Loading...
•
Jun 30, 2023
Essex Property Trust Q2 2023 Earnings Report
Announced second quarter 2023 results, exceeding core FFO guidance and raising full-year outlook.
Key Takeaways
Essex Property Trust, Inc. reported strong second quarter 2023 results, with Net Income per diluted share at $1.55 and Core FFO per diluted share growing by 2.4% year-over-year. The company exceeded the midpoint of its Core FFO guidance range and raised its full-year 2023 earnings guidance, driven by higher same-property revenues and net operating income.
Net Income per diluted share for Q2 2023 was $1.55, compared to $0.87 in Q2 2022, driven by increased income from marketable securities and non-core co-investments.
Core FFO per diluted share grew by 2.4% compared to Q2 2022, exceeding the midpoint of the guidance range by $0.08, primarily due to higher same-property revenues and lower property taxes in Washington.
Same-property revenues and NOI increased by 4.0% and 3.6%, respectively, compared to Q2 2022, with sequential improvements of 1.4% and 2.4%, respectively.
Full-year 2023 earnings guidance was revised upwards, with Net Income per diluted share guidance increased by $0.31 at the midpoint and Core FFO per diluted share guidance increased by $0.22 at the midpoint.
Revenue by Geographic Location
Forward Guidance
Essex Property Trust revised its full-year 2023 guidance, increasing the midpoint for Net Income per diluted share, Total FFO, Core FFO per diluted share, and same-property growth.
Positive Outlook
- Increased full-year Net Income per diluted share guidance by $0.31 at the midpoint to a range of $6.74 to $6.98.
- Increased full-year Total FFO guidance by $0.32 at the midpoint to a range of $15.13 to $15.37.
- Increased full-year Core FFO per diluted share guidance by $0.22 at the midpoint to a range of $14.88 to $15.12.
- Raised the midpoint of full-year same-property revenues to 4.38%.
- Lowered the full-year same-property operating expense midpoint to 4.00%.
Challenges Ahead
- Guidance excludes inestimable projected gain on sale of marketable securities.
- Guidance excludes loss on early retirement of debt.
- Guidance excludes political/legislative costs.
Revenue & Expenses
Visualization of income flow from segment revenue to net income
Historical Earnings Impact
Analyze how earnings announcements historically affect stock price performance
Avg. Return Before/After Earnings
Loading earnings performance data...
Loading earnings reaction data...