Delaware | 0-4408 | 72-0654145 | ||
(State or other jurisdiction | (Commission | (IRS Employer | ||
of incorporation) | File Number) | Identification No.) | ||
One Crescent Drive, Suite 203, Navy Yard Corporate Center Philadelphia, PA | 19112 | |||
(Address of principal executive offices) | (Zip Code) |
(d) | The exhibit furnished as part of this report is identified in the Exhibit Index immediately following the signature page of this report. Such Exhibit Index is incorporated herein by this reference. |
Resource America, Inc. | ||||
Date: | May 4, 2016 | By: | /s/ Thomas C. Elliott | |
Thomas C. Elliott | ||||
Senior Vice President and Chief Financial Officer |
Exhibit No. | Description | |||
Ex 99.1 | Press Release |
CONTACT: | THOMAS C. ELLIOTT | |
CHIEF FINANCIAL OFFICER | ||
RESOURCE AMERICA, INC. | ||
ONE CRESCENT DRIVE, SUITE 203 | ||
PHILADELPHIA, PA 19112 |
March 31, | |||||||
2016 | 2015 | ||||||
Financial fund management | $ | 17.6 | $ | 16.3 | |||
Real estate | 4.0 | 3.6 | |||||
Commercial finance | 0.8 | 0.7 | |||||
$ | 22.4 | $ | 20.6 | ||||
Net assets under management (1) | $ | 9.5 | $ | 10.0 |
(1) | Net assets under management represents the proportionate share of assets managed by the Company after reflecting joint venture arrangements. At March 31, 2016, net assets reflect the Company's 24% interest in CVC Credit Partners, L.P. ("CCP"), the Company's global joint venture, while net assets as of March 31, 2015 reflect the Company's 33% interest in CCP. |
• | Raised $43.3 million during the three months ended March 31, 2016 and closed with a total of $556.0 million. |
• | Acquired $149.9 million of assets and placed $28.8 million of financing during the three months ended March 31, 2016. |
• | Increased total assets to $634.9 million at March 31, 2016. |
• | The Company's real estate operating segment increased its gross assets under management at March 31, 2016 to $4.0 billion, an increase of $437.0 million, or 12%, from March 31, 2015. |
• | Real estate revenues increased 13% to $19.2 million for the three months ended March 31, 2016 as compared to $17.0 million for the three months ended March 31, 2015. |
• | The Company's financial fund management operating segment increased its gross assets under management at March 31, 2016 to $17.6 billion, an increase of $1.3 billion, or 8%, from March 31, 2015. |
• | The Company repurchased 561,134 of its shares during the first quarter ended March 31, 2016 at an average price of $6.19 per share. |
• | The Company's Board of Directors authorized a cash dividend of $0.06 per share on the Company’s common stock which was paid on April 29, 2016 to holders of record as of the close of business on April 15, 2016. |
• | RSO's Board of Directors declared a cash dividend of $0.42 per share on its common stock for the three months ended March 31, 2016. |
March 31, 2016 | December 31, 2015 | ||||||
(unaudited) | |||||||
ASSETS | |||||||
Cash | $ | 18,348 | $ | 24,132 | |||
Restricted cash | 1,044 | 937 | |||||
Receivables | 3,082 | 3,228 | |||||
Loans and receivables from managed entities and related parties, net | 22,427 | 26,667 | |||||
Investments in real estate, net | 15,752 | 16,022 | |||||
Investment securities, at fair value | 44,758 | 45,672 | |||||
Investments in unconsolidated loan manager | 31,512 | 32,616 | |||||
Investments in unconsolidated entities | 21,168 | 17,553 | |||||
Property and equipment, net | 5,061 | 5,371 | |||||
Deferred tax assets, net | 27,653 | 29,264 | |||||
Other assets | 13,781 | 9,733 | |||||
Total assets | $ | 204,586 | $ | 211,195 | |||
LIABILITIES AND EQUITY | |||||||
Liabilities: | |||||||
Accrued expenses and other liabilities | $ | 22,502 | $ | 27,184 | |||
Payables to managed entities and related parties | 2,811 | 3,145 | |||||
Borrowings | 20,597 | 20,747 | |||||
Total liabilities | 45,910 | 51,076 | |||||
Commitments and contingencies | |||||||
