CONSOLIDATED FINANCIAL STATEMENTS - Firm Capital

2y ago
40 Views
2 Downloads
3.02 MB
33 Pages
Last View : 1m ago
Last Download : 2m ago
Upload by : Adalynn Cowell
Transcription

FIRM CAPITAL PROPERTY TRUSTCAPITAL PRESERVATION DISCIPLINED INVESTINGCONSOLIDATEDFINANCIALSTATEMENTSTHIRD QUARTER 2020SEPTEMBER 30, 2020

FIRM CAPITAL PROPERTY TRUSTFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)The accompanying unaudited condensed consolidated interim financial statements of Firm CapitalProperty Trust for the three and nine months ended September 30, 2020 have been prepared by and arethe responsibility of management. These unaudited condensed consolidated interim financial statements,together with the accompanying notes, have been reviewed and approved by members of Firm CapitalProperty Trust’s audit committee. In accordance with National Instrument 51 – 102, Firm Capital PropertyTrust discloses that these unaudited condensed consolidated interim financial statements have not beenreviewed by Firm Capital Property Trust’s auditors

FIRM CAPITAL PROPERTY TRUSTCondensed Consolidated Interim Balance Sheets(Unaudited)September 30,2020NotesDecember 31,2019AssetsNon-current Assets:Investment Properties4 457,514,090 457,777,717Current Assets:Accounts Receivable3,063,3262,782,608Prepaid Expenses, Deposits and Other Assets2,738,6771,674,43649,284192,438Restricted CashCash and Cash Equivalents-Total Current AssetsTotal Assets 12,746,5945,851,28717,396,076463,365,377 475,173,793Liabilities and Unitholders’ EquityCurrent Liabilities:Mortgages7(a)28,203,245Bank Indebtedness65,206,824Accounts Payable and Accrued Liabilities54,737,039Land Lease Liability7(b)Distribution PayableTenant Rental DepositsTotal Current rrent d Lease Liability7(b)254,261292,7141,312,8271,176,981Total Non-current Liabilities209,846,861186,116,602Total 9,075463,365,377 475,173,793Tenant Rental DepositsUnitholders’ Equity8Total Liabilities and Unitholders’ Equity Commitments and Contingencies16Subsequent Events20See accompanying Notes to Condensed Consolidated Interim Financial Statements.Approved by the Board of Trustees(signed) “Robert McKee”(signed) “Sandy Poklar”Robert McKeeSandy PoklarCEO & TrusteeCFO & Trustee2

FIRM CAPITAL PROPERTY TRUSTCondensed Consolidated Interim Statements of Income and Comprehensive IncomeFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)Three Months EndedSept 30,2020NotesNine Months EndedSept 30,2019Sept 30,2020Sept 30,2019Net Operating IncomeRental Revenue9 11,313,104 10,432,798Property Operating Expenses11(3,754,683)(3,644,198) 7,558,421 Interest and Other Income6,788,600 33,545,755 (12,127,586) 21,418,169 ,430Expenses:Finance Costs102,142,7402,444,8936,169,7315,436,379General and 3,259,2313,428,5279,365,0207,857,7684,307,566 3,377,559Income Before Fair Value Adjustments 12,095,984 8,458,019Fair Value Adjustments:Investment Properties4Gain on Sale of Investment Properties4-8(k)(29,306)Unit-based Compensation Recovery/(Expense)Net Income and Comprehensive Income(344,898) 3,933,363 ,628 2,411,949 See accompanying Notes to Condensed Consolidated Interim Financial Statements.37,259,27866,651(497,570)15,286,378

