2017 Q4 Form 10-Q Financial Statement

#000103544317000173 Filed on October 31, 2017

View on sec.gov

Income Statement

Concept 2017 Q4 2017 Q3 2016 Q3
Revenue $298.8M $285.4M $230.4M
YoY Change 19.92% 23.87% 5.38%
Cost Of Revenue $88.10M $83.50M $72.00M
YoY Change 20.36% 15.97% 4.65%
Gross Profit $210.7M $201.9M $158.4M
YoY Change 19.78% 27.46% 5.74%
Gross Profit Margin 70.52% 70.75% 68.76%
Selling, General & Admin $18.90M $17.60M $15.90M
YoY Change 8.0% 10.69% 5.3%
% of Gross Profit 8.97% 8.72% 10.04%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $107.7M $107.8M $77.20M
YoY Change 13.13% 39.64% 13.7%
% of Gross Profit 51.12% 53.39% 48.74%
Operating Expenses $126.6M $125.4M $93.00M
YoY Change 12.33% 34.84% 11.91%
Operating Profit $84.10M $76.50M $65.40M
YoY Change 33.07% 16.97% -1.95%
Interest Expense -$35.70M $31.03M $25.85M
YoY Change 14.79% 20.04% -6.61%
% of Operating Profit -42.45% 40.56% 39.53%
Other Income/Expense, Net
YoY Change
Pretax Income $45.60M $59.50M $28.50M
YoY Change 130.3% 108.77% -28.21%
Income Tax
% Of Pretax Income
Net Earnings $39.40M $53.77M $24.48M
YoY Change 157.52% 119.71% -38.08%
Net Earnings / Revenue 13.19% 18.84% 10.62%
Basic Earnings Per Share $0.39 $0.55
Diluted Earnings Per Share $0.38 $0.55 $315.2K
COMMON SHARES
Basic Shares Outstanding 95.72M shares 92.60M shares 76.65M shares
Diluted Shares Outstanding 93.30M shares 77.40M shares

Balance Sheet

Concept 2017 Q4 2017 Q3 2016 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $777.6M $603.8M $478.9M
YoY Change 66.34% 26.08% 17.68%
Cash & Equivalents $254.4M $118.6M $157.9M
Short-Term Investments $523.3M $485.3M $321.0M
Other Short-Term Assets
YoY Change
Inventory
Prepaid Expenses
Receivables $10.00M $10.00M $10.00M
Other Receivables $0.00 $0.00 $0.00
Total Short-Term Assets $264.0M $129.0M $168.0M
YoY Change 95.56% -23.21% 95.35%
LONG-TERM ASSETS
Property, Plant & Equipment $11.07M $11.44M $13.38M
YoY Change -13.78% -14.47% -99.82%
Goodwill
YoY Change
Intangibles
YoY Change
Long-Term Investments $634.0M $519.0M $455.0M
YoY Change 61.32% 14.07% 259.77%
Other Assets $679.0M $638.0M $526.0M
YoY Change 23.91% 21.29% -0.19%
Total Long-Term Assets $11.84B $11.42B $9.126B
YoY Change 15.85% 25.1% 5.49%
TOTAL ASSETS
Total Short-Term Assets $264.0M $129.0M $168.0M
Total Long-Term Assets $11.84B $11.42B $9.126B
Total Assets $12.10B $11.55B $9.294B
YoY Change 16.89% 24.22% 6.37%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $350.0M $338.0M $270.0M
YoY Change -4.37% 25.19% -28.95%
Accrued Expenses
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $442.0M $421.0M $337.0M
YoY Change -0.23% 24.93% -35.81%
LONG-TERM LIABILITIES
Long-Term Debt $4.765B $4.817B $4.329B
YoY Change 14.43% 11.27% 0.35%
Other Long-Term Liabilities $414.0M $402.0M $335.0M
YoY Change 13.42% 20.0% 174.59%
Total Long-Term Liabilities $5.179B $5.219B $4.664B
YoY Change 14.35% 11.9% 5.14%
TOTAL LIABILITIES
Total Short-Term Liabilities $442.0M $421.0M $337.0M
Total Long-Term Liabilities $5.179B $5.219B $4.664B
Total Liabilities $5.621B $5.641B $5.001B
YoY Change 13.03% 12.79% 0.78%
SHAREHOLDERS EQUITY
Retained Earnings
YoY Change
Common Stock $998.0K $943.0K $768.0K
YoY Change 13.8% 22.79% 6.96%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $5.950B $5.407B $3.910B
YoY Change
Total Liabilities & Shareholders Equity $12.10B $11.55B $9.294B
YoY Change 16.89% 24.22% 6.37%

