Market Newsdesk

ARCHBOLD, Ohio, April 19, 2023 (GLOBE NEWSWIRE) — Farmers & Merchants Bancorp, Inc. (Nasdaq: FMAO) today reported financial results for the 2023 first quarter ended March 31, 2023.

2023 First Quarter Financial Highlights Include (on a year-over-year basis unless noted):

• Net interest income before provision for credit losses increased 9.6% to $21.7 million
• Adopted CECL accounting standards, which led to a one-time adjustment to equity of $3.4 million, net of tax
• Net income of $6.5 million, compared to $8.1 million
• Earnings were $0.47 per basic and diluted share, compared to $0.62 per basic and diluted share
• Total loans increased 24.7% to a record $2.447 billion
• Organic loan growth of 19.4%, excluding PPP loans and the Peoples-Sidney Financial Corporation acquisition
• Total assets increased 14.3% to a record $3.07 billion, and up 1.8% from December 31, 2022
• Deposits increased 11.5% to a record $2.51 billion, and up 1.8% from December 31, 2022
• Uninsured deposits to total deposits of approximately 18% at March 31, 2023
• Strong asset quality continues as nonperforming loans declined 10.1% to $7.7 million, or 0.32% of total loans
• Net charge-offs to average loans were 0.00%
• Allowance for credit losses, with the accretable yield adjustment from recent acquisitions, of 319.22% of nonperforming loans

Lars B. Eller, President and Chief Executive Officer, stated, “F&M’s increased scale, strong balance sheet, and highly profitable financial model supports our growth initiatives, while providing us with the flexibility to invest across our business and return capital to shareholders. Despite increased economic volatility, we remain focused on executing our new three-year strategic growth plan and I am pleased with the progress we are making. During the quarter, we successfully completed the integration of the October 2022 acquisition of the Peoples-Sidney Financial Corporation. We implemented CECL accounting standards, which maintained our allowance, even as non-performing loans declined 10.1% over the past 12 months. In the first quarter, we completed the conversion of our credit card sale with new cards issued and the scorecard rewards carried over to the new provider. In addition, we completed the first phase of our previously announced investments, preparing to open three new offices in the second quarter as well as enhancing our training, commercial and deposit operations, customer care center, and risk and compliance teams and capabilities. Finally, we added a new, highly experienced lending team in our Fort Wayne region to lead our growth within this compelling market.”

Mr. Eller continued, “We grew total deposits by $44.3 million over the past three months, despite extremely high competition for deposits. Competition for deposits has also significantly increased our cost of interest-bearing liabilities. Interest expense on deposits increased over five times from $1.4 million in the 2022 first quarter to $8.2 million, compared to an 11.5% increase in total deposits over this period. Despite these trends, net interest income before provision for credit losses increased 9.6% to a first quarter record as a result of strong loan growth and higher yields on loans.”

“Profitability was impacted by several strategic one-time expenses that we incurred during the 2023 first quarter including $541,000 of total charges related to the conversion of our credit card platform. In addition, we sold $21.6 million of investments and recognized a loss of $891,000 during the quarter, which temporarily reduced ROA by 9 basis points and ROE by 93 basis points. We expect this opportunistic sale to contribute to earnings going forward and earn a payback in approximately eight months. Offsetting these actions was significant growth in income from agriculture servicing rights, which were recognized at a value of $1.5 million during the first quarter. Overall, first quarter profitability was in line with our expectations. We expect the actions taken in the first quarter will enhance profitability going forward and we remain focused on investing in our growth initiatives, controlling operating expenses, and managing our cost of funds,” continued Mr. Eller.

Income Statement

Net income for the 2023 first quarter ended March 31, 2023, was $6.5 million, compared to $8.1 million for the same period last year. Net income per basic and diluted share for the 2023 first quarter was $0.47, compared to $0.62 for the same period last year.

Deposits

At March 31, 2023, total deposits were a record $2.513 billion, an increase of 11.5% from March 31, 2022, and an increase of 1.8% from December 31, 2022. The Company’s cost of interest-bearing liabilities increased to 1.85% for the quarter ended March 31, 2023, compared to 0.45% for the quarter ended March 31, 2022, and 1.32% for the quarter ended December 31, 2022.

At March 31, 2023, F&M’s average deposit account had an average balance of $25,544. In addition, uninsured deposits to total deposits were approximately 18% for the quarter ended March 31, 2023.

Loan Portfolio and Asset Quality

Total loans, net at March 31, 2023, increased 24.5%, or by $476.6 million to a record $2.422 billion, compared to $1.945 billion at March 31, 2022, and up 3.7% from $2.336 billion at December 31, 2022. The year-over-year improvement resulted primarily from the contribution of continued strong organic loan growth and the completion of the Peoples acquisition. Not including the Peoples acquisition, total net loans increased 19.1% organically, or by $371.9 million from the same period a year ago.

F&M continues to closely monitor its loan portfolio with a particular emphasis on higher risk sectors. Nonperforming loans were $7.7 million, or 0.32% of total loans at March 31, 2023, compared to $8.6 million, or 0.44% of total loans at March 31, 2022. Loans past due were 0.52% of the loan portfolio at March 31, 2023, which included one large farm loan that was paid off after the quarter ended and another loan that is expected to be refinanced through another bank in the 2023 second quarter. Past due loans adjusted for these two credits as a percent of the loan portfolio would have been 0.13% at March 31, 2023. CRE loans represented 50.1% of the Company’s total loan portfolio at March 31, 2023.

F&M maintains a well-balanced, diverse and high performing CRE portfolio, which included the following categories at March 31, 2023:

CRE Category		Dollar Balance			Percent of RE Portfolio (*)		Percent of Total Loan Portfolio (*)
Multi Family		$204,510			16.7%		8.4%
Retail		$217,447			17.7%		8.9%
Industrial		$174,296			14.2%		7.1%
Hotels		$151,562			12.4%		6.2%
Office		$96,087			7.8%		3.9%
Gas Stations		$59,239			4.8%		2.4%
Senior Living		$41,407			3.4%		1.7%
Food Service		$32,788			2.7%		1.3%
Other		$247,979			20.2%		10.1%
Total CRE		$1,225,315			100.0%		50.1%

   * Numbers have been rounded

On January 1, 2023, F&M adopted ASU 2016-13 – Measurement of Credit Losses on Financial Instruments and implemented the current expected credit losses (“CECL”) accounting standards. As a result, the Company recorded the one-time adjustment from equity into the allowance for credit losses and unfunded commitment liability in the amount of $4.3 million, or $3.4 million, net of tax. The adoption of CECL did not have a material impact on the Bank’s regulatory capital ratios.

At March 31, 2023, the Company’s allowance for credit losses to nonperforming loans was 319.22%, compared to 198.29% at March 31, 2022. As a result of F&M’s recent acquisitions, the Company has an accretable yield adjustment of $5.8 million, which further enhances F&M’s allowance at March 31, 2023. Including the accretable yield adjustment, F&M’s allowance for credit losses to total loans was 1.24% at March 31, 2023, compared to 1.22% at March 31, 2022.

Mr. Eller concluded, “We expect to make approximately $7 million of annual strategic investments during 2023 across our business. These investments combined with a higher cost of funds are expected to temporarily impact profitability in 2023. We believe earnings growth will reaccelerate in 2024 as we benefit from the investments and strategies we are pursuing. I am encouraged by the progress we are making and the dedication of our team members, as we remain focused on supporting the financial needs of our Ohio, Indiana and Michigan communities.”

