UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) August 8, 2005
BRT REALTY TRUST
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(Exact name of Registrant as specified in charter)
Massachusetts 001-07172 13-2755856
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(State or other (Commission file No.) (IRS Employer
jurisdiction of I.D. No.)
incorporation)
60 Cutter Mill Road, Suite 303, Great Neck, New York 11021
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code 516-466-3100 Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing obligation of the registrant under any of the following
provisions (see General Instruction A.2. below):
Written communications pursuant to Rule 425 under the Securities Act (17
CFR 230.425)
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
Pre-commencement communications pursuant to Rule 14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))
Pre-commencement communications pursuant to Rule 13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))
Item 2.02. Results of Operations and Financial Condition
Attached hereto is a copy of a Press Release issued by the registrant on August
8, 2005. The Press Release discloses information regarding the registrant's
results of operations for the quarter and nine months ended June 30, 2005.
Item 9.01 Financial Statements and Exhibits
(a) Financial Statements of Businesses Acquired. Not Applicable.
(b) Pro Forma Financial Information. Not Applicable.
(c) Exhibits.
99.1 Press release issued August 8, 2005.
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned officer thereunto duly authorized.
BRT REALTY TRUST
Date: August 9, 2005 By: /s/ Simeon Brinberg
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Simeon Brinberg
Secretary
EXHIBIT 99.1
BRT REALTY TRUST
60 CUTTERMILL ROAD, SUITE 303
GREAT NECK, NY 11001
Telephone No.: 516-466-3100
Facsimile No.: 516-466-3132
www.brtrealty.com
BRT REALTY TRUST
ANNOUNCES RESULTS OF OPERATIONS
FOR THE QUARTER AND NINE MONTHS ENDED JUNE 30, 2005
Great Neck, New York - August 8, 2005 - BRT Realty Trust (NYSE: BRT) today
announced its results of operations for the three and nine months ended June 30,
2005. For the three months ended June 30, 2005, BRT reported total revenues of
$6,364,000 and net income of $3,187,000, or $.41 per share on a diluted basis.
This compares with total revenues, net income and net income per share on a
diluted basis of $4,886,000, $2,309,000, and $.30 per share, respectively, for
the three months ended June 30, 2004. Net income for the three months ended June
30, 2004 includes gain from the sale of available-for-sale securities and real
estate assets totaling $563,000, or $.07 per share. The weighted average number
of common shares outstanding on a diluted basis was 7,834,539 and 7,738,076 for
the three months ended June 30, 2005 and June 30, 2004, respectively.
BRT also reported that for the nine months ended June 30, 2005, it had total
revenues of $18,440,000 and net income of $10,537,000, or $1.35 per share on a
diluted basis. Net income for the nine months ended June 30, 2005 includes gain
from the sale of available-for-sale securities of $680,000, or $.09 per share.
This compares with total revenues, net income and net income per share on a
diluted basis of $13,154,000, $8,854,000, and $1.14 per share, respectively, for
the nine months ended June 30, 2004. Net income for the nine months ended June
30, 2004 includes gain from the sale of available-for-sale securities and real
estate assets totaling $2,791,000, or $.36 per share. The weighted average
number of common shares outstanding on a diluted basis was 7,796,446 and
7,733,032 for the nine months ended June 30, 2005 and June 30, 2004,
respectively.
Revenues increased quarter versus quarter and nine months versus nine months by
30% and 40%, respectively. Jeffrey A. Gould, President and Chief Executive
Officer of BRT, noted that the increase in revenues in both periods was due
primarily to an increase in the average balance of loans outstanding and an
increase in the average interest rate earned on the loan portfolio. The average
balance of loans outstanding increased by approximately $28.7 million, or 25%,
for the three months ended June 30, 2005 compared with the three months ended
June 30, 2004, and by approximately $34.2 million, or 35%, for the nine months
ended June 30, 2005 compared with the nine months ended June 30, 2004.
Commenting further, Mr. Gould noted that total expenses increased by $84,000, or
3%, quarter over quarter, and by $1,496,000, or 21%, nine months versus nine
months. Interest expense increased by $633,000, or 170%, quarter versus quarter,
and $1,675,000, or 205%, nine months versus nine months primarily due to
borrowing under BRT's credit facilities to fund the increased level of loan
originations. The increase in expenses was also attributable to an increase in
the advisor's fee of $95,000, or 24%, quarter over quarter, and $257,000, or
25%, nine months versus nine months, also due primarily to the increased loan
portfolio. General and administrative expenses increased by $124,000, or 12%,
for the three months ended June 30, 2005 and $342,000, or 12%, for the nine
months ended June 30, 2005 primarily due to fees resulting from Sarbanes-Oxley
compliance activities, and increases in payroll and payroll related expenses and
insurance costs. The increases in expenses were offset by a decline in other
taxes of $129,000 quarter versus quarter and $44,000 nine months versus nine
months, and a decline in real estate operating expenses of $655,000 quarter
versus quarter, and $764,000 nine months versus nine months, due primarily to a
"non-recurring" litigation expense incurred in the prior three and nine month
periods in connection with a litigation which was resolved in June 2004.
BRT Realty Trust is a mortgage-oriented real estate investment trust.
Certain information contained herein is forward looking within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the
Securities and Exchange Act of 1934, as amended. BRT intends such forward
looking statements to be covered by the safe harbor provisions for forward
looking statements contained in the Private Securities Litigation Reform Act of
1995 and includes this statement for purposes of complying with these safe
harbor provisions. The forward looking statements should not be relied upon
since they involve known and unknown risks, uncertainties and other factors,
which, in some cases, are beyond BRT's control and could materially affect
actual results, performance or achievements.
Contact: Simeon Brinberg - (516) 466-3100
BRT REALTY TRUST
CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
(In thousands, except per share data)
Three Months Ended Nine Month Ended
June 30, June 30,
2005 2004 2005 2004
---- ---- ---- ----
Revenues $6,364 $ 4,886 $18,440 $13,154
Expenses 3,246 3,162 8,629 7,133
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Income before equity in earnings of
unconsolidated real estate joint ventures,
gain on sale of available-for-sale securities,
minority interest and discontinued operations 3,118 1,724 9,811 6,021
Equity in earnings of unconsolidated joint ventures 82 33 83 74
----- ----- ----- -----
Income before gain on sale of available-for-sale
securities, minority interest and discontinued
operations 3,200 1,757 9,894 6,095
Gain on sale of available-for-sale securities - 4 680 1,641
Minority Interest (13) (11) (37) (32)
----- ----- ----- -----
Income before discontinued operations 3,187 1,750 10,537 7,704
Discontinued operations:
Gain on sale of real estate operations - 559 - 1,150
----- ----- ---- -----
Net income $3,187 $2,309 $10,537 $8,854
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Income per share of beneficial interest:
Income from continuing operations $ 0.41 $ 0.23 $ 1.36 $ 1.01
Discontinued operations - 0.07 - 0.15
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Basic earnings per share $ 0.41 $ 0.30 $ 1.36 $ 1.16
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Income from continuing operations $ 0.41 $ 0.23 $ 1.35 $ .99
Discontinued operations - 0.07 - 0.15
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Diluted earnings per share $ 0.41 $ 0.30 $ 1.35 $ 1.14
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Cash distribution per common share: $ 0.50 $ 0.48 $ 1.46 $ 1.31
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Weighted average number of
common shares outstanding:
Basic 7,779,184 7,650,471 7,729,650 7,605,366
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Diluted 7,834,539 7,738,076 7,796,446 7,733,032
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