OPERATIONS REVIEW – For the Quarter Ended
As at
Marinas
Maple Leaf Partnerships
In Q1 2023, the Maple Leaf Partnerships successfully completed the acquisition of two marquee marinas in
Closings of lot sales commenced during the quarter at Champlain Shores (formerly Bay Moorings) and the first completed homes are expected in the summer of 2023. To facilitate the land development and home construction program, the Corporation funded an additional
Subsequent to the quarter, the Maple Leaf Partnerships completed the acquisition of a
Real Estate
The Bow City Self Storage facility was successful in increasing occupancy levels and rental rates in what is historically a slow quarter in the self storage industry.
In Q1 2023, the
Private Equity
Northbridge,
Northbridge manages approximately
Outlook
The first quarter of 2023 was an active period for the Corporation which saw follow-on investments in most of its operating platforms.
The Maple Leaf Partnerships continued to significantly grow the platform in terms of wet slips and dry rack slip counts and now owns 20 marinas. Early indications are that the Maple Leaf Partnerships will have a successful 2023 boating season. Bow City Self Storage continued to exceed initial expectations in terms of net absorption and rental rates.
Wilmington continues to seek growth opportunities for each of its platforms and will continue to be prudent and patient in exploring investment opportunities.
FINANCIAL RESULTS
STATEMENT OF INCOME (LOSS) AND COMPREHENSIVE INCOME (LOSS) (unaudited)
For the | Three months ended | |||||||
(CDN $ thousands, except per share amounts) | 2023 | 2022 | ||||||
Management fee revenue | 120 | 95 | ||||||
Interest and other income | 626 | 244 | ||||||
746 | 339 | |||||||
Expenses | ||||||||
General and administrative | (467) | (468) | ||||||
Amortization | (7) | (7) | ||||||
Finance costs | (2) | (2) | ||||||
Stock-based compensation | (49) | (138) | ||||||
(525) | (615) | |||||||
Fair value adjustments and other activities | ||||||||
Fair value adjustments to investments | (610) | 1,069 | ||||||
Equity accounted income (loss) | (13) | 162 | ||||||
(623) | 1,231 | |||||||
Income (loss) before income taxes | (402) | 955 | ||||||
Current income tax recovery (expense) | (120) | 44 | ||||||
Deferred income tax expense | (52) | (133) | ||||||
Provision for income taxes | (172) | (89) | ||||||
Net income (loss) | (574) | 866 | ||||||
Other comprehensive income | ||||||||
Items that will not be reclassified to net income (loss): | ||||||||
Fair value adjustments to investments | (170 | ) | 353 | |||||
Related income taxes | 34 | (45 | ) | |||||
Other comprehensive income (loss), net of income taxes | (136 | ) | 308 | |||||
Comprehensive income (loss) | (710 | ) | 1,174 | |||||
Net income (loss) per share | ||||||||
Basic | (0.05 | ) | 0.07 | |||||
Diluted | (0.05 | ) | 0.07 |
BALANCE SHEETS
(unaudited) | ||||
(CDN $ thousands) | 2023 | 2022 | ||
Assets | ||||
NON-CURRENT ASSETS | ||||
Investment in Maple Leaf Partnerships | 21,236 | 18,637 | ||
Investment in Bow City Partnerships | 3,864 | 3,864 | ||
Investment in | 2,911 | 1,806 | ||
Investment in | 8,493 | 7,284 | ||
Right-of-use asset | 85 | 92 | ||
36,589 | 31,683 | |||
CURRENT ASSETS | ||||
Cash | 1,366 | 4,007 | ||
Short term securities | 19,000 | 22,000 | ||
Amounts receivable and other assets | 12,927 | 13,083 | ||
Total assets | 69,882 | 70,773 | ||
Liabilities | ||||
NON-CURRENT LIABILITIES | ||||
Deferred income tax liabilities | 1,334 | 1,316 | ||
Lease liabilities | 118 | 116 | ||
1,452 | 1,432 | |||
CURRENT LIABILITIES | ||||
Lease liabilities | 19 | 38 | ||
Income taxes payable | 238 | 118 | ||
Amounts payable and other | 721 | 790 | ||
Total liabilities | 2,430 | 2,378 | ||
Equity | ||||
Shareholders’ equity | 51,270 | 51,179 | ||
Contributed surplus | 1,158 | 1,482 | ||
Retained earnings | 6,808 | 7,382 | ||
Accumulated other comprehensive income | 8,216 | 8,352 | ||
Total equity | 67,452 | 68,395 | ||
Total liabilities and equity | 69,882 | 70,773 |
Executive Officers of the Corporation will be available at 403-705-8038 to answer any questions on the Corporation’s financial results.
STATEMENT REGARDING FORWARD-LOOKING STATEMENTS AND OTHER MEASUREMENTS
Certain statements included in this document may constitute forward-looking statements or information under applicable securities legislation. Forward-looking statements that are predictive in nature, depend upon or refer to future events or conditions, include statements regarding the operations, business, financial conditions, expected financial results, performance, opportunities, priorities, ongoing objectives, strategies and outlook of the Corporation and its investee entities and contain words such as "anticipate", "believe", "expect", "plan", "intend", "estimate", "propose", or similar expressions and statements relating to matters that are not historical facts constitute “forward-looking information” within the meaning of applicable Canadian securities legislation.
While the Corporation believes the anticipated future results, performance or achievements reflected or implied in those forward-looking statements are based upon reasonable assumptions and expectations, the reader should not place undue reliance on forward-looking statements and information because they involve known and unknown risks, uncertainties and other factors, many of which are beyond the Corporation’s control, which may cause the actual results, performance and achievements of the Corporation to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements and information.
Factors and risks that could cause actual results to differ materially from those contemplated or implied by forward-looking statements include but are not limited to: the ability of management of Wilmington and its investee entities to execute its and their business plans; availability of equity and debt financing and refinancing within the equity and capital markets; strategic actions including dispositions; business competition; delays in business operations; the risk of carrying out operations with minimal environmental impact; industry conditions including changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced; operational matters related to investee entities business; incorrect assessments of the value of acquisitions; fluctuations in interest rates; stock market volatility; general economic, market and business conditions; risks associated with existing and potential future law suits and regulatory actions against Wilmington and its investee entities; uncertainties associated with regulatory approvals; uncertainty of government policy changes; uncertainties associated with credit facilities; changes in income tax laws, tax laws; changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates); the effect of applying future accounting changes; and other risks, factors and uncertainties described elsewhere in this document or in Wilmington's other filings with Canadian securities regulatory authorities.
The foregoing list of important factors that may affect future results is not exhaustive. When relying on the forward-looking statements, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Except as required by law, the Corporation undertakes no obligation to publicly update or revise any forward-looking statements or information, that may be as a result of new information, future events or otherwise. These forward-looking statements are effective only as of the date of this document.
Source:
2023 GlobeNewswire, Inc., source