Category: Company Earnings

For those that are invested in the Uhaul Investors Club Amerco (UHAL)has announced earnings for the quarter ending 6/30/2020.

While earnings were off a fair amount from the year ago quarter the balance sheet remains very strong.

Earnings available to common holders was $87 million as compared to $132 a year ago as revenues fell about 10% from $1.079 billion to $987 million because of Covid 19.

While earnings fell the company grew their cash balance from 1 year ago from $494 million to $825 million as they slashed their investment in new equipment. I note that the company has huge, non cash, depreciation expenses (last quarter $165 million) so for the quarter the cash flow was quite strong.

Amerco spends dramatic amounts on equipment–the year ago quarter they spent $847 million in the quarter as compared to just $249 million this year–wise cash management in times of uncertainty.

I do note that the company shows $2.3 billion in investments on the balance sheet. These investment are for the benefit of their insurance divisions and generally is not available to the other businesses.

The SEC 10 Q can be read here.

Disclosure–I started investing new IRA money in the Uhaul Investors Club about 2 1/2 years ago and currently have around $35,000 in their notes.

Mortgage REITs (mREIT) are releasing earnings and at least on the surface earnings are fairly stellar–although one needs to drill down a bit into the various special gains and losses within the earnings statements.

On Tuesday giant mREIT AGNC (AGNC) reported earnings and reported book values that were $1.30/share above those reported at Q1 end.

Today much smaller mREIT Dynex Capital (DX) reported earnings which were bolstered by large gains on sale of investments, although the company’s book value per share fell by $1.32/share

Of course these 2 company’s have preferred stock issues outstanding with current yields in the 7-8% area. We have a page of the mREIT preferreds here.

Later today we will have sector giant Annaly Capital (NLY) announce earnings.

For those investors with a tolerance for higher risk these are the best current yields in the preferred stock world (excepting some lodging REITs, which may not be around in a year). Maybe a small ‘taste’ of some of these preferreds is in order?

AGNC’s earnings release can be read here.

The Dynex earnings can be read about here.

As noted by ‘Number 6’ in the reader initiated alerts cooperative giant CHS has released their earnings for the quarter ending 5/31/2020.

Revenue was off again–as it has trended lower for a few years. This quarter revenues were $7.2 billion compared to $8.5 billion a year ago. Net income continues to hang in there with $98 million in income this quarter compared to $55 million a year ago.

In the last number of quarters energy sales had been propping up income–but now that has reversed as energy sales were off almost 50% this quarter. There were no energy profits (in fact a sizable loss) this quarter while ag and nitrogen moved more strongly into profits.

CHS has 5 preferred issues outstanding which can be seen here.

The companies 10-Q can be read here.

mREIT New York Mortgage Trust (NYMT) has released the results of their financials for the quarter ending 3/31/2020.

NYMT held residential mortgages and securities as well as multi family loans and other commercial mortgage backed securities.

The company took massive losses for the quarter, but it looks like maybe now they have the ‘ship righted’ (maybe).

The earnings announcement is here.

The company had previously suspended their preferred dividends and thus far has missed 1 dividend payment on the preferred which was due in April–no new announcement on the dividends has been made as of yet.

The company’s preferred issues can be seen here.

Teekay LNG Partners (TGP) has reported earnings for the quarter and year ending 12/31/2019.

At first glance earnings appear pretty darned good.

The partnership has 2 high yield preferreds outstanding which are down a couple bucks this week.

Earnings are here.