PS Business Parks, Inc. (NYSE:PSB) reported operating results for the first quarter ended March 31, 2014. Funds from operations (“FFO”) were $42.0 million, or $1.22, as adjusted, per share for the three months ended March 31, 2014, an increase of $2.8 million, or 7.2%, from the three months ended March 31, 2013 of $39.1 million, or $1.23, as adjusted, per share. The increase in FFO was primarily the result of an increase in net operating income from the Non-Same Park portfolio. The decrease in adjusted FFO per share for the three months ended March 31, 2014 over the same period in 2013 was due to an increase in shares outstanding as a result of the November, 2013 common equity offering. In order to provide meaningful period-to-period comparisons of FFO derived from the Company’s ongoing business operations, the following table reconciles reported FFO to adjusted FFO, which excludes Long-Term Equity Incentive Plan (“LTEIP”) amortization for the three months ended March 31, 2014 and 2013:
For the Three Months
Ended March 31,
FFO per share, as reported
FFO per share, as adjusted
The following are adjustments to reconcile adjusted FFO to reported FFO as noted above. In March of 2014, the Company put in place a new LTEIP and recorded one month of amortization equal to $858,000 in the three months ended March 31, 2014 compared to $1.0 million for the three months ended March 31, 2013 related to the previous LTEIP.