FIRM CAPITAL PROPERTY TRUSTCondensed Consolidated Interim Statements of Changes in Unitholders’ EquityFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)NotesUnitholders’ Equity, December 31, 2018Trust UnitsUnitholders'(Note 8)Retained EarningsEquity 93,333,539 31,114,070 124,447,609Options Exercised8(c)1,234,900-1,234,900Issuance of Units, Net of Issuance Costs8(a)51,797,203-51,797,203Issuance of Units from Distribution Reinvestment Plan8(l)23,554-23,554Net Income and Comprehensive Income-15,286,378DistributionsUnitholders’ Equity, September 30, 20198(m)Issuance of Units, Net of Issuance Costs8(a)27,608,469-27,608,469Issuance of Units from Distribution Reinvestment Plan8(l)31,596-31,596 Net Income and Comprehensive IncomeDistributionsUnitholders’ Equity, December 31, 2019146,389,199 15,286,3788(m) Issuance Costs174,029,265 (8,453,887)(8,453,887)37,946,560 66)55,009,811 229,039,075(147,265)-(147,265)Normal Course Issuer ,000)-(2,115,000)Issuance of Units from Distribution Reinvestment Plan8(l)1,550Net Income/(Loss) and Comprehensive Income/(Loss)-DistributionsUnitholders’ Equity, September 30, 20208(m)Trust Units Outstanding8(a) 167,655,661 13 213,734,074See accompanying Notes to Condensed Consolidated Interim Financial Statements.41,55029,356,013

FIRM CAPITAL PROPERTY TRUSTCondensed Consolidated Interim Statements of Cash FlowsFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)Three Months EndedNotesNine Months EndedSept 30,2020Sept 30,2019Sept 30,20203,933,363 3,815,843 2,411,949 Sept 30,2019Cash Flows from (used in) Operating ActivitiesNet Income/(Loss) and Comprehensive Income/(Loss) 15,286,378Fair Value Adjustments:Investment Properties344,8984Gain on Sale of Investment Properties4Unit-Based Compensation Expense/(Recovery)8(j)-Finance Costs, Net of Interest and Other 4065,928,1315,356,949Finance Fee Amortization1090,951135,409235,775294,833Non-cash Interest Expense1015,308(14,050)(37,009)(62,251)Land Lease Amortization7(b)16,996-51,505Straight-line Rent AdjustmentFree Rent, Net of 6,36224,54550,33949,755-Change in Non-Cash Operating Working Capital:Accounts Receivable491,292Prepaid Expenses, Deposits and Other Assets(735,066)Restricted CashAccounts Payable and Accrued Liabilities5Tenant Rental Deposits1,0088,58521,314759,711(14,794) (799,807)2,485,974112,2366,207,298 8,361,874 81315,292,206 15,546,425(145,715)53,055,657Cash Flows from (used in) Financing ActivitiesIssuance of Units, Net of Issuance Costs8Normal Course Issuer ,000)-(2,115,000)Mortgages, Repayments7(a)(1,447,445)Mortgages, Issuances7(a)Finance Costs Paid(62,333)Cash Interest Paid, Net of Other IncomeCash Distributions Paid43,4Increase/(Decrease) in Cash and Cash EquivalentsCash and Cash Equivalents / (Bank Indebtedness), Beginning of PeriodCash and Cash Equivalents / (Bank Indebtedness), End of 8,148,341)8,546,764 (24,380,667) 138,994,596(1,668,601)(25,309,578) (1,668,601) (25,309,578) 43,1201,548,680(8,908,077) (173,392,677)(8,864,957) ,302,978)2,726,676(5,486,964)12,746,5943,415,075 (5,206,824) (13,887,903) See accompanying Notes to Condensed Consolidated Interim Financial Statements5-(1,360,211)(2,029,560) (12,472,198) Cash Flows from (used in) Investing ActivitiesNet Proceeds From Sale of Investment PropertiesAcquisitions and Capital Expenditures-(5,206,824) (13,887,903)