Stockholders’ Equity and Dividends

Total stockholders’ equity increased 6.7% to $305.8 million at March 31, 2023, from $286.5 million at March 31, 2022. At March 31, 2023, the Company had a Tier 1 leverage ratio of 8.36%, compared to 8.51% at March 31, 2022.

Based on a regulatory basis, tangible stockholders’ equity increased to $244.2 million at March 31, 2023, compared to $221.6 million at March 31, 2022. On a per share basis, regulatory tangible stockholders’ equity at March 31, 2023, was $17.92 per share, compared to $16.96 per share at March 31, 2022. A non-GAAP reconciliation is provided as a table in this press release.

For the 2023 first quarter, the company declared cash dividends of $0.21 per share, which is a 10.5% increase over the 2022 first quarter declared dividend payment. F&M is committed to returning capital to shareholders and has increased the annual cash dividend for 28 consecutive years. For the 2023 first quarter, the dividend payout ratio was 43.79% compared to 30.64% for the same period last year.

About Farmers & Merchants State Bank:

The Farmers & Merchants State Bank is a local independent community bank that has been serving Northwest Ohio and Northeast Indiana since 1897. The Farmers & Merchants State Bank provides commercial banking, retail banking and other financial services. Our locations are in Champaign, Fulton, Defiance, Hancock, Henry, Lucas, Shelby, Williams, and Wood counties in Western Ohio. In Northeast Indiana, we have offices located in Adams, Allen, DeKalb, Jay, Steuben and Wells counties, and we have Loan Production Offices in West Bloomfield, Michigan; Muncie, Indiana; and Bryan and Oxford, Ohio.

Safe harbor statement

Farmers & Merchants Bancorp, Inc. (“F&M”) wishes to take advantage of the Safe Harbor provisions included in the Private Securities Litigation Reform Act of 1995. Statements by F&M, including management’s expectations and comments, may not be based on historical facts and are “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21B of the Securities Exchange Act of 1934, as amended. Actual results could vary materially depending on risks and uncertainties inherent in general and local banking conditions, competitive factors specific to markets in which F&M and its subsidiaries operate, future interest rate levels, legislative and regulatory decisions, capital market conditions, or the effects of the COVID-19 pandemic, and its impacts on our credit quality and business operations, as well as its impact on general economic and financial market conditions. F&M assumes no responsibility to update this information. For more details, please refer to F&M’s SEC filing, including its most recent Annual Report on Form 10-K and quarterly reports on Form 10-Q. Such filings can be viewed at the SEC’s website, www.sec.gov or through F&M’s website www.fm.bank.

Non-GAAP Financial Measures

This press release includes disclosure of financial measures not prepared in accordance with generally accepted accounting principles in the United States (GAAP). A non-GAAP financial measure is a numerical measure of historical or future financial performance, financial position or cash flows that excludes or includes amounts that are required to be disclosed by GAAP. Farmers & Merchants Bancorp, Inc. believes that these non-GAAP financial measures provide both management and investors a more complete understanding of the underlying operational results and trends and Farmers & Merchants Bancorp, Inc.’s marketplace performance. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the numbers prepared in accordance with GAAP. A reconciliation of GAAP to non-GAAP financial measures is included within this press release.

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME & COMPREHENSIVE INCOME
(Unaudited) (in thousands of dollars, except per share data)
			Three Months Ended
			March 31, 2023				December 31, 2022				September 30, 2022				June 30, 2022				March 31, 2022
Interest Income
Loans, including fees			$	29,703			$	27,302			$	24,119			$	22,388			$	20,455
Debt securities:
U.S. Treasury and government agencies				1,068				1,118				1,049				1,035				1,023
Municipalities				408				420				373				322				300
Dividends				123				126				93				57				42
Federal funds sold				21				2				–				9				10
Other.				479				524				213				100				69
Total interest income				31,802				29,492				25,847				23,911				21,899
Interest Expense
Deposits				8,151				4,978				2,166				1,379				1,360
Federal funds purchased and securities sold
under agreements to repurchase				405				463				416				166				152
Borrowed funds				1,280				1,209				398				218				335
Subordinated notes				284				285				284				284				269
Total interest expense				10,120				6,935				3,264				2,047				2,116
Net Interest Income – Before Provision for Credit Losses*				21,682				22,557				22,583				21,864				19,783
Provision for Credit Losses*				817				755				1,637				1,628				580
Net Interest Income After Provision for Credit Losses*				20,865				21,802				20,946				20,236				19,203
Noninterest Income
Customer service fees				2,447				2,862				2,300				2,148				2,648
Other service charges and fees				2,554				1,115				1,105				1,008				998
Net gain on sale of loans				67				165				327				164				697
Net loss on sale of available-for-sale securities				(891	)			–				–				–				–
Total noninterest income				4,177				4,142				3,732				3,320				4,343
Noninterest Expense
Salaries and wages				6,657				6,353				5,479				5,366				5,502
Employee benefits				2,165				1,911				1,392				1,546				2,054
Net occupancy expense				856				753				693				522				598
Furniture and equipment				1,252				1,096				1,047				1,008				1,056
Data processing				726				1,917				781				654				604
Franchise taxes				366				(45	)			254				757				418
ATM expense				623				561				580				544				532
Advertising				514				531				578				300				237
Net (gain) loss on sale of other assets owned				–				12				–				(266	)			(5	)
FDIC assessment				306				250				271				270				114
Mortgage servicing rights amortization				159				110				(50	)			59				26
Consulting fees				230				637				254				233				178
Other general and administrative				3,139				2,964				2,192				2,242				2,179
Total noninterest expense				16,993				17,050				13,471				13,235				13,493
Income Before Income Taxes				8,049				8,894				11,207				10,321				10,053
Income Taxes				1,583				1,706				2,253				2,050				1,951
Net Income				6,466				7,188				8,954				8,271				8,102
Other Comprehensive Income (Loss) (Net of Tax):
Net unrealized gain (loss) on available-for-sale securities				9,812				(628	)			(8,197	)			(14,602	)			(20,939	)
Reclassification adjustment for realized loss on sale of available-for-sale securities				(891	)			–				–				–				–
Net unrealized gain (loss) on available-for-sale securities				8,921				(628	)			(8,197	)			(14,602	)			(20,939	)
Tax expense (benefit)				1,874				(132	)			(1,721	)			(3,067	)			(4,397	)
Other comprehensive income (loss)				7,047				(496	)			(6,476	)			(11,535	)			(16,542	)
Comprehensive Income (Loss)			$	13,513			$	6,692			$	2,478			$	(3,264	)		$	(8,440	)
Basic Earnings Per Share			$	0.47			$	0.53			$	0.68			$	0.63			$	0.62
Diluted Earnings Per Share			$	0.47			$	0.53			$	0.68			$	0.63			$	0.62
Dividends Declared			$	0.2100			$	0.2100			$	0.2100			$	0.2025			$	0.1900
*ASU 2016-13 adopted during the first quarter of 2023; therefore, prior period’s provision amount reflects the incurred loss method.

