Business
Genesis achieves net earnings of $8.1 million in first quarter of 2008
TSE Stock Symbol: GDC CALGARY, May 14 /CNW/ - Genesis Land Development Corp. ("Genesis" or the "C...
About this update from Genesis Land Development Corp.
[{"type":"text","content":"\n\n\n\nTSE Stock Symbol: GDC\n\n\nCALGARY, May 14 /CNW/ - Genesis Land Development Corp. ("Genesis" or the\n"Company") is pleased to report financial results for the three months ended\nMarch 31, 2008. Over the first three months of the year, Genesis recorded\ntotal revenues of $29,163,241 as compared to $22,787,790 over the same period\nin 2007. This produced after-tax earnings in 2008 of $8,101,308 or $0.18 basic\nand fully diluted earnings per share vs. $4,180,457 and $0.09 basic and fully\ndiluted earnings per share during the first three months of 2007.\n\n\nAs at March 31, 2008, Genesis had a cash balance of $11,474,523 compared\nto $11,007,142 at December 31, 2007. Amounts receivable at March 31, 2008 were\n$58,381,201 compared to $47,587,450 at December 31, 2007. Genesis continues to\nmaintain a strong balance sheet at March 31, 2008 with a debt to equity ratio\nof 0.73 exclusive of non-controlling interest and 1.21 inclusive of\nnon-controlling interest. The balance of debt/financings at March 31, 2008 was\n$93,323,886 compared to $85,159,905 at December 31, 2007. Land project\nfinancing accounts for $65,801,475 of the financings total. These financings\nare paid off as lots associated with the specific financing are sold. Of the\nremaining debt, $7,919,266 relates to home building operating lines for\nGenesis Builders Group (single-family) and Generations Group of Companies\n(multi-family).\n\n\nLand Development\n\n\n----------------\n\n\nDuring the first quarter ended March 31, 2008, Genesis sold a total of\n97 lots to external builders resulting in revenues of $16,853,237. Gross\nmargins during this period were $9,952,886 (59%) as compared to gross margins\nof $5,504,863 (50%) in the first quarter of 2007. For the first quarter of\n2008, the average price per lot was $173,745 as compared to an average price\nper lot in the same period last year of $179,253. The reduced price per lot is\na result of a different sales mix whereby fewer amenity lots were sold in\nQ1-2008.\n\n\nSingle-Family Home Building\n\n\n---------------------------\n\n\nGenesis Builders Group closed the sale on a total of 29 single-family\nhomes in the three months ended March 31, 2008. Total revenues from\nsingle-family home sales in the first quarter were $11,854,357 compared to\n$11,250,425 for the first quarter of 2007. The...