Washington Prime reports profit in first full quarter

Washington Prime Group Inc., the U.S. shopping-center owner spun off in May from Indianapolis-based Simon Property Group Inc., announced its first full quarterly earnings Tuesday morning.

The company, which operates 95 shopping centers, reported profit for the quarter ended Sept. 30 of $38.8 million, or 21 cents per share. The company wasn't in existence last year, but if it had been, profit would have been $38.6 million, or 21 cents per share, in the year-ago period, it said. Profit for this year's third quarter included $9 million in gains from acquisitions.

Funds from operations were $79.5 million, or 42 cents per share, in the latest period compared with $86.4 million, or 46 cents per share, in the third quarter of 2013. FFO is a common measure of performance for real estate investment trusts. Washington Prime’s FFO included $2.5 million in expenses related to its upcoming merger with Glimcher Realty Trust of Columbus, Ohio.

Washington Prime announced in September that it has agreed to buy Glimcher for about $2 billion in cash and stock. The combined entity, to be known as WP Glimcher, will have about 68 million square feet of gross leasable area and a portfolio of 119 properties.

The deal is expected to close in the first quarter of 2015.

For the third quarter, Washington Prime reported revenue of $167.7 million, an increase of 8 percent from the same quarter in 2013.

The company Tuesday declared a quarterly cash dividend of 25 cents per common share.

Shares of Washington Prime closed Monday at $17.85 each.

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