TEL AVIV, Israel, Nov. 25, 2014 /PRNewswire/ -- Elbit
Imaging Ltd. (TASE, NASDAQ: EMITF) ("Elbit" or the
"Company") announced today its results for the third quarter of
2014.
Three months ended September 30,
2014 compared to corresponding period in 2013
The Company's loss for the three months period ended
September 30, 2014 ("Q3 2014")
amounted to NIS 32 million.
Consolidated income, revenues and gain for Q3 2014
amounted to NIS 318 million
(US$ 86 million) compared to
NIS 120 million in the corresponding
period in 2013 ("Q3 2013").
- Revenues from sale of commercial
centers increased in Q3 2014 to NIS
196 (US$ 53 million) compared
to NIS 9 million in Q3 2013. Such
amount in Q3 2014 is attributable to the sale of commercial centers
by our 62% subsidiary Plaza Centers N.V. ("PC") in Serbia and sale of plot in Romania.
- Rental income from commercial centers
amounted to NIS 28 million
(US$ 8 million) in Q3 2014 and in Q3
2013.
- Cost of commercial centers increased
in Q3 2014 to NIS 217 million
(US$ 59 million) compared to
NIS 39 million in Q3 2013. The
increase is mainly attributable to (i) cost of commercial centers
and plots sold by PC during Q3 2014 in the amount of NIS 198 million (US$ 54
million) compared to NIS 10
million in Q3 2013 offset by: (ii) decrease in PC's general
and administrative expenses as a result of efficiency measures
taken by PC during 2014.
- Revenues from hotels operation and
management increased in Q3 2014 to NIS
49 million (US$ 13 million)
compared to NIS 47 million in Q3
2013.
- Costs and expenses of hotels operation and
management increased in Q3 2014 to NIS
42 million (US$ 11 million)
compared to NIS 41 million in Q3
2013.
- Revenues from fashion merchandise
decreased in Q3 2014 to NIS 33
million (US$ 9 million)
compared to NIS 36 million in Q3
2013. The decrease is attributable to the Israeli military
operation in Gaza during Q3 and to
the closing of three Mango stores compared to the opening of two
new stores.
- Cost of fashion retail increased in Q3
2014 to NIS 37 million (US$ 10 million) compared to NIS 35 million in Q3 2013.
- Gain from change of shareholding in
investees amounted to NIS 11
million (US$ 3 million) in Q3
2014 compared to nil in Q3 2013. This gain is attributable to
decreased in our holdings in Gamida Cell Ltd, as a result of the
consummation of an investment and option agreement with Novartis
Pharmaceuticals Corporation.
- General and administrative expenses
amounted to NIS 8 million
(US$ 2 million) in Q3 2014 compared
to NIS 13 million in Q3 2013. The
decrease in mainly attributable to the Company's arrangement costs
in Q3 2013 as well as efficiency measures taken by the Company
reducing the general and administrative costs in the Company's
headquarters.
- Share in losses of associated, net
amounted to NIS 10 million
(US$ 3 million) in Q3 2014 compared
to NIS 288 in Q3 2013. Such losses in
Q3 2014 are mainly attributable to the Company's medical device
investments. The losses in Q3 2013 are mainly attributable to
impairment of trading property by an associated company in
India.
- Financial expenses, net decreased in
Q3 2014 to NIS 51 million
(US$ 14 million) compared to
NIS 188 million in Q3 2013. The
decrease of NIS 137 million
(US$ 37 million) is mainly
attributable to the following:
- A decrease in the amount of NIS 90
million (US$ 24 million) in
non-cash expenses, as a result of changes in fair value of
financial instruments (mainly PC's debentures and other
derivatives), which are measured at fair value through profit and
loss.
- A decrease in interest expenses and CPI-linked borrowing
expenses, net in the amount of NIS 67
million (US$ 18 million)
mainly attributable to (i) decrease in the Company interest net
mainly due to the lower level of the Company's Corporate debts
following the consummation of the Company's debt restructuring; and
(ii) a decrease in the Israeli consumer price index, to which the
Company's and several of PC's notes are linked (0.29% in Q3 2014,
compared to 1.29% in Q3 2013).
