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Sep 30, 2023

Invitation Homes Q3 2023 Earnings Report

Invitation Homes reported strong Q3 2023 results, exceeding pre-pandemic leasing performance and updating full-year guidance.

Key Takeaways

Invitation Homes reported an 8.6% increase in total revenues to $618 million, a 66.6% increase in net income available to common stockholders to $132 million, and a 4.0% increase in Same Store NOI. The company acquired 2,291 homes for $854 million and disposed of 416 homes for $160 million.

Total revenues increased 8.6% year-over-year to $618 million.

Net income available to common stockholders increased 66.6% year-over-year to $132 million.

Same Store NOI increased 4.0% year-over-year.

Acquired 2,291 homes for $854 million and disposed of 416 homes for $160 million.

Total Revenue
$618M
Previous year: $569M
+8.6%
EPS
$0.44
Previous year: $0.42
+4.8%
Average monthly rent
$2.32K
Previous year: $2.18K
+6.3%
Average occupancy
96.9%
Previous year: 97.5%
-0.6%
Gross Profit
$618M
Previous year: $569M
+8.6%
Cash and Equivalents
$980M
Previous year: $300M
+226.3%
Total Assets
$19.5B
Previous year: $18.7B
+4.2%

Invitation Homes

Invitation Homes

Invitation Homes Revenue by Segment

Forward Guidance

The Company's revised FY 2023 guidance includes tightened expectations for Same Store Core Revenues growth in a range of 6.25% to 6.75% based on the Company's strong performance to date and expectations for the remainder of the year. Revised FY 2023 guidance also anticipates higher Same Store Core Operating Expenses growth in a range of 10.25% to 10.75%, primarily attributable to higher Same Store property tax expense expectations in Florida and Georgia as a result of larger than anticipated property tax bills received or expected during the fourth quarter. These revised assumptions result in tightened Same Store NOI growth expectations for FY 2023 in a range of 4.5% to 5.0%.

Positive Outlook

  • Tightened expectations for Same Store Core Revenues growth in a range of 6.25% to 6.75%
  • Strong performance to date
  • Positive expectations for the remainder of the year
  • Wholly owned acquisitions of $1.0 billion to $1.1 billion
  • Wholly owned dispositions of $475 million to $525 million

Challenges Ahead

  • Higher Same Store Core Operating Expenses growth in a range of 10.25% to 10.75%
  • Higher Same Store property tax expense expectations in Florida and Georgia
  • Larger than anticipated property tax bills received or expected during the fourth quarter
  • Tightened Same Store NOI growth expectations for FY 2023 in a range of 4.5% to 5.0%
  • Core FFO per share - diluted $1.75 to $1.79