FREEHOLD, N.J., Aug. 6 /PRNewswire-FirstCall/ -- UMH Properties,
Inc. (NYSE Amex: UMH) reported that funds from operations (FFO),
excluding non-cash impairment charges and other losses on
securities transactions, amounted to $4,604,000 or $.41 per share
for the six months ended June 30, 2009, as compared to $3,814,000
or $.35 per share for the six months ended June 30, 2008. Net
income amounted to $1,179,000 or $.11 per share for the three
months ended June 30, 2009, as compared to $1,511,000 or $.14 per
share for the three months ended June 30, 2008. Net income amounted
to $80,000 or $.01 per share for the six months ended June 30,
2009, as compared to $1,206,000 or $.11 per share for the six
months ended June 30, 2008. Net cash provided by operating
activities for the six months ended June 30, 2009 was $6,844,000 as
compared to $5,044,000 for the six months ended June 30, 2008. A
summary of significant financial information for the three and six
months ended June 30, 2009 and 2008 is as follows: For the Three
Months Ended 6/30/09 6/30/08 ------------ ----------- Total
Revenues $9,169,000 $10,459,000 Total Expenses $7,980,000
$8,973,000 Net Income $1,179,000 $1,511,000 Net Income per Share
$.11 $.14 FFO (1) $2,210,000 $2,504,000 FFO per Share (1) $.20 $.23
Weighted Average Shares Outstanding 11,220,000 10,856,000 For the
Six Months Ended 6/30/09 6/30/08 ----------- ---------- Total
Revenues $15,575,000 $18,775,000 Total Expenses $15,474,000
$17,589,000 Net Income $80,000 $1,206,000 Net Income per Share $.01
$.11 FFO (1) $2,154,000 $3,218,000 FFO per Share (1) $.19 $.30
Weighted Average Shares Outstanding 11,138,000 10,812,000 (1)
Non-GAAP Information: Funds from Operations (FFO) is defined as net
income excluding gains (or losses) from sales of depreciable
assets, plus depreciation. FFO per share is defined as FFO divided
by the weighted average shares outstanding. FFO and FFO per share
should be considered as supplemental measures of operating
performance used by real estate investment trust (REITs). FFO and
FFO per share exclude historical cost depreciation as an expense
and may facilitate the comparison of REITs which have different
cost bases. The items excluded from FFO and FFO per share are
significant components in understanding and assessing the Company's
financial performance. FFO and FFO per share (1) do not represent
cash flow from operations as defined by generally accepted
accounting principles; (2) should not be considered as alternatives
to net income or net income per share as measures of operating
performance or to cash flows from operating, investing and
financing activities; and (3) are not alternatives to cash flow as
a measure of liquidity. FFO and FFO per share, as calculated by the
Company, may not be comparable to similarly entitled measures
reported by other REITs. The Company's FFO for the three and six
months ended June 30, 2009 and 2008 is calculated as follows: Three
Months Six Months ------------ ---------- 6/30/09 6/30/08 6/30/09
6/30/08 ---------- ----------- ----------- ----------- Net Income
$1,179,000 $1,511,000 $80,000 $1,206,000 Loss (Gain) on Sales of
Depreciable Assets 10,000 (25,000) 22,000 (20,000) Depreciation
Expense 1,021,000 1,018,000 2,052,000 2,032,000 --------- ---------
--------- --------- FFO $2,210,000 $2,504,000 $2,154,000 $3,218,000
========== ========== ========== ========== The following are the
cash flows provided (used) by operating, investing and financing
activities for the six months ended June 30, 2009 and 2008: 2009
2008 ---- ---- Operating Activities $6,844,000 $5,044,000 Investing
Activities (4,467,000) (7,977,000) Financing Activities (350,000)
3,175,000 Samuel A. Landy, President, stated, "UMH has continued to
perform and deliver reliable earnings despite the challenging
economy. Our adjusted FFO increased 17% from $.35 per share for the
six months ended June 30, 2008 to $.41 per share for the six months
ended June 30, 2009. Income from community operations increased 12%
from $6,038,000 for the six months ended June 30, 2008 to
$6,738,000 for the six months ended June 30, 2009. Occupancy has
remained relatively stable at approximately 80%. The Company has
been increasing rental rates and focusing on reducing costs. Cash
provided from operating activities increased 36% from $5,044,000
for the six months ended June 30, 2008 to $6,844,000 for the six
months ended June 30 2009. Our balance sheet remains strong. We
have approximately $5 million in cash, over $23 million in REIT
securities subject to margin and bank loans of $7 million, and a
low leverage ratio. The fair value of our securities portfolio
increased by $600,000 over the quarter and has continued to grow
through July. Our current earnings projections reflect favorably on
the coverage for our dividend. Lenders are no longer enabling
borrowers to purchase more housing than they can afford. We are
hopeful that we will regain occupancy that was lost as a result of
the subprime housing debacle. Reduced competition coupled with an
improving economy can result in improved operations in the future."
UMH, a publicly-owned REIT, owns and operates twenty-eight
manufactured home communities located in New Jersey, New York,
Pennsylvania, Ohio and Tennessee. In addition, the Company owns a
portfolio of REIT securities. Certain statements included in this
press release which are not historical facts may be deemed
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995. Although the Company
believes the expectations reflected in any forward-looking
statements are based on reasonable assumptions, the Company can
provide no assurance those expectations will be achieved. Factors
and risks that could cause actual results or events to differ
materially from expectations are contained in the Company's annual
report on Form 10-K and described from time to time in the
Company's other filings with the SEC. The Company undertakes no
obligation to publicly update or revise any forward-looking
statements whether as a result of new information, future events,
or otherwise. DATASOURCE: UMH Properties, Inc. CONTACT: Susan
Jordan of UMH, +1-732-577-9997
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