Offset by:
- An increase in the amount of NIS 20
million (US$ 5 million) in
exchange rate losses mainly attributable to fluctuation in the
exchange rate between the US$ and NIS with respect to the Company's
loan from Israeli banks.
- Other income, net in Q3 2014 amounted to NIS 15
million (US$ 4 million)
compared to expenses in the amount of NIS
254 million in Q3 2013. The income in Q3 2014 is
attributable to realization of revelation reserve to the profit and
loss account as a result of the sale of Park Plaza shares held by
the Company.
- Loss before tax benefits amounted to
NIS 33 million (US$ 9 million) in Q3 2014 compared to
NIS 738 million in Q3 2013.
- Tax benefits amounted to NIS 1 million (US$ 0.3
million) in Q3 2014 compared to NIS
29 million in Q3 2013.
- Loss from continuing operations
amounted to NIS 32 million
(US$ 9 million) in Q3 2014 compared
to NIS 709 million in Q3 2013.
- Income from discontinued operations,
net, amounted to nil in Q3 2014 compared to NIS 7 million in Q3 2013.
- Loss for Q3 2014 amounted to
NIS 32 million (US$ 9 million) (all attributed to the equity
holders of the Company) compared to NIS 702
million in the corresponding period in 2013 (out of which
NIS 523 million is attributed to the
equity holders of the Company).
- Shareholders' Equity as of September 30,
2014 amounted to NIS 861
million ($ 233 million) (out
of which Shareholders' Equity in the amount of NIS 409 million ($ 111
million) is attributed to the controlling interest).
About Elbit Imaging Ltd.
Elbit Imaging Ltd. operates in the following principal fields of
business: (i) Commercial and Entertainment Centers - Initiation,
construction and sale of shopping and entertainment centers and
other mixed-use real property projects, predominantly in the retail
sector, located in Central and Eastern
Europe and in India,
primarily through its subsidiary Plaza Centers N.V. In certain
circumstances and depending on market conditions, we operate and
manage commercial and entertainment centers prior to their sale;
(ii) Hotels - Hotel operation and management; (iii) Medical
Industries - (a) research and development, production and marketing
of magnetic resonance imaging guided focused ultrasound treatment
equipment and (b) development of stem cell population expansion
technologies and stem cell therapy products for transplantation and
regenerative medicine; (iv) Residential Projects - Initiation,
construction and sale of residential projects and other mixed-use
real property projects, predominately residential, located
primarily in India; (v) Fashion
Apparel - Distribution and marketing of fashion apparel and
accessories in Israel.
Safe Harbor Statement under the Private Securities Litigation
Reform Act of 1995
Any forward-looking statements in our releases include
statements regarding the intent, belief or current expectations of
Elbit Imaging Ltd. and our management about our business, financial
condition, results of operations, and its relationship with its
employees and the condition of our properties. Words such as
"believe," "would," "expect," "intend," "estimate" and similar
expressions are intended to identify forward-looking statements but
are not the exclusive means of identifying such statements. Actual
results may differ materially from those projected, expressed or
implied in the forward-looking statements as a result of various
factors including, without limitation, the Consideration, and the
factors set forth in our filings with the Securities and Exchange
Commission including, without limitation, Item 3.D of our annual
report on Form 20-F for the fiscal year ended December 31, 2013, under the caption "Risk
Factors." Any forward-looking statements contained in our releases
speak only as of the date of such release, and we caution existing
and prospective investors not to place undue reliance on such
statements. Such forward-looking statements do not purport to be
predictions of future events or circumstances, and therefore, there
can be no assurance that any forward-looking statement contained
our releases will prove to be accurate. We undertake no obligation
to update or revise any forward-looking statements.
For Further Information:
Company Contact:
Ron
Hadassi
Chairman of the Board of Directors
Acting CEO
Tel: +972-3-608-6048
ron@elbitimaging.com
|
ELBIT IMAGING
LTD.