Cashflow Statement

Concept 2017 Q4 2017 Q3 2016 Q3
OPERATING ACTIVITIES
Net Income $39.40M $53.77M $24.48M
YoY Change 157.52% 119.71% -38.08%
Depreciation, Depletion And Amortization $107.7M $107.8M $77.20M
YoY Change 13.13% 39.64% 13.7%
Cash From Operating Activities $93.70M $133.5M $119.8M
YoY Change -6.86% 11.44% 26.11%
INVESTING ACTIVITIES
Capital Expenditures -$317.5M -$334.9M -$293.6M
YoY Change -64.84% 14.07% 18.72%
Acquisitions $86.45M $110.7M
YoY Change
Other Investing Activities -$105.9M $2.800M -$47.70M
YoY Change -187.09% -105.87% -908.47%
Cash From Investing Activities -$423.3M -$332.1M -$341.3M
YoY Change -45.82% -2.7% 41.33%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 460.4M 199.1M 124.1M
YoY Change -28.93% 60.44% -19.68%
NET CHANGE
Cash From Operating Activities 93.70M 133.5M 119.8M
Cash From Investing Activities -423.3M -332.1M -341.3M
Cash From Financing Activities 460.4M 199.1M 124.1M
Net Change In Cash 130.8M 500.0K -97.40M
YoY Change -497.57% -100.51% -1317.5%
FREE CASH FLOW
Cash From Operating Activities $93.70M $133.5M $119.8M
Capital Expenditures -$317.5M -$334.9M -$293.6M
Free Cash Flow $411.2M $468.4M $413.4M
YoY Change -59.02% 13.3% 20.77%

