Simon Property(SPG) - 2024 Q4 - Annual Results

Financial Performance - Net income attributable to common stockholders for Q4 2024 was $667.2 million, or $2.04 per diluted share, compared to $747.5 million, or $2.29 per diluted share in Q4 2023[8]. - For the full year 2024, net income attributable to common stockholders was $2.368 billion, or $7.26 per diluted share, an increase from $2.280 billion, or $6.98 per diluted share in 2023[8]. - Total revenue for Q4 2024 was $1,582,232, an increase of 3.5% compared to $1,527,438 in Q4 2023[25]. - Consolidated net income for the year reached $2,729,021, up from $2,617,018, marking a year-over-year increase of 4.3%[45]. - Basic and diluted earnings per common share decreased to $2.04 from $2.29, reflecting a decline of 10.9% year-over-year[45]. Funds From Operations (FFO) - Funds From Operations (FFO) for 2024 was $4.877 billion, or $12.99 per diluted share, up from $4.686 billion, or $12.51 per diluted share in 2023[8]. - FFO of the Operating Partnership for the twelve months ended December 31, 2024, was $4,876,844, with non-cash impacts resulting in an adjusted FFO of $4,963,581[54]. - Funds From Operations (FFO) for Q4 2024 was $1,388,748, slightly up from $1,381,963 in Q4 2023, with a total of $4,876,844 for the twelve months, compared to $4,685,866 in the previous year[35]. Real Estate Performance - Real Estate FFO for 2024 was $4.597 billion, or $12.24 per diluted share, reflecting a year-over-year increase of 3.9%[8]. - Domestic property Net Operating Income (NOI) increased by 4.7% in 2024, while portfolio NOI increased by 4.6% compared to the previous year[8]. - Real Estate Funds from Operations (Real Estate FFO) for the operating partnership was $1,261,481, a 4.4% increase from $1,208,096 in the same quarter last year[45]. Occupancy and Leasing - Occupancy rate as of December 31, 2024, was 96.5%, a 0.7% increase from 95.8% at the end of 2023[14]. - The company executed over 21 million square feet of leases and opened a fully-leased new Premium Outlet in the U.S. in 2024[6]. - Total lease income for the three months ended December 31, 2024, was $1,431,524, representing an increase from $1,362,455 in the same period of 2023[57]. Dividends and Shareholder Returns - The Board of Directors declared a quarterly common stock dividend of $2.10 for Q1 2025, representing a 7.7% year-over-year increase[13]. - The company estimates net income for 2025 to be in the range of $6.95 to $7.20 per diluted share, with Real Estate FFO and FFO expected to be between $12.40 and $12.65 per diluted share[15]. Assets and Liabilities - Total assets as of December 31, 2024, were $32,405,691, a decrease from $34,283,495 in 2023[27]. - Total liabilities decreased to $28,806,239 in 2024 from $30,595,897 in 2023[27]. - Cash and cash equivalents increased to $1,400,345 in 2024 from $1,168,991 in 2023[27]. Debt and Financial Health - The company maintained a Fixed Charge Coverage Ratio of 4.5X, well above the required minimum of 1.5X[43]. - Total debt to total assets ratio stood at 38%, significantly below the maximum limit of 65%, indicating strong financial health[43]. - Consolidated indebtedness totals $30,354,656, with a weighted average interest rate of 3.86%[85]. Capital Expenditures and Investments - Total capital expenditures for the twelve months ended December 31, 2024, amounted to $755.584 million, a decrease from $793.283 million in the previous year[71]. - The company has a total net cash investment of $1,078.416 million forecasted for FY 2024-2026, with a stabilized return rate of 8% for redevelopments[74]. - The company’s total investment in redevelopment projects is projected to be $1,284.453 million, with $393.354 million expected in FY 2024[74]. International Presence - Total international square footage reached 11,898,100 square feet as of December 31, 2024[102]. - The company has properties in 11 countries, including Austria, Canada, France, Germany, Italy, Japan, Korea, Malaysia, Mexico, Netherlands, Spain, Thailand, and the United Kingdom[102]. - The company plans to expand its presence in Mexico with the Premium Outlets Querétaro, which has a fixed interest rate of 12.14%[102].