Rexford Industrial Announces Fourth Quarter and Full Year 2024 Financial Results
Rexford Industrial (NYSE: REXR) reported strong financial results for Q4 and full-year 2024. Net income attributable to common stockholders reached $262.9 million ($1.20 per diluted share), up from $227.4 million in 2023. The company's Core FFO grew 15.0% to $511.7 million, with Core FFO per share increasing 6.8% to $2.34.
Key operational highlights include a 17.3% increase in Portfolio NOI to $711.8 million, Same Property Portfolio NOI growth of 4.1%, and average occupancy of 96.6%. Rental rates showed significant growth, increasing 38.9% on a net effective basis. The company completed $1.5 billion in acquisitions and $44.3 million in dispositions during 2024.
Looking ahead to 2025, Rexford provided guidance projecting Net Income per share of $1.21-$1.25 and Core FFO per share of $2.37-$2.41. The company also announced a new $300 million share repurchase program and increased its quarterly dividend by 3.0% to $0.43 per share.
Rexford Industrial (NYSE: REXR) ha riportato risultati finanziari solidi per il quarto trimestre e l'intero anno 2024. L'utile netto attribuibile agli azionisti ordinari ha raggiunto i 262,9 milioni di dollari (1,20 dollari per azione diluita), in aumento rispetto ai 227,4 milioni di dollari nel 2023. Il Core FFO dell'azienda è cresciuto del 15,0% a 511,7 milioni di dollari, con un aumento del Core FFO per azione del 6,8% a 2,34 dollari.
I principali punti salienti operativi includono un aumento del 17,3% del NOI del portafoglio a 711,8 milioni di dollari, una crescita del NOI del portafoglio a proprietà comparabili del 4,1% e un'occupazione media del 96,6%. I tassi di affitto hanno mostrato una crescita significativa, aumentando del 38,9% su base netta effettiva. L'azienda ha completato acquisizioni per 1,5 miliardi di dollari e dismissioni per 44,3 milioni di dollari nel corso del 2024.
Guardando avanti al 2025, Rexford ha fornito proiezioni che indicano un utile netto per azione di 1,21-1,25 dollari e un Core FFO per azione di 2,37-2,41 dollari. L'azienda ha anche annunciato un nuovo programma di riacquisto di azioni da 300 milioni di dollari e ha aumentato il suo dividendo trimestrale del 3,0% a 0,43 dollari per azione.
Rexford Industrial (NYSE: REXR) reportó resultados financieros sólidos para el cuarto trimestre y el año completo 2024. El ingreso neto atribuible a los accionistas comunes alcanzó los 262,9 millones de dólares (1,20 dólares por acción diluida), un aumento respecto a los 227,4 millones de dólares en 2023. El Core FFO de la empresa creció un 15,0% hasta 511,7 millones de dólares, con un incremento en el Core FFO por acción del 6,8% a 2,34 dólares.
Los aspectos operativos clave incluyen un aumento del 17,3% en el NOI del Portafolio a 711,8 millones de dólares, un crecimiento del NOI del Portafolio de Propiedades Comparables del 4,1% y una ocupación promedio del 96,6%. Las tarifas de alquiler mostraron un crecimiento significativo, aumentando un 38,9% en una base efectiva neta. La empresa completó adquisiciones por 1,5 mil millones de dólares y desinversiones por 44,3 millones de dólares durante 2024.
Mirando hacia 2025, Rexford proporcionó proyecciones que indican un Ingreso Neto por acción de 1,21-1,25 dólares y un Core FFO por acción de 2,37-2,41 dólares. La empresa también anunció un nuevo programa de recompra de acciones de 300 millones de dólares y aumentó su dividendo trimestral en un 3,0% a 0,43 dólares por acción.
렉스포드 인더스트리얼 (NYSE: REXR)는 2024년 4분기와 전체 연도에 대한 강력한 재무 결과를 보고했습니다. 보통주 주주에게 귀속되는 순이익은 2억 6,290만 달러(희석 기준 주당 1.20달러)로 2023년의 2억 2,740만 달러에서 증가했습니다. 회사의 Core FFO는 15.0% 증가하여 5억 1,170만 달러에 달하며, 주당 Core FFO는 6.8% 증가하여 2.34달러에 이릅니다.
주요 운영 하이라이트에는 포트폴리오 NOI가 17.3% 증가하여 7억 1,180만 달러에 도달하고, 동일자산 포트폴리오 NOI가 4.1% 성장하며, 평균 점유율이 96.6%에 이릅니다. 임대료는 상당한 증가를 보여주며, 순효과 기준으로 38.9% 상승했습니다. 회사는 2024년 동안 15억 달러 상당의 인수를 완료하고 4,430만 달러의 자산 매각을 실시했습니다.
