MISSISSAUGA, ON, July 31, 2024 /CNW/ - Morguard Real Estate Investment Trust ("the Trust") (TSX:MRT) today is pleased to announce its 2024 Second Quarter Results. In thousands of dollars, except per-unit amounts Three Months Ended June 30, Six Months Ended June 30, 2024 2023 2024 2023 Revenue from real estate properties $64,046 $61,891 $128,444 $126,707 Net operating income 31,832 30,467 62,737 62,013 Fair value losses on real estate properties (16,242) (15,297) (66,465) (36,838) Net loss (2,226) (1,828) (39,001) (6,985) Funds from operations 1 14,108 14,976 27,527 31,254 Adjusted funds from operations 1,2 8,033 9,106 15,442 19,406 Amounts presented on a per unit basis Net loss – basic ($0.03) ($0.03) ($0.61) ($0.11) Net loss – diluted ($0.03) ($0.03) ($0.61) ($0.11) Funds from operations – basic 1 $0.22 $0.23 $0.43 $0.49 Funds from operations – diluted 1 $0.19 $0.20 $0.37 $0.42 Adjusted funds from operations – basic 1,2 $0.12 $0.14 $0.24 $0.30 Adjusted funds from operations – diluted 1,2 $0.12 $0.13 $0.23 $0.28 1. The following represents a non-GAAP financial measure/ratio that does not have any standardized meaning prescribed by IFRS and is not necessarily comparable to similar measures presented by other reporting issuers in similar or different industries. This measure should be considered as supplemental in nature and not as substitutes for related financial information prepared in accordance with IFRS. Additional information on this non-GAAP financial measure/ratio can be found under the MD&A section Part I, "Specified Financial Measures". 2. The Trust uses normalized productive capacity maintenance expenditures to calculate adjusted funds from operations. SELECTED FINANCIAL INFORMATION The table below sets forth selected financial data relating to the Trust's fiscal three and six months ended June 30, 2024, and 2023. This financial data is derived from the Trust's condensed consolidated statements which are prepared in accordance with IFRS. Three Months Ended June 30, Six Months Ended June 30, 2024 2023 % Change 2024 2023 % Change Revenue from real estate properties $64,046 $61,891 3.5 % $128,444 $126,707 1.4 % Property operating expenses (17,939) (17,449) 2.8 % (36,348) (36,060) 0.8 % Property taxes (12,080) (11,858) 1.9 % (24,946) (24,278) 2.8 % Property management fees (2,195) (2,117) 3.7 % (4,413) (4,356) 1.3 % Net operating income 31,832 30,467 4.5 % 62,737 62,013 1.2 % Interest expense (17,243) (14,891) 15.8 % (34,119) (29,600) 15.3 % General and administrative (922) (1,003) (8.1 %) (1,946) (2,059) (5.5 %) Amortization expense — (20) (100.0 %) — (41) (100.0 %) Fair value losses on real estate properties (16,242) (15,297) 6.2 % (66,465) (36,838) 80.4 % Net income/(loss) from equity-accounted investment 349 (1,084) (132.2 %) 792 (460) (272.2 %) Net loss ($2,226) ($1,828) 21.8 % ($39,001) ($6,985) 458.4 % CONSOLIDATED OPERATING HIGHLIGHTS The following is an analysis of net operating income by asset type: Three Months Ended June 30, Six Months Ended June 30,