In Brief Axios reports that Meta is eliminating its biggest DEI efforts, effective immediately, including ones that focused on hiring a diverse workforce, training, and sourcing supplies from diverse-owned companies. Its DEI department will also be eliminated.  In a memo leaked to the outlet, Meta said it was making these changes because the “legal and policy landscape surrounding diversity, equity, and inclusion efforts in the United States is changing.”  Meta is not alone: Microsoft and Zoom have rolled ...

Meta is dropping many of its DEI initiatives, BI confirmed.The company sent a memo announcing the changes on Friday.Meta's VP of human resources said the legal and policy landscape in the US was changing.Meta is rolling back its DEI programs, Business Insider has learned.AD The company's vice president of human resources, Janelle Gale, announced the move on its internal communication platform, Workplace, on Friday, which was seen by BI."We will no longer have a team focused on DEI," Gale wrote in the memo. ...

A Costco board member has taken aim at companies rolling back diversity, equity and inclusion (DEI) policies, calling for businesses to “maximize” DEI instead as the wholesaler faces pressure to join the growing list of brands ditching the controversial practice.Jeff Raikes, co-founder of the Raikes Foundation and former CEO of the Bill & Melinda Gates Foundation, has served on Costco’s board of directors since 2008, according to Costco’s corporate website.Raikes and other board members have come under scru ...

Costco appears to be bucking the anti-DEI wave with its defense of its diversity initiatives.Data published last year suggests shareholders largely support diversity efforts.Costco's move challenges the perceived popularity of anti-DEI proposals.Costco's board didn't mince words when it came to supporting the company's stance on diversity, equity, and inclusion — a move that openly challenges the staying power of DEI critics ahead of a new presidential administration that has been critical of the measures.A ...

Costco’s board of directors is urging shareholders to vote against a proposal that would eliminate the wholesale retailer’s diversity, equity and inclusion (DEI) program.“Our success at Costco Wholesale has been built on service to our critical stakeholders: employees, members, and suppliers. Our efforts around diversity, equity and inclusion follow our code of ethics: For our employees, these efforts are built around inclusion – having all of our employees feel valued and respected,” the board of directors ...