CONSOLIDATED
BALANCE SHEETS
|
|
|
September
30
|
December
31
|
September
30
|
|
2 0 1 4
|
2 0 1 3
|
2 0 1 4
|
|
|
|
Convenience
|
|
|
|
translation
|
|
(in NIS
thousands)
|
US$'000
|
|
|
|
|
|
Current
Assets
|
|
|
|
|
Cash and cash
equivalents
|
300,365
|
311,181
|
81,290
|
|
Short-term deposits and
investments
|
94,534
|
82,157
|
25,584
|
|
Trade accounts
receivables
|
90,219
|
38,498
|
24,416
|
|
Other
receivables
|
38,963
|
47,330
|
10,545
|
|
Inventories
|
34,680
|
22,315
|
9,386
|
|
Trading
property
|
-
|
192,867
|
-
|
|
558,761
|
694,348
|
151,221
|
|
|
|
|
|
|
|
|
|
Non-Current
Assets
|
|
|
|
|
Trading
property
|
1,962,048
|
2,380,039
|
531,001
|
|
Deposits, loans and
other long-term balances
|
31,834
|
47,782
|
8,616
|
|
Investments in
associates
|
331,874
|
333,440
|
89,817
|
|
Property, plant and
equipment
|
1,056,371
|
1,108,835
|
285,891
|
|
3,382,127
|
3,870,096
|
915,325
|
|
|
|
|
|
3,940,888
|
4,564,444
|
1,066,546
|
|
|
|
|
|
|
|
|
|
Current
Liabilities
|
|
|
|
|
Short-term
credits
|
1,585,720
|
4,464,373
|
429,153
|
|
Suppliers and service
providers
|
44,618
|
43,680
|
12,075
|
|
Payables and other
credit balances
|
160,410
|
286,424
|
43,413
|
|
1,790,748
|
4,794,477
|
484,641
|
|
|
|
|
|
Non-Current
liabilities
|
|
|
|
|
Borrowings
|
1,098,408
|
-
|
297,269
|
|
Other
liabilities
|
103,264
|
93,466
|
27,947
|
|
Deferred
taxes
|
87,033
|
85,131
|
23,554
|
|
1,288,705
|
178,597
|
348,770
|
|
|
|
|
|
Shareholders'
Equity (Deficiency)
|
|
|
|
|
Attributable to
equity holders of the Company
|
410,339
|
(1,032,637)
|
111,052
|
|
Non-controlling
Interests
|
451,096
|
624,007
|
122,083
|
|
861,435
|
(408,630)
|
233,135
|
|
|
|
|
|
3,940,888
|
4,564,444
|
1,066,546
|
|
|
|
|
|
ELBIT IMAGING
LTD.
CONSOLIDATED
INCOME STATEMENTS
|
|
|
Nine months
ended
|
Three months
ended
|
Year
ended
|
Nine months
ended
|
|
September
30
|
September
30
|
December
31,
|
September
30
|
|
2 0 1 4
|
2 0 1 3
|
2 0 1 4
|
2 0 1 3
|
2 0 1 3
|
2 0 1 4
|
|
(in NIS
thousands)
|
Convenience
|
|
|
|
|
|
|
translation
|
|
|
|
|
|
|
US$'000
|
|
Income revenues
and gains
|
|
|
|
|
|
|
|
Revenues
|
|
|
|
|
|
|
|
Revenues from sale of
commercial centers
|
195,635
|
8,614
|
195,635
|
8,614
|
8,614
|
52,946
|
|
Revenues from hotel
operation and management
|
146,253
|
149,364
|
49,505
|
46,794
|
202,791
|
39,581
|
|
Revenues from fashion
merchandise
|
115,252
|
101,548