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited) (in thousands of dollars, except share data)
			March 31, 2023				December 31, 2022				September 30, 2022				June 30, 2022				March 31, 2022
			(Unaudited)								(Unaudited)				(Unaudited)				(Unaudited)
Assets
Cash and due from banks			$	62,780			$	83,085			$	69,680			$	69,955			$	94,118
Federal funds sold				1,545				1,324				990				1,484				45,404
	Total cash and cash equivalents			64,325				84,409				70,670				71,439				139,522
Interest-bearing time deposits				4,435				4,442				5,187				6,684				8,677
Securities – available-for-sale				372,975				390,789				395,485				399,687				413,996
Other securities, at cost				11,543				9,799				8,227				8,735				8,568
Loans held for sale				951				827				2,182				4,230				6,060
Loans, net				2,422,018				2,336,074				2,122,626				2,016,394				1,945,449
Premises and equipment				28,679				28,381				26,484				26,492				26,653
Construction in progress				1,565				278				–				–				–
Goodwill				86,358				86,358				80,434				80,434				80,434
Mortgage servicing rights				4,985				3,549				3,583				3,426				3,336
Other real estate owned				–				–				–				–				–
Bank owned life insurance				33,269				33,073				28,051				27,874				27,715
Other assets				38,972				37,372				40,831				29,321				25,735
Total Assets			$	3,070,075			$	3,015,351			$	2,783,760			$	2,674,716			$	2,686,145
	Liabilities and Stockholders’ Equity
Liabilities
Deposits
	Noninterest-bearing		$	520,145			$	532,794			$	506,928			$	503,395			$	497,249
	Interest-bearing
	NOW accounts			800,230				750,887				705,888				678,552				681,975
	Savings			590,854				627,203				607,375				617,850				626,787
	Time			601,939				557,980				462,845				424,249				447,586
	Total deposits			2,513,168				2,468,864				2,283,036				2,224,046				2,253,597
Federal funds purchased and
securities sold under agreements to repurchase				30,496				54,206				55,802				71,944				31,680
Federal Home Loan Bank (FHLB) advances				164,327				127,485				102,147				42,635				22,656
Other borrowings				–				10,000				10,000				–				40,000
Subordinated notes, net of unamortized issuance costs				34,615				34,586				34,557				34,528				34,499
Dividend payable				2,831				2,832				2,727				2,626				2,462
Accrued expenses and other liabilities				18,881				19,238				14,913				18,064				14,773
	Total liabilities			2,764,318				2,717,211				2,503,182				2,393,843				2,399,667
Commitments and Contingencies
Stockholders’ Equity
Common stock – No par value 20,000,000 shares authorized; issued and
outstanding 14,564,425 shares 3/31/23 and 12/31/22				135,241				135,497				121,811				123,145				122,886
Treasury stock – 934,303 shares 3/31/23, 956,003 shares 12/31/22				(11,310	)			(11,573	)			(11,547	)			(11,822	)			(11,739	)
Retained earnings				213,012				212,449				208,051				200,811				195,057
Accumulated other comprehensive loss				(31,186	)			(38,233	)			(37,737	)			(31,261	)			(19,726	)
	Total stockholders’ equity			305,757				298,140				280,578				280,873				286,478
Total Liabilities and Stockholders’ Equity			$	3,070,075			$	3,015,351			$	2,783,760			$	2,674,716			$	2,686,145

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
SELECT FINANCIAL DATA
			For the Three Months Ended
Selected financial data		March 31, 2023				December 31, 2022				September 30, 2022				June 30, 2022				March 31, 2022
Return on average assets			0.84%				0.96%				1.31%				1.23%				1.21%
Return on average equity			8.59%				10.00%				12.53%				11.66%				11.00%
Yield on earning assets			4.41%				4.18%				4.00%				3.79%				3.47%
Cost of interest bearing liabilities			1.85%				1.32%				0.68%				0.44%				0.45%
Net interest spread			2.56%				2.86%				3.32%				3.35%				3.02%
Net interest margin			3.01%				3.20%				3.49%				3.47%				3.14%
Efficiency			63.53%				50.46%				51.19%				50.17%				55.44%
Dividend payout ratio			43.79%				39.39%				30.45%				30.02%				30.64%
Tangible book value per share (1)		$	17.92			$	17.69			$	17.86			$	17.43			$	16.96
Tier 1 leverage ratio			8.36%				8.39%				9.11%				8.75%				8.51%
Average shares outstanding			13,615,655				13,606,876				13,083,145				13,065,975				13,066,272
Loans		March 31, 2023					December 31, 2022				September 30, 2022				June 30, 2022				March 31, 2022
(Dollar amounts in thousands)
Commercial real estate		$	1,225,315			$	1,152,603			$	1,063,661			$	979,176			$	910,839
Agricultural real estate			227,897				220,819				205,089				199,972				196,223
Consumer real estate			502,974				494,423				416,001				410,450				410,120
Commercial and industrial			241,598				242,360				229,388				232,975				216,918
Agricultural			131,467				128,733				128,615				127,143				140,709
Consumer			89,588				89,147				70,602				55,411				57,521
Other			29,316				29,818				30,662				31,243				31,573
Less: Net deferred loan fees and costs			(1,503	)			(1,516	)			(1,402	)			(1,552	)			(1,683	)
Total loans,net		$	2,446,652			$	2,356,387			$	2,142,616			$	2,034,818			$	1,962,220
Asset quality data		March 31, 2023				December 31, 2022				September 30, 2022				June 30, 2022				March 31, 2022
(Dollar amounts in thousands)
Nonaccrual loans		$	7,717			$	4,689			$	5,470			$	5,247			$	8,581
Troubled debt restructuring		$	3,516			$	3,645			$	3,978			$	2,748			$	7,268
90 day past due and accruing		$	–			$	–			$	–			$	–			$	–
Nonperforming loans		$	7,717			$	4,689			$	5,470			$	5,247			$	8,581
Other real estate owned		$	–			$	–			$	–			$	–			$	–
Nonperforming assets		$	7,717			$	4,689			$	5,470			$	5,247			$	8,581
Allowance for credit losses(2)		$	24,507			$	20,313			$	19,990			$	18,424			$	16,771
Accretable yield adjustment			5,754				6,427				5,959				6,724				7,201
Adjusted credit losses with accretable yield included(2)			30,261			$	26,740			$	25,949			$	25,148			$	23,972
Allowance for credit losses/total loans(2)		$	1.00%				0.86%				0.93%				0.91%				0.85%
Adjusted credit losses with accretable yield/total loans(2)		$	1.24%				1.13%				1.21%				1.24%				1.22%
Net charge-offs:
Quarter-to-date			60			$	431			$	71			$	(25	)		$	51
Year-to-date			60			$	529			$	97			$	26			$	51
Net charge-offs to average loans					0.28%
Quarter-to-date			0.00%				0.02%				0.00%				0.00%				0.00%
Year-to-date			0.00%				0.03%				0.00%				0.00%				0.00%
Nonperforming loans/total loans			0.32%				0.20%				0.26%				0.26%				0.44%
Allowance for credit losses/nonperforming loans(2)			319.22%				273.67%				365.44%				351.44%				198.29%
(1) Tangible Equity = Stockholder Equity less goodwill, other intangibles (core deposit intangible, mortgage servicing rights and unrealized gain/loss on securities) plus CECL adjustment
(2) ASU 2016-13 adopted during the first quarter of 2023; therefore, prior period’s provision amount reflects the incurred loss method.

