WASHINGTON and RESTON, Va., April 15, 2020 (GLOBE NEWSWIRE) -- On April 15, 2020, Comstock Holding Companies, Inc., (NASDAQ: CHCI) (the “Company”), announced financial results for the year ended December 31, 2019:
Highlights of 2019 year-end financial results:
Highlights of Commercial Real Estate Asset Management Business Platform:
“I am extremely pleased to report our accomplishments and positive results for 2019” commented Christopher Clemente, Comstock’s Chairman and Chief Executive Officer. “Our success in 2019 and our ability to transform Comstock into a leading commercial developer and institutional quality asset manager is driven by our team of seasoned and dedicated commercial real estate professionals that have played key roles in transforming this Company while significantly enhancing revenue opportunities and overall prospects for this Company. I look forward to reporting on our continued progress as we focus on enhancing value for our loyal shareholders.”
About Comstock Holding Companies, Inc.
Comstock Holding Companies, Inc. (Nasdaq: CHCI) is a real estate development, asset management and real estate services company that has designed, developed, constructed and managed several thousand residential units and millions of square feet of residential and mixed-use projects throughout the Washington, D.C. metropolitan market since 1985. In 2019, Comstock completed the wind-down of its subsidiary for-sale homebuilding operation to focus exclusively on commercial real estate investment, development, asset management and real estate related services. Anchoring CHCI’s transition is a long-term asset management agreement covering two of the largest transit-oriented, mixed-use developments in the Washington, D.C. area; Reston Station, a nearly 5 million square foot transit-oriented and mixed-use development in Reston, Virginia, and Loudoun Station, a nearly 2.5 million square foot transit-oriented, mixed-use development in Ashburn, Virginia, and additional development assets. Comstock has significant experience with entitling, designing, developing, and managing a diverse range of properties including apartments, condominiums, mixed-use (residential and commercial) properties, large-scale commercial parking garages and infrastructure projects.
Comstock Holding Companies, Inc. is publicly traded on NASDAQ under the symbol CHCI. For more information, visit www.ComstockCompanies.com.
Cautionary Statement Regarding Forward-Looking Statements
This release may include "forward-looking" statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by use of words such as "anticipate," "believe," "estimate," "may," "intend," "expect," "will," "should," "seeks" or other similar expressions. Forward-looking statements are based largely on our expectations and involve inherent risks and uncertainties, many of which are beyond our control. Any number of important factors could cause actual results to differ materially from those in the forward-looking statements. Additional information concerning important risk factors and uncertainties can be found under the heading "Risk Factors" in our latest Annual Report on Form 10-K, as filed with the Securities and Exchange Commission. Comstock specifically disclaims any obligation to update or revise any forward-looking statements, whether as a result of new information, future developments or otherwise.
Company:
Comstock Holding Companies, Inc.
Christopher Guthrie, 703-230-1292
Chief Financial Officer
Source: Comstock Holding Companies, Inc.
