Apartment Investment and Management 1Q FFO declines

Apartment Investment and Management Co. said Friday its first-quarter funds from operations declined, in part on fewer gains from real estate sales.

The apartment real estate investment trust reported funds from operations fell to $67.4 million, or 72 cents per share, from $74.1 million, or 71 cents per share.

Analysts expected FFO of 70 cents per share, according to a Thomson Financial survey.

Including deductions for capital replacement expenditures, FFO slipped to $46.8 million, or 51 cents per share, from $57.9 million, or 55 cents per share.

Prior-year results included a one-time $42.2 million gain on debt extinguishment.

FFO, which the real estate industry uses to gauge operating performance, adds depreciation and amortization expenses, as well as other non-operating items, back to net income.

For the period ended March 31, the company swung to a loss after preferred dividends of $38.8 million, or 43 cents per share, compared with a profit of $8.9 million, or 9 cents per share, a year earlier.

Loss from continuing operations was $26.2 million, or 44 cents per share, compared with a loss of $6 million, or 22 cents per share, in the previous year.

Quarterly revenue improved to $432.6 million, up 6 percent from $408.1 million in the prior year.