2025년을 바라보며, 렉스포드는 주당 순이익 1.21-1.25달러, Core FFO 주당 2.37-2.41달러를 예상하는 가이던스를 제공했습니다. 또한 회사는 3억 달러 규모의 주식 재매입 프로그램을 발표하고, 분기 배당금을 주당 0.43달러로 3.0% 인상했습니다.
Rexford Industrial (NYSE: REXR) a annoncé de solides résultats financiers pour le quatrième trimestre et l'année entière 2024. Le revenu net attribuable aux actionnaires ordinaires a atteint 262,9 millions de dollars (1,20 dollar par action diluée), en hausse par rapport à 227,4 millions de dollars en 2023. Le Core FFO de l'entreprise a augmenté de 15,0% pour atteindre 511,7 millions de dollars, avec un Core FFO par action en hausse de 6,8% à 2,34 dollars.
Les faits saillants opérationnels comprennent une augmentation de 17,3% du NOI du portefeuille à 711,8 millions de dollars, une croissance du NOI du portefeuille de propriétés comparables de 4,1% et un taux d'occupation moyen de 96,6%. Les tarifs de location ont montré une croissance significative, augmentant de 38,9% sur une base nette efficace. L'entreprise a réalisé 1,5 milliard de dollars d'acquisitions et 44,3 millions de dollars de cessions en 2024.
En regardant vers 2025, Rexford a fourni des prévisions projetant un revenu net par action de 1,21 à 1,25 dollar et un Core FFO par action de 2,37 à 2,41 dollars. L'entreprise a également annoncé un nouveau programme de rachat d'actions de 300 millions de dollars et a augmenté son dividende trimestriel de 3,0% à 0,43 dollar par action.
Rexford Industrial (NYSE: REXR) hat für das vierte Quartal und das gesamte Jahr 2024 starke Finanzresults veröffentlicht. Der Nettogewinn, der den Aktionären zufällt, erreichte 262,9 Millionen Dollar (1,20 Dollar je verwässerte Aktie), ein Anstieg gegenüber 227,4 Millionen Dollar im Jahr 2023. Das Core FFO des Unternehmens wuchs um 15,0% auf 511,7 Millionen Dollar, während das Core FFO pro Aktie um 6,8% auf 2,34 Dollar anstieg.
Wichtige betriebliche Höhepunkte umfassen einen Anstieg des Portfolio NOI um 17,3% auf 711,8 Millionen Dollar, ein Wachstum des NOI des Vergleichsportfolios von 4,1% und eine durchschnittliche Belegungsquote von 96,6%. Die Mietpreise zeigten ein signifikantes Wachstum und stiegen um 38,9% auf netto wirksamer Basis. Im Jahr 2024 schloss das Unternehmen Akquisitionen im Wert von 1,5 Milliarden Dollar und Veräußereungen im Wert von 44,3 Millionen Dollar ab.
Für 2025 gab Rexford eine Prognose ab, die einen Nettogewinn pro Aktie von 1,21-1,25 Dollar und ein Core FFO pro Aktie von 2,37-2,41 Dollar voraussagt. Das Unternehmen gab außerdem ein neues Aktienrückkaufprogramm über 300 Millionen Dollar bekannt und erhöhte die vierteljährliche Dividende um 3,0% auf 0,43 Dollar pro Aktie.
- Core FFO increased 15.0% to $511.7 million in 2024
- Portfolio NOI grew 17.3% to $711.8 million
- Rental rates increased 38.9% on net effective basis
- Quarterly dividend increased 3.0% to $0.43 per share
- Maintained high occupancy rate of 96.6%
- Completed $1.5 billion in strategic acquisitions
- Net debt-to-enterprise value ratio at 26.5%
- Projected lower Same Property NOI growth for 2025 (0.75-1.25%) compared to 2024 (4.1%)
- Expected increase in net interest expense for 2025 ($110.5M-$111.5M vs $98.6M in 2024)
Insights
The Q4 and FY2024 results reveal Rexford's exceptional execution in Southern California's infill markets. The 55.3% net effective rental rate growth (excluding Tireco) significantly outpaces market averages, demonstrating strong pricing power in their submarkets. The Q4 leasing performance was particularly impressive, achieving 55.4% net effective spreads across 1 million square feet.
The $1.5 billion acquisition volume at a 5.0% initial yield scaling to 5.6% stabilized indicates disciplined capital deployment, especially considering the competitive Southern California market. These yields, while appearing modest, are attractive given the quality and location of assets in supply-constrained submarkets.
The newly announced $300 million share repurchase program provides strategic optionality, particularly notable given the stock's current trading levels relative to NAV. The conservative balance sheet with 3.8% weighted average interest rate and no floating rate exposure positions Rexford well in the current rate environment.
The 2025 guidance of $2.37-$2.41 Core FFO per share reflects measured optimism, with same-property NOI growth moderating to 0.75%-1.25%. This conservative outlook factors in potential occupancy normalization to 95.5%-96.0% from 96.6%, suggesting management's prudent approach to forecasting in a dynamic market environment.
