H&R Real Estate boosts net income, cash from operations in fourth quarter

TORONTO — H&R Real Estate Investment Trust (TSX: HR.UN) says a larger portfolio of properties and rent increases for its tenants boosted the company's fortunes in the fourth quarter.

The trust, which focuses on commercial properties, announced Friday that its net income for the three months ended Dec. 31 rose to $48.7 million in the fourth quarter, up from $20.6 million a year earlier, mostly due to a tax benefit.

Total distributions paid increased to $46.3 million, or 34.3 cents per share, for the quarter. That's up from $40.8 million or 33.4 cents per share in the last three months of 2006.

For the three months ended Dec. 31, net earnings increased by $20.5 million due to a reversal of future income taxes.

Cash from operations rose to $63.4 million, up from $48.0 million in the fourth quarter of 2006 and distributable income was $54.1 million, up from $46.0 million.

Rentals from properties rose to $149.5 million from $142.9 million.

H&R trust units traded at $20.61, down 20 cents, at the Toronto Stock Exchange