FIRM CAPITAL PROPERTY TRUSTNotes to Condensed Consolidated Interim Financial StatementsFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)1. The TrustFirm Capital Property Trust (the ‘‘Trust’’) is an unincorporated open-ended real estate investment trustestablished on August 30, 2012 under the laws of the Province of Ontario pursuant to an amended andrestated Declaration of Trust dated November 20, 2012. The Trust is a “mutual fund trust” as defined inthe Income Tax Act (Canada), but is not a “mutual fund” within the meaning of applicable Canadiansecurities legislation. The head office and registered office of the Trust is located at 163 CartwrightAvenue, Toronto, Ontario M6A 1V5. These consolidated financial statements were approved by the Boardof Trustees on November 12, 2020.The Trust owns 100% of the outstanding Class A Limited Partnership Units of Firm Capital PropertyLimited Partnership (“FCPLP”), a limited partnership created under the laws of the Province of Ontario.FCPLP ultimately owns the investment properties through various subsidiaries. The Trust is the reportingissuer trading on the TSX Venture Exchange under the ticker symbol FCD.UN.2. Summary of Significant Accounting Policies(a) Statement of ComplianceThese condensed consolidated interim financial statements have been prepared in accordancewith International Accounting Standard (“IAS”) 34 – Interim Financial Reporting as issued by theInternational Accounting Standards Board (“IASB”). Accordingly, certain information and notedisclosures normally included in the consolidated annual financial statements prepared inaccordance with International Financial Reporting Standards (“IFRS”) have been omitted orcondensed and accordingly, these condensed consolidated interim financial statements shouldbe read in conjunction with the annual financial statements of the Trust as at and for the yearended December 31, 2019. These condensed consolidated interim financial statements havebeen prepared using the same accounting policies and methods as those used in the auditedconsolidated annual financial statements for the year ended December 31, 2019 except asoutlined below.(b) Basis of ConsolidationThe condensed consolidated interim financial statements comprise the financial statements of theTrust and its subsidiaries. The financial statements of the subsidiaries are prepared for the samereporting periods as the Trust, using consistent accounting policies. All intercompany balances,transactions and unrealized gains and losses arising from intercompany transactions areeliminated on consolidation.(c) Basis of Presentation, Measurement and Significant Accounting PoliciesThe condensed consolidated interim financial statements are prepared on a going concern basisand have been presented in Canadian dollars, which is the Trust’s functional currency. Thecondensed consolidated interim financial statements are prepared on the historical cost basis withthe exception of investment properties, cash and cash equivalents and the liabilities related tounit-based compensation expense, which are measured at fair value. The accounting policies setout below have been applied consistently to all periods as presented in the audited consolidatedfinancial statements as at December 31, 2019. Standards issued and adopted for the period aredescribed in note 2(g).(d) Co-Ownership ArrangementThe Trust currently is a co-owner in ten joint arrangements. These arrangements are classifiedas joint operations because the parties involved have joint control of the assets and jointresponsibility of the liabilities relating to the arrangement. As a result, the Trust includes its pro6

FIRM CAPITAL PROPERTY TRUSTNotes to Condensed Consolidated Interim Financial StatementsFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)rata share of its assets, liabilities, revenues, expenses and cash flows in these condensedconsolidated interim financial statements. Management believes the assets of these jointarrangements are sufficient for the purpose of satisfying the associated obligations. The coownership schedule is laid out below:Investment PropertiesJoint Arrangement InterestCentre Ice Retail Portfolio70%Waterloo Industrial Portfolio70%Montreal Industrial Portfolio50%Edmonton Industrial Portfolio50%Ottawa Apartment Complex50%Crombie Retail Portfolio50%FCR Retail Portfolio50%Gateway Retail Portfolio50%The Whitby Mall40%Thickson Place40%Certain Trustees and Officers of the Trust directly and/or indirectly have interests in certain ofthese Joint Arrangements.(e) EstimatesThe preparation of condensed consolidated interim financial statements requires management tomake estimates that affect the reported amounts of assets and liabilities, the disclosure ofcontingent assets and liabilities at the date of the condensed consolidated interim financialstatements and the reported amounts of revenue and expenses during the reporting period. Actualresults could differ from those estimates. The critical accounting estimates have been set out inthe Trust’s audited consolidated financial statements for the year ended December 31, 2019.(f) Critical JudgmentsCritical judgments have been set out in the Trust’s audited consolidated financial statements forthe year ended December 31, 2019 and accordingly should be read in conjunction with them.(g) New Changes in Accounting Policiesi. Amendments to IFRS 3, Business Combinations. The IASB published amendments toIFRS 3 in relation to whether a transaction meets the definition of a business combination.The amendments clarify the definition of a business, as well as provide additionalillustrative examples, including those relevant to the real estate industry. A significantchange in the amendment is the option for an entity to assess whether substantially all ofthe fair value of the gross assets acquired is concentrated in a single asset or group ofsimilar assets. If such a concentration exists, the transaction is not viewed as an acquisitionof a business and no further assessment of the business combination guidance is required.This will be relevant where the value of the acquired entity is concentrated in one property,or a group of similar properties. The amendments are effective for business combinationsfor which the acquisition date is on or after the beginning of the first annual reporting periodbeginning on or after January 1, 2020, and to asset acquisitions that occur on or after thebeginning of that period. Early application is permitted. The Trust adopted the amendmentsto IFRS 3 on January 1, 2020 and the amendments did not have an impact on thecondensed consolidated interim financial statements.7