Full Year 2024 Financial and Operational Highlights
- Net income attributable to common stockholders of
$262.9 million $1.20 $227.4 million $1.12 - Company share of Core FFO of
$511.7 million 15.0% as compared to the prior year. - Company share of Core FFO per diluted share of
$2.34 6.8% as compared to the prior year. - Consolidated Portfolio NOI of
$711.8 million 17.3% as compared to the prior year. - Same Property Portfolio NOI increased
4.1% and Same Property Portfolio Cash NOI increased7.1% as compared to the prior year. - Average Same Property Portfolio occupancy of
96.6% . - Comparable rental rates increased by
38.9% compared to prior rents on a net effective basis and by28.6% on a cash basis on 8.1 million rentable square feet of new and renewal leases. Excluding the Tireco, Inc. lease extension executed in the first quarter, comparable rental rates increased by55.3% compared to prior rents on a net effective basis and by38.7% on a cash basis. - Completed nine acquisitions for an aggregate purchase price of
$1.5 billion $44.3 million - Ended the year with a low-leverage balance sheet measured by a net debt-to-enterprise value ratio of
26.5% and net debt to Adjusted EBITDAre of 4.6x. - Subsequent to year end, declared a quarterly common stock dividend of
$0.43 3.0% . - Subsequent to year end, authorized a
$300 million
"Rexford Industrial delivered solid fourth quarter and full year operating results, underscoring the strength and resilience of our differentiated business model," stated Michael Frankel and Howard Schwimmer, Co-Chief Executive Officers of the Company. "Looking ahead, we remain focused on unlocking our substantial embedded NOI growth opportunities to support sustainable earnings growth over the near and long term."
Financial Results
The Company reported net income attributable to common stockholders for the fourth quarter of
The Company reported its share of Core FFO for the fourth quarter of
In the fourth quarter, the Company's consolidated portfolio NOI and Cash NOI increased
In the fourth quarter, the Company's Same Property Portfolio NOI and Cash NOI increased
Operating Results
Q4-2024 Leasing Activity | ||||||||
Releasing Spreads | ||||||||
# of Leases | SF of Leasing | Net Effective | Cash | |||||
New Leases | 44 | 330,334 | 46.9 % | 33.5 % | ||||
Renewal Leases | 41 | 684,961 | 58.8 % | 44.1 % | ||||
Total Leases | 85 | 1,015,295 | 55.4 % | 41.0 % | ||||
Full Year 2024 Leasing Activity | ||||||||||||
Releasing Spreads | Releasing Spreads Excluding Tireco, Inc. Lease Extension(1) | |||||||||||
# of Leases | SF of Leasing | Net Effective | Cash | Net Effective | Cash | |||||||
New Leases | 210 | 3,188,847 | 42.1 % | 29.5 % | 42.1 % | 29.5 % | ||||||
Renewal Leases | 226 | 4,911,471 | 38.0 % | 28.3 % | 61.4 % | 43.0 % | ||||||
Total Leases | 436 | 8,100,318 | 38.9 % | 28.6 % | 55.3 % | 38.7 % | ||||||
(1) | Excludes the 1.1 million square foot lease extension with Tireco, Inc. at 10545 Production Avenue. The original Tireco, Inc. lease expiration date was January 2025 and included a fixed rate renewal option. During the first quarter of 2024, the lease was extended through January 2027 at the current in-place rent and includes a |
As of December 31, 2024, the Company's Same Property Portfolio occupancy was
Transaction Activity
During the fourth quarter of 2024, the Company completed two acquisitions comprising 578,867 square feet of buildings on 25 acres of land for an aggregate purchase price of
- 2501 Rosecrans Avenue, located in the
Los Angeles — South Bay submarket, through an off-market transaction, for$137.2 million 100% leased, low-coverage site is improved with a 300,217-square-foot, Class-A building and is situated on excess land totaling 12.0 acres. The single-tenant building features extensive cross dock loading, heavy power and an oversized, secured yard. The investment is generating a4.8% initial unlevered cash yield, growing through4.0% annual embedded rent steps. According to CBRE, the vacancy rate in the 198-million-square-foot LA – South Bay submarket was4.9% at the end of the fourth quarter 2024.
During the full year of 2024, the Company completed
The Company currently has no acquisitions under contract or accepted offer. Separately, the Company has
During the fourth quarter of 2024, the Company rent commenced and stabilized three repositioning projects totaling 375,965 square feet, representing a total investment of
For the full year 2024, the Company stabilized ten repositioning and redevelopment projects totaling 826,442 square feet, representing a total investment of
Balance Sheet
The Company ended the fourth quarter with
During the fourth quarter of 2024, the Company partially settled the outstanding forward equity sale agreement related to its March 2024 public offering by issuing 5,751,634 shares of common stock for net proceeds of
Subsequent to the fourth quarter of 2024, the Company partially settled the outstanding forward equity sale agreement related to its March 2024 public offering by issuing 1,543,191 shares of common stock for net proceeds of
As of February 5, 2025, the Company had approximately
During the fourth quarter of 2024, the Company did not execute on its ATM Program. As of December 31, 2024, the Company's ATM Program had approximately
Subsequent to the fourth quarter 2024, the Company's Board of Directors authorized the repurchase of up to
Dividends
On February 3, 2025, the Company's Board of Directors authorized a dividend in the amount of
On February 3, 2025, the Company's Board of Directors authorized a quarterly dividend of
Guidance
The Company is initiating its full year 2025 guidance as indicated below. Please refer to the Company's supplemental information package for a complete detail of guidance and the 2025 Guidance Rollforward.
