It's Peter robbing Paul and you know it. How great is a dividend when a substantial component of it is ROC? They declared .16, but how much of that r e a l l y covered the dividend? 9 cents. They just haven't been able to break this pattern and until they do I just cannot see a sustained upside.
They can try putting lipstick on it and hope the dividend "guarantee" will keep investors interested, but if the book keeps falling the discount will follow it.
"Boastful talk can turn off our fellow stakeholders who joined the party after the storm clouds passed."
Forget it, he won't listen, his narcissism knows no bounds.
I am all for growth. NO dividends, they would be minuscule in accordance to earnings. NO buyback, buying back stock at this premium over book would hurt more than help. Skewing the balance sheet by paying down some of the debt would be very beneficial. At this point any consideration of investment or expansion should be reviewed VERY carefully. You can see where the current earnings are taking us, there is no sense in stirring up the pot at this point.
What a total smear of BS. If they don't stop bleeding the book value to pay that dividend what good is it? Share buy back? Where are the funds for that coming from? The current discount to book value is in the same realm as most other reits. How do they buy back shares, pay a minimum .16 dividend, and keep from eroding the current book value even more?
This is what I find particularly disappointing:
" The decrease in book value per common share of $0.07 was due to dividends on common stock paid of $0.16 per share, partially offset by net income allocable to common shares of $0.07, and other net mark to market adjustments of $0.02."
ROC continues. I agree 4.25 is very likely. The only thing I can say in their defense is that the environment was pretty tough on a large chunk of the REITs this Q.
Yea, they kind of did:
"Management's goal with respect to realized capital gains on the distressed loan portfolio has been, and will continue to be, concentrated on executing sell-trades at the most favorable price it believes it can obtain, and this often will not coincide perfectly with quarterly cut-off dates. Consequently, the Company is going to have quarters where net income per share is above or below the Company's current dividend payout rate and this will frequently be driven by the level of dispositions consummated during the quarter. For this reason, management focuses on earnings generation over a twelve month period."
For the first quarter of 2015:
Revenues were $147.0 million, up 2 percent. Excluding revenues from reimbursed expenses, revenues increased 4 percent. This increase included contributions from four more 767 dry leases with external customers, versus the same quarter a year ago. These leases offset reductions in revenues from certain international operations.
Pre-tax earnings from continuing operations increased 40 percent to $14.5 million as results from ATSG's airline businesses again improved sharply versus the prior-year period.
Net earnings from continuing operations increased 36 percent to $8.9 million, or 14 cents per diluted share. Operating loss carryforwards for U.S. federal income tax purposes offset much of the company’s federal tax liabilities. ATSG does not expect to pay significant federal income taxes until 2017 at the earliest.
Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) increased 20 percent to $46.5 million.