FIRM CAPITAL PROPERTY TRUSTNotes to Condensed Consolidated Interim Financial StatementsFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited)ii. Amendments to Reference to the Conceptual Framework in IFRS Standards. On March29, 2018 the IASB issued a revised version of its Conceptual Framework for FinancialReporting (the Framework), that underpins IFRS Standards. The IASB also issuedAmendments to References to the Conceptual Framework in IFRS Standards to updatereferences in IFRS Standards to previous versions of the Conceptual Framework. Bothdocuments are effective from January 1, 2020 with earlier application permitted. The Trustadopted the amendments in its condensed consolidated interim financial statements forthe period beginning on January 1, 2020. The amendments do not have a material impacton the condensed consolidated interim financial statements.iii. Definition of Material (Amendments to IAS 1 and IAS 8). On October 31, 2018, the IASBrefined its definition of material and removed the definition of material omission ormisstatements from IAS 8. The amendments are effective for annual periods beginning onor after January 1, 2020. Early adoption is permitted. The definition of material has beenaligned across IFRS Standards and the Framework. The amendments provide a definitionand explanatory paragraphs in one place. Pursuant to the amendments, information ismaterial if omitting, misstating or obscuring it could reasonably be expected to influencedecisions that the primary users of general purpose financial statements make on the basisof those financial statements, which provide financial information about a specific reportingentity. The Trust adopted the amendments to IAS 1 and IAS 8 in its condensedconsolidated interim financial statements for the period beginning on January 1, 2020. Theamendments do not have a material impact on the condensed consolidated interimfinancial statements.3. Acquisition of Investment PropertiesOn January 4, 2019, the Trust closed on an acquisition of a 100% interest in a 69 unit multi-residentialproperty located in Dartmouth, Nova Scotia. The acquisition price for the property was 11,190,100(including transaction costs). In addition, accounts receivable of 38,986, net of tenant rental deposits of 34,453 were assumed as part of the acquisition. The Trust also assumed a 7,060,283 first mortgageas part of the acquisition.On February 5, 2019, the Trust closed on an acquisition of a 50% interest in a seven retail propertyportfolio (the “Crombie Retail Portfolio”). The properties are located in Alberta, Nova Scotia,Saskatchewan, Ontario and Quebec. The acquisition price for the Trust’s portion of the portfolio was 42,409,350 (including transaction costs). In addition, accounts receivable of 1,500, prepaid expensesof 124,568 were assumed. The Trust also assumed 6,408,687 of first mortgages on two of theproperties as part of the acquisition. The Trust also financed five new mortgages totaling 20,975,000and supplemented one assumed mortgage by 1,026,126 as part of the acquisition.On May 9, 2019, the Trust closed on an acquisition of a 50% interest in a six retail property portfolio (the“FCR Retail Portfolio”). The acquisition price for the Trust’s portion of the portfolio was 136,917,443(including transaction costs). In addition, accounts receivable of 43,211, prepaid expenses of 488,424,net of tenant rental deposits of 226,818 and land lease of 312,530 were assumed as part of theacquisition. The Trust also assumed 30,369,904 of first mortgages on four of the properties as part ofthe acquisition. The Trust also financed one new mortgage totaling 52,850,000 and a vendor take backloan of 9,600,000 as part of this acquisition.On July 9, 2019, the Trust closed on an acquisition of a 50% interest in a grocery-anchored shoppingcentre located in St. Albert, Alberta. The acquisition price for the Trust’s portion of the portfolio was8

