2023-04-18 10:35:52 ET
Prologis ( NYSE: PLD ) raised the lower end of its 2023 core FFO guidance range while keeping the top end the same, after first-quarter profit matched Wall Street expectations. Shares gained 0.7% in Tuesday morning trading.
The industrial REIT now expects FY2023 core FFO per share of $5.42-$5.50, vs. $5.50 consensus, compared with the previous guidance of $5.40-$5.50.
Furthermore, average occupancy for the year is anticipated to be 97.00%-97.50% vs. prior target of 96.50%-97.50%, and cash same store net operating income is expected to be 9.00%-9.75% vs. prior view of 8.50%-9.50%.
For the first quarter of 2022, the company's core FFO of $1.22 , aligning with the average analyst estimate, rose from $1.09 in the year-earlier quarter. Revenue of $1.77B, vs. $1.65B consensus, climbed from $1.22B a year before.
"Demand remains healthy, despite some moderating in terms of decision-making," said Co-Founder and CEO Hamid R. Moghadam. We foresee any potential impact on demand as likely to overlap with a deceleration in new deliveries, sustaining momentum with favorable conditions for high occupancy and continued rent growth into 2024."
Adjusted EBITDA stood at $1.43B, up from $1.21B in the three months ended March 31, 2022.
Total expenses were $1.19B vs. $808.4M a year ago.
Cash same store NOI reached an all-time high of 11.4%, and average occupancy was 98.0%.
Conference call at 9:00 a.m. PT (12:00 p.m. ET).
Earlier, Prologis FFO of $1.22 in-line, revenue of $1.77B beats by $120B .
For further details see:
Prologis raises 2023 guidance midpoint as demand stays healthy