Dec 31, 2023

Whitestone Q4 2023 Earnings Report

Whitestone reported strong Q4 2023 results with record occupancy, GAAP leasing spreads, and revenue increase.

Key Takeaways

Whitestone REIT reported a strong fourth quarter of 2023, with record occupancy of 94.2%, GAAP leasing spreads of nearly 22%, and a year-over-year revenue increase in excess of 5%. The company initiated 2024 Core FFO per share guidance of $0.98 - $1.04 and grew the dividend by 3%.

Achieved record occupancy of 94.2%.

GAAP leasing spreads were nearly 22%.

Year-over-year revenue increased by over 5%.

Core FFO per share for Q4 2023 was $0.24, compared to $0.23 for Q4 2022.

Total Revenue
$37.5M
Previous year: $34.9M
+7.5%
EPS
$0.21
Previous year: $0.23
-8.7%
Same Store NOI Growth
2.4%
Previous year: 7.1%
-66.2%
Rental Rate Growth - Total
21.8%
Previous year: 23.5%
-7.2%
Gross Profit
$17.2M
Previous year: $25.3M
-32.2%
Cash and Equivalents
$28.8M
Previous year: $6.8M
+323.4%
Total Assets
$1.11B
Previous year: $1.35B
-17.4%

Whitestone

Whitestone

Forward Guidance

The Company currently estimates that GAAP net income available to common shareholders will be within the range of $0.32 to $0.38 per diluted share, and Core FFO will be within the range of $0.98 to $1.04 per diluted share and OP Unit.

Positive Outlook

  • Net income attributable to Whitestone REIT $16,600 - $19,600
  • Core FFO $50,985 - $53,985
  • Net income attributable to Whitestone REIT per share $0.32 - $0.38
  • Core FFO per diluted share and OP Unit $0.98 - $1.04
  • Same store net operating income growth 2.5% - 4.0%

Challenges Ahead

  • Bad debt as a percentage of revenue 0.60% - 1.10%
  • General and administrative expense $19,700 - $21,200
  • Interest expense $32,600 - $34,100
  • Ending occupancy 93.8% - 94.8%
  • Net Debt to EBITDAre Ratio 7.0X - 6.6X