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Dec 31, 2019

Independence Realty Trust Q4 2019 Earnings Report

Announced fourth quarter and full year 2019 financial results.

Key Takeaways

Independence Realty Trust reported a strong Q4 2019, driven by same-store NOI growth of 9.6%. The company covered its dividend on an AFFO basis as of year-end and is focusing on non-gateway markets and value-add initiatives.

Net income allocable to common shares was $23.8 million.

Earnings per diluted share reached $0.26.

Same store net operating income (NOI) grew by 9.6%.

Core Funds from Operations (CFFO) totaled $18.6 million, with CFFO per share at $0.20.

Total Revenue
$51.3M
Previous year: $49.7M
+3.1%
EPS
$0.2
Previous year: $0.19
+5.3%
Avg Rent per Unit
$1.08K
Avg Occupancy
92.6%
NOI Margin
63.5%
Gross Profit
$30.4M
Previous year: $28.3M
+7.3%
Cash and Equivalents
$9.89M
Previous year: $9.32M
+6.1%
Free Cash Flow
$15.6M
Previous year: $11M
+41.6%
Total Assets
$1.66B
Previous year: $1.66B
+0.3%

Independence Realty Trust

Independence Realty Trust

Independence Realty Trust Revenue by Segment

Forward Guidance

IRT introduced 2020 full year guidance with EPS per diluted share projected to be in the range of $0.08 to $0.11 and CFFO per share in the range of $0.79 to $0.82.

Positive Outlook

  • Property revenue growth of 4.0% to 6.0% for same store communities.
  • Controllable property operating expense growth of 3.0% to 5.0%.
  • Property NOI growth of 4.0% to 5.5%.
  • Acquisition volume of $50.0 to $100.0 million.
  • Recurring capital expenditures of $7.5 to $8.5 million.

Challenges Ahead

  • Real estate tax and insurance expense increase of 6.0% to 8.0%.
  • Total real estate operating expense growth of 4.25% to 6.25%.
  • General and administrative expenses of $10.0 to $11.0 million.
  • Disposition volume of $0.0 to $100.0 million.
  • Value add & non-recurring capital expenditures of $29.0 to $36.0 million.