparable periods.
The amended results reflect a change in accounting for a property exchange in the first quarter, which previously was accounted for as a sale. The transaction was a non-monetary transaction. For further details, refer to the 10-Q/A filed October 11, 2002.
Net income on discontinued operations (non-land properties sold) in the second quarter and six months of 2002 decreased to $6.31 million and $16.00 million, from $35.77 million and $52.76 million in the 2001 comparable periods, and included:
-- Gains on the sale of real estate of $2.15 million and $7.77
million in the second quarter and six months of 2002 on the sale
of five apartments, a shopping center and an office building.
Gains were $25.84 million and $42.27 million in the 2001
comparable periods.
-- Equity in investees' gains on the sale of real estate was $4.15
million and $8.28 million in the second quarter and six months of
2002, from $9.94 million and $11.38 million in the 2001 comparable
periods.
All property operations, land operations, pizza parlor operations and other income reporting are unchanged from the August 14, 2002, 10-Q filing.
American Realty Investors, Inc., a Dallas-based real estate investment company, holds a diverse portfolio of equity real estate located across the U.S., including office buildings, apartments, hotels, shopping centers and developed and undeveloped land. For more information, go to ARI's Web site at amrealtytrust.com.
FINANCIAL HIGHLIGHTS
(dollars in thousands, except share and per share data)
Three months ended Six months ended
June 30, June 30,
2002 2001 2002 2001
Income from rents $ 28,705 $ 27,273 $ 56,842 $ 53,830
Expense from operations 20,481 23,486 39,800 42,543
Operating income 8,224 3,787 17,042 11,287
Land sales 15,121 13,087 20,701 33,577
Cost of sales 13,957 12,163 17,338 28,864
Gain on land sales 1,164 924 3,363 4,713
Pizza sales 9,736 8,733 18,276 16,559
Cost of sales 7,794 7,129 14,747 13,551
Gross margin 1,942 1,604 3,529 3,008
Income from operations $ 11,330 $ 6,315 $ 23,934 $ 19,008
Other income (loss) (4,294) (3,408) (8,041) (4,438)
Other expense 27,987 30,146 55,471 56,404
Net loss from
continuing operations (20,951) (27,239) (39,578) (41,834)
Income (loss) from
discontinued operations 14 (6) (42) (889)
Gain on sale of
real estate 2,150 25,840 7,765 42,266
Equity in gain on
sale of real estate
by equity investees 4,149 9,938 8,280 11,380
Net income from
discontinued
operations 6,313 35,772 16,003 52,757
Net income (loss) $(14,638) $ 8,533 $(23,575) $ 10,923
Preferred dividend
requirement (589) (606) (1,200) (1,248)
Net income (loss)
applicable
to Common shares $(15,227) $ 7,927 $(24,775) $ 9,675
Earnings Per Share
Net loss from
continuing operations $ (1.89) $ (2.75) $ (3.58) $ (4.26)
Discontinued operations .55 3.53 1.40 5.22
Net income (loss)
applicable to
Common shares $ (1.34) $ .78 $ (2.18) $ .96
Weighted average
common shares used
to compute earnings
per share 11,375,127 10,128,124 11,375,127 10,116,196