AIMCO 1Q FFO Down, Slashes Dividend By 60 Pct

DENVER (AP) — Apartment Investment and Management Co. said Friday that its first-quarter funds from operations declined partly due to lower occupancy. The apartment operator slashed its quarterly dividend by 60 percent.

Its funds from operations fell to $51.9 million, or 45 cents per share, compared with $67.3 million, or 51 cents per share. Funds from operations, also known as FFO, was 42 cents per share without real estate impairment recoveries.

Excluding capital replacement expenditures, FFO dropped to $35 million, or 30 cents per share, from $46.7 million, or 36 cents per share.

The company previously forecast first-quarter FFO in a range of 30 cents to 36 cents per share, excluding charges.

Funds from operations, a widely used gauge of real estate operating performance, adds depreciation and amortization expenses, as well as other non-operating items, to net income.

Analysts polled by Thomson Reuters predicted FFO of 34 cents per share.

Results were hindered by a drop in occupancy, which fell to 93.5 percent from 94.8 percent.