JOPLIN, Mo., July 6, 2007
MONOPOLY I, L.L.C. (M1), a real estate investment company, today announced financial results for its second quarter ended June 30, 2007.
-Revenue for the first half of 2007 exceeded $54,000, $22,000 or 68% over goal.
-Net loss for the first half of 2007 was $13,400 after property depreciation.
-Capital raised since inception of company is $281,500 vs. goal of $240,000.
-Total assets are $1,027,626, in line with annual goal.
Second quarter 2007 and first half 2007 financial results
Revenue: M1’s second quarter revenue was $28,425 compared to $25,749 in the first quarter, an increase of 10% surpassing the company's prior guidance of $16,200.
Net Operating Income: M1’s net operating income was $4,282 compared to $6,748 in 1Q07. The decline in net operating income is due in part to an increase in insurance, depreciation, and repairs on our last purchase (1501 6th Street).
Operating expenses: Operating expenses were $24,143 compared to $19,001 in 1Q07. Spending was above the company's prior guidance due to our early property acquisitions.
Net income: Net loss was $9,724 compared to $3,731 in 1Q07. However, in backing out property depreciation the company experienced a positive cash flow for the first half of 2007.
Earnings per share: Earnings per share were $0.012 for the first half of 2007.
Balance sheet: Cash, cash equivalents, and short-term investments at the end of the second quarter of 2007 were $71,626 compared to $58,574 as of December 31, 2006. The increase is largely due to an increase of $10,265 in value on our CGM Realty fund. Also, since December 31, 2006, long-term assets increased $346,000 to $956,000. The increased includes the purchase of 1501 6th Street and 824 Grand. The company’s debt increased $255,103 to $715,731 also due to the above acquisitions. M1 issued 8,133 member shares. No shares were repurchased during the first half of 2007.
Other developments during the 2nd quarter
Acquisition:
There were no property acquisitions made during the 2Q07.
Additions to executive management team:
During the quarter, M1 announced one key addition to the executive management team.
Jon Gossett was named Vice-President of Information Technology.
Guidance for the third quarter and full year 2007: For the third quarter, ending September 30, 2007, total revenue is expected to be $30,000. We expect an increase in rental income due to our annual rental rate increase that will take effect on September 1, 2007. Operating expenses are expected to be $26,500 as we continue to execute our preventive maintenance plan. Net income and earnings per share for the third quarter are expected to be break even, assuming a weighted average share count of 30,000 shares.
About MONOPOLY I, L.L.C.
MONOPOLY I, L.L.C. (M1), a limited liability company, is engaged in the acquisition, ownership, management, and redevelopment of rental properties. The company rents and leases its rental units to a diverse base of residents. As of July 1, 2007, M1 owned a real estate portfolio of 5 rental properties containing approximately 26 apartment units located in Joplin, Missouri. M1 was founded in 2006 and is headquartered in Joplin, Missouri. For more information about M1, please visit our blog at:
www. monopoly1llc.blogspot.com
Editorial Contact:
William R. Holstine
President/CEO
630.649.1837
wholstine@monopoly1llc.com
© 2007 MONOPOLY I, L.L.C. All rights reserved. MONOPOLY I, L.L.C. is a registered trademark in the state of Missouri.
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