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us-gaap Dividends Common Stock Cash
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us-gaap Equity Method Investment Dividends Or Distributions
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0 USD
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270000 USD
us-gaap Gain Loss On Investments
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us-gaap Gain Loss On Sale Of Properties Net Of Applicable Income Taxes
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90000 USD
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0 USD
us-gaap Gain Loss On Sale Of Properties Net Of Applicable Income Taxes
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us-gaap Gain On Sale Of Investments
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us-gaap General And Administrative Expense
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us-gaap Impairment Of Investments
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us-gaap Impairment Of Investments
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us-gaap Impairment Of Real Estate
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203000 USD
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273000 USD
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us-gaap Income Loss From Subsidiaries Before Tax
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224000 USD
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30619000 USD
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14813000 USD
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10662000 USD
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278000 USD
us-gaap Increase Decrease In Restricted Cash For Operating Activities
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912000 USD
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751000 shares
us-gaap Incremental Common Shares Attributable To Equity Forward Agreements
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us-gaap Incremental Common Shares Attributable To Equity Forward Agreements
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33692000 USD
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16790000 USD
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3836000 USD
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us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
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us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Reclassification Adjustment From Aoci Realized Upon Sale Or Liquidation Net Of Tax
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0 USD
us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Reclassification Adjustment From Aoci Realized Upon Sale Or Liquidation Net Of Tax
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us-gaap Other Comprehensive Income Loss Reclassification Adjustment From Aoci For Sale Of Securities Net Of Tax
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17018000 USD
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23414000 USD
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OtherIncome
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us-gaap Participating Securities Distributed And Undistributed Earnings Loss Diluted
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3498000 USD
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54998000 USD
us-gaap Payments For Proceeds From Deposits On Real Estate Acquisitions
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us-gaap Payments For Repurchase Of Convertible Preferred Stock
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17934000 USD
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0 USD
us-gaap Payments For Repurchase Of Redeemable Preferred Stock
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130350000 USD
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us-gaap Payments Of Dividends Preferred Stock And Preference Stock
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us-gaap Payments Of Financing Costs
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us-gaap Payments To Acquire Businesses Net Of Cash Acquired
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us-gaap Payments To Acquire Equity Method Investments
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248000 USD
us-gaap Payments To Acquire Interest In Subsidiaries And Affiliates
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0 USD
us-gaap Payments To Acquire Interest In Subsidiaries And Affiliates
PaymentsToAcquireInterestInSubsidiariesAndAffiliates
0 USD
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68384000 USD
us-gaap Payments To Acquire Investments
PaymentsToAcquireInvestments
128190000 USD
us-gaap Payments To Acquire Real Estate
PaymentsToAcquireRealEstate
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us-gaap Payments To Acquire Real Estate
PaymentsToAcquireRealEstate
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us-gaap Payments To Develop Real Estate Assets
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us-gaap Payments To Minority Shareholders
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us-gaap Payments To Minority Shareholders
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CY2016Q3 us-gaap Preferred Stock Accretion Of Redemption Discount
PreferredStockAccretionOfRedemptionDiscount
13095000 USD
us-gaap Preferred Stock Accretion Of Redemption Discount
PreferredStockAccretionOfRedemptionDiscount
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CY2017Q3 us-gaap Preferred Stock Accretion Of Redemption Discount
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0 USD
us-gaap Preferred Stock Accretion Of Redemption Discount
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us-gaap Proceeds From Collection Of Notes Receivable
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9054000 USD
us-gaap Proceeds From Collection Of Notes Receivable
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us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
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us-gaap Proceeds From Issuance Of Common Stock
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us-gaap Proceeds From Issuance Of Secured Debt
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us-gaap Proceeds From Issuance Of Senior Long Term Debt
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us-gaap Proceeds From Issuance Of Senior Long Term Debt
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424384000 USD
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68621000 USD
us-gaap Proceeds From Minority Shareholders
ProceedsFromMinorityShareholders
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us-gaap Proceeds From Payments For Other Financing Activities
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0 USD
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RealEstateRevenueNet
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RealEstateRevenueNet
