BEVERLY HILLS, Calif., April 27 /PRNewswire-FirstCall/ -- Kennedy Wilson (OTC: KWIC), a real estate investment and services firm, reported financial results for the first quarter ended March 31, 2006 . Net income for the first quarter was $5.4 million or $.99 per share diluted, compared to $950,000 or $.17 per share in the first quarter of 2005. Total revenue for the quarter was $15.4 million compared to $13.5 million in the first quarter of 2005. Operating income for the quarter was $2.9 million compared to $2.2 million for the same quarter of 2005.
Kennedy Wilson is a real estate investment and services firm. The Company
was founded in 1977 and is headquartered in
This release contains forward-looking statements as well as historical information. Statements of goals and strategies and words such as 'plan', 'believe', 'anticipate', 'expect', 'objectives', 'forecast', and 'predict' and other similar words are intended to identify forward-looking statements. These forward-looking statements are included in accordance with the 'safe harbor' provisions of the Private Securities Litigation Reform Act of 1995, and involve risks, uncertainties and other factors that may cause the company's actual results, performance, or financial condition to be materially different from any results, performance, or financial condition suggested by the statements in this release.
Contact: Freeman A. Lyle
Executive Vice President - Chief Financial Officer
Tel: (310) 887-6453 Fax: (310) 887-6414
Kennedy-Wilson, Inc. and Subsidiaries
Consolidated Balance Sheets
March 31, December 31,
2006 2005
(Unaudited)
Assets
Cash and cash equivalents $12,394,000 $19,424,000
Accounts receivable 3,768,000 3,562,000
Notes receivable 5,693,000 6,705,000
Real estate 6,667,000 --
Investments in joint ventures 45,945,000 36,847,000
Contracts and other assets, net 3,119,000 2,958,000
Goodwill 23,965,000 23,965,000
Total Assets $101,551,000 $93,461,000
Liabilities and Stockholders' Equity
Liabilities
Accounts payable $438,000 $332,000
Accrued expenses and other liabilities 2,014,000 1,089,000
Accrued salaries and benefits 4,784,000 4,269,000
Deferred and accrued income taxes 9,107,000 11,905,000
Notes payable 11,714,000 13,132,000
Borrowings under lines of credit 17,567,000 18,947,000
Mortgage loan payable 6,000,000 --
Senior unsecured notes -- 1,667,000
Total liabilities 51,624,000 51,341,000
Commitments and Contingencies
Stockholders' Equity
Preferred stock, $0.01 par value:
5,000,000 shares authorized; none issued
as of March 31, 2006 and December 31, 2005 -- --
Common stock, $0.01 par value:
50,000,000 shares authorized; 5,607,706 and
5,477,706 shares issued and outstanding
as of March 31, 2006 and December 31, 2005,
respectively 56,000 55,000
Additional paid-in capital 12,697,000 14,883,000
Restricted stock - deferred compensation -- (4,588,000)
Retained earnings 37,174,000 31,770,000
Total stockholders' equity 49,927,000 42,120,000
Total Liabilities and Stockholders' Equity $101,551,000 $93,461,000
Kennedy-Wilson, Inc. and Subsidiaries
Consolidated Statements of Income
(Unaudited)
Three months ended
March 31,
2006 2005
Revenue
Property management and leasing fees $3,860,000 $3,713,000
Commissions 2,830,000 2,041,000
Equity in joint venture income 8,398,000 7,239,000
Interest and other income 354,000 497,000
Total revenue 15,442,000 13,490,000
Operating Expenses
Commissions and marketing expenses 468,000 552,000
Compensation and related expenses 10,100,000 8,481,000
General and administrative 1,781,000 1,705,000
Depreciation and amortization 180,000 517,000
Total operating expenses 12,529,000 11,255,000
Total operating income 2,913,000 2,235,000
Non-operating income (expense)
Gain on sale of asset 7,060,000 --
Interest expense (753,000) (836,000)
Income from continuing operations
before minority interest, provision for
income taxes and discontinued operations 9,220,000 1,399,000
Minority interest (214,000) --
Income before provision for income taxes
and discontinued operations 9,006,000 1,399,000
Provision for income taxes (3,602,000) (559,000)
Income from continuing operations 5,404,000 840,000
Gain on disposition of real estate
held for sale, net of tax -- 110,000
Net Income $5,404,000 $950,000
Basic earnings per share
Income from continuing operations $1.15 $0.17
Income from discontinued operations -- 0.02
Net income $1.15 $0.19
Basic weighted average shares 4,704,964 5,036,853
Diluted earnings per share
Income from continuing operations $0.99 $0.15
Income from discontinued operations -- 0.02
Net income $0.99 $0.17
Diluted weighted average shares 5,450,492 5,669,474
SOURCE Kennedy Wilson
