Prologis(PLD) - 2025 Q1 - Quarterly Results

Company Overview - Prologis owned or had investments in properties and development projects totaling approximately 1.3 billion square feet (120 million square meters) across 20 countries as of March 31, 2025[9]. - Prologis' gross assets under management (AUM) reached $207 billion, with 84% of this value derived from the U.S. market[19][22]. - The company reported a total asset value of$ 95,993,391 as of March 31, 2025, compared to $95,328,909 at the end of 2024, indicating a growth of 0.7%[56]. - The total liabilities stood at$ 22,337.816 million, with third-party debt accounting for $18,441.978 million[121]. - The total value of assets under management is$ 157,044,079,000[171]. Financial Performance - Total revenues for Q1 2025 were $2.14 billion, an increase from$ 1.96 billion in Q1 2024, representing a growth of 9.3%[28]. - Core FFO attributable to common stockholders/unitholders for Q1 2025 was $1.36 billion, up from$ 1.22 billion in Q1 2024, reflecting a year-over-year increase of 11.1%[28]. - Net earnings attributable to common stockholders for Q1 2025 were $591,501, up from$ 584,263 in Q1 2024, reflecting a growth of 1.9%[59]. - Operating income for Q1 2025 was $878,413, representing a 22% increase from$ 720,355 in Q1 2024[57]. - Total rental revenue for Q1 2025 reached $1,250.801 million, with the U.S. contributing$ 407.564 million[121]. - Core FFO per share - Diluted increased to $1.42 in Q1 2025 from$ 1.28 in Q1 2024, marking a rise of approximately 10.9%[156]. Development and Expansion - Estimated value creation from development stabilizations for Q1 2025 was $240 million, significantly higher than$ 50 million in Q1 2024[28]. - Development stabilizations are expected to range from $1.9 billion to$ 2.3 billion in 2025, highlighting ongoing expansion efforts[53]. - The total development portfolio is valued at $2.65 billion, with an estimated NOI of$ 4.47 billion and a percentage leased of 190%[141]. - The estimated weighted average stabilized yield for development stabilizations in Q1 2025 is 6.9%, with an annualized estimated NOI of $63.444 million[95]. - The estimated weighted average margin for development stabilizations is 26.0%[95]. Operational Metrics - Average occupancy rate for owned and managed properties was 96.8% in Q1 2025, slightly down from 97.0% in Q4 2024[64]. - The company reported a customer retention rate of 78.4% in Q1 2025, down from 80% in Q4 2024[68]. - The average occupancy for the same store information was 95.5% in Q1 2025, with a cash NOI increase of 6.2%[75]. - The total operating portfolio reached 2,319,670 square feet, with an occupancy rate of 95.2%[86]. - The total square feet of leases commenced in Q1 2025 was 63,251, representing a significant increase from 42,960 square feet in Q4 2024[72]. Debt and Liquidity - Debt increased to$ 32,262,055 in Q1 2025 from $30,879,263 in Q4 2024, marking a rise of 4.5%[56]. - The company's debt as a percentage of gross market capitalization was 25.7%, indicating a stable leverage position[126]. - Total consolidated debt, net of premiums and discounts, amounts to$ 29.39 billion, with a total liquidity of $6.52 billion[135]. - The percentage of floating rate debt is 5.4%, reflecting a moderate exposure to interest rate fluctuations[134]. - Prologis has a total debt of$ 32.26 billion, with 95% of it being fixed rate[135]. Market Outlook - The company provided guidance for 2025, projecting net earnings attributable to common stockholders between $3.45 and$ 3.70 per share[53]. - Prologis anticipates same store NOI growth of 4.00% to 5.00% for 2025, indicating a positive outlook for operational performance[53]. - The company anticipates further market expansion with new ventures expected to stabilize by Q4 2025[120]. Customer and Market Dynamics - The top customer, Amazon, accounted for 5.0% of net effective rent, occupying 45,680 square feet[87]. - The remaining lease expirations indicate that 36.6% of total occupied square feet will expire thereafter, with a weighted average rent of $9.08 per square foot[88]. - Prologis Share of Same Store Property NOI - Net Effective increased by 5.9% to$ 1,492,688 thousand in Q1 2025 compared to $1,409,007 thousand in Q1 2024[187]. Sustainability and Energy Initiatives - The total solar and energy storage portfolio has a capacity of 253 MW and a gross book value of$ 376,172,000[107]. - The total installed capacity for solar projects is 638 MW, with an estimated weighted average stabilized yield of 11.6%[107]. - The total current investment in solar projects under development is $395,672,000[107].