|
33,296
|
35,735
|
149,192
|
31,191
|
|
Total
revenues
|
457,140
|
259,526
|
278,436
|
91,143
|
360,597
|
123,718
|
|
|
|
|
|
|
|
|
Gains and
other
|
|
|
|
|
|
|
|
Rental income from
Commercial centers
|
87,896
|
97,522
|
27,962
|
28,530
|
129,748
|
23,788
|
|
|
|
|
|
|
|
|
Gain from changes of
shareholding in investees
|
11,301
|
-
|
11,301
|
-
|
-
|
3,058
|
|
|
|
|
|
|
|
|
Total
gains
|
99,197
|
97,522
|
39,263
|
28,530
|
129,748
|
26,846
|
|
|
|
|
|
|
|
|
Total income
revenues and gains
|
556,337
|
357,048
|
317,699
|
119,673
|
490,345
|
150,564
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Expenses and
losses
|
|
|
|
|
|
|
|
Hotels operations and
management
|
127,548
|
133,701
|
42,280
|
41,235
|
179,137
|
34,519
|
|
Cost of fashion
merchandise
|
113,805
|
99,343
|
36,704
|
34,575
|
142,417
|
30,800
|
|
Commercial
centers
|
262,168
|
95,945
|
217,408
|
39,402
|
124,737
|
70,952
|
|
General and
administrative expenses
|
25,383
|
43,825
|
7,836
|
13,059
|
60,643
|
6,869
|
|
Share in losses of
associates, net
|
27,389
|
355,043
|
10,086
|
288,158
|
339,030
|
7,414
|
|
Financial expenses,
net
|
246,948
|
330,157
|
51,213
|
187,535
|
401,900
|
66,833
|
|
Financial gain from
debt restructuring
|
(1,610,111)
|
-
|
319
|
-
|
-
|
(435,752)
|
|
Write-down, charges
and other (income) expenses, net
|
409,211
|
620,369
|
(14,983)
|
254,125
|
841,462
|
110,746
|
|
(397,659)
|
1,678,383
|
350,863
|
858,089
|
2,089,326
|
(107,619)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit (Loss)
before income taxes
|
953,996
|
(1,321,335)
|
(33,164)
|
(738,416)
|
(1,598,981)
|
258,183
|
|
Tax income
(benefits)
|
3,369
|
(30,809)
|
(1,062)
|
(29,242)
|
(31,937)
|
912
|
|
Profit (Loss) from
continuing operations
|
950,627
|
(1,290,526)
|
(32,102)
|
(709,174)
|
(1,567,044)
|
257,271
|
|
Profit from
discontinued operation, net
|
-
|
3,485
|
-
|
6,746
|
2,034
|
-
|
|
Profit
(Loss) for the period
|
950,627
|
(1,287,041)
|
(32,102)
|
(702,428)
|
(1,565,010)
|
257,271
|
|
|
|
|
|
|
|
|
Attributable
to:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity holders of the
Company
|
1,129,198
|
(955,378)
|
(31,711)
|
(522,789)
|
(1,155,645)
|
305,599
|
|
Non-controlling
interest
|
(178,571)
|
(331,663)
|
(391)
|
(179,639)
|
(409,365)
|
(48,328)
|
|
950,627
|
(1,287,041)
|
(32,102)
|
(702,428)
|
(1,565,010)
|
257,271
|
|
|
|
|
|
|
|
|
ELBIT IMAGING
LTD.