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES
(in thousands of dollars, except percentages)
		For the Three Months Ended									For the Three Months Ended
		March 31, 2023									March 31, 2022
Interest Earning Assets:		Average Balance			Interest/Dividends			Annualized Yield/Rate			Average Balance			Interest/Dividends			Annualized Yield/Rate
Loans		$	2,397,061		$	29,703		4.96	%		$	1,907,478		$	20,455		4.29	%
Taxable investment securities			397,480			1,499		1.51	%			429,899			1,295		1.20	%
Tax-exempt investment securities			26,352			100		1.92	%			18,587			70		1.91	%
Fed funds sold & other			68,557			500		2.92	%			167,319			79		0.19	%
Total Interest Earning Assets			2,889,450		$	31,802		4.41	%			2,523,283		$	21,899		3.47	%
Nonearning Assets			180,259									165,064
Total Assets		$	3,069,709								$	2,688,347
Interest Bearing Liabilities:
Savings deposits		$	1,400,769		$	4,943		1.41	%		$	1,293,099		$	588		0.18	%
Other time deposits			579,409			3,208		2.21	%			459,854			772		0.67	%
Other borrowed money			132,494			1,280		3.86	%			63,364			335		2.11	%
Fed funds purchased & securities
sold under agreement to repurch.			38,853			405		4.17	%			29,104			152		2.09	%
Subordinated notes			34,596			284		3.28	%			34,480			269		3.12	%
Total Interest Bearing Liabilities		$	2,186,121		$	10,120		1.85	%		$	1,879,901		$	2,116		0.45	%
Noninterest Bearing Liabilities			582,345									513,745
Stockholders’ Equity		$	301,243								$	294,701
Net Interest Income and Interest Rate Spread					$	21,682		2.56	%					$	19,783		3.02	%
Net Interest Margin								3.01	%								3.14	%
Yields on Tax exempt securities and the portion of the tax-exempt IDB loans included in loans have been tax adjusted based on a 21% tax rate in the charts

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEETS AND RELATED YIELDS AND RATES
(in thousands of dollars, except percentages)
	For the Three Months Ended March 31, 2023													For the Three Months Ended March 31, 2022
	As Reported				Excluding Acc/Amort				Difference					As Reported				Excluding Acc/Amort				Difference
	$	Yield			$	Yield			$		Yield			$	Yield			$	Yield			$		Yield
Loans	29,703	4.96	%		29,036	4.85	%		667		0.11	%		20,455	4.29	%		20,081	4.12	%		374		0.17	%
Taxable investment securities	1,499	1.51	%		1,499	1.51	%		–		0.00	%		1,295	1.20	%		1,295	1.20	%		–		0.00	%
Tax-exempt investment securities	100	1.92	%		100	1.92	%		–		0.00	%		70	1.91	%		70	1.91	%		–		0.00	%
Fed funds sold & other	500	2.92	%		500	2.92	%		–		0.00	%		79	0.19	%		79	0.19	%		–		0.00	%
Total Interest Earning Assets	31,802	4.41	%		31,135	4.31	%		667		0.10	%		21,899	3.47	%		21,525	3.42	%		374		0.05	%
Savings deposits	4,943	1.41	%		4,943	1.41	%		–		0.00	%		588	0.18	%		588	0.18	%		–		0.00	%
Other time deposits	3,208	2.21	%		3,667	2.53	%		(459	)	-0.32	%		772	0.67	%		1,391	1.21	%		(619	)	-0.54	%
Other borrowed money	1,280	3.86	%		1,298	3.92	%		(18	)	-0.06	%		335	2.11	%		356	2.25	%		(21	)	-0.14	%
Federal funds purchased and
securities sold under agreement to
repurchase	405	4.17	%		405	4.17	%		–		0.00	%		152	2.09	%		152	2.09	%		–		0.00	%
Subordinated notes	284	3.28	%		284	3.28	%		–		0.00	%		269	3.12	%		269	3.12	%		–		0.00	%
Total Interest Bearing Liabilities	10,120	1.85	%		10,597	1.94	%		(477	)	-0.09	%		2,116	0.45	%		2,756	0.59	%		(640	)	-0.14	%
Interest/Dividend income/yield	31,802	4.41	%		31,135	4.31	%		667		0.10	%		21,899	3.47	%		21,525	3.42	%		374		0.05	%
Interest Expense / yield	10,120	1.85	%		10,597	1.94	%		(477	)	-0.09	%		2,116	0.45	%		2,756	0.59	%		(640	)	-0.14	%
Net Interest Spread	21,682	2.56	%		20,538	2.37	%		1,144		0.19	%		19,783	3.02	%		18,769	2.83	%		1,014		0.19	%
Net Interest Margin		3.01	%			2.85	%				0.16	%			3.14	%			2.98	%				0.16	%

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION OF NET INCOME
(in thousands of dollars)
		Three Months Ended
Non-GAAP Reconciliation of Net Income		March 31, 2023				March 31, 2022
		(Unaudited)
Net income as reported		$	6,466			$	8,102
Acquisition expenses			96				145
Tax effect on acquisition expenses			(19	)			(30	)
Net income excluding acquisition expenses and tax effect		$	6,543			$	8,217
Weighted average common shares outstanding including participating securities			13,615,655				13,066,272
Basic and diluted earnings per share		$	0.48			$	0.63

FARMERS & MERCHANTS BANCORP, INC. AND SUBSIDIARIES
NON-GAAP RECONCILIATION OF TANGIBLE BOOK VALUE
		Actual End of Period								Regulatory End of Period
Non-GAAP Reconciliation of Tangible Book Value		Year to Date								Year to Date
		March 31, 2023				March 31, 2022				March 31, 2023				March 31, 2022
Shares Outstanding			13,630,122				13,066,083				13,630,122				13,066,083
Tangible Equity
Equity		$	305,757			$	286,478			$	305,757			$	286,478
Goodwill			86,358				80,434				86,358				80,434
Other Intangible			8,882				4,203				8,882				4,203
Comprehensive Loss Adjustment*			–				–				31,186				19,726
CECL Adjustment**			–				–				2,528				–
Tangible Equity		$	210,517			$	201,841			$	244,231			$	221,566
Shares Outstanding			13,630				13,066				13,630				13,066
Tangible Book Equity per Share		$	15.44			$	15.45			$	17.92			$	16.96
		Actual Average								Regulatory Average
		Year to Date								Year to Date
		March 31, 2023				March 31, 2022				March 31, 2023				March 31, 2022
Net Income		$	6,466			$	8,102			$	6,466			$	8,102
Acquisition Costs – Tax Adjusted			77				115				77				115
Average Shares Outstanding			13,206,713				11,664,852				13,206,713				11,664,852
Average Tangible Equity
Average Equity		$	301,243			$	294,701			$	301,243			$	294,701
Average Goodwill			86,358				80,434				86,358				80,434
Average Other Intangible			9,167				4,356				9,167				4,356
Average Comprehensive Loss Adjustment*			–				–				36,764				8,155
Average CECL Adjustment**			–				–				2,528
Average Tangible Equity		$	205,718			$	209,911			$	245,010			$	218,066
Average Shares Outstanding			13,616				13,066				13,616				13,066
Average Tangible Book Equity per Share		$	15.11			$	16.07			$	17.99			$	16.69
Return on Average Tangible Equity			12.57	%			15.44	%			10.56	%			14.86	%
Return on Average Tangible Equity w/o Acquisition			12.72	%			15.66	%			10.68	%			15.07	%
*The Bank has adopted the Accumulated Other Comprehensive Income (AOCI) opt out election which removed AOCI
from the calculation of tangible equity for regulatory purposes.
**ASU 2016-13 adopted during the first quarter of 2023; therefore, prior period’s provision amount reflects the incurred loss method and
the Bank has elected to spread the Capital adjustment over three years. The first year permits 75% of the capital adjustment to be removed
from the calculation of tangible equity for regulatory purposes.

