Tricon Residential Inc.

CIK:0001584425|SEC Filings

Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Profit or loss [abstract]
Revenue from single-family rental properties	$ 795,317	$ 645,585
Direct operating expenses	(261,936)	(209,089)
Net operating income from single-family rental properties	533,381	436,496
Revenue from strategic capital services	54,458	160,088
Income from equity-accounted investments in multi-family rental properties	5,297	1,550
Income from equity-accounted investments in Canadian residential developments	4,348	11,198
Other income	518	10,886
Income from investments in U.S. residential developments	30,773	16,897
Compensation expense	(89,343)	(99,256)
Performance fees expense	(2,550)	(35,854)
General and administration expense	(86,502)	(58,991)
Gain (loss) on debt modification and extinguishment	1,326	(6,816)
Transaction costs	(16,632)	(18,537)
Interest expense	(316,473)	(213,932)
Fair value gain on rental properties	210,936	858,987
Fair value loss on Canadian development properties	0	(440)
Realized and unrealized (loss) gain on derivative financial instruments	(2,424)	184,809
Amortization and depreciation expense	(17,794)	(15,608)
Realized and unrealized foreign exchange (loss) gain	(13,859)	498
Net change in fair value of limited partners’ interests in single-family rental business	(145,497)	(297,381)
Total income (expense)	(437,876)	338,010
Income before income taxes from continuing operations	149,963	934,594
Income tax (expense) recovery - current	(2,240)	33,959
Income tax expense - deferred	(25,899)	(189,179)
Net income from continuing operations	121,824	779,374
Income before income taxes from discontinued operations	0	37,738
Income tax expense - current	0	(43,114)
Income tax recovery - deferred	0	40,482
Net income from discontinued operations	0	35,106
Net income	121,824	814,480
Attributable to:
Shareholders of Tricon	114,190	808,941
Non-controlling interest	7,634	5,539
Net income	121,824	814,480
Items that will be reclassified subsequently to net income
Cumulative translation reserve	20,596	(16,633)
Comprehensive income for the year	142,420	797,847
Attributable to:
Shareholders of Tricon	134,786	792,308
Non-controlling interest	7,634	5,539
Comprehensive income for the year	$ 142,420	$ 797,847
Basic earnings per share attributable to shareholders of Tricon
Continuing operations (in dollars per share)	$ 0.42	$ 2.82
Discontinued operations (in dollars per share)	0	0.13
Basic earnings per share attributable to shareholders of Tricon (in dollars per share)	0.42	2.95
Diluted earnings per share attributable to shareholders of Tricon
Continuing operations (in dollars per share)	0.41	1.98
Discontinued operations (in dollars per share)	0	0.11
Diluted earnings per share attributable to shareholders of Tricon (in dollars per share)	$ 0.41	$ 2.09
Weighted average shares outstanding - basic (in shares)	273,657,451	274,483,264
Weighted average shares outstanding - diluted (in shares)	275,543,799	311,100,493

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Operating activities
Net income	$ 121,824	$ 814,480
Net income from discontinued operations	0	(35,106)
Adjustments for non-cash items	22,115	(473,961)
Cash paid for AIP, LTIP and performance fees, net of equity contribution	(22,916)	(78,828)
Advances made to investments	(26,126)	(26,255)
Distributions received from investments	29,428	47,873
Addition of interest rate caps derivative	(14,477)	0
Changes in non-cash working capital items	28,187	18,567
Net cash provided by operating activities from continuing operations	138,035	266,770
Net cash provided by operating activities from discontinued operations	0	3,499
Net cash provided by operating activities	138,035	270,269
Investing activities
Acquisition of rental properties	(554,206)	(2,362,185)
Capital additions to rental properties	(177,024)	(326,460)
Disposition of rental properties	197,033	80,369
Disposition of Bryson MPC Holdings LLC	0	11,041
Additions to fixed assets and other non-current assets	(46,449)	(35,983)
Net cash used in investing activities from continuing operations	(580,646)	(2,633,218)
Net cash provided by investing activities from discontinued operations	0	212,637
Net cash used in investing activities	(580,646)	(2,420,581)
Financing activities
Lease payments	(5,848)	(3,070)
Repurchase of common shares	(8,749)	(5,353)
Proceeds from corporate borrowing	640,000	300,000
Repayments of corporate borrowing	(470,356)	(301,453)
Proceeds from rental and development properties borrowing	1,770,820	3,967,704
Repayments of rental and development properties borrowing	(1,903,256)	(2,172,410)
Dividends paid	(58,889)	(59,444)
Change in restricted cash	(4,151)	6,029
Contributions from limited partners	494,995	489,387
Distributions to limited partners	(37,070)	(37,348)
Distributions to non-controlling interests	(8,633)	(6,038)
Net cash provided by financing activities	408,863	2,178,004
Effect of foreign exchange rate difference on cash	184	(283)
Change in cash during the year	(33,564)	27,409
Cash - beginning of year	204,303	176,894
Cash - end of year	170,739	204,303
Supplementary information - Cash paid on
Income taxes	14,663	872
Interest	$ 290,751	$ 184,862

Consolidated Balance Sheets - USD ($) $ in Thousands	Dec. 31, 2023	Dec. 31, 2022
Non-current assets
Restricted cash	$ 71,833	$ 117,300
Goodwill	29,726	29,726
Deferred income tax assets	84,787	75,062
Intangible assets	5,178	7,093
Other assets	110,780	96,852
Derivative financial instruments	7,380	10,358
Total non-current assets	12,976,471	12,184,139
Current assets
Cash	170,739	204,303
Restricted cash	49,618	0
Amounts receivable	27,962	24,984
Prepaid expenses and deposits	23,635	37,520
Total current assets	271,954	266,807
Total assets	13,248,425	12,450,946
Non-current liabilities
Long-term debt	5,468,884	4,971,049
Due to Affiliate	262,422	256,824
Derivative financial instruments	53,788	51,158
Deferred income tax liabilities	629,090	591,713
Limited partners' interests in single-family rental business	2,300,294	1,696,872
Long-term incentive plan	28,149	25,244
Performance fees liability	42,370	39,893
Other liabilities	33,498	30,035
Total non-current liabilities	8,818,495	7,662,788
Current liabilities
Amounts payable and accrued liabilities	150,221	138,273
Resident security deposits	85,196	79,864
Dividends payable	15,856	15,861
Current portion of long-term debt	309,116	757,135
Total current liabilities	560,389	991,133
Total liabilities	9,378,884	8,653,921
Equity
Share capital	2,122,830	2,124,618
Contributed surplus	26,832	21,354
Cumulative translation adjustment	26,805	6,209
Retained earnings	1,687,297	1,638,068
Total shareholders' equity	3,863,764	3,790,249
Non-controlling interest	5,777	6,776
Total equity	3,869,541	3,797,025
Total liabilities and equity	13,248,425	12,450,946
Rental properties
Non-current assets
Investment property	12,190,792	11,445,659
Equity-accounted investments in multi-family rental properties
Non-current assets
Equity-accounted investments	51,925	20,769
Equity-accounted investments in Canadian residential developments
Non-current assets
Equity-accounted investments	99,336	106,538
Canadian development properties
Non-current assets
Investment property	169,763	136,413
Investments in U.S. residential developments
Non-current assets
Equity-accounted investments	$ 154,971	$ 138,369