CONSOLIDATED
COMPREHENSIVE INCOME STATEMENTS
|
|
|
Nine months
ended
|
Three months
ended
|
Year
ended
|
Nine months
ended
|
|
September
30
|
September
30
|
December
31,
|
September
30
|
|
2 0 1 4
|
2 0 1 3
|
2 0 1 4
|
2 0 1 3
|
2 0 1 3
|
2 0 1 4
|
|
(in NIS
thousands)
|
Convenience
|
|
|
|
|
|
|
translation
|
|
|
|
|
|
|
US$'000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit (Loss) for
the period
|
950,627
|
(1,287,041)
|
(32,102)
|
(702,428)
|
(1,565,010)
|
257,271
|
|
|
|
|
|
|
|
|
Other
comprehensive income to be reclassified to profit or loss in
subsequent periods:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Exchange differences
arising from translation of foreign operations
|
6,355
|
(233,901)
|
12,792
|
(29,680)
|
(267,861)
|
1,719
|
|
Gain (loss) from cash
flow hedge
|
(783)
|
4,193
|
(598)
|
24
|
4,439
|
(212)
|
|
Gain (loss) from
available for sale investments
|
(11,868)
|
7,577
|
(17,147)
|
3,755
|
3,545
|
(3,212)
|
|
(6,296)
|
(222,131)
|
(4,953)
|
(25,901)
|
(259,877)
|
(1,705)
|
|
Items not to be
reclassified to profit or loss in subsequent
periods:
|
|
|
|
|
|
|
|
Additions during the
period
|
(25)
|
-
|
5,887
|
-
|
27,700
|
(7)
|
|
(25)
|
-
|
5,887
|
-
|
27,700
|
(7)
|
|
|
|
|
|
|
|
|
Other Comprehensive
income (loss)
|
(6,321)
|
(222,131)
|
934
|
(25,902)
|
(232,177)
|
(1,712)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income (loss)
|
944,306
|
(1,509,172)
|
(31,168)
|
(728,329)
|
(1,797,187)
|
255,559
|
|
|
|
|
|
|
|
|
Attributable
to:
|
|
|
|
|
|
|
|
Equity holders of the
Company
|
1,125,818
|
(1,112,545)
|
(33,024)
|
(540,042)
|
(1,328,500)
|
304,683
|
|
Non-controlling
interest
|
(181,512)
|
(396,627)
|
1,856
|
(188,287)
|
(468,687)
|
(49,124)
|
|
944,306
|
(1,509,172)
|
(31,168)
|
(728,329)
|
(1,797,187)
|
255,559
|
|
|
|
|
|
|
|
|
ELBIT IMAGING
LTD.
STATEMENT OF
CHANGES IN SHAREHOLDERS' EQUITY
|
|
|
Share
capital
|
Share
premium
|
Other reserves
(*)
|
Revaluation
of property,
plant and
equipment
|
Stock-based
compensation
reserve
|
Foreign
currency
translation
reserve
|
Retained
earnings
|
Gross
amount
|
Treasury
stock
|
Attributable
to
share-holders
of the
company
|
Non
Controlling
interest
|
Total
shareholders'
equity
|
|
(in thousand
NIS)
|
|
Balance -
January 1, 2013
|
38,059
|
864,811
|
(191,698)
|
190,690
|
49,835
|
(553,627)
|
59,081
|
457,151
|
(168,521)
|
288,629
|
1,100,479
|
1,389,108
|
|
Loss for the
year
|
-
|
-
|
-
|
-
|
-
|
-
|
(1,155,645)
|
(1,155,645)
|
-
|
(1,155,645)
|
(409,365)
|
(1,565,010)
|
|
Other comprehensive
income (loss)
|
-
|
-
|
7,985
|
11,593
|
-
|
(202,257)
|
9,740
|
(172,939)
|
-
|
(172,939)
|
(59,323)
|
(232,262)
|
|
Transaction with
non-controlling interest
|
-
|
-
|
1,853
|
-
|
-
|
-
|
-
|
1,853
|
-
|
1,853
|
1,106
|
2,959
|
|
Reclassification of a
derivative (options) following a change in terms
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
(11,819)
|
(11,819)
|
|
Exercise of options
by employees
|
10
|
1,673
|
-
|
-
|
(1,683)
|
-
|
-
|
-
|
-
|
-
|
-
|
-
|
|
Expiration of options
held by minority
|
-
|
4,804
|
-
|
-
|
-
|
-
|
-
|
4,804
|
-