Company Contact:	Investor and Media Contact:
Lars B. Eller President and Chief Executive Officer Farmers & Merchants Bancorp, Inc. (419) 446-2501 [email protected]	Andrew M. Berger Managing Director SM Berger & Company, Inc. (216) 464-6400 [email protected]

TORONTO, April 19, 2023 (GLOBE NEWSWIRE) — Profound Medical Corp. (NASDAQ:PROF; TSX:PRN) (“Profound” or the “Company”), a commercial-stage medical device company that develops and markets customizable, incision-free therapies for the ablation of diseased tissue, will announce its first quarter 2023 financial results after market close on Wednesday, May 10, 2023.

Profound management will host a conference call at 4:30 p.m. ET to review the financial results and discuss business developments in the period.

First Quarter 2023 Results Conference Call Details:

Date:	Wednesday, May 10, 2023
Time:	4:30 p.m. ET
Live Call Registration:	https://register.vevent.com/register/BI314e0d7f1a8048c1a1f4117231db49be

The call will also be broadcast live and archived on the Company’s website at www.profoundmedical.com under “Webcasts” in the Investors section.

About Profound Medical Corp.

Profound is a commercial-stage medical device company that develops and markets customizable, incision-free therapies for the ablation of diseased tissue.

Profound is commercializing TULSA-PRO^®, a technology that combines real-time MRI, robotically-driven transurethral ultrasound and closed-loop temperature feedback control. TULSA-PRO^® is designed to provide customizable and predictable radiation-free ablation of a surgeon-defined prostate volume while actively protecting the urethra and rectum to help preserve the patient’s natural functional abilities. TULSA-PRO^® has the potential to be a flexible technology in customizable prostate ablation, including intermediate stage cancer, localized radio-recurrent cancer, retention and hematuria palliation in locally advanced prostate cancer, and the transition zone in large volume benign prostatic hyperplasia (“BPH”). TULSA-PRO^® is CE marked, Health Canada approved, and 510(k) cleared by the U.S. Food and Drug Administration (“FDA”).

Profound is also commercializing Sonalleve^®, an innovative therapeutic platform that is CE marked for the treatment of uterine fibroids and palliative pain treatment of bone metastases. Sonalleve^® has also been approved by the China National Medical Products Administration for the non-invasive treatment of uterine fibroids and has FDA approval under a Humanitarian Device Exemption for the treatment of osteoid osteoma. The Company is in the early stages of exploring additional potential treatment markets for Sonalleve^® where the technology has been shown to have clinical application, such as non-invasive ablation of abdominal cancers and hyperthermia for cancer therapy.

For further information, please contact:

Stephen Kilmer
Investor Relations
[email protected]
T: 647.872.4849 

SAN DIEGO, April 19, 2023 (GLOBE NEWSWIRE) — Viracta Therapeutics, Inc. (Nasdaq: VIRX), a precision oncology company focused on the treatment and prevention of virus-associated cancers that impact patients worldwide, today announced that Mark Rothera, its President and Chief Executive Officer, and Lisa Rojkjaer, M.D., its Chief Medical Officer, are scheduled to participate in a virtual fireside chat at the Stifel 2023 Targeted Oncology Days on Wednesday, April 26, 2023, at 12:00 p.m. ET.

A live webcast of the fireside chat will be available on the Investors section of the Viracta website under “Events and Webcasts” and archived for 90 days.

About Viracta Therapeutics, Inc.

Viracta is a precision oncology company focused on the treatment and prevention of virus-associated cancers that impact patients worldwide. Viracta’s lead product candidate is an all-oral combination therapy of its proprietary investigational drug, nanatinostat, and the antiviral agent valganciclovir (collectively referred to as Nana-val). Nana-val is currently being evaluated in multiple ongoing clinical trials, including a pivotal, global, multicenter, open-label Phase 2 basket trial for the treatment of multiple subtypes of relapsed/refractory Epstein-Barr virus-positive (EBV⁺) lymphoma (NAVAL-1), as well as a multinational, open-label Phase 1b/2 trial for the treatment of EBV⁺ recurrent or metastatic nasopharyngeal carcinoma and other EBV⁺ solid tumors. Viracta is also pursuing the application of its “Kick and Kill” approach in other virus-related cancers.

For additional information please visit www.viracta.com.

Investor Relations Contact:

Ashleigh Barreto
Head of Investor Relations & Corporate Communications
Viracta Therapeutics, Inc.
[email protected]

SOURCE Viracta Therapeutics, Inc.

PHILADELPHIA, April 19, 2023 (GLOBE NEWSWIRE) — Brandywine Realty Trust (NYSE:BDN) today reported its financial and operating results for the three months ended March 31, 2023.

Management Comments

“During the first quarter, we made excellent progress on our 2023 business plan highlighted by achieving 71% of our speculative revenue target based on the midpoint of our guidance,” stated Gerard H. Sweeney, President and Chief Executive Officer for Brandywine Realty Trust. “We continue to see positive mark-to-market rent increases of 14.9% and 4.2% on an accrual and cash basis. Our same store portfolio generated positive net operating income growth of 2.2% and 3.6% on an accrual and cash basis as well. We continue to make solid progress on all of our active development and redevelopment projects with two developments scheduled for delivery later this year. The 10% growth in our leasing pipeline is further evidence of tenant preferences in flight to quality workplaces. Our liquidity position was further strengthened by closing a $70 million unsecured term loan. We have no wholly-owned maturities until October 2024. With steady progress being made on our 2023 business plan, as well as all of our operating and financial metric targets, we are maintaining our FFO range of $1.12 to $1.20 per share.”

First Quarter 2023 Highlights

Financial Results

• Net loss allocated to common shareholders; ($5.3) million, or ($0.03) per share.
• Funds from Operations (FFO); $50.8 million, or $0.29 per diluted share.

Portfolio Results

• Core Portfolio: 89.0% occupied and 90.4% leased.
• New and renewal leases signed: 357,000 square feet.
• Rental rate mark-to-market: Increased 14.9% on an accrual basis and 4.2% on a cash basis.
• Same store net operating income: 2.2% on an accrual basis and 3.6% on a cash basis.