[Glossary](index=3&type=section&id=Glossary) This section provides a comprehensive list of abbreviations and definitions for key financial and operational terms used throughout the report - This section provides a comprehensive list of abbreviations and definitions for key terms used throughout the report, such as **FFO (Funds From Operations)**, **NOI (Net Operating Income)**, **Same Properties**, and **Leased Rate**, which are essential for understanding the company's financial and operational performance metrics[5](index=5&type=chunk)[7](index=7&type=chunk)[8](index=8&type=chunk) [Forward Looking Statements](index=7&type=section&id=Forward%20Looking%20Statements) This section outlines forward-looking statements, emphasizing that actual results may differ due to various economic and operational risks - The report contains forward-looking statements based on current beliefs and assumptions, which are subject to known and unknown risks and uncertainties. The company cautions investors that **actual results may differ materially from expectations**[10](index=10&type=chunk) - Key risk factors that could affect future results include **adverse economic conditions in Southern California or Honolulu**, **competition**, **decreasing rental rates**, **reduced demand for office space due to remote work**, **increases in interest rates and operating costs**, and **failure to maintain REIT status**[11](index=11&type=chunk) PART I. FINANCIAL INFORMATION [Financial Statements (unaudited)](index=8&type=section&id=Item%201.%20Financial%20Statements%20%28unaudited%29) This section presents the unaudited consolidated financial statements for the nine months ended September 30, 2024, showing a net income of $15.1 million and total assets of $9.45 billion Consolidated Balance Sheet Highlights (in thousands) | Account | September 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | **Total Assets** | **$9,451,764** | **$9,644,218** | | Investment in real estate, net | $8,618,766 | $8,753,184 | | Cash and cash equivalents | $544,227 | $523,082 | | **Total Liabilities** | **$5,794,250** | **$5,798,821** | | Secured notes payable, net | $5,513,086 | $5,543,171 | | **Total Equity** | **$3,657,514** | **$3,845,397** | Consolidated Statements of Operations Highlights (in thousands, except per share data) | Metric | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | Total revenues | $741,499 | $761,209 | | Net income (loss) | $15,102 | $(19,932) | | Net income (loss) attributable to common stockholders | $24,405 | $(2,251) | | Net income (loss) per common share – basic and diluted | $0.14 | $(0.02) | Consolidated Statements of Cash Flows Highlights (in thousands) | Cash Flow Activity | Nine Months Ended Sep 30, 2024 | Nine Months Ended Sep 30, 2023 | | :--- | :--- | :--- | | Net cash provided by operating activities | $334,590 | $332,209 | | Net cash used in investing activities | $(156,570) | $(180,373) | | Net cash (used in) provided by financing activities | $(156,947) | $105,557 | - As of September 30, 2024, the company's consolidated portfolio consisted of **68 office properties** (**17.6 million sq. ft.**) and **14 multifamily properties** (**4,476 units**). The total portfolio, including an unconsolidated fund, comprised **70 office properties**[26](index=26&type=chunk)[27](index=27&type=chunk)[28](index=28&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=40&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's performance, noting adverse impacts from inflation and higher interest rates, with FFO decreasing 3.8% YoY and Same Property NOI declining 6.1% YoY Portfolio Occupancy and Leased Rates (Total Portfolio) | Portfolio | Metric | September 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | :--- | | **Office** | Leased Rate | 82.0% | - | | | Occupancy Rate | 79.4% | 81.0% | | **Multifamily** | Leased Rate | 99.1% | - | | | Occupancy Rate | 97.4% | 96.7% | Funds From Operations (FFO) (in thousands) | Period | FFO | Change YoY | | :--- | :--- | :--- | | Three Months Ended Sep 30, 2024 | $86,015 | -3.8% | | Nine Months Ended Sep 30, 2024 | $268,145 | -5.7% | Same Property NOI Change YoY (Q3 2024 vs Q3 2023) | Segment | NOI Change YoY | | :--- | :--- | | Office | (7.7)% | | Multifamily | 2.1% | | **Total** | **(6.1)%** | - The company is converting a **25-story office tower in Honolulu** into **493 rental apartments**. As of September 30, 2024, **91% of the planned units have been delivered** and **98% of those delivered are leased**[122](index=122&type=chunk) - The Barrington Plaza Apartments property was removed from the rental market in Q2 2023 for a multi-year reconstruction, which **negatively impacted revenues and FFO**. A **significant majority of tenants had vacated by September 30, 2024**[124](index=124&type=chunk) - The company expects to meet short-term liquidity needs through **cash on hand ($544.2 million)** and operating cash flow. A **$400.0 million JV loan maturing in December 2024 is currently being refinanced**[163](index=163&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=57&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This section details the company's primary market risk from interest rate fluctuations on its debt, with 23% being unhedged floating-rate debt - As of September 30, 2024, **23% of the company's consolidated borrowings were unhedged floating-rate debt**[174](index=174&type=chunk) - A **100 basis point increase in the benchmark interest rate** would increase annual interest expense on unhedged floating-rate borrowings by **$13.0 million**[174](index=174&type=chunk) - The company utilizes interest rate swaps and caps to mitigate risk. **62% of debt is fixed or swap-fixed**, and **15% is capped**. The **maximum potential annual interest expense increase on capped-rate debt is $15.8 million**[173](index=173&type=chunk) [Controls and Procedures](index=57&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of September 30, 2024, with no material changes to internal controls - The CEO and CFO concluded that the company's **disclosure controls and procedures were effective as of September 30, 2024**[175](index=175&type=chunk) - **No changes in internal control over financial reporting occurred during the quarter** that have materially affected, or are reasonably likely to materially affect, internal controls[175](index=175&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=58&type=section&id=Item%201.%20Legal%20Proceedings) The company reports no material adverse legal proceedings, excluding ordinary routine litigation - The company is not currently a party to any legal proceedings that it believes would have a **materially adverse effect on its business**[177](index=177&type=chunk) [Risk Factors](index=58&type=section&id=Item%201A.%20Risk%20Factors) The company states no material changes to the risk factors disclosed in its 2023 Annual Report on Form 10-K - There are **no material changes from the risk factors disclosed in the 2023 Annual Report on Form 10-K**[178](index=178&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=58&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities or use of proceeds for the period - **None**[178](index=178&type=chunk) [Defaults Upon Senior Securities](index=58&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The company reported no defaults upon senior securities - **None**[178](index=178&type=chunk) [Mine Safety Disclosures](index=58&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company - **Not applicable**[178](index=178&type=chunk) [Other Information](index=58&type=section&id=Item%205.%20Other%20Information) The company reports no other material information and no director or officer trading arrangement adoptions or terminations in Q3 2024 - During Q3 2024, **no director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement**[178](index=178&type=chunk) [Exhibits](index=59&type=section&id=Item%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including CEO and CFO certifications and Inline XBRL documents - The exhibits include **CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act**, as well as **Inline XBRL data files**[180](index=180&type=chunk) [Signatures](index=60&type=section&id=SIGNATURES) The report was duly signed on November 8, 2024, by Jordan L. Kaplan, President and CEO, and Peter D. Seymour, CFO - The report was duly signed on **November 8, 2024**, by **Jordan L. Kaplan, President and CEO**, and **Peter D. Seymour, CFO**[183](index=183&type=chunk)

Douglas Emmett, Inc. (NYSE:DEI) Q3 2024 Earnings Conference Call November 5, 2024 2:00 PM ET Company Participants Stuart McElhinney - Vice President of Investor Relations Jordan Kaplan - President & Chief Executive Officer Kevin Crummy - Chief Investment Officer Peter Seymour - Chief Financial Officer Conference Call Participants Blaine Heck - Wells Fargo & Company Alexander Goldfarb - Piper Sandler Companies Michael Griffin - Citigroup Inc. Jeffrey Spector - Bank of America Steve Sakwa - Evercore Inc. Rich ...

For the quarter ended September 2024, Douglas Emmett (DEI) reported revenue of $250.75 million, down 1.8% over the same period last year. EPS came in at $0.43, compared to -$0.08 in the year-ago quarter.The reported revenue represents a surprise of +2.44% over the Zacks Consensus Estimate of $244.78 million. With the consensus EPS estimate being $0.41, the EPS surprise was +4.88%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to dete ...

Douglas Emmett (DEI) came out with quarterly funds from operations (FFO) of $0.43 per share, beating the Zacks Consensus Estimate of $0.41 per share. This compares to FFO of $0.45 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an FFO surprise of 4.88%. A quarter ago, it was expected that this real estate investment trust would post FFO of $0.43 per share when it actually produced FFO of $0.46, delivering a surprise of 6.98%.Over the last four quarte ...

TTIL 1 8 0 1 1 :41 THIRD QUARTER 2024 EARNINGS RESULTS & OPERATING INFORMATION Executive Summary We own and operate 18.0 million square feet of Class A office properties and 4,476 apartment units (excluding our residential development pipeline and the vacated Barrington Plaza units) in the premier coastal submarkets of Los Angeles and Honolulu. Quarterly Results: For the quarter ended September 30, 2024 compared to the quarter ended September 30, 2023: • Our revenues decreased by 1.8% to $250.8 million, pri ...