NYSE$WSR

Whitestone REIT · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Whitestone's financial performance remained strong despite the challenges posed by the COVID-19 pandemic, with high tenant occupancy and rental collections.

Whitestone REIT reported net income of $0.9 million, or $0.02 per diluted share, and FFO Core of $10.1 million, or $0.23 per share, for the third quarter of 2020. The company's portfolio remained highly occupied, with 97% of tenants open and operating, and 90% of contractual rents collected during the quarter. Whitestone continues to focus on supporting its tenants and maintaining a strong balance sheet.

  • Net income attributable to common shareholders was $0.9 million, or $0.02 per diluted share.
  • FFO Core reached $10.1 million, or $0.23 per share.
  • The company collected 90% of third quarter 2020 contractual rents.
  • Cash and cash equivalents grew by 11% since March 31, 2020, reaching $40.7 million.

Headline financials

Total Revenue

$29.9M

Previous: $29.9M+0.1%
EPS (adj)

$0.23

Previous: $0.26-11.5%
Capital Expenditures

-$5.81M

Previous: -$9.95M+41.6%
Free Cash Flow

-$4.91M

Previous: -$8.15M+39.7%
Net Income

$900K

Previous: $1.81M-50.2%
Operating Income

$823K

Previous: $1.43M-42.3%
Gross Profit

$7.17M

Previous: $7.97M-10.0%
Cash & Equivalents

$39M

Previous: $5.54M+603.9%
Total Assets

$1.06B

Previous: $1.01B+5.3%
Stock-Based Comp

$1.59M

Previous: $1.64M-2.9%

Revenue & EPS history

Whitestone · Revenue · Quarterly

$29.9M

Q3 2020+0.1%vs Q3 2019
Beat estimate in 7 of 16 quarters(44%)
ActualEstimate

Forward guidance

Whitestone's Board of Trustees will continue to evaluate dividend declarations each quarter and intends to maintain compliance with REIT taxable income distribution requirements.

Tailwinds

  • Company invites to listen to the its earnings release conference call to be broadcast live on Tuesday, October 27, 2020 at 8:30 A.M. Eastern Time
  • Continue to produce strong operating results and lead the shopping center sector in cash rental collections
  • Business has performed well during the pandemic as our entrepreneurial tenants persevere through these uncertain times.
  • Team has worked tirelessly to help our service-focused, community-centered tenants find creative ways to utilize our open-air properties to serve their local neighborhoods.
  • Focus remains on protecting our employees, tenants, and communities and the value we have created for the stakeholders we serve.

Headwinds

  • The COVID-19 pandemic continued to impact the Company’s operations.
  • Bad debt/uncollectable revenue for the quarter was $1.4 million, or $0.03 per share, primarily due to COVID-19 pandemic and included $125,000 non-cash straight-line receivables
  • Uncertainties related to the COVID-19 pandemic, including the unknown duration and economic, operational and financial impacts of the COVID-19 pandemic, and the actions taken or contemplated by U.S. and local governmental authorities or others in response to the pandemic on the Company’s business, employees and tenants
  • Changes in tenant demand for the Company’s properties, financial challenges confronting major tenants
  • Significant reduction in the Company’s liquidity due to the lack of further availability under its revolving credit facility and limited ability to access the capital markets and other sources of financing on attractive terms or at all

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2020

Historical avgQ3 2020

-0.7%

Avg return

Earnings day

-0.7%

Avg return

5 days after

+0.5%

Avg return

30 days after

42%

26 / 62 earnings

Positive

+7.5%

Q1 2020

Best reaction

-12.0%

Q4 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%+0.2%+0.4%
Q4 2025+1.1%-0.5%+5.2%
Q3 2025+6.9%+9.5%+10.4%
Q1 2025-3.8%-2.1%-5.5%
Q4 2024+3.5%+5.0%+4.5%
Q3 2024-2.7%-1.4%+4.0%
Q2 2024-2.5%-8.5%-4.4%
Q1 2024+2.4%+2.3%+13.4%
Q4 2023-1.2%-0.8%-5.7%
Q3 2023+2.5%+12.4%+13.1%
Q2 2023-0.6%+0.2%-3.1%
Q1 2023-1.4%-1.1%-0.1%
Q4 2022-1.3%+0.5%-5.4%
Q3 2022-4.8%-1.4%+3.4%
Q2 2022-5.8%-6.5%-10.8%
Q1 2022+5.1%+0.7%+2.2%
Q4 2021+5.5%+13.0%+12.5%
Q3 2021-4.5%-7.4%-1.7%
Q2 2021+1.5%+7.2%+13.5%
Q1 2021-5.8%-5.2%-15.8%
Q4 2020-1.7%-1.7%-0.7%
Q3 2020-3.6%-7.0%+28.7%
Q2 2020-4.5%+6.3%-1.5%
Q1 2020+7.5%-7.3%+39.5%
Q4 2019-3.2%-3.9%-52.3%
Q3 2019+0.2%-0.4%-1.2%
Q2 2019-0.5%-6.1%-3.6%
Q1 2019-2.6%-0.4%-1.2%
Q4 2018-9.1%-15.4%-16.1%
Q3 2018+2.2%+0.1%+2.1%
Q2 2018-1.9%-1.4%+4.9%
Q1 2018+3.1%+8.9%+10.2%
Q4 2017-12.0%-12.0%-15.8%
Q3 2017+6.2%+5.4%+10.9%
Q2 2017-1.3%-1.5%-2.3%
Q1 2017-6.9%-2.7%-4.7%
Q4 2016-2.4%-1.6%-2.3%
Q3 2016-3.4%-3.9%+3.2%
Q2 2016-1.3%-0.1%-8.0%
Q1 2016+1.0%
Q4 2015+5.7%
Q3 2015+0.5%
Q2 2015-0.5%
Q1 2015-5.1%
Q4 2014+0.4%
Q3 2014+0.9%
Q2 2014-0.2%
Q1 2014+0.0%
Q4 2013-1.1%
Q3 2013-1.9%
Q2 2013+1.5%
Q1 2013+2.3%
Q4 2012-2.4%
Q3 2012-3.2%
Q2 2012-3.3%
Q1 2012+1.0%
Q1 2011+1.0%
Q4 2011+0.5%
Q2 2011+0.5%
Q3 2011+1.2%
Q4 2010-6.2%
Q3 2010+2.8%
Q2 2010
Q1 2010

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