Transaction Activity

Finance Activity

• On March 1, 2023, we closed on a $70 million unsecured term loan. We intend to use the net proceeds from the loan for general corporate purposes, and pending such use, we have invested the proceeds in money market accounts at various financial institutions. The loan has a scheduled maturity date of February 28, 2025 (subject to our option to extend for twelve months on customary terms) and bears interest at the secured overnight financing rate (SOFR) plus 185 basis points.
• As previously announced, we repaid 100% of our outstanding 2023 Notes. On December 20, 2022, we repaid approximately $295.7 million of the 2023 Notes through a tender offer to the existing bond holders and subsequently on January 20, 2023 we repaid the remaining $54.3 million of the 2023 Notes. All of the 2023 Notes were repurchased or redeemed at par plus any accrued interest with proceeds from our December 2028 Guaranteed Note issuance, cash-on-hand and our unsecured line of credit.
• As previously announced, we entered into a non-recourse secured loan agreement in the aggregate principal amount of $245.0 million which bears interest at 5.875% (the “Secured Loan”). The Secured Loan has a scheduled maturity date of February 6, 2028 and may be prepaid in full on or after March 6, 2025, subject to a prepayment premium, and may be prepaid in full on or after August 6, 2027 without any prepayment premium. The Secured Loan is collateralized by 7 wholly-owned properties. Net cash proceeds totaled $235.7 million and were used to escrow $15.2 million for property-level 2023 reserves and capital, to fully pay-off the outstanding balance on our $600.0 million unsecured line of credit and other corporate purposes.
• As of March 31, 2023, we had no outstanding balance on our $600.0 million unsecured line of credit.
• As of March 31, 2023, we had $96.9 million of cash and cash equivalents on-hand.

Results for the Three Months Ended March 31, 2023

Net loss allocated to common shares totaled ($5.3) million, or ($0.03) per share, in the first quarter of 2023 compared to a net income allocated to common shares of $5.9 million, or $0.03 per diluted share in the first quarter of 2022.

FFO available to common shares and units in the first quarter of 2023 totaled $50.8 million, or $0.29 per diluted share, versus $60.3 million or $0.35 per diluted share in the first quarter of 2022. Our first quarter 2023 payout ratio ($0.19 common share distribution / $0.29 FFO per diluted share) was 65.5%.

Operating and Leasing Activity

In the first quarter of 2023, our Net Operating Income (NOI) excluding termination revenues and other income items increased 2.2% on an accrual basis and 3.6% on a cash basis for our 72 same store properties, which were 89.0% and 89.3% occupied on March 31, 2023 and March 31, 2022, respectively.

We leased approximately 357,000 square feet and commenced occupancy on 175,000 square feet during the first quarter of 2023. The first quarter occupancy activity includes 109,000 square feet of renewals, 46,000 square feet of new leases and 20,000 square feet of tenant expansions. We executed on an additional 180,000 square feet of new leases scheduled to commence subsequent to March 31, 2023. Consistent with our business plan, we achieved a 45% tenant retention ratio in our core portfolio with negative absorption of (109,000) square feet during the first quarter of 2023. First quarter rental rate growth increased 14.9% as our renewal rental rates increased 15.2% and our new lease/expansion rental rates increased 13.8%, all on an accrual basis.

At March 31, 2023, our core portfolio of 72 properties comprising 12.8 million square feet was 89.0% occupied and, as of April 14, 2023, we are now 90.4% leased (reflecting new leases commencing after March 31, 2023).

Distributions

On February 16, 2023, our Board of Trustees declared a quarterly cash dividend of $0.19 per common share and OP Unit that was paid on April 19, 2023 to holders of record on April 5, 2023.

2023 Earnings and FFO Guidance

Based on current plans and assumptions and subject to the risks and uncertainties more fully described in our Securities and Exchange Commission filings, we are adjusting our 2023 loss per share guidance from ($0.12) – ($0.04) per share to ($0.15) – ($0.07) per share due to projected higher depreciation and amortization expense and we are maintaining our 2023 FFO guidance of $1.12 – $1.20 per diluted share. This guidance is provided for informational purposes and is subject to change. The following is a reconciliation of the calculation of 2023 FFO and earnings per diluted share:

Guidance for 2023		Range
	Loss per share allocated to common shareholders	($0.15)	to	($0.07)
	Plus:  real estate depreciation, amortization	1.27		1.27
	FFO per diluted share	$1.12	to	$1.20

Our 2023 FFO key assumptions include:

• Year-end Core Occupancy Range:  90-91%;
• Year-end Core Leased Range:  91-92%;
• Rental Rate Growth (accrual):  11-13%;
• Rental Rate Growth (cash):  4-6%;
• Same Store (accrual) NOI Growth Range:  0-2%;
• Same Store (cash) NOI Growth Range:  2.5-4.5%;
• Speculative Revenue Target:  $17.0 – $19.0 million, $12.8 million achieved;
• Tenant Retention Rate Range:  49-51%;
• Property Acquisition Activity:  None;
• Property Sales Activity:  $100 – $125 million;
• Joint Venture Activity:  None;
• Development Starts:  None;
• Financing Activity:  $245 Million Secured Financing (complete); $70.0 Million 2-Year Unsecured Term Loan (complete); and Construction Loan at 155 King of Prussia Rd in Radnor, PA;
• Share Buyback Activity:  None;
• Annual earnings and FFO per diluted share based on 174.0 million fully diluted weighted average common shares.

About Brandywine Realty Trust

Brandywine Realty Trust (NYSE: BDN) is one of the largest, publicly traded, full-service, integrated real estate companies in the United States with a core focus in the Philadelphia, Austin and Washington, D.C. markets. Organized as a real estate investment trust (REIT), we own, develop, lease and manage an urban, town center and transit-oriented portfolio comprising 163 properties and 23.0 million square feet as of March 31, 2023 which excludes assets held for sale. Our purpose is to shape, connect and inspire the world around us through our expertise, the relationships we foster, the communities in which we live and work, and the history we build together. For more information, please visit www.brandywinerealty.com.

Conference Call and Audio Webcast

We will release our first quarter earnings after the market close on Wednesday, April 19, 2023 and will hold our first quarter conference call on Thursday, April 20, 2023 at 9:00 a.m. Eastern Time. To access the conference call by phone, please visit this link here, and you will be provided with dial in details. A live webcast of the conference call will also be available on the Investor Relations page of our website at www.brandywinerealty.com.

Looking Ahead – Second Quarter 2023 Conference Call

We expect to release our second quarter 2023 earnings on Tuesday, July 26, 2023, after the market close and will host our second quarter 2023 conference call on Wednesday, July 27, 2023 at 9:00 a.m. Eastern. We expect to issue a press release in advance of these events to reconfirm the dates and times and provide all related information.

Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements can generally be identified by our use of forward-looking terminology such as “will,” “strategy,” “expects,” “seeks,” “believes,” “potential,” or other similar words. Because such statements involve known and unknown risks, uncertainties and contingencies, actual results may differ materially from the expectations, intentions, beliefs, plans or predictions of the future expressed or implied by such forward-looking statements. These forward-looking statements, including our 2023 guidance and the progress of our projects under development, are based upon the current beliefs and expectations of our management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are difficult to predict and not within our control. Such risks, uncertainties and contingencies include, among others: risks related to the impact of COVID-19 and other potential future outbreaks of infectious diseases on our financial condition, results of operations and cash flows and those of our tenants as well as on the economy and real estate and financial markets; reduced demand for office space and pricing pressures, including from competitors, that could limit our ability to lease space or set rents at expected levels or that could lead to declines in rent; uncertainty and volatility in capital and credit markets, including changes that reduce availability, and increase costs, of capital or that delay receipt of our planned debt financings and refinancings; the effect of inflation and interest rate fluctuations, including on the costs of our planned debt financings and refinancings; the potential loss or bankruptcy of tenants or the inability of tenants to meet their rent and other lease obligations; risks of acquisitions and dispositions, including unexpected liabilities and integration costs; delays in completing, and cost overruns incurred in connection with, our developments and redevelopments; disagreements with joint venture partners; unanticipated operating and capital costs; uninsured casualty losses and our ability to obtain adequate insurance, including coverage for terrorist acts; asset impairments; our dependence upon certain geographic markets; changes in governmental regulations, tax laws and rates and similar matters; unexpected costs of REIT qualification compliance; and costs and disruptions as the result of a cybersecurity incident or other technology disruption. The declaration and payment of future dividends (both timing and amount) is subject to the determination of our Board of Trustees, in its sole discretion, after considering various factors, including our financial condition, historical and forecast operating results, and available cash flow, as well as any applicable laws and contractual covenants and any other relevant factors. Our Board’s practice regarding declaration of dividends may be modified at any time and from time to time. Additional information on factors which could impact us and the forward-looking statements contained herein are included in our filings with the Securities and Exchange Commission, including our Form 10-K for the year ended December 31, 2022. We assume no obligation to update or supplement forward-looking statements that become untrue because of subsequent events except as required by law.

