Maui Land's 244K loss reflects modest real estate sales
May 04, 2012 (Menafn - The Honolulu Star-Advertiser - McClatchy-Tribune Information Services via COMTEX) --Maui Land & Pineapple Co. suffered a first-quarter loss of 244,000, or 1 cent a share, a negative swing from a 12.4 million profit representing 67 cents a share in the same quarter last year.
The Kapalua-based company, which is primarily involved in resort and real estate operations, relied largely on land sales to affect earnings in both the recent and year-ago quarters.
In the recent quarter, Maui Land sold an Upcountry parcel for a 1.4 million gain. A year earlier the company counted a 15.1 million gain from an earlier sale of its Kapalua Bay golf course.
"Our first-quarter results reflect our continuing efforts to streamline our operations and reduce our ongoing cash burn," Tim Esaki, Maui Land's chief financial officer, said in a statement. "Our team remains focused on building shareholder value by resolving our legacy issues and developing and managing our Maui lands."
Maui Land is struggling with a difficult transition after it quit growing pineapple in 2009 and focused heavy investment on a resort condominium and time-share development project at Kapalua Bay that was hurt by meltdowns in the real estate and global finance markets.
Revenue in the first quarter totaled 5.3 million, up from 3.8 million a year earlier.
In the recent quarter, most revenue came from real estate sales and leasing. The company took in 1.5 million on sales. Land leases brought in another 1.5 million. Revenue from resort amenities that include a restaurant and spa totaled 1.2 million. The balance came from utility and real estate commissions.
Shares of Maui Land stock closed Thursday on the New York Stock Exchange at 3.97, up 15 cents from Wednesday after earnings were announced. Shares over the past 52 weeks have traded as high as 5.43 on July 21 and as low as 3.68 on Dec. 15.
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