2025 Outlook (1) | 2024 Actual | 2025 Guidance | ||
Net Income Attributable to Common Stockholders per diluted share | ||||
Company share of Core FFO per diluted share | ||||
Same Property Portfolio NOI Growth — Net Effective | 4.1 % | |||
Same Property Portfolio NOI Growth — Cash | 7.1 % | |||
Average Same Property Portfolio Occupancy (Full Year) (2) | 96.6 % | |||
General and Administrative Expenses (3) | +/- | |||
Net Interest Expense |
(1) | 2025 Guidance represents the in-place portfolio as of February 5, 2025, and does not include any assumptions for additional prospective acquisitions, dispositions or related balance sheet activities that have not closed. |
(2) | Our 2025 Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly owned by us for the period from January 1, 2024 through February 5, 2025 and excludes properties that were or will be classified as repositioning/redevelopment (current and future) or lease-up during 2024 and 2025 (unless otherwise noted). As of January 1, 2025, our 2025 Same Property Portfolio consisted of 290 properties totaling 38.2 million rentable square feet representing approximately |
(3) | 2025 General and Administrative expense guidance includes estimated non-cash equity compensation expense of |
A number of factors could impact the Company's ability to deliver results in line with its guidance, including, but not limited to, the potential impacts related to interest rates, inflation, the economy, the supply and demand of industrial real estate, the availability and terms of financing to the Company or to potential acquirers of real estate and the timing and yields for divestment and investment. There can be no assurance that the Company can achieve such results.
Supplemental Information and Updated Earnings Presentation
The Company's supplemental financial reporting package as well as an earnings presentation are available on the Company's investor relations website at ir.rexfordindustrial.com.
Earnings Release, Investor Conference Webcast and Conference Call
A conference call with executive management will be held on Thursday, February 6, 2025, at 1:00 p.m. Eastern Time.
To participate in the live telephone conference call, please access the following dial-in numbers at least five minutes prior to the start time using Conference ID 5314484.
1 (800) 715-9871 (for domestic callers)
1 (646) 307-1963 (for international callers)
A live webcast and replay of the conference call will also be available at ir.rexfordindustrial.com.
About Rexford Industrial
Rexford Industrial creates value by investing in, operating and redeveloping industrial properties throughout infill
Forward Looking Statements
This press release may contain forward-looking statements within the meaning of the federal securities laws, which are based on current expectations, forecasts and assumptions that involve risks and uncertainties that could cause actual outcomes and results to differ materially. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as "may," "will," "should," "expects," "intends," "plans," "anticipates," "believes," "estimates," "predicts," or "potential" or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. While forward-looking statements reflect the Company's good faith beliefs, assumptions and expectations, they are not guarantees of future performance. In addition, projections, assumptions and estimates of our future performance and the future performance of the industry in which we operate are necessarily subject to a high degree of uncertainty and risk due to a variety of factors, including those described above. These and other factors could cause results to differ materially from those expressed in our estimates and beliefs and in the estimates prepared by independent parties. For a further discussion of these and other factors that could cause the Company's future results to differ materially from any forward-looking statements, see the reports and other filings by the Company with the
Definitions / Discussion of Non-GAAP Financial Measures
Funds from Operations (FFO): We calculate FFO in accordance with the standards established by the National Association of Real Estate Investment Trusts ("NAREIT"). FFO represents net income (loss) (computed in accordance with GAAP), excluding gains (or losses) from sales of depreciable operating property, gains (or losses) from sales of assets incidental to our business, impairment losses of depreciable operating property or assets incidental to our business, real estate related depreciation and amortization (excluding amortization of deferred financing costs and amortization of above/below-market lease intangibles) and after adjustments for unconsolidated joint ventures. Management uses FFO as a supplemental performance measure because, in excluding real estate related depreciation and amortization, gains and losses from property dispositions, other than temporary impairments of unconsolidated real estate entities, and impairment on our investment in real estate, it provides a performance measure that, when compared year over year, captures trends in occupancy rates, rental rates and operating costs. We also believe that, as a widely recognized measure of performance used by other REITs, FFO may be used by investors as a basis to compare our operating performance with that of other REITs. However, because FFO excludes depreciation and amortization and captures neither the changes in the value of our properties that result from use or market conditions nor the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties, all of which have real economic effects and could materially impact our results from operations, the utility of FFO as a measure of our performance is limited. Other equity REITs may not calculate or interpret FFO in accordance with the NAREIT definition as we do, and, accordingly, our FFO may not be comparable to such other REITs' FFO. FFO should not be used as a measure of our liquidity and is not indicative of funds available for our cash needs, including our ability to pay dividends. FFO should be considered only as a supplement to net income computed in accordance with GAAP as a measure of our performance. A reconciliation of net income, the nearest GAAP equivalent, to FFO is set forth below in the Financial Statements and Reconciliations section. "Company Share of FFO" reflects FFO attributable to common stockholders, which excludes amounts allocable to noncontrolling interests, participating securities and preferred stockholders.
