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Dec 31, 2019

Equity Residential Q4 2019 Earnings Report

Reported results for the quarter and year ended December 31, 2019.

Key Takeaways

Equity Residential reported strong Q4 2019 results, with same store revenue growth of 3.2% and Normalized FFO per share growth of 8.3%. The company acquired three apartment properties for approximately $370.1 million and sold two properties for approximately $374.0 million.

Produced same store revenue growth of 3.2% for the fourth quarter of 2019, with Physical Occupancy of 96.1% and Renewal Rate Achieved growth of 4.8%.

Produced Normalized FFO per share growth of 8.3% for the fourth quarter of 2019.

Acquired three apartment properties, totaling 812 apartment units, for an aggregate purchase price of approximately $370.1 million during the fourth quarter of 2019.

Planned annualized increase of 6.2% in its 2020 common share dividend.

Total Revenue
$684M
Previous year: $653M
+4.8%
EPS
$0.91
Previous year: $0.84
+8.3%
Same Store Revenue Growth
3.2%
Physical Occupancy
96.1%
Renewal Rate Achieved Growth
4.8%
Gross Profit
$457M
Previous year: $434M
+5.5%
Cash and Equivalents
$45.8M
Previous year: $47.4M
-3.6%
Total Assets
$21.2B
Previous year: $20.4B
+3.8%

Equity Residential

Equity Residential

Equity Residential Revenue by Segment

Equity Residential Revenue by Geographic Location

Forward Guidance

The Company has established guidance ranges for the first quarter of 2020 EPS, FFO per share and Normalized FFO per share as listed below:

Positive Outlook

  • Same Store: Physical Occupancy 96.4%
  • Revenue change 2.3% to 3.3%
  • Expense change 3.0% to 4.0%
  • NOI change 1.5% to 3.5%
  • Debt Offerings $600.0 million to $1.0 billion

Challenges Ahead

  • EPS $2.64 to $2.74
  • FFO per share $3.57 to $3.67
  • Normalized FFO per share $3.59 to $3.69
  • Transactions: Consolidated rental acquisitions $1.25 billion
  • Consolidated rental dispositions $1.0 billion

Revenue & Expenses

Visualization of income flow from segment revenue to net income