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Jun 30, 2022

Boston Properties Q2 2022 Earnings Report

Boston Properties' financial performance reflected growth in net income and FFO, driven by strong leasing activity and same-store NOI growth.

Key Takeaways

Boston Properties reported a net income attributable to Boston Properties, Inc. of $222.99 million, or $1.42 per diluted share, and FFO of $304.56 million, or $1.94 per diluted share for the quarter ended June 30, 2022. The increase in net income and FFO was primarily driven by strong leasing activity and same-store NOI growth.

Net income attributable to Boston Properties, Inc. was $222.99 million, or $1.42 per diluted share.

FFO attributable to Boston Properties, Inc. was $304.56 million, or $1.94 per diluted share.

Same-property NOI increased by 6.1% (excluding termination income).

The company acquired Madison Centre in Seattle, WA for $730 million.

Total Revenue
$774M
Previous year: $714M
+8.4%
EPS
$1.94
Previous year: $1.72
+12.8%
Total Square Feet
53.7M
Previous year: 51.5M
+4.3%
Total Properties
193
Previous year: 197
-2.0%
Gross Profit
$490M
Previous year: $460M
+6.5%
Cash and Equivalents
$456M
Previous year: $557M
-18.1%
Total Assets
$23.3B
Previous year: $22.1B
+5.5%

Boston Properties

Boston Properties

Boston Properties Revenue by Segment

Forward Guidance

BXP’s guidance for the third quarter and full year 2022 for diluted earnings per common share attributable to Boston Properties, Inc. (EPS) and diluted funds from operations (FFO) per common share attributable to Boston Properties, Inc. is set forth and reconciled below.

Positive Outlook

  • Projected EPS (diluted) for Third Quarter 2022: $0.74 - $0.76
  • Projected EPS (diluted) for Full Year 2022: $5.40 - $5.45
  • Projected FFO per share (diluted) for Third Quarter 2022: $1.86 - $1.88
  • Projected FFO per share (diluted) for Full Year 2022: $7.48 - $7.53
  • Expected increase in BXP’s Share of Same Property net operating income (excluding termination income) : 3.50 % - 4.50 %

Challenges Ahead

  • BXP’s Share of incremental net operating income related to asset sales over prior year: $(30,000) - $(25,000)
  • General and administrative expense: $(155,000) - $(150,000)
  • Net interest expense: $(425,000) - $(415,000)
  • Noncontrolling interest in property partnerships’ share of FFO: $(146,000) - $(142,000)
  • There can be no assurance that BXP’s actual results will not differ materially from the estimates set forth below.

Revenue & Expenses

Visualization of income flow from segment revenue to net income