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Camden(CPT) - 2024 Q4 - Annual Report
CPTCamden(CPT)2025-02-20 20:21
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Financial Performance - Net income attributable to common shareholders decreased to 163.3millionfortheyearendedDecember31,2024,comparedto163.3 million for the year ended December 31, 2024, compared to 403.3 million in 2023, primarily due to a higher gain on sale of properties in 2023 [105]. - Net operating income (NOI) for the year ended December 31, 2024, was 985.0million,adecreaseof0.8985.0 million, a decrease of 0.8% compared to 993.1 million in 2023 [129]. - Funds from operations (FFO) decreased to 738.0millionin2024from738.0 million in 2024 from 747.9 million in 2023, with net income attributable to common shareholders at 163.3million[158].−Coreadjustedfundsfromoperations(CoreAFFO)decreasedto163.3 million [158]. - Core adjusted funds from operations (Core AFFO) decreased to 647.6 million in 2024 from 654.9millionin2023,reflectingchangesincapitalexpenditures[158].−Netcashfromoperatingactivitiesdecreasedtoapproximately654.9 million in 2023, reflecting changes in capital expenditures [158]. - Net cash from operating activities decreased to approximately 774.9 million in 2024 from 795.0millionin2023,primarilyduetothesaleofoperatingpropertiesandhigherrealestatetaxpayments[164].RevenueandExpenses−Samestorerevenuesincreasedbyapproximately1.3795.0 million in 2023, primarily due to the sale of operating properties and higher real estate tax payments [164]. Revenue and Expenses - Same store revenues increased by approximately 1.3% year-over-year, driven by higher rental income and lower uncollectible revenue attributed to job growth and demand for multifamily housing [103]. - Same store property revenues increased by 19.3 million to 1.46billionin2024,drivenbyhigherrentalratesandloweruncollectiblerevenue[133].−Samestorepropertyexpensesroseby1.46 billion in 2024, driven by higher rental rates and lower uncollectible revenue [133]. - Same store property expenses rose by 9.4 million to 520.8millionin2024,primarilyduetoincreasedsalariesandbenefits[134].−Totalotherexpensesincreasedby1.9520.8 million in 2024, primarily due to increased salaries and benefits [134]. - Total other expenses increased by 1.9% to 837.4 million in 2024 from 821.5millionin2023,withpropertymanagementexpensesrisingby13.7821.5 million in 2023, with property management expenses rising by 13.7% to 38.3 million [142]. - General and administrative expenses rose by approximately 9.9million,accountingfor4.79.9 million, accounting for 4.7% of total revenues in 2024 compared to 4.0% in 2023 [144]. Property and Development - As of December 31, 2024, the company owned interests in 177 multifamily properties comprising 59,996 apartment homes across the United States [102]. - The multifamily property portfolio includes 58,858 operating properties as of December 31, 2024, with a total of 177 properties [116]. - The company has three projects under construction, totaling 1,138 apartment homes, with an estimated additional cost to complete of approximately 243.6 million [106]. - As of December 31, 2024, the company has 1,325 homes under development with total estimated costs of 667million,ofwhich667 million, of which 132.3 million has been incurred to date [123]. - The company recorded approximately 41.0millioninimpairmentchargesrelatedtolanddevelopmentactivitiesin2024[107].FinancingandCapitalStructure−AsofDecember31,2024,thecompanyhadapproximately41.0 million in impairment charges related to land development activities in 2024 [107]. Financing and Capital Structure - As of December 31, 2024, the company had approximately 1.0 billion available under its 1.2billionunsecuredrevolvingcreditfacility,withnodebtmaturinguntilApril2026[115].−Thecompanyhasa1.2 billion unsecured revolving credit facility, with no debt maturing until April 2026 [115]. - The company has a 1.2 billion unsecured revolving credit facility maturing in August 2026, with options to extend and expand the facility [165]. - Fixed rate debt amounted to 2,764.4millionasofDecember31,2024,withanaverageinterestrateof3.72,764.4 million as of December 31, 2024, with an average interest rate of 3.7% [181]. - The interest expense coverage ratio was approximately 6.9 times in 2024, indicating strong operating cash flows relative to interest expenses [159]. - If interest rates on variable rate debt had been 100 basis points higher, annual interest costs would have increased by approximately 7.2 million in 2024 [184]. Shareholder Returns - The company repurchased 515,974 common shares for approximately 50.0millionatanaveragepriceof50.0 million at an average price of 96.88 per share, with 450.0millionremainingunderthesharerepurchaseplan[112].−Theannualdividendratefor2024was450.0 million remaining under the share repurchase plan [112]. - The annual dividend rate for 2024 was 4.12 per share, with a first quarter dividend of 1.05persharedeclaredfor2025,indicatingapotentialannualizedrateof1.05 per share declared for 2025, indicating a potential annualized rate of 4.20 [175][176]. Other Income and Expenses - Total non-property income rose to 24.2millionin2024,a22.624.2 million in 2024, a 22.6% increase from 19.7 million in 2023, mainly due to higher fee and asset management income [139]. - Interest and other income increased by approximately 3.5millionin2024,attributedtohigheraveragecashbalances[141].−Deferredcompensationplansrecognizedincomeofapproximately3.5 million in 2024, attributed to higher average cash balances [141]. - Deferred compensation plans recognized income of approximately 12.6 million in 2024, down from 15.4millionin2023,reflectinginvestmentperformancechanges[142].−Interestexpensedecreasedbyapproximately15.4 million in 2023, reflecting investment performance changes [142]. - Interest expense decreased by approximately 3.6 million in 2024, primarily due to debt repayments and lower average balances [145]. - Depreciation and amortization expense increased by approximately $7.2 million, attributed to completed apartment homes and capital improvements [146].