SELECT INCOME REIT

No Longer Reporting

The company has not filed an annual or quarterly report since its Q3 FY2018 10-Q, filed Oct 29, 2018. Its latest SEC filing is a SC 13G/A from Feb 13, 2019.

The sections below describe the company as of the FY2017 annual report.

What Did They Do?

Owns and leases single-tenant office and industrial properties, along with Hawaiian land, to business tenants.

How Did They Make Money?

Tenants pay fixed annual rent in monthly, quarterly or semiannual installments; some also reimburse property costs or pay expenses such as insurance and real estate taxes directly.

FY2017 revenue

Who Were Their Customers?

Tenants lease the office and industrial properties, generally one tenant per property; third parties lease Hawaiian land.

Did Revenues Turn Into Profits?

Yes. It kept 14 cents of every revenue dollar as net income in FY2017.

Operating income, FY2017

34% of revenue

▼ −20% vs FY2016 ($198M, 43%)

Net income, FY2017

14% of revenue

▼ −42% vs FY2016 ($116.3M, 25%)

How Were They Changing?

Since the FY2017 annual report

Latest quarter: Q3 FY2018, the three months to Sep 30, 2018

Revenue: ▲ +3%; vs $118M in Q3 FY2017
Net income: ▼ −6%; vs $31.4M in Q3 FY2017

Dec 31, 2018 Merged into a Government Properties Income Trust subsidiary Shareholders received 1.04 GOV shares for each SIR share, and SIR's separate existence ceased.
Dec 27, 2018 Distributed its Industrial Logistics Properties Trust shares to shareholders The distribution transferred all 45,000,000 ILPT shares SIR owned; it no longer held ILPT shares.
Sep 17, 2018 Agreed to merge with Government Properties Income Trust SIR shareholders were to receive 1.04 GOV shares for each SIR share, and SIR planned to distribute all its ILPT shares.

Grew. Revenue grew 2.5x in 4 years, from $188.3M in FY2013 to $468.1M in FY2017, about 26% a year.

Acquisition focus The older report planned to acquire mainland office and industrial properties through one portfolio; the latest report divides the focus, with SIR acquisitions mainly in office and ILPT acquisitions in industrial and logistics properties.

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