COMSTOCK HOLDING COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(Amounts in thousands, except share and per share data)
| December 31, 2019 | December 31, 2018 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 3,511 | $ | 854 | ||||
| Trade receivables | 1,886 | 973 | ||||||
| Trade receivables - related parties | 3,644 | 2,950 | ||||||
| Prepaid and other assets, net | 274 | 362 | ||||||
| Current assets of discontinued operations | — | 7,786 | ||||||
| Total current assets | 9,315 | 12,925 | ||||||
| Equity method investments at fair value | 8,421 | — | ||||||
| Fixed assets, net | 278 | 221 | ||||||
| Operating lease right-of-use assets | 114 | — | ||||||
| Goodwill | 1,702 | 1,702 | ||||||
| Intangible assets, net | 103 | 170 | ||||||
| Long term assets of discontinued operations | — | 20,082 | ||||||
| TOTAL ASSETS | $ | 19,933 | $ | 35,100 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accrued personnel costs | $ | 2,916 | $ | 1,396 | ||||
| Accounts payable | 1,438 | 1,198 | ||||||
| Accrued liabilities | 166 | 182 | ||||||
| Deferred revenue | — | 1,875 | ||||||
| Short term notes payable - due to affiliates, net of discount | 5,706 | 5,716 | ||||||
| Short term notes payable | 77 | — | ||||||
| Current liabilities of discontinued operations | — | 4,889 | ||||||
| Total current liabilities | 10,303 | 15,256 | ||||||
| Long term notes payable, net of deferred financing charges | 1,212 | 1,517 | ||||||
| Long term operating lease liabilities, net of current portion | 61 | — | ||||||
| Long term liabilities of discontinued operations | — | 12,510 | ||||||
| TOTAL LIABILITIES | 11,576 | 29,283 | ||||||
| Commitments and contingencies (Note 10) | ||||||||
| STOCKHOLDERS’ EQUITY | ||||||||
| Series C preferred stock, $0.01 par value, 20,000,000 and 3,000,000 shares authorized, 3,440,690 and 2,799,848 shares issued and outstanding with a liquidation preference of $17,203 and $13,999 at December 31, 2019 and 2018, respectively | $ | 6,765 | $ | 7,193 | ||||
| Class A common stock, $0.01 par value, 59,779,750 and 11,038,071 shares authorized, 7,849,756 and 3,703,513 issued and 7,764,186 and 3,617,943 outstanding at December 31, 2019 and 2018, respectively | 78 | 37 | ||||||
| Class B common stock, $0.01 par value, 220,250 shares authorized, issued and outstanding at December 31, 2019 and 2018 | 2 | 2 | ||||||
| Additional paid-in capital | 199,372 | 181,632 | ||||||
| Treasury stock, at cost (85,570 shares Class A common stock) | (2,662 | ) | (2,662 | ) | ||||
| Accumulated deficit | (195,198 | ) | (196,091 | ) | ||||
| TOTAL COMSTOCK HOLDING COMPANIES, INC. EQUITY | 8,357 | (9,889 | ) | |||||
| Non-controlling interests | — | 15,706 | ||||||
| TOTAL EQUITY | 8,357 | 5,817 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 19,933 | $ | 35,100 | ||||
COMSTOCK HOLDING COMPANIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(Amounts in thousands, except per share data)
| For the years ended December 31, | ||||||||
| 2019 | 2018 | |||||||
| Revenue (See Note 14 - Related Party Transactions) | ||||||||
| Asset management | $ | 19,605 | $ | 13,416 | ||||
| Real estate services | 5,712 | 3,031 | ||||||
| Total revenue | 25,317 | 16,447 | ||||||
| Operating expenses | ||||||||
| Direct costs - asset management | 16,561 | 12,234 | ||||||
| Direct costs - real estate services | 4,611 | 3,090 | ||||||
| General and administrative | 1,487 | 830 | ||||||
| Sales and marketing | 383 | — | ||||||
| Operating income | 2,275 | 293 | ||||||
| Interest (expense) | (474 | ) | (90 | ) | ||||
| (Loss) on equity method investments carried at fair value | (560 | ) | — | |||||
| Other income, net | 225 | 142 | ||||||
| Income before income tax benefit | 1,466 | 345 | ||||||
| Income tax (expense) benefit | (2 | ) | 1,062 | |||||
| Net income from continuing operations | 1,464 | 1,407 | ||||||
| Net (loss) from discontinued operations, net of tax | (571 | ) | (5,792 | ) | ||||
| Net income (loss) | $ | 893 | $ | (4,385 | ) | |||
| Income per share from continuing operations | ||||||||
| Basic net income per share | $ | 0.22 | $ | 0.38 | ||||
| Diluted net income per share | $ | 0.22 | $ | 0.37 | ||||
| (Loss) per share from discontinued operations | ||||||||
| Basic net (loss) per share | $ | (0.09 | ) | $ | (1.56 | ) | ||
| Diluted net (loss) per share | $ | (0.09 | ) | $ | (1.56 | ) | ||
| Basic weighted average shares outstanding | 6,617 | 3,705 | ||||||
| Diluted weighted average shares outstanding | 6,799 | 3,843 | ||||||