MEXICO CITY, Oct. 30, 2024 /PRNewswire/ -- FIBRA Prologis (BMV:FIBRAPL 14), a leading owner and operator of Class-A industrial real estate in Mexico, announces that its Manager, Prologis Property México, S.A. de C.V., has agreed to reduce its Asset Management Fee (as defined in the Management Agreement entered into between FIBRA Prologis and the Manager), to the following structure: | --- | --- | --- | --- | |-----------------------------|-------|------------------------------------------------------------- ...

MEXICO CITY, Oct. 29, 2024 /PRNewswire/ -- FIBRA Prologis (BMV:FIBRAPL 14), a leading owner and operator of Class-A industrial real estate in Mexico, today reported results for the third quarter 2024.HIGHLIGHTS FROM THE QUARTER: Net effective rents on rollover were 56.2 percent. Period-end and average occupancy were 98.1 and 97.8 percent, respectively. Customer retention was 52.7 percent. Same store cash NOI was 4.4 percent. Successful first tender offer for Terrafina, 77 percent ownership acquired.Net ear ...

Portfolio and Operations - Prologis operates a portfolio of approximately 1.2 billion square feet across 20 countries, focusing on high-barrier, high-growth logistics markets[101]. - At September 30, 2024, the gross book value of the operating portfolio held by Prologis' nine unconsolidated co-investment ventures was $55.7 billion across 519 million square feet[110]. - Operating portfolio occupancy was 96.2% as of September 30, 2024, with a net effective rent change of 69.5% on leases commenced during the nine months[113]. - The total O&M operating portfolio comprised 5,285 properties with 1,168 million square feet, achieving an overall occupancy rate of 95.9%[134]. - The development portfolio included 97 properties that were 32.8% leased, with a current investment of $3.1 billion and a total estimated investment of $5.4 billion upon completion[152]. Financial Performance - The company expects to generate earnings growth by increasing rents, maintaining high occupancy rates, and controlling expenses, with rental operations contributing 90% to 95% of consolidated revenues[106]. - Rental revenues increased to $5.577 billion in 2024 from $5.063 billion in 2023, reflecting a $514 million increase[115]. - Real Estate Segment NOI rose to $4.216 billion in 2024, up from $3.815 billion in 2023, marking a $401 million increase[117]. - Same store Property NOI for the three months ended September 30, 2024, was $1,400 million, reflecting a 6.2% increase from $1,318 million in 2023[139]. - For the nine months ended September 30, 2024, net earnings attributable to common stockholders were $2,448 million, a slight increase from $2,424 million in 2023[168]. Development and Investment - The company has a total expected investment (TEI) of $36.0 billion for newly developed buildings, with a potential increase to $40.7 billion on an owned and managed basis[110]. - Number of new development buildings started increased to 21 in 2024 from 17 in 2023, with square footage rising from 4 million to 6 million[125]. - Estimated value at completion for the development portfolio was $3.812 billion in 2024, up from $2.505 billion in 2023[126]. - Acquired 225 acres of land in India to support future development opportunities[113]. Liquidity and Capital Structure - Prologis maintains a strong balance sheet with a weighted average remaining maturity of consolidated debt at 10 years and a weighted average interest rate of 3.1%[110]. - The company has total available liquidity of $6.6 billion, allowing for opportunistic value-added investments[110]. - Total available liquidity reached $6.6 billion, including $5.8 billion in borrowing capacity and $781 million in unrestricted cash[113]. - The company had a total debt of $32.29 billion as of September 30, 2024, with a weighted average effective interest rate of 3.1%[153]. Strategic Capital and Revenue Segments - The Strategic Capital Segment contributes 5% to 10% of consolidated revenues, with a focus on asset management and property management services[107]. - Strategic Capital Segment revenues for the nine months ended September 30, 2024, totaled $419 million, a decrease from $1,071 million in the same period of 2023[129]. - Strategic Capital Segment NOI for the nine months ended September 30, 2024, was $208 million, down from $764 million in 2023, reflecting a significant decline[129]. Expenses and Gains - G&A expenses increased to $316 million for the nine months ended September 30, 2024, compared to $292 million in 2023, primarily due to inflation and higher compensation costs[130]. - Depreciation and amortization expenses rose to $1.9 billion for the nine months ended September 30, 2024, from $1.8 billion in 2023, indicating a $78 million increase[132]. - Gains on real estate transactions for the nine months ended September 30, 2024, were $811 million, compared to $432 million in 2023, showing a substantial increase[132]. Interest and Tax Expenses - Net interest expense increased to $632 million for the nine months ended September 30, 2024, from $467 million in 2023, representing a 35.2% rise, primarily due to higher interest rates and the issuance of $4.2 billion in senior notes[142]. - Total current income tax expense decreased to $78 million for the nine months ended September 30, 2024, from $143 million in 2023, a reduction of 45.5%[151]. Foreign Currency and Interest Rate Exposure - 7.2% of total consolidated revenue, amounting to $434 million, was denominated in foreign currencies for the nine months ended September 30, 2024[171]. - The company had foreign currency contracts with an aggregate notional amount of $1.6 billion, primarily in British pound sterling, Canadian dollar, euro, and Japanese yen[171]. - At September 30, 2024, $31.2 billion of the company's debt bore interest at fixed rates, with a weighted average interest rate of 4.0%[172]. - A 10% increase in interest rates on average outstanding variable rate debt balances would result in an additional annual interest expense of $4 million[172].