Core Funds from Operations (Core FFO): We calculate Core FFO by adjusting FFO for non-comparable items outlined in the "Reconciliation of Net Income to Funds From Operations and Core Funds From Operations" table which is located in the Financial Statements and Reconciliations section below. We believe that Core FFO is a useful supplemental measure and that by adjusting for items that are not considered by the Company to be part of its on-going operating performance, provides a more meaningful and consistent comparison of the Company's operating and financial performance period-over-period. Because these adjustments have a real economic impact on our financial condition and results from operations, the utility of Core FFO as a measure of our performance is limited. Other REITs may not calculate Core FFO in a consistent manner. Accordingly, our Core FFO may not be comparable to other REITs' Core FFO. Core FFO should be considered only as a supplement to net income computed in accordance with GAAP as a measure of our performance. "Company Share of Core FFO" reflects Core FFO attributable to common stockholders, which excludes amounts allocable to noncontrolling interests, participating securities and preferred stockholders.
Reconciliation of Net Income Attributable to Common Stockholders per Diluted Share Guidance to Company Share of Core FFO per Diluted Share Guidance:
The following is a reconciliation of the Company's 2025 guidance range of net income attributable to common stockholders per diluted share, the most directly comparable forward-looking GAAP financial measure, to Company share of Core FFO per diluted share.
2025 Estimate | |||
Low | High | ||
Net income attributable to common stockholders | $ 1.21 | $ 1.25 | |
Company share of depreciation and amortization | 1.16 | 1.16 | |
Company share of gains on sale of real estate(1) | — | — | |
Company share of Core FFO | $ 2.37 | $ 2.41 | |
Net Operating Income (NOI): NOI is a non-GAAP measure, which includes the revenue and expense directly attributable to our real estate properties. NOI is calculated as rental income from real estate operations less property expenses (before interest expense, depreciation and amortization). We use NOI as a supplemental performance measure because, in excluding real estate depreciation and amortization expense and gains (or losses) from property dispositions, it provides a performance measure that, when compared year over year, captures trends in occupancy rates, rental rates and operating costs. We also believe that NOI will be useful to investors as a basis to compare our operating performance with that of other REITs. However, because NOI excludes depreciation and amortization expense and captures neither the changes in the value of our properties that result from use or market conditions, nor the level of capital expenditures and leasing commissions necessary to maintain the operating performance of our properties (all of which have a real economic effect and could materially impact our results from operations), the utility of NOI as a measure of our performance is limited. Other equity REITs may not calculate NOI in a similar manner and, accordingly, our NOI may not be comparable to such other REITs' NOI. Accordingly, NOI should be considered only as a supplement to net income as a measure of our performance. NOI should not be used as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs.
NOI should not be used as a substitute for cash flow from operating activities in accordance with GAAP. We use NOI to help evaluate the performance of the Company as a whole, as well as the performance of our Same Property Portfolio. A calculation of NOI for our Same Property Portfolio, as well as a reconciliation of net income to NOI for our Same Property Portfolio, is set forth below in the Financial Statements and Reconciliations section.
Cash NOI: Cash NOI is a non-GAAP measure, which we calculate by adding or subtracting from NOI: (i) amortization of above/(below) market lease intangibles and amortization of other deferred rent resulting from sale leaseback transactions with below market leaseback payments and (ii) straight-line rent adjustments. We use Cash NOI, together with NOI, as a supplemental performance measure. Cash NOI should not be used as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs. Cash NOI should not be used as a substitute for cash flow from operating activities computed in accordance with GAAP. We use Cash NOI to help evaluate the performance of the Company as a whole, as well as the performance of our Same Property Portfolio. A calculation of Cash NOI for our Same Property Portfolio, as well as a reconciliation of net income to Cash NOI for our Same Property Portfolio, is set forth below in the Financial Statements and Reconciliations section.
Same Property Portfolio: Our 2024 Same Property Portfolio is a subset of our consolidated portfolio and includes properties that were wholly owned by us for the period from January 1, 2023 through December 31, 2024, and excludes (i) properties that were acquired or sold during the period from January 1, 2023 through December 31, 2024, and (ii) properties acquired prior to January 1, 2023 that were classified as repositioning/redevelopment (current and future) or lease-up during 2023 and 2024 and select buildings in "Other Repositioning," which we believe will significantly affect the properties' results during the comparative periods. As of December 31, 2024, our 2024 Same Property Portfolio consisted of buildings aggregating 36,961,884 rentable square feet at 293 of our properties.
