Comstock Holding Companies, Inc., (NASDAQ:CHCI), announced
results for the three and nine month periods ended September
30, 2016:
Highlights of Third Quarter 2016:
- Unit deliveries of 33, generating
homebuilding revenue of $12.9 million for the three
months ended September 30, 2016 compared to unit
deliveries of 24 generating $12.0 million of homebuilding
revenue for the same period in 2015;
- Unit deliveries of 76, generating
homebuilding revenue of $32.1 million for the nine months ended
September 30, 2016 compared to unit deliveries of 70 generating
$34.2 million of homebuilding revenue for the same period in
2015;
- Controlled community count and open
community count of 15 and 12, respectively, at September 30,
2016 compared to 19 and 10, respectively at September 30,
2015;
- Comstock has begun development and
sales of three new projects in Virginia, Maryland, and Washington,
D.C. during recent months, which collectively represent more than
$52 million of potential future revenues;
- During the Quarter, the Company
completed its most recent private placement offering, Comstock
Investors X, L.C., providing $14.5 million of new capital at a
fixed preferred return of 6%. This capital will be utilized in
connection with the development of certain projects scheduled to
begin generating revenue in 2017.
- The Company recognized impairment
recoveries of $0.7 million, related to the recovery of previously
written off land contract deposits, and write-offs of $0.8 million,
related to deposits and entitlement costs determined to be
non-recoverable, in the three and nine-months ended September 30,
2016.
Chairman and CEO, Christopher Clemente commented, "Our
effort to reduce operating costs over the past few years has
substantially rationalized overhead expenses. During the three
month period ended September 30, 2016, our fixed operating costs
decreased $0.6 million (33%) as compared to the same period in 2015
and for the nine months ending September 30, 2016, our fixed
operating costs decreased $1.5 million (27%) as compared to the
same period in 2015. These efforts together with the lower cost of
capital provided through recent private placement offerings,
position Comstock to enhance results in future periods.”
COMSTOCK COMMUNITIES NOW OPEN
Comstock currently has 12 communities open for sale
in Virginia, Maryland, and Washington, D.C., priced from the
high $200s to the $900s. For further details on the open
communities, see the attached Pipeline Report as of September
30, 2016 and the Form 10-Q filed by the company
on November 14, 2016 or
visit www.ComstockHomes.com.
About Comstock Holding Companies, Inc.
Comstock is a homebuilding and multi-faceted real estate
development and services company that builds a wide range of
housing products through its wholly owned subsidiary, Comstock
Homes of Washington, LC. Our track record of developing
numerous successful new home communities more than 6,000 homes,
together with our substantial experience in building a diverse
range of products including apartments, single-family homes,
townhomes, mid-rise condominiums, high-rise condominiums and
mixed-use (residential and commercial) developments has positioned
Comstock as a leading developer and homebuilder in
the Washington, D.C. metropolitan area. Comstock is a
publicly traded company, trading on NASDAQ under the
symbol CHCI. For more information about Comstock or its new home
communities, please visit www.comstockhomes.com.
Cautionary Statement Regarding Forward-Looking
Statements
This release includes "forward-looking" statements that are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. These forward-looking statements can
be identified by the use of words such as "anticipate," "believe,"
"estimate," "may," "intend," "expect," "will," "should," "seeks" or
other similar expressions. Forward-looking statements are based
largely on our expectations and involve inherent risks and
uncertainties, many of which are beyond our control. You should not
place undue reliance on any forward-looking statement, which speaks
only as of the date made. Some factors which may affect the
accuracy of the forward-looking statements apply generally to the
real estate industry, while other factors apply directly to us. Any
number of important factors which could cause actual results to
differ materially from those in the forward-looking statements
include, without limitation: completion of Comstock's financial
accounting and review procedures; general economic and market
conditions, including interest rate levels; our ability to service
our debt; inherent risks in investment in real estate; our ability
to compete in the markets in which we operate; economic risks in
the markets in which we operate, including actions related to
government spending; delays in governmental approvals and/or land
development activity at our projects; regulatory actions;
fluctuations in operating results; our anticipated growth
strategies; shortages and increased costs of labor or building
materials; the availability and cost of land in desirable areas;
adverse weather conditions or natural disasters; our ability to
raise debt and equity capital and grow our operations on a
profitable basis; and our continuing relationships with affiliates.