MEXICO CITY, Oct. 21, 2024 /PRNewswire/ -- FIBRA Prologis (BMV: FIBRAPL 14), a leading owner and operator of Class-A logistics real estate in Mexico, will host a webcast and conference call with senior management to discuss third quarter results, current market conditions and future outlook on Wednesday, October 30, at 9:00 a.m. Mexico Time. To access a live broadcast of the call, dial +1 888 596 4144 (toll-free from the United States and Canada), 800 269 4416 (toll-free from Mexico) or +1 646 968 2525 from ...

Join iREIT on Alpha today to get the most in-depth research that includes REITs, mREITs, Preferreds, BDCs, MLPs, ETFs, and other income alternatives. 438 testimonials and most are 5 stars. Nothing to lose with our FREE 2-week trial .By now, I doubt it's a surprise to most readers that I like companies with large footprints in critical supply chains. This includes Prologis (NYSE: PLD ) , a company I called "A Shareholder's Dream" in the title ofAnalyst’s Disclosure: I/we have no stock, option or similar deri ...

Prologis' accelerating earnings growth bodes well for its ability to continue increasing its dividend at a brisk pace.Prologis (PLD 4.60%) has done a magnificent job paying dividends over the years. The leading industrial real estate investment trust (REIT) has increased its payout every year for over a decade. It's grown at a 13% compound annual rate over the last five years, more than double the rate of the S&P 500 (5%) and other REITs (5%). The industrial REIT is in an excellent position to continue incr ...