Non-GAAP Supplemental Financial Measures

We compute our financial results in accordance with generally accepted accounting principles (GAAP). Although FFO and NOI are non-GAAP financial measures, we believe that FFO and NOI calculations are helpful to shareholders and potential investors and are widely recognized measures of real estate investment trust performance. At the end of this press release, we have provided a reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measure.

Funds from Operations (FFO)

We compute FFO in accordance with standards established by the National Association of Real Estate Investment Trusts (NAREIT), which may not be comparable to FFO reported by other REITs that do not compute FFO in accordance with the NAREIT definition, or that interpret the NAREIT definition differently than us. NAREIT defines FFO as net income (loss) before non-controlling interests and excluding gains (losses) on sales of depreciable operating property, impairment losses on depreciable consolidated real estate, impairment losses on investments in unconsolidated real estate ventures and extraordinary items (computed in accordance with GAAP); plus real estate related depreciation and amortization (excluding amortization of deferred financing costs), and after similar adjustments for unconsolidated joint ventures. Net income, the GAAP measure that we believe to be most directly comparable to FFO, includes depreciation and amortization expenses, gains or losses on property sales, extraordinary items and non-controlling interests. To facilitate a clear understanding of our historical operating results, FFO should be examined in conjunction with net income (determined in accordance with GAAP) as presented in the financial statements included elsewhere in this release. FFO does not represent cash flow from operating activities (determined in accordance with GAAP) and should not be considered to be an alternative to net income (loss) (determined in accordance with GAAP) as an indication of our financial performance or to be an alternative to cash flow from operating activities (determined in accordance with GAAP) as a measure of our liquidity, nor is it indicative of funds available for our cash needs, including our ability to make cash distributions to shareholders. We generally consider FFO and FFO per share to be useful measures for understanding and comparing our operating results because, by excluding gains and losses related to sales of previously depreciated operating real estate assets, impairment losses and real estate asset depreciation and amortization (which can differ across owners of similar assets in similar condition based on historical cost accounting and useful life estimates), FFO and FFO per share can help investors compare the operating performance of a company’s real estate across reporting periods and to the operating performance of other companies.

Net Operating Income (NOI)

NOI (accrual basis) is a financial measure equal to net income available to common shareholders, the most directly comparable GAAP financial measure, plus corporate general and administrative expense, depreciation and amortization, interest expense, non-controlling interest in the Operating Partnership and losses from early extinguishment of debt, less interest income, development and management income, gains from property dispositions, gains on sale from discontinued operations, gains on early extinguishment of debt, income from discontinued operations, income from unconsolidated joint ventures and non-controlling interest in property partnerships. In some cases we also present NOI on a cash basis, which is NOI after eliminating the effects of straight-lining of rent and deferred market intangible amortization. NOI presented by us may not be comparable to NOI reported by other REITs that define NOI differently. NOI should not be considered an alternative to net income as an indication of our performance or to cash flows as a measure of the Company’s liquidity or its ability to make distributions. We believe NOI is a useful measure for evaluating the operating performance of our properties, as it excludes certain components from net income available to common shareholders in order to provide results that are more closely related to a property’s results of operations. We use NOI internally to evaluate the performance of our operating segments and to make decisions about resource allocations. We concluded that NOI provides useful information to investors regarding our financial condition and results of operations, as it reflects only the income and expense items incurred at the property level, as well as the impact on operations from trends in occupancy rates, rental rates, operating costs and acquisition and development activity on an unlevered basis.

Same Store Properties

In our analysis of NOI, particularly to make comparisons of NOI between periods meaningful, it is important to provide information for properties that were in-service and owned by us throughout each period presented. We refer to properties acquired or placed in-service prior to the beginning of the earliest period presented and owned by us through the end of the latest period presented as Same Store Properties. Same Store Properties therefore exclude properties placed in-service, acquired, repositioned, held for sale or in development or redevelopment after the beginning of the earliest period presented or disposed of prior to the end of the latest period presented. Accordingly, it takes at least one year and one quarter after a property is acquired for that property to be included in Same Store Properties.

Core Portfolio

Our core portfolio is comprised of our wholly-owned properties, excluding any properties currently in development, re-development or re-entitlement.

BRANDYWINE REALTY TRUST

CONSOLIDATED BALANCE SHEETS


(unaudited, in thousands, except share and per share data)

	March 31, 2023				December 31, 2022
ASSETS
Real estate investments:
Operating properties	$	3,632,495			$	3,617,240
Accumulated depreciation		(1,096,199	)			(1,063,060	)
Right of use asset – operating leases, net		19,505				19,664
Operating real estate investments, net		2,555,801				2,573,844
Construction-in-progress		236,040				218,869
Land held for development		67,923				76,499
Prepaid leasehold interests in land held for development, net		27,762				35,576
Total real estate investments, net		2,887,526				2,904,788
Cash and cash equivalents		96,945				17,551
Restricted cash and escrow		16,126				—
Accounts receivable		13,446				11,003
Accrued rent receivable, net of allowance of $3,828 and $3,947 as of March 31, 2023 and December 31, 2022, respectively		182,523				179,771
Investment in unconsolidated real estate ventures		583,775				567,635
Deferred costs, net		95,037				96,639
Intangible assets, net		16,394				18,451
Other assets		95,339				78,667
Total assets	$	3,987,111			$	3,874,505
LIABILITIES AND BENEFICIARIES’ EQUITY
Secured term loan, net	$	241,231			$	—
Unsecured credit facility		—				88,500
Unsecured term loan, net		317,848				248,168
Unsecured senior notes, net		1,574,221				1,628,370
Accounts payable and accrued expenses		114,370				132,440
Distributions payable		32,823				32,792
Deferred income, gains and rent		24,039				25,082
Intangible liabilities, net		9,921				10,322
Lease liability – operating leases		23,218				23,166
Other liabilities		56,222				52,331
Total liabilities	$	2,393,893			$	2,241,171
Brandywine Realty Trust’s Equity:
Common Shares of Brandywine Realty Trust’s beneficial interest, $0.01 par value; shares authorized 400,000,000; 171,727,703 and 171,569,807 issued and outstanding as of March 31, 2023 and December 31, 2022, respectively		1,717				1,716
Additional paid-in-capital		3,156,507				3,153,229
Deferred compensation payable in common shares		19,746				19,601
Common shares in grantor trust, 1,153,359 and 1,179,643 issued and outstanding as of March 31, 2023 and December 31, 2022, respectively		(19,746	)			(19,601	)
Cumulative earnings		1,170,936				1,176,195
Accumulated other comprehensive income (loss)		(1,410	)			3,897
Cumulative distributions		(2,742,139	)			(2,709,405	)
Total Brandywine Realty Trust’s equity		1,585,611				1,625,632
Noncontrolling interests		7,607				7,702
Total beneficiaries’ equity	$	1,593,218			$	1,633,334
Total liabilities and beneficiaries’ equity	$	3,987,111			$	3,874,505

