Gazit-Globe Ltd. (TASE: GLOB) today published its consolidated financial report for the first quarter of 2008. The real estate company's shareholders' equity accruing to shareholders rose 6.4% to NIS 5.2 billion.
Revaluations and the sale of The Mills Corporation during the first quarter of 2007 resulted in large one-time gains for Gazit-Globe. Consequently, Gazit-Globe's net profit fell to NIS 232 million for the first quarter from NIS 786 million for the corresponding quarter. The company's net profit accruing to shareholders, after deducting the share of minority shareholders in subsidiaries, was NIS 87 million (NIS 0.68 per share) for the first quarter of 2008, 79% less than the NIS 415 million for the corresponding quarter. Excluding this deduction, the company's consolidated net profit was NIS 98 million, down 76.4% from the corresponding quarter.
Rental revenue totaled NIS 922 million, up 11% on the corresponding quarter. Funds from operations (FFO) totaled NIS 126 million (NIS 1 per share) for the first quarter, up 12% from the NIS 112 million for the corresponding quarter. Net operating income (NOI) totaled NIS 610 million, 10% more than the NIS 553 million for the corresponding quarter.
Gazit-Globe chairman Chaim Katzman controls the company through a 19.1% held by Gazit Inc. (TASE: GZIT). Gazit-Globe's subsidiaries include Equity One Inc. (NYSE: EQY) in the US, First Capital Realty Inc. (TSX:FCR) in Canada, and Citycon ojy (HEX:CITY1S in Finland. Other subsidiaries include Gazit Brazil LTDA, Gazit Europe (Germany), Gazit-Globe Israel (Development) Ltd., Acad Building & Investments Ltd. and its subsidiary Uri Dori Engineering Works Corp. (TASE: DORI), and US companies Royal Senior Care LLC and ProMed Properties Inc. and its Canadian subsidiary, The company acquired a stake in Austria's Meinl European Land Ltd. (ATX: MEL) during the first quarter.
Published by Globes [online], Israel business news - www.globes-online.com - on May 26, 2008
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