Additional information concerning these and other important risk
and uncertainties can be found under the heading "Risk Factors" in
our Annual Report on Form 10-K, as filed with the Securities
and Exchange Commission, for the fiscal year ended December
31, 2015. Our actual results could differ materially from these
projected or suggested by the forward-looking statements. Comstock
claims the protection of the safe harbor for forward-looking
statements contained in the Private Securities Litigation Reform
Act of 1995 for all forward-looking statements contained herein.
Comstock specifically disclaims any obligation to update or revise
any forward-looking statements, whether as a result of new
information, future developments or otherwise.
COMSTOCK HOLDING COMPANIES, INC. AND
SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Amounts in
thousands, except share and per share data)
September 30,2016
December 31,2015
(unaudited)
ASSETS Cash and cash equivalents $ 2,464 $
12,448 Restricted cash 2,556 2,566
Trade receivables
514 332 Real estate inventories 48,189 38,223 Fixed assets, net 282
394 Other assets, net
2,570
4,515 TOTAL ASSETS $
56,575
$ 58,478
LIABILITIES AND STOCKHOLDERS’
EQUITY Accounts payable and accrued liabilities $ 12,155 $
7,638 Notes payable - secured by real estate inventories 24,848
24,823 Notes payable - due to affiliates, unsecured, net of
discount 15,763 19,028 Notes payable - unsecured 1,161 1,548 Income
taxes payable 21 - TOTAL LIABILITIES
53,948 53,037 Commitments and
contingencies STOCKHOLDERS’ EQUITY (DEFICIT) Preferred stock $0.01
par value, 824,058 and 772,210 shares issued and liquidation
preference of $4,120 and $3,861 at September 30, 2016 and December
31, 2015, respectively $ 1,252 $ 1,174
Class A common stock, $0.01 par value,
11,038,071 shares authorized, 3,028,225
and 2,997,437 issued, and outstanding, respectively 30 30 Class B
common stock, $0.01 par value, 390,500 shares authorized, issued,
and outstanding 4 4 Additional paid-in capital 176,078 175,963
Treasury stock, at cost (85,570 shares Class A common stock) (2,662
) (2,662 ) Accumulated deficit
(180,464
) (175,785 ) TOTAL COMSTOCK HOLDING COMPANIES, INC. DEFICIT
(5,762
) (1,276 ) Non-controlling interests 8,389
6,717 TOTAL EQUITY
2,627
5,441 TOTAL LIABILITIES AND STOCKHOLDERS’
EQUITY $
56,575
$ 58,478
COMSTOCK HOLDING COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF OPERATIONS (Amounts in
thousands, except per share data) Three Months Ended
September 30, Nine Months Ended September 30,
2016 2015 2016 2015 (unaudited)
(unaudited) (unaudited) (unaudited) Revenues Revenue—homebuilding $
12,880 $ 12,043 $ 32,102 $ 34,168 Revenue—other 223
245 685 1,001 Total
revenue 13,103 12,288 32,787 35,169 Expenses Cost of
sales—homebuilding 11,985 10,749 29,815 29,933 Cost of sales—other
85 103 329 456
Impairment charges and recovery, net
91
-
91
- Sales and marketing 427 498 1,313 1,412 General and
administrative 1,236 1,853 4,151 5,686 Interest and real estate tax
expense 133 100 655
426 Operating loss
(854
) (1,015 )
(3,567
) (2,744 ) Other income, net 98 28
119 802 Loss before income tax expense
(756
) (987 )
(3,448
) (1,942 ) Income tax expense - (36 )
(57 ) (23 ) Net loss
(756
) (1,023 )
(3,505
) (1,965 ) Net income attributable to non-controlling interests
290 68 1,174 877
Net loss attributable to Comstock Holding Companies, Inc.