FIRM CAPITAL PROPERTY TRUSTNotes to Condensed Consolidated Interim Financial StatementsFor the Three and Nine Months Ended September 30, 2020 and September 30, 2019(Unaudited) 23,482,521 (including transaction costs). In addition, accounts receivable of 9,856, prepaid expensesof 2,934, net of accounts payable of 24,988 and tenant rental deposits of 37,484 were assumed aspart of the acquisition. The Trust also financed a new mortgage of 15,500,000 as part of this acquisition.On October 29, 2019, the Trust closed on an acquisition of a 50% interest in two industrial propertieslocated in Edmonton, Alberta. The acquisition price for the Trust’s portion of the portfolio was 5,757,885(including transaction costs). In addition, accounts receivable of 1,257, prepaid expenses of 1,183, netof accounts payable of 506 and tenant rental deposits of 110,381 were assumed as part of theacquisition.On March 18, 2020, the Trust closed on an acquisition of a 50% interest in two industrial properties locatedin Edmonton and Leduc, Alberta. The acquisition price for the Trust’s portion of the portfolio was 5,421,503 (including transaction costs). In addition, accounts receivable of 2,034, prepaid expenses of 1,413, net of accounts payable of 21,797 and tenant rental deposits of 38,668 were assumed as partof the acquisition.The above noted acquisitions have been accounted for as asset acquisitions using the acquisition method,with the results of operations included in the Trust’s accounts from the date of acquisition. Net assetsacquired during the respective periods are as follows:Period EndedSeptember 30,2020 5,421,503 2,0341,413(21,797)(38,668) 5,364,485 Investment Properties, including Acquisition CostsAccounts ReceivablePrepaid ExpensesAccounts P

consolidated annual financial statements for the year ended December 31, 2019 except as outlined below. (b) Basis of Consolidation . The condensed consolidated interim financial statements comprise the financial statements of the Trust and its subsidiaries. The financial statemen

Related Documents:

Consolidated Statements of Operations 8 Consolidated Statements of Comprehensive Income 9 Consolidated Statements of Changes in Equity 10 Consolidated Statements of Cash Flows 11 Notes to the Consolidated Financial Statements 1. Basis of preparation 12 2. Significant accounting policies

interim financial statements report 04 consolidated interim financial statements 28 financial statements 31 notes to financial statements 37 certification of the condensed consolidated interim financial statements pursuant to art. 154 bis, fifht paragraph, of legislative decree 58/98 and of art. 81 - ter of consob regulation n. 11971/99

Financial reporting 94 Consolidated financial statements 94 Consolidated income statement 95 Consolidated statement of comprehensive income 96 Consolidated balance sheet 97 Consolidated statement of changes in equity 98 Consolidated statement of cash flows 99 Notes to the consolidated

Only Walmart 17 18 Five-Year Financial Summary 19 Management's Discussion and Analysis of Financial Condition and Results of Operations 35 Consolidated Statements of Income 36 Consolidated Statements of Comprehensive Income 37 Consolidated Balance Sheets 38 Consolidated Statements of Shareholders' Equity and Redeemable Noncontrolling Interest 39 Consolidated Statements of Cash Flows

20. Non-GAAP Financial Measures 88 21. Glossary 94 2018 Consolidated Financial Statements and Notes 96 Statement of Management’s Responsibility for Financial Reporting 97 Independent Auditor’s Report 98 Consolidated Statements of Financial Position 100 Consolidated Statements of Operations 101 Consolidated Statements of Comprehensive Income 102

Report of Independent Certified Public Accountants 3 Consolidated Financial Statements Consolidated statements of financial position 5 Consolidated statements of activities 6 . and contracts in support of programs, less allowance for doubtful accounts of 594 in 2021 and 517 in 2020 23,337 29,588 Grants and contributions, net 23,226 23,991 .

Samsung Electronics Co., Ltd. We have audited the accompanying consolidated financial statements of Samsung Electronics Co., Ltd. and its subsidiaries (collectively referred to as the "Company"), which comprise the consolidated statements of financial position as at December 31, 2017 and 2016, and the consolidated statements of

professor; he trades the markets every day. He has good and bad days, like any other trader, but what sets him apart is that he is a real trader. That is what makes him such a great mentor. For him to write a book is a logical next step in his passion to help make other traders successful. With almost 30 years of trading experience, the charisma of an entertainer, coupled with the professional .