EastGroup Q3 2022 Earnings Report
Key Takeaways
EastGroup Properties announced its Q3 2022 results, highlighting a 14.2% increase in Funds From Operations (FFO) per share, a net income of $0.87 per diluted share, and strong same property net operating income growth. The company also focused on strategic capital allocation and maintaining a strong balance sheet amidst global economic uncertainty.
Net income attributable to common stockholders was $0.87 per diluted share, compared to $0.76 per diluted share for Q3 2021.
Funds from Operations (FFO) reached $1.77 per share, a 14.2% increase compared to $1.55 per share in Q3 2021.
Same Property Net Operating Income (excluding income from lease terminations) increased by 8.7% on a cash basis.
The operating portfolio was 99.0% leased and 98.5% occupied as of September 30, 2022.
EastGroup
EastGroup
Forward Guidance
EastGroup estimates its EPS for 2022 to be in the range of $4.25 to $4.29 and FFO per share to be in the range of $6.91 to $6.95.
Positive Outlook
- FFO per share is projected to increase over the prior year.
- Same PNOI growth is expected on a cash basis.
- Average month-end occupancy is anticipated to remain high.
- Development starts are planned for a significant square footage.
- Unsecured debt closings are projected with a weighted average interest rate.
Challenges Ahead
- Projections are based on management's current beliefs and assumptions.
- There are known and unknown risks and uncertainties associated with these projections.
- The company assumes no obligation to update publicly any forward-looking statements.
- Economic conditions could impact the actual results.
- Changes in interest rates and the ability to raise equity capital could affect performance.