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CY2017Q3 us-gaap Real Estate Revenue Net
RealEstateRevenueNet
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us-gaap Real Estate Revenue Net
RealEstateRevenueNet
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us-gaap Reclassification From Accumulated Other Comprehensive Income Current Period Net Of Tax
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us-gaap Repayments Of Long Term Lines Of Credit
RepaymentsOfLongTermLinesOfCredit
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RepaymentsOfLongTermLinesOfCredit
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us-gaap Repayments Of Secured Debt
RepaymentsOfSecuredDebt
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us-gaap Repayments Of Secured Debt
RepaymentsOfSecuredDebt
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us-gaap Repayments Of Unsecured Debt
RepaymentsOfUnsecuredDebt
200000000 USD
us-gaap Repayments Of Unsecured Debt
RepaymentsOfUnsecuredDebt
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CY2016Q4 us-gaap Restricted Cash And Cash Equivalents At Carrying Value
RestrictedCashAndCashEquivalentsAtCarryingValue
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CY2017Q3 us-gaap Restricted Cash And Cash Equivalents At Carrying Value
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us-gaap Sales Of Real Estate
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CY2016Q4 us-gaap Secured Debt
SecuredDebt
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CY2017Q3 us-gaap Secured Debt
SecuredDebt
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CY2016Q4 us-gaap Senior Long Term Notes
SeniorLongTermNotes
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CY2017Q3 us-gaap Senior Long Term Notes
SeniorLongTermNotes
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us-gaap Share Based Compensation
ShareBasedCompensation
19007000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
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us-gaap Stock Issued During Period Value New Issues
StockIssuedDuringPeriodValueNewIssues
705391000 USD
CY2016Q4 us-gaap Stockholders Equity
StockholdersEquity
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CY2017Q3 us-gaap Stockholders Equity
StockholdersEquity
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CY2016Q4 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
5370971000 USD
CY2017Q3 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
StockholdersEquityIncludingPortionAttributableToNoncontrollingInterest
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us-gaap Straight Line Rent
StraightLineRent
30679000 USD
us-gaap Straight Line Rent
StraightLineRent
74362000 USD
CY2016Q4 us-gaap Temporary Equity Carrying Amount Including Portion Attributable To Noncontrolling Interests
TemporaryEquityCarryingAmountIncludingPortionAttributableToNoncontrollingInterests
11307000 USD
CY2017Q3 us-gaap Temporary Equity Carrying Amount Including Portion Attributable To Noncontrolling Interests
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CY2016Q3 us-gaap Tenant Reimbursements
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58681000 USD
us-gaap Tenant Reimbursements
TenantReimbursements
165385000 USD
CY2017Q3 us-gaap Tenant Reimbursements
TenantReimbursements
67058000 USD
us-gaap Tenant Reimbursements
TenantReimbursements
188874000 USD
CY2016Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
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us-gaap Weighted Average Number Of Diluted Shares Outstanding
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74526000 shares
CY2017Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
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us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
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CY2016Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
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us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
74526000 shares
CY2017Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
92598000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
90336000 shares
us-gaap Nature Of Operations
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<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-weight:bold;">Organization and basis of presentation</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">Alexandria Real Estate Equities, Inc. (NYSE:ARE), an S&amp;P 500</font><font style="font-family:inherit;font-size:10pt;"><sup style="vertical-align:top;line-height:120%;font-size:7pt">&#174;</sup></font><font style="font-family:inherit;font-size:10pt;"> company, is an urban office REIT uniquely focused on collaborative life science and technology campuses in AAA innovation cluster locations. As used in this quarterly report on Form 10&#8209;Q, references to the &#8220;Company,&#8221; &#8220;Alexandria,&#8221; &#8220;ARE,&#8221; &#8220;we,&#8221; &#8220;us,&#8221; and &#8220;our&#8221; refer to Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. The accompanying unaudited consolidated financial statements include the accounts of Alexandria Real Estate Equities, Inc. and its consolidated subsidiaries. All significant intercompany balances and transactions have been eliminated.</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">We have prepared the accompanying interim consolidated financial statements in accordance with GAAP and in conformity with the rules&#160;and regulations of the SEC. In our opinion, the interim consolidated financial statements presented herein reflect all adjustments, of a normal recurring nature, that are necessary to fairly present the interim consolidated financial statements. The results of operations for the interim period are not necessarily indicative of the results that may be expected for the year ending </font><font style="font-family:inherit;font-size:10pt;">December 31, 2017</font><font style="font-family:inherit;font-size:10pt;">. These unaudited consolidated financial statements should be read in conjunction with the consolidated financial statements and the notes thereto included in our annual report on Form&#160;10&#8209;K for the year ended </font><font style="font-family:inherit;font-size:10pt;">December 31, 2016</font><font style="font-family:inherit;font-size:10pt;">.</font></div></div>
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;text-decoration:underline;">Use of estimates</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of consolidated financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, and equity; the disclosure of contingent assets and liabilities as of the date of the consolidated financial statements; and the amounts of revenues and expenses during the reporting period. Actual results could materially differ from those estimates.</font></div></div>

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