Clipper Realty (NYSE:CLPR – Get Free Report) announced its quarterly earnings results on Wednesday. The company reported ($0.18) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.07 by ($0.25), FiscalAI reports. The firm had revenue of $40.48 million for the quarter, compared to analysts’ expectations of $38.70 million.
Here are the key takeaways from Clipper Realty’s conference call:
- Positive sentiment: Residential leasing remained strong: stabilized properties were 99% leased overall, and third-quarter new free-market rents exceeded prior rents by 9%, with renewals up 5%. Prospect House was fully occupied for its first full quarter.
- Negative sentiment: Third-quarter AFFO fell to $4.1 million, or $0.10 per share, from $5.6 million, or $0.13, a year earlier; net loss widened to $5.9 million. Management attributed much of the decline to the loss of the New York City tenant at 250 Livingston Street, alongside higher taxes, insurance, and legal expenses.
- Positive sentiment: Revenue rose $2.8 million year over year to a quarterly record of $40.5 million, driven by higher residential rents and occupancy and a full quarter of contribution from Prospect House.
- Negative sentiment: Refinancing remains a risk: management said some recent lender discussions point to rates around 5.5%, above current borrowing costs, and it is too early to say whether the Flatbush Gardens refinancing will require additional equity or affect the dividend. The quarterly dividend was held at $0.095 per share.
- Neutral sentiment: Clipper ended the quarter with $30.6 million in unrestricted cash and $23.1 million in restricted cash; 88% of operating debt was fixed-rate at an average rate of 3.68%. Residential rent collections were approximately 93% of billings.
Clipper Realty Stock Performance
NYSE CLPR traded down $0.08 on Friday, hitting $3.22. The stock had a trading volume of 33,723 shares, compared to its average volume of 73,832. The firm has a 50-day moving average of $3.24 and a 200-day moving average of $3.18. Clipper Realty has a 52-week low of $2.69 and a 52-week high of $3.94. The company has a market capitalization of $52.04 million, a price-to-earnings ratio of -3.32 and a beta of 0.99.
Clipper Realty Announces Dividend
The company also recently announced a quarterly dividend, which will be paid on Wednesday, November 25th. Shareholders of record on Tuesday, November 17th will be paid a $0.0950 dividend. The ex-dividend date is Tuesday, November 17th. This represents a $0.38 annualized dividend and a yield of 11.8%. Clipper Realty’s dividend payout ratio is currently -40.86%.
Insiders Place Their Bets
In other Clipper Realty news, COO Jacob Bistricer acquired 73,500 shares of the stock in a transaction that occurred on Monday, September 28th. The shares were bought at an average price of $3.35 per share, for a total transaction of $246,225.00. Following the completion of the transaction, the chief operating officer owned 73,500 shares of the company’s stock, valued at approximately $246,225. This represents a ∞ increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Sam Levinson bought 110,710 shares of Clipper Realty stock in a transaction that occurred on Wednesday, September 9th. The shares were acquired at an average price of $3.31 per share, with a total value of $366,450.10. Following the completion of the transaction, the director owned 379,014 shares of the company’s stock, valued at $1,254,536.34. This represents a 41.26% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have bought a total of 484,521 shares of company stock valued at $1,567,874 over the last 90 days. Company insiders own 54.59% of the company’s stock.
About Clipper Realty
Clipper Realty Inc is a self-administered and self-managed real estate investment trust that owns, operates and develops multifamily residential properties in New York City. The company focuses primarily on apartment communities in Manhattan and Brooklyn, serving residents through rental housing and related property-management services.
Clipper Realty’s business includes acquiring well-located residential properties, managing day-to-day operations, maintaining buildings and apartments, and pursuing renovations or other improvements intended to enhance its properties.
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