The Becker Milk Company Limited: Nine Months Financial Results and Regular Dividend
TORONTO, March 14, 2025 (GLOBE NEWSWIRE) — The Becker Milk Company Limited (the “Company”) (TSX-BEK.B) is pleased to report the results for the nine months ended January 31, 2025.
HIGHLIGHTS
- Total revenues for the nine months ended January 31, 2025, were $2,275,266 compared to $2,326,873 for the same period in 2024;
- The non-GAAP financial measure Net Operating Income for year-to-date Q3 fiscal 2025 was $1,844,195 compared to $1,847,990 in fiscal 2024;
- Net income for year-to-date Q3 fiscal 2025 was $1.43 per share for the year, compared to $0.13 net loss per share in Q3 fiscal 2024.
FINANCIAL HIGHLIGHTS
Total revenues for the nine months ended January 31, 2025, fell $51,607 compared to the nine months ended January 31, 2024, a result of reduced finance income.
| Nine months ended | ||
| January 31 | ||
| 2025 | 2024 | |
| Property revenue | $2,148,528 | $2,120,481 |
| Finance income | 126,738 | 206,392 |
| Total revenues | $2,275,266 | $2,326,873 |
| Net income attributable to common and special shareholders | $2,583,254 | ($229,305) |
| Average common and special shares outstanding | 1,808,360 | 1,808,360 |
| Income (loss) per share | $1.43 | ($0.13) |
Components of the $2,812,559 decrease in net income for the nine months ended January 31, 2025, compared to the nine months ended January 31, 2024 are:
| Changes in Net Income – Nine months ended January 31, 2025 | |||
| compared to nine months ended January 31, | |||
| 2024 | |||
| Provision for environmental liability | |||
| Increase in the favourable fair value adjustment | 3,296,103 | ||
| Decrease in current taxes | 82,641 | ||
| Decrease in gain on disposal | (2,122) | ||
| Decrease in net operating income | (3,795) | ||
| Increase in administrative expenses | (14,577) | ||
| Decrease in finance income | (79,654) | ||
| Increase in deferred tax charges | (466,037) | ||
| Increase in net income | $2,812,559 | ||
| Investment property capitalization rates were reduced 50 basis-points or 0.05% during the nine months ended January 31, 2025. When compared to the nine months ended January 31, 2024 there was a $3,296,103 favourable change in the fair value adjustment to investment properties. | |||
Non-IFRS financial measures
Net operating income
The non-IFRS financial measure Net Operating Income for the nine months ended January 31, 2025 was $1,844,195, a $3,795 decrease compared with the previous year. This decrease was the principally the result of increasing property operating expenses.
| Nine months ended | ||
| January 31 | ||
| 2025 | 2024 | |
| Property revenue | $2,148,528 | $2,120,481 |
| Property operating expenses | (304,333) | (272,491) |
| Net operating income | $1,844,195 | $1,847,990 |
Funds from operations and adjusted funds from operations
For the nine months ended January 31, 2025 the Company recorded Adjusted funds from operations of $589,710 ($0.33 per share) compared to $773,728 ($0.43 per share) in 2024.
| Nine months ended | ||
| January 31 | ||
| 2025 | 2024 | |
| Net income | $2,583,254 | ($229,305) |
| Add (deduct) items not affecting cash: | ||
| Adjustment to fair value of investment properties | (2,098,218) | 1,197,885 |
| Gain on sale of investment properties | – | (2,122) |
| Tax on gains from sale of property | – | 54,736 |
| Deferred income taxes | 286,456 | (179,581) |
| Funds from operations | 771,492 | 841,613 |
| Deduct non-operating items: | ||
| Sustaining capital expenditures | (181,782) | (67,885) |
| Adjusted funds from operations | $589,710 | $773,728 |
| Adjusted funds from operations per share | $0.33 | $0.43 |
STRATEGIC REVIEW
The Board of Directors continually evaluates strategic directions for the Company and has engaged in discussions with potential acquirers. While the Company has engaged in some discussions within the last year, none of those discussions are active at this time. The Company continues to review its strategic alternatives and will update the market as appropriate, and as required.
DIVIDEND
The Directors of the Company have declared the regular semi-annual dividend on Class B Special and Common Shares of 40 cents per share. This dividend of 40 cents will be paid to those shareholders of record as of March 21, 2025, and payable on March 31, 2025.
The dividends for Canadian tax purposes will be considered as an eligible dividend.
The Company’s interim financial statements for the nine months ended January 31, 2025, along with the Management’s Discussion and Analysis will be filed with SEDAR+ at www.sedarplus.ca.
Readers are cautioned that although the terms “Net Operating Income”, and “Funds From Operations” are commonly used to measure, compare and explain the operating and financial performance of Canadian real estate companies and such terms are defined in the Management’s Discussion and Analysis, such terms are not recognized terms under Canadian generally accepted accounting principles. Such terms do not necessarily have a standardized meaning and may not be comparable to similarly titled measures presented by the other publicly traded entities.
For the Board of Directors
G.W.J. Pottow, President
Tel: 416-698-2591