(1,046
) (1,091 )
(4,679
) (2,842 ) Paid-in-kind dividends on Series B Preferred Stock
87 - 259 -
Net loss attributable to common stockholders $
(1,133
) $ (1,091 ) $
(4,938
) $ (2,842 ) Basic net loss per share $
(0.34
) $ (0.33 ) $
(1.49
) $ (0.90 ) Diluted net loss per share $
(0.34
) $ (0.33 ) $
(1.49
) $ (0.90 ) Basic weighted average shares outstanding 3,326
3,284 3,317 3,166 Diluted weighted average shares outstanding 3,326
3,284 3,317 3,166
Pipeline Report as
of September 30, 2016 Project State
ProductType (1)
EstimatedUnits atCompletion
UnitsSettled
Backlog (8)
UnitsOwnedUnsold
Units UnderControl (2)
Total UnitsOwned,Unsettled andUnder
Control
AverageNew OrderRevenue PerUnit to
Date
City Homes at the Hampshires DC SF 38 38
- - - - $ 747 Townes at
the Hampshires (3) DC TH 73 73 - - - - $ 551 Estates at Falls Grove
VA SF 19 16 2 1 - 3 $ 543 Townes at Falls Grove VA TH 110 78 3 29 -
32 $ 301 Townes at Shady Grove Metro MD TH 36 26 - 10 - 10 $ 626
Townes at Shady Grove Metro (4) MD SF 3 3 - - - - $ 199 Momentum |
Shady Grove Metro (5) MD Condo 110 - - 110 - 110 $ - Estates at
Emerald Farms MD SF 84 78 5 1 - 6 $ 431 Townes at Maxwell Square MD
TH 45 45 - - - - $ 421 Townes at Hallcrest VA TH 42 27 13 2 - 15 $
463 Estates at Leeland VA SF 24 2 8 14 - 22 $ 460 Villas | Preserve
at Two Rivers 28' MD TH 6 4 1 1 - 2 $ 454 Villas | Preserve at Two
Rivers 32' MD TH 10 9 1 - - 1 $ 507 Marrwood East (7) VA SF 35 - 2
33 - 35 $ 637 Townes at Richmond Station VA TH 54 - - - 54 54 $ -
Richmond Station Multi-family VA MF 104 - - - 104 104 $ - Townes at
Totten Mews (6) DC TH 40 - - 40 - 40 $ - The Towns at 1333 VA TH 18
- - 18 - 18 $ - The Woods at Spring Ridge MD SF 21 -
- 21 - 21 $ -
Total
872 399 35 280
158 473 (1) "SF"
means single family home, "TH" means townhouse, "Condo" means
condominium, "MF" means multi-family. (2) Under land option
purchase contract, not owned. (3) 3 of these units are subject to
statutory affordable dwelling unit program. (4) Units are subject
to statutory moderately priced dwelling unit program; not
considered a separate community. (5) 18 of these units are subject
to statutory moderately priced dwelling unit program. (6) 5 of
these units are subject to statutory affordable dwelling unit
program. (7) 1 of these units is subject to statutory affordable
dwelling unit program. (8) "Backlog" means we have an executed
order with a buyer but the settlement did not occur prior to report
date.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20161114006647/en/
Company:Comstock Holding Companies, Inc.Christopher Conover,
703-230-1985Chief Financial OfficerorInvestor Relations:LHAJody
Burfening / Harriet Fried, 212-838-3777hfried@lhai.com
Comstock Holding Companies (NASDAQ:CHCI)
Historical Stock Chart
From Apr 2024 to May 2024
Comstock Holding Companies (NASDAQ:CHCI)
Historical Stock Chart
From May 2023 to May 2024