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Sep 30, 2022

Regency Centers Q3 2022 Earnings Report

Regency Centers reported solid results driven by robust tenant demand and strong operating trends.

Key Takeaways

Regency Centers reported Net Income of $0.51 per diluted share and Nareit FFO of $1.01 per diluted share for the third quarter of 2022. The company raised its 2022 Nareit FFO guidance to a range of $4.00 to $4.03 per diluted share and increased Same Property NOI excluding lease termination fees and prior year collections by 2.6%.

Reported Nareit FFO of $1.01 per diluted share and Core Operating Earnings of $0.94 per diluted share for the third quarter

Raised 2022 Nareit FFO guidance to a range of $4.00 to $4.03 per diluted share

Increased Same Property percent leased by 20 basis points sequentially to 94.7%, and Same Property small shop percent leased by 40 basis points sequentially to 91.4%

Executed quarterly volume of 2.3 million square feet of comparable new and renewal leases during the third quarter at a blended cash rent spread of +7.0%

Total Revenue
$304M
Previous year: $307M
-1.1%
EPS
$1.01
Previous year: $1.12
-9.8%
Percent Leased
94.7%
Previous year: 93.8%
+1.0%

Regency Centers

Regency Centers

Forward Guidance

Regency Centers updated its 2022 guidance, with Nareit FFO per diluted share expected to be in the range of $4.00 to $4.03 and Core Operating Earnings per diluted share in the range of $3.75 to $3.78.

Positive Outlook

  • Net Income Attributable to Common Stockholders per diluted share $2.70 - $2.73
  • Nareit Funds From Operations (Nareit FFO) per diluted share $4.00 - $4.03
  • Core Operating Earnings per diluted share $3.75 - $3.78
  • Same property NOI growth without termination fees +2.0% to +2.5%
  • Same property NOI growth without termination fees or collection of PY reserves +5.25% to +5.75%

Challenges Ahead

  • Net G&A expense $86,000 - $88,000
  • Net interest expense $166,000 - $167,000
  • Recurring third party fees & commissions $24,000 - $25,000
  • Development and Redevelopment spend +/- $130,000
  • Acquisitions +/- $200,908