|
4,804
|
(4,804)
|
-
|
|
Stock-based
compensation expenses
|
-
|
-
|
-
|
-
|
660
|
-
|
-
|
660
|
-
|
660
|
7,734
|
8,394
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance -
December 31, 2013
|
38,069
|
871,288
|
(181,862)
|
202,283
|
48,812
|
(755,886)
|
(1,086,820)
|
(864,116)
|
(168,521)
|
(1,032,637)
|
624,007
|
(408,630)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit (loss)
for the period
|
|
|
|
|
|
|
1,129,198
|
1,129,198
|
|
1,129,198
|
(178,571)
|
950,627
|
|
Other comprehensive
income (loss)
|
|
|
(12,471)
|
(8,016)
|
|
9,116
|
7,991
|
(3,380)
|
|
(3,380)
|
(2,941)
|
(6,321)
|
|
Issuance of
shares
|
|
314,220
|
|
|
|
|
|
314,220
|
|
314,220
|
|
314,220
|
|
Transaction with
non-controlling interest
|
|
|
2,461
|
|
|
|
|
2,461
|
|
2,461
|
1,515
|
3,976
|
|
Treasury stock and
old stock cancellation
|
(38,069)
|
(130,452)
|
|
|
|
|
|
(168,521)
|
168,521
|
-
|
|
|
|
Out of
consolidation
|
|
|
|
|
|
|
|
|
|
|
2,277
|
2,277
|
|
Classification
|
|
|
|
|
|
|
|
|
|
|
1,604
|
1,604
|
|
Stock-based
compensation expenses
|
|
|
|
|
477
|
|
|
477
|
|
477
|
3,205
|
3,682
|
|
Balance -
September 30, 2014
|
-
|
1,055,056
|
(191,872)
|
194,267
|
49,289
|
(746,770)
|
50,369
|
410,339
|
-
|
410,339
|
451,096
|
861,435
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(*) includes transactions with
non-controlling interest reserve and hedging reserve.
|
|
ELBIT IMAGING
LTD.
STATEMENT OF
CHANGES IN SHAREHOLDERS' EQUITY
|
|
|
Share
capital
|
Share
premium
|
Other
reserves
(*)
|
Revaluation
of property,
plant and
equipment
|
Stock-based
compensation
reserve
|
Foreign
currency
translation
reserve
|
Retained
earnings
|
Gross
amount
|
Treasury
stock
|
Attributable
to share-
holders of
the company
|
Non
Controlling
interest
|
Total
shareholder's
equity
|
|
Convenience
translation, U.S.$'000
|
|
Balance -
January 1, 2014
|
10,303
|
235,802
|
(49,218)
|
54,745
|
13,210
|
(204,570)
|
(294,133)
|
(233,861)
|
(45,608)
|
(279,469)
|
168,879
|
(110,590)
|
|
Profit (loss)
for the period
|
|
|
|
|
|
|
305,602
|
305,602
|
|
305,602
|
(48,328)
|
257,274
|
|
Other comprehensive
income (loss)
|
|
|
(3,375)
|
(2,169)
|
|
2,467
|
2,163
|
(915)
|
|
(915)
|
(796)
|
(1,711)
|
|
Issuance of
shares
|
|
85,039
|
|
|
|
|
|
85,039
|
|
85,039
|
0
|
85,039
|
|
Transaction with
non-controlling interest
|
|
|
666
|
|
|
|
|
666
|
|
666
|
410
|
1,076
|
|
Treasury stock and
old stock
cancellation
|
(10,303)
|
(35,305)
|
|
|
|
|
|
(45,608)
|
45,608
|
|
|
-
|
|
Out of
consolidation
|
|
|
|
|
|
|
|
-
|
|
|
616
|
616
|
|
Classification
|
|
|
|
|
|
|
|
|
|
|
434
|
434
|
|
Stock-based
compensation expenses
|
|
|
|
|
129
|
|
|
129
|
|
129
|
867
|
996
|
|
Balance -
September 30, 2014
|
-
|
285,536
|
(51,927)
|
52,576
|
13,339
|
(202,103)
|
13,632
|
111,052
|
-
|
111,052
|
122,083
|
233,135
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(*) includes
transactions with non-controlling interest reserve and hedging
reserve.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/elbit-imaging-ltd-announces-third-quarter-results-for-2014-300001193.html
SOURCE Elbit Imaging