Financial Data and Key Metrics Changes - Core FFO, excluding net promote expense, was $1.45 per share, slightly ahead of forecasts, including approximately $0.03 from Prologis Ventures' exit [8][19] - Period-ending occupancy was 96.2%, nearly 300 basis points above the market, with net effective rent change at 68% and cash rent change at 44% [8][9] - The overall portfolio lease mark-to-market finished at 34%, representing $1.6 billion of potential NOI [9] Business Line Data and Key Metrics Changes - The portfolio produced net effective and cash same store growth of 6.2% and 7.2%, respectively [9] - Approximately $90 million of NOI was captured by rolling leases up to market [8] - Development projects started in the quarter exceeded $0.5 billion, with over $1.4 billion deployed in third-party acquisitions [10] Market Data and Key Metrics Changes - Global market rents decreased approximately 3% this quarter, with Southern California experiencing the longest recovery time [12][13] - Net absorption in the U.S. portfolio was 40 million square feet, with completions at 63 million square feet, leading to a market vacancy of 6.8% [63] - The under-construction pipeline is at its lowest point since 2017, indicating a potential for demand improvement as supply decreases [64] Company Strategy and Development Direction - The company is focused on operational excellence, customer centricity, and value creation to drive performance across market cycles [20] - Prologis Ventures had a successful exit, realizing a 9-times multiple on investment, indicating a strong strategic capital position [11] - The company is tightening its forecast for average occupancy and cash same store growth, reflecting a cautious approach amid market conditions [17][18] Management Comments on Operating Environment and Future Outlook - Management noted that conditions remain soft in many markets despite healthy GDP and consumption growth, attributing this to excess capacity built during COVID [12] - The company expects market rents to bottom out mid-next year, with a long-term growth trajectory remaining favorable due to replacement cost rents being approximately 15% above current market levels [15] - Management expressed confidence in the long-term outlook, despite near-term softness in demand and occupancy [20] Other Important Information - The company raised $4.6 billion of new debt at a weighted average rate of 4.6% with a maturity of approximately nine years [9] - Prologis is expanding its land bank, driving potential development opportunities over $40 billion, including projects in India [10] - The company is on track to achieve over 600 megawatts of energy generation capacity by the end of the year, with a goal of 1 gigawatt by the end of 2025 [10] Q&A Session Summary Question: How to reconcile mixed signals in industrial markets with strong leasing activity? - Management indicated that the raised acquisition guidance reflects confidence in the long-term outlook, despite current utilization keeping demand subdued [25][26] Question: Updated view on market rent growth and development starts? - Management expects softness in rents to continue but highlighted that 90% of leases roll after the next 12 months, which will mitigate short-term fluctuations [30][31] Question: Clarification on core FFO beat and full-year guidance? - Management clarified that the perceived beat was anticipated and that FX gains were not a variance item in FFO due to hedging [36][37] Question: Trends in occupancy by unit size and Southern California demand? - Management noted that demand remains soft in LA, with Class A outperforming Class B, while the Inland Empire shows better demand due to port growth [40][43] Question: How quickly can demand recover as uncertainty ebbs? - Management suggested that as spare capacity is utilized, demand will gradually increase, supported by economic growth and trade [47] Question: Update on digital and energy infrastructure initiatives? - The company reported significant progress in solar energy projects and data center developments, with a strong pipeline in both areas [58][60] Question: Net absorption and supply completions in the U.S. portfolio? - Management confirmed net absorption of 40 million square feet and completions of 63 million square feet, with rising market vacancies [63] Question: When does availability peak in the portfolio? - Management anticipates vacancies will peak in late 2024, with recovery expected to emerge later next year [68] Question: Any specific pockets driving higher development stabilization guidance? - Management indicated that development opportunities are spread globally, with no specific trends pointing to higher stabilization in any region [86]

Prologis, Inc. (PLD) reported third-quarter 2024 core funds from operations (FFO) per share of $1.43, outpacing the Zacks Consensus Estimate of $1.37. This compares favorably with the year-ago quarter’s figure of $1.30.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Reflecting the positive sentiments of investors, shares of the company gained more than 3% during the initial hours of today’s trading session. The quarterly results reflect a rise in rental revenues and healthy leasing ...

Key TakeawaysPrologis exceeded analysts' estimates for third-quarter profit and revenue as the real estate market began to recover from its slump.Core funds from operations (FFO) climbed 10%, more than expected, driving the gains.Prologis boosted the low end of its full-year guidance for earnings and core FFO. Shares of Prologis (PLD) advanced Wednesday when the largest industrial real estate firm posted better-than-anticipated results and solid guidance on strong funds from operations (FFO).  The real esta ...

For the quarter ended September 2024, Prologis (PLD) reported revenue of $1.9 billion, up 6.7% over the same period last year. EPS came in at $1.43, compared to $0.80 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.9 billion, representing a surprise of -0.38%. The company delivered an EPS surprise of +4.38%, with the consensus EPS estimate being $1.37.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they c ...