FREDERICTON, NB, Aug. 1, 2024 /CNW/ - Plaza Retail REIT (TSX:PLZ) ("Plaza" or the "REIT") today announced its financial results for the three and six months ended June 30, 2024. "We are pleased with our Q2 results as we continue to achieve record high lease renewal spreads and same-asset NOI growth.  said Michael Zakuta, President and CEO. "Our portfolio, dominated by open-air essential needs and value retail properties, continues to perform, and demand for our retail space remains strong." Summary of Selected IFRS Financial Results (CAD$000s, except percentages) Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 $ Change % Change Six Months  Ended June 30, 2024 Six Months Ended June 30, 2023 $  Change % Change Revenues $30,672 $28,463 $2,209 7.8 % $60,243 $56,808 $3,435 6.0 % Net operating income (NOI)(1) $18,390 $17,643 $747 4.2 % $36,442 $34,458 $1,984 5.8 % Net change in fair value of investment properties ($7,316) ($827) ($6,489) - ($8,628) $447 ($9,075) -- Profit and total comprehensive income $2,437 $12,985 ($10,548) - $11,893 $20,736 ($8,843) - (1) This is a non-GAAP financial measure.  Refer to the Non-GAAP Financial Measures defined here and in Part I and VII of the Management's Discussion and Analysis ("MD&A") ending June 30, 2024 for more information on each non-GAAP financial measure. Quarterly Highlights NOI was $18.4 million, up $747 thousand (4.2%) from the same period in 2023. The increase in NOI is from rent escalations and lease-up in same-asset properties, lower operating expenses, developments, and properties transferred to income-producing in 2023 and 2024, partially offset by a decrease in NOI from properties sold. Profit and total comprehensive income for the current quarter was $2.4 million compared to $13.0 million in the same period in the prior year. The decrease was mainly due to the decrease in the fair value of investment properties of $7.3 million in the current quarter compared to a fair value decrease of $827 thousand in the same quarter in the prior year, an increase in finance costs and an increase in administrative expenses offset by the NOI increase noted above and an increase in other income. Profit was also impacted by changes in non-cash fair value adjustments relating to share of profit from associates, interest rate swaps, the Class B exchangeable LP units, and convertible debentures. Year-To-Date Highlights NOI was $36.4 million, up $2.0 million (5.8%) from the same period in 2023. NOI was impacted by an increase in NOI from developments and properties transferred to income producing in 2023 and 2024, offset by a decrease in NOI from properties sold. Profit and total comprehensive income for the current year to date was $11.9 million compared to $20.7 million in the same period in the prior year. The decrease was mainly due to a decrease in the fair value of investment properties of $8.6 million in the current year compared to a fair value increase of $447 thousand in the same period in the prior year. The fair value change was mainly due to reductions to forecasted stabilized NOI at an enclosed mall, and cost overruns on a development property. Profit was also impacted by an increase in the share of profit of associates relating to the non-cash fair value adjustment of the underlying properties in the current year, an increase in administrative expenses and finance costs, a decrease in investment and other income, along with changes in non-cash fair value adjustments relating to interest rate swaps, the Class B exchangeable LP units, and convertible debentures. Summary of Selected Non-IFRS Financial Results (CAD$000s, except percentages, units repurchased and per unit amounts) Three Months Ended June 30, 2024 Three Months Ended June 30, 2023 $ Change % Change Six Months  Ended June 30, 2024 Six Months Ended June 30, 2023 $ Change % Change FFO(1) $10,627 $10,689 ($62) (0.6 %) $20,543 $20,066 $477 2.4 % FFO per unit(1) $0.095 $0.096 ($0.001) (1.0 %) $0.184 $0.187 ($0.003) (1.6 %) FFO payout ratio(1) 73.5 % 73.0 % n/a 0.7 % 76.0 % 75.8 % n/a (0.3 %) AFFO(1) $8,924 $7,807 $1,117 14.3 % $16,233 $15,936 $297 1.9 % AFFO per unit(1) $0.080 $0.070 $0.010 14.3 % $0.146 $0.148 ($0.002) (1.4 %) AFFO payout ratio(1) 87.5 % 100.0 % n/a (12.5 %) 96.2 % 95.5 % n/a 0.7 % Same-asset NOI(1) $17,993 $17,516 $477 2.7 % $35,606 $34,496 $1,110 3.2 % Normal course issuer bid – units repurchased - 7,718 n/a n/a 4,920 11,573 n/a n/a Committed occupancy – including non-consolidated investments(2) 97.6 % 97.6 % n/a - Same-asset committed occupancy(3)