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Jun 30, 2020

Vornado Q2 2020 Earnings Report

Vornado experienced a net loss and a challenging quarter due to the COVID-19 pandemic, which significantly impacted its operations and financial results.

Key Takeaways

Vornado Realty Trust reported a net loss attributable to common shareholders of $197.75 million, or $1.03 per diluted share, for the quarter ended June 30, 2020, compared to a net income of $2.400 billion, or $12.56 per diluted share, for the prior year's quarter. The results were significantly impacted by the COVID-19 pandemic, leading to lower rental income, temporary closures, and cancellation of trade shows.

Net loss attributable to common shareholders was $197.75 million, or $1.03 per diluted share.

Adjusted net loss (non-GAAP) was $8.599 million, or $0.04 per share.

FFO attributable to common shareholders plus assumed conversions (non-GAAP) was $203.256 million, or $1.06 per diluted share.

Collected 88% (94% including rent deferrals) of rent due from tenants.

Total Revenue
$343M
Previous year: $463M
-25.9%
EPS
$0.55
Previous year: $0.91
-39.6%
The Mart Occupancy
-42.5%
555 California St Occupancy
-5%
Gross Profit
$169M
Previous year: $242M
-30.4%
Cash and Equivalents
$1.77B
Previous year: $923M
+91.7%
Total Assets
$18B
Previous year: $17.9B
+0.7%

Vornado

Vornado

Vornado Revenue by Geographic Location

Forward Guidance

The impact of the COVID-19 pandemic on the company's financial condition and operating results remains highly uncertain but the impact could be material. The impact on us includes lower rental income and potentially lower occupancy levels at our properties which will result in less cash flow available for operating costs, to pay our indebtedness and for distribution to our shareholders.

Challenges Ahead

  • Lower rental income
  • Potentially lower occupancy levels at properties
  • Less cash flow available for operating costs
  • Less cash flow to pay indebtedness
  • Less cash flow for distribution to shareholders

Revenue & Expenses

Visualization of income flow from segment revenue to net income