Core Viewpoint - Highwoods Properties Inc. (HIW) reported third-quarter 2024 funds from operations (FFO) per share of 90 cents, exceeding the Zacks Consensus Estimate of 88 cents but lower than the previous year's 93 cents, reflecting strong leasing activity and rent growth despite higher interest expenses [1] Financial Performance - Rental and other revenues totaled $204.3 million, a decrease of 1.3% year over year, narrowly missing the Zacks Consensus Estimate of $205.3 million [1] - Average in-place cash rent increased by 3.9% per square foot compared to the prior-year quarter [2] - Same-property cash net operating income (NOI) rose by 2.4% year over year to $140.5 million [2] - Total rental property and other expenses were $65.7 million, down 2.2% year over year, while interest expenses increased by 9.4% to $37.5 million [3] Development and Leasing Activity - The current development pipeline amounts to $514 million (at HIW share) and is 49.2% pre-leased [3] - Second-generation leasing activity included 906,000 square feet in the third quarter, with 530,000 square feet of new leases signed [2] Balance Sheet Position - The company ended the third quarter with total available liquidity of $788 million, an increase from $777 million as of June 30, 2024 [4] - The net debt-to-adjusted EBITDAre ratio was reported at 6.1, up from 5.8 at the end of June 30, 2024 [4] 2024 Guidance - HIW raised its 2024 guidance for FFO per share to a range of $3.59-$3.63, up from the previous range of $3.54-$3.62, with the midpoint being 6 cents higher than the initial outlook [5] - Expected growth in same-property cash NOI is now between 1% and 2%, an increase from the prior range of 0.5%-2% [5] - Average occupancy is anticipated to remain between 87% and 89%, unchanged from previous guidance [5]

Core Viewpoint - Highwoods Properties reported a slight decline in revenue for Q3 2024, but showed a significant increase in earnings per share compared to the previous year [1]. Financial Performance - Revenue for the quarter ended September 2024 was $204.32 million, down 1.3% year-over-year [1]. - Earnings per share (EPS) was reported at $0.90, a significant increase from $0.21 in the same quarter last year [1]. - The revenue reported was a surprise of -0.49% compared to the Zacks Consensus Estimate of $205.32 million [1]. - The EPS exceeded the consensus estimate of $0.88, resulting in a surprise of +2.27% [1]. Key Metrics - Lease termination fees, net, were $0.18 million, down 48.8% year-over-year, compared to the average estimate of $0.31 million [1]. - Contractual rents, net, were $175.83 million, slightly above the average estimate of $174.62 million, representing a year-over-year increase of +0.6% [1]. - Other miscellaneous operating revenues were $10.20 million, below the average estimate of $10.91 million, with a year-over-year change of -0.8% [1]. - Cost recoveries billed under lease arrangements, net, were $16.23 million, below the average estimate of $17.19 million, reflecting a year-over-year decline of -4.4% [1]. - Straight-line rental income, net, was $1.88 million, significantly lower than the estimated $3.11 million, representing a -59.1% change year-over-year [1]. - Net Earnings Per Share (Diluted) was $0.14, below the average estimate of $0.17 [1]. Stock Performance - Highwoods Properties shares have returned +5.9% over the past month, outperforming the Zacks S&P 500 composite's +2.8% change [2]. - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [2].

Core Viewpoint - Highwoods Properties reported quarterly funds from operations (FFO) of $0.90 per share, exceeding the Zacks Consensus Estimate of $0.88 per share, but down from $0.93 per share a year ago [1] Financial Performance - The FFO surprise for the quarter was 2.27%, and the company had previously reported an FFO of $0.98 per share, surpassing expectations by 8.89% [1] - Highwoods Properties generated revenues of $204.32 million for the quarter ended September 2024, which was 0.49% below the Zacks Consensus Estimate and down from $207.1 million year-over-year [1] Stock Performance - Highwoods Properties shares have increased approximately 55% since the beginning of the year, significantly outperforming the S&P 500's gain of 22.7% [2] Future Outlook - The company's future FFO expectations and management's commentary during the earnings call will be crucial for the stock's immediate price movement [2] - Current consensus FFO estimate for the upcoming quarter is $0.86 on revenues of $203.71 million, and for the current fiscal year, it is $3.60 on revenues of $824.88 million [4] Industry Context - The REIT and Equity Trust - Other industry is currently ranked in the top 32% of over 250 Zacks industries, indicating a favorable outlook [5] - Iron Mountain, another company in the same industry, is expected to report quarterly earnings of $1.11 per share, reflecting a year-over-year increase of 12.1% [5]