BRANDYWINE REALTY TRUST

CONSOLIDATED STATEMENTS OF OPERATIONS


(unaudited, in thousands, except share and per share data)

	Three months ended March 31,
	2023				2022
Revenue
Rents	$	120,848			$	115,901
Third party management fees, labor reimbursement and leasing		6,002				5,108
Other		2,377				6,496
Total revenue		129,227				127,505
Operating expenses
Property operating expenses		33,594				31,548
Real estate taxes		14,602				13,813
Third party management expenses		2,639				2,557
Depreciation and amortization		45,600				43,782
General and administrative expenses		9,482				10,000
Total operating expenses		105,917				101,700
Gain on sale of real estate
Net gain on sale of undepreciated real estate		781				897
Total gain on sale of real estate		781				897
Operating income		24,091				26,702
Other income (expense):
Interest and investment income		505				440
Interest expense		(22,653	)			(15,742	)
Interest expense – amortization of deferred financing costs		(1,027	)			(709	)
Equity in income of unconsolidated real estate ventures		(6,167	)			(4,563	)
Net income (loss) before income taxes		(5,251	)			6,128
Income tax (provision) benefit		(25	)			(27	)
Net income (loss)		(5,276	)			6,101
Net income attributable to noncontrolling interests		17				(8	)
Net income (loss) attributable to Brandywine Realty Trust		(5,259	)			6,093
Nonforfeitable dividends allocated to unvested restricted shareholders		(70	)			(148	)
Net income (loss) attributable to Common Shareholders of Brandywine Realty Trust	$	(5,329	)		$	5,945
PER SHARE DATA
Basic income (loss) per Common Share	$	(0.03	)		$	0.03
Basic weighted average shares outstanding		171,673,167				171,294,949
Diluted income (loss) per Common Share	$	(0.03	)		$	0.03
Diluted weighted average shares outstanding		171,673,167				172,888,994

BRANDYWINE REALTY TRUST

FUNDS FROM OPERATIONS


(unaudited, in thousands, except share and per share data)

	Three months ended March 31,
	2023					2022
Reconciliation of Net Income (Loss) to Funds from Operations:
Net income (loss) attributable to common shareholders	$	(5,329	)			$	5,945
Add (deduct):
Net income (loss) attributable to NCI – LP units		(16	)				10
Nonforfeitable dividends allocated to unvested restricted shareholders		70					148
Depreciation and amortization:
Real property		38,630					36,162
Leasing costs including acquired intangibles		6,140					6,994
Company’s share of unconsolidated real estate ventures		11,564					11,295
Partner’s share of unconsolidated real estate ventures		(4	)				(5	)
Funds from operations	$	51,055				$	60,549
Funds from operations allocable to unvested restricted shareholders		(224	)				(238	)
Funds from operations available to common share and unit holders (FFO)	$	50,831				$	60,311
FFO per share – fully diluted	$	0.29				$	0.35
Weighted-average shares/units outstanding – fully diluted		172,823,496					173,521,633
Distributions paid per common share	$	0.19				$	0.19
FFO payout ratio (distributions paid per common share/FFO per diluted share)		65.5		%			54.3		%

BRANDYWINE REALTY TRUST

SAME STORE OPERATIONS –
1st
QUARTER


(unaudited and in thousands)

Of the 77 properties owned by the Company as of March 31, 2023, a total of 72 properties (“Same Store Properties”) containing an aggregate of 12.8 million net rentable square feet were owned for the entire three months ended March 31, 2023 and 2022. As of March 31, 2023, 1 property was recently completed/acquired, and 4 properties were in development/redevelopment. Average occupancy for the Same Store Properties was 89.0% and 89.3% during the three-month periods ended March 31, 2023 and 2022, respectively. The following table sets forth revenue and expense information for the Same Store Properties:

	Three months ended March 31,
	2023					2022
Revenue
Rents	$	113,722				$	110,317
Other		284					304
Total revenue		114,006					110,621
Operating expenses
Property operating expenses		30,604					28,509
Real estate taxes		13,415					13,082
Net operating income	$	69,987				$	69,030
Net operating income – percentage change over prior year		1.4		%
Net operating income, excluding other items	$	69,776				$	68,268
Net operating income, excluding other items – percentage change over prior year		2.2		%
Net operating income	$	69,987				$	69,030
Straight line rents & other		(2,278	)				(2,880	)
Above/below market rent amortization		(376	)				(548	)
Amortization of tenant inducements		219					188
Non-cash ground rent expense		200					204
Cash – Net operating income	$	67,752				$	65,994
Cash – Net operating income – percentage change over prior year		2.7		%
Cash – Net operating income, excluding other items	$	66,891				$	64,543
Cash – Net operating income, excluding other items – percentage change over prior year		3.6		%
	Three Months Ended March 31,
	2022					2021
Net income (loss):	$	(5,276	)			$	6,101
Add/(deduct):
Interest income		(505	)				(440	)
Interest expense		22,653					15,742
Interest expense – amortization of deferred financing costs		1,027					709
Equity in loss of unconsolidated real estate ventures		6,167					4,563
Net gain on sale of undepreciated real estate		(781	)				(897	)
Depreciation and amortization		45,600					43,782
General & administrative expenses		9,482					10,000
Income tax provision (benefit)		25					27
Consolidated net operating income		78,392					79,587
Less: Net operating income of non-same store properties and elimination of non-property specific operations		(8,405	)				(10,557	)
Same store net operating income	$	69,987				$	69,030

Company / Investor Contact:
	Tom Wirth
	EVP & CFO
	610-832-7434
	[email protected]

Atlanta, GA, April 19, 2023 (GLOBE NEWSWIRE) —

Streamline Health Solutions, Inc.

(“Streamline” or the “Company”) (Nasdaq: STRM), a leading provider of solutions that enable healthcare providers to proactively address revenue leakage and improve financial performance, today announced that it will release its financial results for the three and twelve month periods ended January 31, 2023 on Wednesday, April 26, 2023 after the close of the financial markets.

The Company will conduct a conference call on Thursday, April 27, 2023 at 9:00 AM ET to review results and provide a corporate update. Interested parties can access the call by joining the live webcast:
click here to register. You can also join by phone by dialing 877-407-8291.

A replay of the conference call will be available from Thursday, April 27, 2022 at 12:00 PM ET to Thursday, May 4, 2023 at 12:00 PM ET by dialing 877-660-6853 or 201-612-7415 with conference ID 13738301. An online replay of the presentation will also be available for six months following the presentation in the Investor Relations section of the Streamline website, www.streamlinehealth.net.

About Streamline

Streamline Health Solutions, Inc. (Nasdaq: STRM) enables healthcare organizations to proactively address revenue leakage and improve financial performance. We deliver integrated solutions, technology-enabled services and analytics that drive compliant revenue leading to improved financial performance across the enterprise. For more information, visit www.streamlinehealth.net.

Company
Contact

Jacob Goldberger
Director, Investor Relations and FP&A
303-887-9625
[email protected]