Properties and Space Under Repositioning: Typically defined as properties or units where a significant amount of space is held vacant in order to implement capital improvements that improve the functionality (not including basic refurbishments, i.e., paint and carpet), cash flow and value of that space. A repositioning is generally considered complete once the investment is fully or nearly fully deployed and the property is available for occupancy.
Stabilization Date — Repositioning/Redevelopment Properties: We consider a repositioning/redevelopment property to be stabilized at the earlier of the following: (i) upon rent commencement and achieving
Net Debt to Enterprise Value: As of December 31, 2024, we had consolidated indebtedness of
Contact
Mikayla Lynch
Director, Investor Relations and Capital Markets
(424) 276-3454
mlynch@rexfordindustrial.com
Financial Statements and Reconciliations
Rexford Industrial Realty, Inc. Consolidated Balance Sheets (In thousands except share data) | |||
December 31, 2024 | December 31, 2023 | ||
(unaudited) | |||
ASSETS | |||
Land | $ 7,822,290 | $ 6,815,622 | |
Buildings and improvements | 4,611,987 | 3,933,379 | |
Tenant improvements | 188,217 | 167,251 | |
Furniture, fixtures, and equipment | 132 | 132 | |
Construction in progress | 333,690 | 240,010 | |
Total real estate held for investment | 12,956,316 | 11,156,394 | |
Accumulated depreciation | (977,133) | (782,461) | |
Investments in real estate, net | 11,979,183 | 10,373,933 | |
Cash and cash equivalents | 55,971 | 33,444 | |
Loan receivable, net | 123,244 | 122,784 | |
Rents and other receivables, net | 15,772 | 17,494 | |
Deferred rent receivable, net | 161,693 | 123,325 | |
Deferred leasing costs, net | 67,827 | 59,351 | |
Deferred loan costs, net | 1,999 | 3,426 | |
Acquired lease intangible assets, net | 201,467 | 153,670 | |
Acquired indefinite-lived intangible asset | 5,156 | 5,156 | |
Interest rate swap assets | 8,942 | 9,896 | |
Other assets | 26,964 | 25,225 | |
Acquisition related deposits | — | 2,125 | |
Total Assets | $ 12,648,218 | $ 10,929,829 | |
LIABILITIES & EQUITY | |||
Liabilities | |||
Notes payable | $ 3,345,962 | $ 2,225,914 | |
Accounts payable, accrued expenses and other liabilities | 149,707 | 128,842 | |
Dividends and distributions payable | 97,823 | 83,733 | |
Acquired lease intangible liabilities, net | 147,473 | 147,561 | |
Tenant security deposits | 90,698 | 84,872 | |
Tenant prepaid rents | 90,576 | 115,002 | |
Total Liabilities | 3,922,239 | 2,785,924 | |
Equity | |||
Rexford Industrial Realty, Inc. stockholders' equity | |||
Preferred stock, | |||
outstanding at December 31, 2024 and December 31, 2023 ( liquidation preference) | 72,443 | 72,443 | |
outstanding at December 31, 2024 and December 31, 2023 ( liquidation preference) | 83,233 | 83,233 | |
Common Stock, 225,285,011 and 212,346,450 shares outstanding at December 31, 2024 and December 31, 2023, respectively | 2,253 | 2,123 | |
Additional paid in capital | 8,601,276 | 7,940,781 | |
Cumulative distributions in excess of earnings | (441,881) | (338,835) | |
Accumulated other comprehensive loss | 6,746 | 7,172 | |
Total stockholders' equity | 8,324,070 | 7,766,917 | |
Noncontrolling interests | 401,909 | 376,988 | |
Total Equity | 8,725,979 | 8,143,905 | |
Total Liabilities and Equity | $ 12,648,218 | $ 10,929,829 | |
Rexford Industrial Realty, Inc. Consolidated Statements of Operations (Unaudited and in thousands, except per share data) | |||||||
Three Months Ended | Year Ended December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
REVENUES | |||||||
Rental income | $ 239,737 | $ 207,909 | $ 922,096 | $ 791,383 | |||
Management and leasing services | 167 | 163 | 611 | 682 | |||
Interest income | 2,991 | 2,353 | 13,700 | 5,761 | |||
TOTAL REVENUES | 242,895 | 210,425 | 936,407 | 797,826 | |||
OPERATING EXPENSES | |||||||
Property expenses | 56,006 | 49,259 | 210,260 | 184,479 | |||
General and administrative | 21,940 | 19,988 | 82,153 | 75,027 | |||
