Feldman Mall Properties reported its delayed year-end earnings, putting to rest any lingering questions about the company's performance.
Most importantly, the company reported net income for the year ended December 31, 2006, of $20.2 million, or $1.54 per diluted share, as compared to a net loss of $2.6 million, or $0.21 per share for the year ended December 31, 2005. Meanwhile, its fourth quarter FFO of $0.18 per share was in line with the company's guidance of $0.18 to $0.20 per share and in line with analysts' expectations. Full-year FFO was $0.80 per diluted share, up from $0.78 per diluted share in 2005.
Analysts from both RBC Capital Markets and Friedman Billings Ramsey issued reports judging the results sound and both expressed optimism about the progress the company is making in repositioning its portfolio.
The company also has said it will take steps to avoid future late filings.
According to a company statement the firm, “lacked the sufficient number of personnel to ensure that the financial statements were prepared on a timely basis. As a result, the Company was unable to adequately complete its necessary procedures on time.… At the beginning of 2007 management commenced hiring and training additional personnel to correct this material weakness.”
Feldman said that the results for 2006 include a $29.4 million gain on the partial sales of the Foothills Mall.