Weingarten Realty Reports Fourth Quarter Results and Increases Dividend
Weingarten Realty (NYSE: WRI) reported its fourth quarter 2020 results, showing a net income of $23.1 million, or $0.18 per share, down from $75.2 million, or $0.58 per share in Q4 2019. Core Funds From Operations (Core FFO) also decreased to $0.43 per share from $0.53 per share in the prior year. The company announced a 67% increase in its quarterly dividend to $0.30 per share. Despite pandemic challenges, cash collections were at 94% and leasing production reached its highest since 2015 with $14.6 million in new leases and renewals.
- Quarterly dividend increased by 67% to $0.30 per share.
- Leasing production reached $14.6 million, highest since 2015.
- Cash collections at 94% of total billed for the quarter.
- Net income decreased significantly from $75.2 million in Q4 2019 to $23.1 million.
- Core FFO declined from $0.53 per share in 2019 to $0.43 per share in 2020.
- Impairment of $24.1 million recognized related to properties sold or marketed for sale.
Weingarten Realty (NYSE: WRI) announced today the results of its operations for the quarter ended December 31, 2020. The supplemental financial package with additional information can be found on the Company's website under the Investor Relations tab.
“We appreciate your understanding the rescheduling of our press release and conference call but the loss of electricity, water and internet connectivity from the severe cold experienced in Texas last week resulted in very difficult working conditions for our team that made this delay necessary. Our Texas properties have held up well. We had minimal power and water outages, but all of our properties are open and operating.
We are pleased with our solid fourth quarter results. Our focus continues on the safety and well-being of our associates, working with our tenants and all of our stakeholders including the broader community. Uncertainty remains, but solid cash collection metrics, a very stable base of essential tenants and the acceleration of leasing activity makes us cautiously optimistic about 2021. A full recovery to pre-pandemic operating results will likely not occur for many months but our transformed portfolio of grocery anchored, open-air centers located in the southern and western U.S. that provide basic goods and services gives us great confidence as we continue our recovery,” said Drew Alexander, Chairman, President and Chief Executive Officer.
Fourth Quarter and Full Year Operating and Financial Highlights
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Net income attributable to common shareholders (“Net Income”) for the fourth quarter was
$0.18 per diluted share (hereinafter “per share”) compared to$0.20 per share in the third quarter of 2020 and$0.58 per share in the same quarter of 2019; -
Core Funds From Operations Attributable to Common Shareholders ("Core FFO") for the quarter was
$0.43 per share compared to$0.44 per share in the third quarter of 2020 and$0.53 per share in the same quarter of 2019; -
Common dividend per share will increase
67% to$0.30 per quarter; -
Cash collections of rent and billable expenses were
94% of the total billed for the fourth quarter; -
Leasing production was the highest fourth quarter production in annualized base minimum rents since 2015. The Company executed 81 new leases and 91 renewals representing
$14.6 million in base minimum rent; -
Dispositions in the quarter were
$96 million bringing the year-to-date total to$248 million ; and, -
Acquisition of the remaining
42% of the Village Plaza at Bunker Hill center not previously owned, which is one of the best properties in the portfolio.
Financial Results
The Company reported Net Income of
Funds From Operations attributable to common shareholders in accordance with the National Association of Real Estate Investment Trusts definition (“NAREIT FFO”) was
A reconciliation of Net Income to NAREIT FFO and Core FFO is included herein.
Operating Results
For the period ending December 31, 2020, the Company’s operating highlights were as follows:
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Q4 2020 |
YTD 2020 |
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Occupancy (Signed Basis): |
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Occupancy - Total |
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92.9 |
% |
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Occupancy - Small Shop Spaces |
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88.6 |
% |
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Occupancy - Same Property Portfolio |
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93.4 |
% |
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Same Property Net Operating Income, with redevelopments |
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(12.1 |
)% |
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(10.4 |
)% |
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Rental Rate Growth - Total: |
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5.8 |
% |
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7.4 |
% |
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New Leases |
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