WINNIPEG, MB, Sept. 30, 2020 /CNW/ - Lakeview Hotel Investment
Corp ("LHIC") is pleased to report its financial results for the
Quarter ended June 30, 2020. The
following comments in regard to the financial results should be
read in conjunction with the June 30,
2020 financial statements and Management Discussion and
Analysis which are available on the SEDAR website
www.sedar.com.
The effects of COVID on hotel occupancies for the second quarter
were severe. As this pandemic continues, it is not clear how long
it will remain and the extent that it will continue to affect the
tourism and hospitality sector. LHIC continues to safeguard
employees and customer safety, reduce and/or defer expenses and
minimize non-essential expenditures. At this time it is very
difficult to determine how long it will take for business levels to
normalize.
Following is a comparison of the operating results for the three
and six months ended June 30, 2020
compared to the results of operations for the comparable period in
2019:
|
Three months
ended
June
30,
|
Six months
ended
June
30,
|
|
2020
|
2019
|
2020
|
2019
|
|
Hospitality
Revenue
|
|
|
|
|
|
Room
|
1,072,350
|
3,158,156
|
2,947,608
|
5,701,627
|
|
Food &
Beverage
|
103,519
|
577,473
|
541,411
|
1,094,275
|
|
Other
|
465,674
|
216,904
|
591,072
|
402,586
|
|
Total
Revenue
|
1,641,543
|
3,952,533
|
4,080,091
|
7,198,488
|
|
Expenses
|
(3,265,942)
|
(7,006,061)
|
(8,268,087)
|
(12,372,110)
|
|
Gain on sale of
income properties
|
-
|
-
|
-
|
1,366,737
|
|
Net income
(Loss)
|
(1,624,399)
|
(3,053,528)
|
(4,187,996)
|
(3,806,885)
|
|
Basic and diluted
income (loss) before income tax per share
|
(0.083)
|
(0.156)
|
(0.214)
|
(0.195)
|
|
Reconciliation to
funds from Operations
|
|
|
|
|
|
Add
(deduct)
|
|
|
|
|
|
Amortization of
income properties
|
83,409
|
355,964
|
170,913
|
736,937
|
|
Amortization of
franchise fees
|
4,116
|
374
|
8,233
|
748
|
|
Gain on sale of
income properties
|
7
|
-
|
-
|
(1,366,737)
|
|
Amortization of
right-of–use assets
|
-
|
3,322
|
-
|
7,149
|
|
Income from Lakeview
Flag Licensing General Partnership
|
(18,226)
|
(92,016)
|
(85,357)
|
(182,954)
|
|
Loss (income) from
Lakeview Flag Management General
|
|
|
|
|
|
Partnership
|
-
|
(44,751)
|
(26,911)
|
(81,429)
|
|
Unrealized loss
(gain) on change in fair value of interest rate swap
|
-
|
(2,096)
|
-
|
57,492
|
|
Provision for
impairment of income properties
|
-
|
1,160,248
|
328,513
|
1,160,248
|
|
Funds from
Operations
|
(1,555,093)
|
(1,672,483)
|
(3,792,605)
|
(3,475,431)
|
|
Basic and diluted
funds from Operations per share
|
(0.080)
|
(0.086)
|
(0.194)
|
(0.178)
|
|
Contributions to
reserve account
|
(29,963)
|
(66,102)
|
(69,535)
|
(110,956)
|
|
Adjusted funds from
Operations
|
(1,585,056)
|
(1,738,585)
|
(3,862,140)
|
(3,586,387)
|
|
Basic and diluted
adjusted funds from Operations per share
|
(0.081)
|
(0.089)
|
(0.197)
|
(0.183)
|
Lakeview Hotel Investment Corp is listed on the TSX Venture
Exchange under the symbol "LHR". Lakeview Hotel Investment
Corp received income from ownership, management and licensing of
hotel properties.
The TSX Venture Exchange nor its Regulation Service Provider
(as the term is defined in the policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Lakeview Hotel Investment Corp