Depreciation and amortization | 71,832 | 65,839 | 275,247 | 244,510 | |||
TOTAL OPERATING EXPENSES | 149,778 | 135,086 | 567,660 | 504,016 | |||
OTHER EXPENSES | |||||||
Other expenses | 34 | 316 | 2,238 | 1,820 | |||
Interest expense | 28,173 | 14,570 | 98,596 | 61,400 | |||
TOTAL EXPENSES | 177,985 | 149,972 | 668,494 | 567,236 | |||
Gains on sale of real estate | — | 6,868 | 18,013 | 19,001 | |||
NET INCOME | 64,910 | 67,321 | 285,926 | 249,591 | |||
Less: net income attributable to noncontrolling interests | (2,725) | (2,970) | (12,124) | (11,575) | |||
NET INCOME ATTRIBUTABLE TO REXFORD INDUSTRIAL REALTY, INC. | 62,185 | 64,351 | 273,802 | 238,016 | |||
Less: preferred stock dividends | (2,315) | (2,315) | (9,258) | (9,258) | |||
Less: earnings attributable to participating securities | (457) | (357) | (1,679) | (1,309) | |||
NET INCOME ATTRIBUTABLE TO COMMON STOCKHOLDERS | $ 59,413 | $ 61,679 | $ 262,865 | $ 227,449 | |||
Net income attributable to common stockholders per share – basic | $ 0.27 | $ 0.29 | $ 1.20 | $ 1.12 | |||
Net income attributable to common stockholders per share – diluted | $ 0.27 | $ 0.29 | $ 1.20 | $ 1.12 | |||
Weighted-average shares of common stock outstanding – basic | 222,516 | 210,089 | 218,280 | 202,884 | |||
Weighted-average shares of common stock outstanding – diluted | 222,856 | 210,362 | 218,467 | 203,111 | |||
Rexford Industrial Realty, Inc. Same Property Portfolio Occupancy and NOI and Cash NOI (Unaudited, dollars in thousands)
| |||||
Same Property Portfolio Occupancy | |||||
December 31, | |||||
2024 | 2023 | Change (basis | |||
Quarterly Weighted Average Occupancy:(1) | |||||
95.6 % | 97.4 % | (180) bps | |||
99.2 % | 98.6 % | 60 bps | |||
96.0 % | 95.1 % | 90 bps | |||
95.8 % | 98.5 % | (270) bps | |||
91.7 % | 97.9 % | (620) bps | |||
Same Property Portfolio Weighted Average Occupancy | 95.7 % | 97.1 % | (140) bps | ||
Ending Occupancy: | 94.1 % | 97.1 % | (300) bps | ||
(1) | Calculated by averaging the occupancy rate at the end of each month in 4Q-2024 and September 2024 (for 4Q-2024) and the end of each month in 4Q-2023 and September 2023 (for 4Q-2023). |
Same Property Portfolio NOI and Cash NOI | |||||||||||||||
Three Months Ended | Year Ended December 31, | ||||||||||||||
2024 | 2023 | $ | % | 2024 | 2023 | $ | % | ||||||||
Rental income | $ 3,021 | 1.8 % | 4.0 % | ||||||||||||
Property expenses | 40,760 | 40,629 | 131 | 0.3 % | 159,563 | 153,890 | 5,673 | 3.7 % | |||||||
Same Property Portfolio NOI | $ 2,890 | 2.2 % | 4.1 % | ||||||||||||
Straight line rental revenue adjustment | (3,397) | (5,010) | 1,613 | (32.2) % | (19,209) | (26,676) | 7,467 | (28.0) % | |||||||
Above/(below) market lease revenue adjustments | (4,236) | (6,034) | 1,798 | (29.8) % | (20,014) | (24,244) | 4,230 | (17.4) % | |||||||
Same Property Portfolio Cash NOI | $ 6,301 | 5.3 % | 7.1 % | ||||||||||||
Rexford Industrial Realty, Inc. Reconciliation of Net Income to NOI, Cash NOI, Same Property Portfolio NOI and Same Property Portfolio Cash NOI (Unaudited and in thousands) | |||||||
Three Months Ended | Year Ended December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Net income | $ 64,910 | $ 67,321 | $ 285,926 | $ 249,591 | |||
General and administrative | 21,940 | 19,988 | 82,153 | 75,027 | |||
Depreciation and amortization | 71,832 | 65,839 | 275,247 | 244,510 | |||
Other expenses | 34 | 316 | 2,238 | 1,820 | |||
Interest expense | 28,173 | 14,570 | 98,596 | 61,400 | |||
Management and leasing services | (167) | (163) | (611) | (682) | |||
Interest income | (2,991) | (2,353) | (13,700) | (5,761) | |||
Gains on sale of real estate | — | (6,868) | (18,013) | (19,001) | |||
Net operating income (NOI) | $ 183,731 | $ 158,650 | $ 711,836 | $ 606,904 | |||
Straight line rental revenue adjustment | (10,057) | (8,514) | (38,433) | (36,587) | |||
Above/(below) market lease revenue adjustments(1) | (6,159) | (8,119) | (27,653) | (29,882) | |||
Cash NOI | $ 167,515 | $ 142,017 | $ 645,750 | $ 540,435 | |||
NOI | $ 183,731 | $ 158,650 | $ 711,836 | $ 606,904 | |||
