Revenue during the quarter dropped 3.50 percent to $247.04 million from $256 million in the previous year period.

Cost of revenue went down marginally by 2.62 percent or $2.81 million during the quarter to $104.41 million. Gross margin for the quarter contracted 38 basis points over the previous year period to 57.73 percent.

Operating income for the quarter was $51.10 million, compared with $53.22 million in the previous year period. Adjusted EBITDA for the quarter was almost stable at $207.36 million, when compared with the prior year period. At the same time, adjusted EBITDA margin improved 327 basis points in the quarter to 83.94 percent from 80.67 percent in the last year period.

For financial year 2017, the company forecasts diluted earnings per share to be in the range of $1.26 to $1.36.

Revenue from real estate activities during the quarter declined 4.56 percent or $11.07 million to $231.78 million.

Income from operating leases during the quarter dropped 4.28 percent or $6.59 million to $147.47 million. Revenue from tenant reimbursements was $72.41 million for the quarter, down 9.68 percent or $7.76 million from year-ago period.

Income from management fees during the quarter jumped 38.05 percent or $3.28 million to $11.90 million.

Other income during the quarter was $15.26 million, up 16.09 percent or $2.12 million from year-ago period.

“While portions of the retail industry undoubtedly face challenges amidst a shifting landscape, we continue to believe it is all part of an ongoing evolution of the shopper experience that the Macerich portfolio is uniquely well-positioned for,” said the Company’s chairman and chief executive officer, Arthur Coppola. “Furthermore, we recently took advantage of the price dislocation created by these challenges to acquire our shares at what we believe to be a significant discount to net asset value, using the proceeds from recently-completed dispositions of non-core assets.”