Power REIT(US:PW)2021-11-15 21:07Financial Performance - Total revenue for the three months ended September 30, 2021, was $2,547,348, a significant increase from $1,115,586 in the same period of 2020, representing a growth of 128.3%[16] - Net income attributable to common shareholders for the three months ended September 30, 2021, was $1,662,802, up from $506,006 in the same period of 2020, reflecting a growth of 228.5%[16] - Net income for the nine months ended September 30, 2021, was $4,473,834, a significant increase from $1,307,904 in 2020, representing a growth of approximately 242%[22] - Basic income per common share for the nine months ended September 30, 2021, was $1.27, compared to $0.57 in 2020, representing an increase of approximately 123%[36] - The company reported a basic income per common share of $0.50 for the three months ended September 30, 2021, compared to $0.26 for the same period in 2020, an increase of 92.3%[16] Revenue Sources - Rental income increased to $1,751,140 for the three months ended September 30, 2021, compared to $882,625 in the same period of 2020, marking a rise of 98.3%[16] - Total revenue from leases recognized for the nine months ended September 30, 2021, is approximately $5.9 million, compared to $2.1 million for the same period in 2020[69] - Total rental income recognized from affiliated tenants in Colorado, Oklahoma, and Michigan was $262,362, $151,872, and $256,298, respectively, for the nine months ended September 30, 2021[82] Assets and Liabilities - Total assets as of September 30, 2021, reached $87,470,428, compared to $40,539,219 as of December 31, 2020, indicating an increase of 115.0%[14] - Total liabilities as of September 30, 2021, were $26,515,739, a slight increase from $25,329,062 as of December 31, 2020, showing a growth of 4.7%[14] - The total equity as of September 30, 2021, was $52,464,737, up from $11,718,008 as of December 31, 2020, reflecting a substantial increase of 347.5%[14] Cash Flow - Cash and cash equivalents increased to $9,277,605 as of September 30, 2021, from $5,601,826 as of December 31, 2020, representing a growth of 65.5%[14] - Net cash provided by operating activities increased to $6,081,876 for the nine months ended September 30, 2021, compared to $1,982,199 in 2020, marking a growth of about 206%[22] - The Trust's cash and cash equivalents at the end of the period were $9,277,605, up from $7,639,392 in 2020, reflecting a positive cash flow position[22] Investments and Acquisitions - Power REIT completed the acquisition of the Canndescent Property for $7.685 million, funded by $2.685 million in cash and the issuance of 192,308 shares of Series A Preferred Stock[51] - The total capital commitment for the Walsenburg Property acquisition is approximately $3.9 million, with $1.6 million allocated for upgrades and additional greenhouse construction[55] - Power REIT's largest acquisition to date is the PW Marengo Property, purchased for $18.392 million, with a total capital commitment of approximately $21.5 million for improvements[58] - The total assets acquired from the Canndescent Property are valued at $7,784,789, including land, improvements, and capitalized acquisition costs[52] Dividends and Shareholder Returns - The company declared cash dividends of $0.48 per Series A Preferred Share for the three months ended September 30, 2021, consistent with the previous year[16] - The Trust paid approximately $490,000 in dividends to holders of Series A Preferred Stock during the nine months ended September 30, 2021[80] - Cash dividends paid on preferred stock during the nine months ended September 30, 2021, totaled approximately $489,621, compared to $210,174 in 2020, indicating an increase of 132.9%[22] Operational Highlights - The company has continued to expand its greenhouse cultivation and processing facilities, with total real estate assets increasing to $72,139,936 as of September 30, 2021, from $29,876,105 as of December 31, 2020[14] - The Trust recorded depreciation expense of approximately $569,000 for the nine months ended September 30, 2021, compared to $96,000 in 2020, reflecting increased asset acquisitions and improvements[41] - Power REIT is monitoring the impact of COVID-19 on its operations, particularly regarding supply chain disruptions affecting construction timelines[42] Stock and Compensation - The total unrecognized share-based compensation expense as of September 30, 2021, was approximately $891,000, which will be recognized through the second quarter of 2024[78] - The Trust recorded approximately $268,000 of non-cash expense related to restricted stock and options granted during the nine months ended September 30, 2021, compared to approximately $189,000 for the same period in 2020[78] - The weighted average remaining term of stock options is less than one year, with a balance of 106,000 options as of September 30, 2021[74]