Equity: | |||||||
Preferred stock, $1.00 par value, 1,000,000 shares authorized; none outstanding | — | — | |||||
Common stock, $.01 par value, 49,000,000 shares authorized; 35,866,472 and 34,973,987 shares issued (including nonvested restricted stock of 1,778,341 and 1,095,238), respectively | 348 | 339 | |||||
Additional paid-in capital | 312,432 | 311,491 | |||||
Accumulated deficit | (28,783 | ) | (30,676 | ) | |||
Treasury stock, at cost; 15,029,534 and 14,460,024 shares, respectively | (143,204 | ) | (139,858 | ) | |||
Accumulated other comprehensive loss | (4,853 | ) | (3,533 | ) | |||
Total stockholders’ equity | 135,940 | 137,763 | |||||
Noncontrolling interests | 22,736 | 22,356 | |||||
Total equity | 158,676 | 160,119 | |||||
Total liabilities and equity | $ | 204,586 | $ | 211,195 |
Three Months Ended | |||||||
March 31, | |||||||
2016 | 2015 | ||||||
REVENUES: | |||||||
Real estate | $ | 19,163 | $ | 16,966 | |||
Financial fund management | 6,729 | 6,875 | |||||
Commercial finance | 76 | (2 | ) | ||||
Total revenues | 25,968 | 23,839 | |||||
COSTS AND EXPENSES: | |||||||
Real estate | 11,018 | 11,499 | |||||
Financial fund management | 3,680 | 3,063 | |||||
Commercial finance | 392 | 579 | |||||
General and administrative | 4,883 | 3,297 | |||||
Provision for credit losses | 109 | 402 | |||||
Depreciation and amortization | 504 | 457 | |||||
Total expenses | 20,586 | 19,297 | |||||
OPERATING INCOME (LOSS) | 5,382 | 4,542 | |||||
OTHER INCOME (EXPENSE): | |||||||
Gain (loss) on sale of investment securities, net | 498 | — | |||||
Impairment on investments in available for sale securities | (98 | ) | — | ||||
Interest expense | (440 | ) | (421 | ) | |||
Other income (expense), net | 507 | 314 | |||||
467 | (107 | ) | |||||
Income (loss) from continuing operations before taxes | 5,849 | 4,435 | |||||
Income tax provision (benefit) | 2,446 | 1,244 | |||||
Net income (loss) | 3,403 | 3,191 | |||||
Net (income) loss attributable to noncontrolling interests | (366 | ) | (1,657 | ) | |||
Net income (loss) attributable to common shareholders | $ | 3,037 | $ | 1,534 | |||
Basic earnings (loss) per share: | |||||||
Net income (loss) | $ | 0.15 | $ | 0.07 | |||
Weighted average shares outstanding | 20,611 | 22,965 | |||||
Diluted earnings (loss) per share: | |||||||
Net income (loss) | $ | 0.15 | $ | 0.07 | |||
Weighted average shares outstanding | 20,889 | 23,239 |
Three Months Ended | |||||||
March 31, | |||||||
2016 | 2015 | ||||||
Net income (loss) attributable to common shareholders - GAAP | $ | 3,037 | $ | 1,534 | |||
Adjustments, net of tax: | |||||||
Loss attributable to commercial finance | 242 | 526 | |||||
Deferred tax provision | 177 | 151 | |||||
Adjusted net income attributable to common shareholders | $ | 3,456 | $ | 2,211 | |||
Adjusted weighted average diluted shares outstanding | 20,889 | 23,239 | |||||
Adjusted net income attributable to common shareholders per common per share-diluted | $ | 0.17 | $ | 0.10 |
(1) | Adjusted net income attributable to common shareholders presents the Company's operations without the effect of its commercial finance operations and deferred tax provision. The Company believes that this provides useful information to investors since it allows investors to evaluate the Company's progress in both its real estate and financial fund management segments for the three months ended March 31, 2016 and 2015 separately from these items. Adjusted net income attributable to common shareholders should not be considered as an alternative to net income (loss) attributable to common shareholders (computed in accordance with GAAP). Instead, adjusted net income attributable to common shareholders should be reviewed in connection with net income (loss) attributable to common shareholders in the Company's consolidated financial statements to help analyze how the Company's business is performing. |