Non-Same Property Portfolio rental income | (66,041) | (37,234) | (228,270) | (124,315) | |||
Non-Same Property Portfolio property expenses | 15,246 | 8,630 | 50,697 | 30,589 | |||
Same Property Portfolio NOI | $ 132,936 | $ 130,046 | $ 534,263 | $ 513,178 | |||
Straight line rental revenue adjustment | (3,397) | (5,010) | (19,209) | (26,676) | |||
Above/(below) market lease revenue adjustments | (4,236) | (6,034) | (20,014) | (24,244) | |||
Same Property Portfolio Cash NOI | $ 125,303 | $ 119,002 | $ 495,040 | $ 462,258 | |||
(1) | Above/(below) market lease revenue adjustments include the write-off |
Rexford Industrial Realty, Inc. Reconciliation of Net Income to Funds From Operations and Core Funds From Operations (Unaudited and in thousands, except per share data) | |||||||
Three Months Ended | Year Ended December 31, | ||||||
2024 | 2023 | 2024 | 2023 | ||||
Net income | $ 64,910 | $ 67,321 | $ 285,926 | $ 249,591 | |||
Adjustments: | |||||||
Depreciation and amortization | 71,832 | 65,839 | 275,247 | 244,510 | |||
Gains on sale of real estate | — | (6,868) | (18,013) | (19,001) | |||
Funds From Operations (FFO) | $ 136,742 | $ 126,292 | $ 543,160 | $ 475,100 | |||
Less: preferred stock dividends | (2,315) | (2,315) | (9,258) | (9,258) | |||
Less: FFO attributable to noncontrolling interests(1) | (5,283) | (4,960) | (21,270) | (19,514) | |||
Less: FFO attributable to participating securities(2) | (624) | (504) | (2,342) | (1,843) | |||
Company share of FFO | $ 128,520 | $ 118,513 | $ 510,290 | $ 444,485 | |||
Company Share of FFO per common share – basic | $ 0.58 | $ 0.56 | $ 2.34 | $ 2.19 | |||
Company Share of FFO per common share – diluted | $ 0.58 | $ 0.56 | $ 2.34 | $ 2.19 | |||
FFO | $ 136,742 | $ 126,292 | $ 543,160 | $ 475,100 | |||
Adjustments: | |||||||
Acquisition expenses | 9 | 39 | 123 | 369 | |||
Impairment of right-of-use asset | — | — | — | 188 | |||
Amortization of loss on termination of interest rate swaps | 34 | 59 | 211 | 236 | |||
Non-capitalizable demolition costs | — | 180 | 1,127 | 881 | |||
Write-offs of below-market lease intangibles related to unexercised renewal options(3) | — | — | — | (1,318) | |||
Core FFO | $ 136,785 | $ 126,570 | $ 544,621 | $ 475,456 | |||
Less: preferred stock dividends | (2,315) | (2,315) | (9,258) | (9,258) | |||
Less: Core FFO attributable to noncontrolling interest(1) | (5,284) | (4,969) | (21,319) | (19,525) | |||
Less: Core FFO attributable to participating securities(2) | (624) | (505) | (2,349) | (1,844) | |||
Company share of Core FFO | $ 128,562 | $ 118,781 | $ 511,695 | $ 444,829 | |||
Company share of Core FFO per common share – basic | $ 0.58 | $ 0.57 | $ 2.34 | $ 2.19 | |||
Company share of Core FFO per common share – diluted | $ 0.58 | $ 0.56 | $ 2.34 | $ 2.19 | |||
Weighted-average shares of common stock outstanding – basic | 222,516 | 210,089 | 218,280 | 202,884 | |||
Weighted-average shares of common stock outstanding – diluted | 222,856 | 210,362 | 218,467 | 203,111 | |||
(1) | Noncontrolling interests relate to interests in the Company's operating partnership, represented by common units and preferred units (Series 1, 2 & 3 CPOP units) of partnership interests in the operating partnership that are owned by unit holders other than the Company. On April 10, 2024, we exercised our conversion right to convert all Series 1 CPOP units into common units of the Company's operating partnership. |
(2) | Participating securities include unvested shares of restricted stock, unvested LTIP units and unvested performance units. |
(3) | Reflects the write-off of the portion of a below-market lease intangible attributable to a below-market fixed rate renewal option that was not exercised due to the termination of the lease at the end of the initial lease term. |
View original content:https://www.prnewswire.com/news-releases/rexford-industrial-announces-fourth-quarter-and-full-year-2024-financial-results-302369310.html
SOURCE Rexford Industrial Realty, Inc.
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