Core Viewpoint - Highwoods Properties, Inc. has released its third quarter 2024 results, highlighting its operations as a fully-integrated office real estate investment trust (REIT) focused on prime business districts [1] Company Overview - Highwoods Properties, Inc. is headquartered in Raleigh and is publicly traded on the NYSE under the ticker HIW [1] - The company specializes in owning, developing, acquiring, leasing, and managing properties primarily in major business districts across cities such as Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa [1] - Highwoods aims to create environments that foster collaboration and innovation, thereby delivering greater value to customers and stakeholders [1]

The REIT sector ( XLRE ), particularly office REITs have seen suppressed valuations for the last couple of years as high interest rates have plagued the sector.Contributing analyst to the iREIT+Hoya Capital investment group. The Dividend Collectuh is not a registered investment professional nor financial advisor and these articles should not be taken as financial advice. This is for educational purposes only and I encourage everyone to do their own due diligence. I'm a Navy veteran who enjoys dividend inves ...

Core Viewpoint - Highwoods Properties, Inc. is set to release its third quarter 2024 results on October 22nd, followed by a conference call on October 23rd at 11:00 A.M. Eastern time [1]. Company Overview - Highwoods Properties, Inc. is a publicly-traded, fully-integrated office real estate investment trust (REIT) headquartered in Raleigh, focusing on owning, developing, acquiring, leasing, and managing properties in major business districts across several cities including Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa [3]. - The company emphasizes creating environments that foster collaboration and innovation, aiming to deliver greater value to customers and stakeholders [3]. Conference Call Details - For US/Canada callers, the conference call can be accessed by dialing (833) 470-1428 with access code 628980, while international callers should use (404) 975-4839 with the same passcode [2]. - A live webcast of the call will be available on the company's website, and a replay will also be accessible post-call [2].

Core Insights - Highwoods Properties, Inc. has reported that its properties in Florida, Georgia, North Carolina, and Tennessee have not sustained any notable damage following a thorough assessment [1] - The President and CEO, Ted Klinck, expressed gratitude for the safety of all employees and commended the team's preparation for the hurricane [2] Company Overview - Highwoods Properties, Inc. is a publicly-traded real estate investment trust (REIT) that focuses on owning, developing, acquiring, leasing, and managing properties in major business districts across several cities including Atlanta, Charlotte, Dallas, Nashville, Orlando, Raleigh, Richmond, and Tampa [2] - The company emphasizes its role in creating work environments that foster collaboration and innovation among its tenants, thereby delivering greater value to customers and stakeholders [2]

Highwoods Properties (HIW) is well-poised to capitalize on tenants' growing preference for premium office spaces with class-apart amenities. An aggressive capital-recycling program bodes well. However, competition from other industry players is likely to limit its pricing power and hurt profitability. In September 2024, Highwoods announced that the company has signed 738,000 square feet of secondgeneration leases since July 1, 2024, including new leases spanning more than 400,000 square feet. Shares of HIW ...

2nd Gen Leasing Activity Continues to be Strong 738,000 SF of Leases Signed to Date in Third Quarter Includes over 400,000 SF of New Leases RALEIGH, N.C., Sept. 09, 2024 (GLOBE NEWSWIRE) -- Highwoods Properties, Inc. (NYSE:HIW) announced it has signed 738,000 square feet of second generation leases since July 1, 2024, including over 400,000 square feet of new leases. Included in the quarterly activity is a long-term lease for 104,000 square feet at Two Alliance Center in Atlanta's Buckhead BBD with a new cu ...

Shares of Highwoods Properties (HIW) have rallied 31.9% year to date, outperforming the industry's growth of 2.3%. This office real estate investment trust (REIT) is well-positioned to benefit from the growing demand for its premier office properties concentrated in high-growth Sun Belt markets. Its disciplined capital-recycling program and accretive development projects are other tailwinds. A healthy balance sheet position augurs well for long-term growth. Later in July 2024, HIW reported second-quarter 20 ...