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Highlights

  • Parkit Enterprise recorded CAD 96.5 million from the sale of six Winnipeg industrial properties.
  • Quarterly net rental income rose 24% to CAD 5.26 million compared to the prior year.
  • Funds from operations increased 51% year over year to CAD 2.27 million in Q2 2025.

Parkit Enterprise Inc. (TSXV:PKT) reported financial results for the second quarter ended June 30, 2025, showing year-over-year growth in revenue, rental income, and funds from operations, alongside a significant gain from asset sales. The company completed the sale of six industrial properties in Winnipeg, Manitoba, to PRO Real Estate Investment Trust (TSX: PRV.UN) for total proceeds of CAD 96.5 million, of which CAD 40 million was received in the form of 6,451,613 PROREIT units.

Investment properties revenue increased 22% to CAD 7.75 million for the quarter, compared to CAD 6.33 million in the same period of 2024. Net rental income rose 24% to CAD 5.26 million from CAD 4.26 million a year earlier. Stabilized comparative properties net operating income grew 9% to CAD 3.23 million, reflecting lease renewals and higher occupancy.

During the quarter, Parkit renewed 97,400 square feet of leases at rates 47% above previous terms and signed a new lease for 22,000 square feet at market rates. Funds from operations rose 51% year over year to CAD 2.27 million, driven by higher rental income and dividend income from the PROREIT investment, partially offset by increased financing costs.

The company ended the quarter with over CAD 11.1 million in cash and cash equivalents, unencumbered assets, and available credit facilities. Operating cash flow for the first six months of 2025 totaled CAD 8.39 million, up from CAD 7.13 million in the prior-year period.

Net income for the quarter was CAD 18.16 million, compared to a net loss of CAD 0.45 million in the second quarter of 2024. The change was the result of the gain on the sale of investment properties and higher net rental income, offset by parking losses, unrealized losses from derivative financial instruments, depreciation, and finance costs.

The parking segment reported a net loss of CAD 7.40 million for the quarter, compared to net income of CAD 0.26 million in the same period of 2024. This included an impairment charge on a parking joint venture to reflect fair value adjustments.