Clipper Realty (NYSE:CLPR) Releases Earnings Results, Misses Estimates By $0.25 EPS

Clipper Realty (NYSE:CLPR) issued its quarterly earnings data on Wednesday. The company reported ($0.18) EPS for the quarter, missing the consensus estimate of $0.07 by ($0.25), FiscalAI reports. The company had revenue of $40.48 million for the quarter, compared to the consensus estimate 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 Trading Down 0.4%

Shares of CLPR traded down $0.01 during mid-day trading on Wednesday, reaching $3.35. 15,462 shares of the stock traded hands, compared to its average volume of 73,959. The company has a market cap of $54.06 million, a price-to-earnings ratio of -3.60 and a beta of 0.99. Clipper Realty has a 1 year low of $2.69 and a 1 year high of $3.94. The firm has a fifty day moving average price of $3.25 and a 200 day moving average price of $3.18.

Clipper Realty Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, August 26th. Stockholders of record on Tuesday, August 18th were given a dividend of $0.0950 per share. This represents a $0.38 dividend on an annualized basis and a dividend yield of 11.4%. The ex-dividend date was Tuesday, August 18th. Clipper Realty’s payout ratio is -40.86%.

Insider Buying and Selling at Clipper Realty

In other Clipper Realty news, COO Jacob Bistricer bought 73,500 shares of Clipper Realty stock in a transaction that occurred on Monday, September 28th. The stock was acquired at an average cost of $3.35 per share, for a total transaction of $246,225.00. Following the completion of the transaction, the chief operating officer directly owned 73,500 shares in the company, valued at $246,225. This represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Sam Levinson bought 9,317 shares of Clipper Realty stock in a transaction that occurred on Thursday, September 24th. The shares were acquired at an average price of $3.38 per share, with a total value of $31,491.46. Following the completion of the transaction, the director owned 411,021 shares of the company’s stock, valued at $1,389,250.98. This represents a 2.32% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have purchased 484,521 shares of company stock valued at $1,567,874 in the last three months. 54.59% of the stock is owned by corporate insiders.

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.