American Homes 4 Rent(AMH) - 2024 Q4 - Annual Results

Financial Performance - Net income attributable to common shareholders for Q4 2024 was $123.2 million, or $0.33 per diluted share, compared to $76.6 million, or $0.21 per diluted share in Q4 2023, reflecting a significant increase due to higher net gains on property sales [7]. - For the full year 2024, net income attributable to common shareholders was $398.5 million, or $1.08 per diluted share, compared to $366.2 million, or $1.01 per diluted share in 2023 [14]. - The company reported a net income attributable to common shareholders of $123,230,000 for Q4 2024, compared to $76,617,000 in Q4 2023, showing a significant increase of 60.8% [51]. - Net income for Q4 2024 was $143,873,000, a 58.1% increase from $90,937,000 in Q4 2023 [133]. - Net income for the trailing twelve months ended December 31, 2024, was $468,142,000, compared to $432,142,000 for the same period in 2023, marking an 8.3% increase [136]. Revenue Growth - Rents and other single-family property revenues increased by 6.8% year-over-year to $436.6 million in Q4 2024, driven primarily by higher rental rates [8]. - Full year rents and other single-family property revenues increased by 6.5% to $1.73 billion in 2024, compared to $1.62 billion in 2023 [15]. - Core revenues for Q4 2024 reached $387,485,000, an increase from $360,151,000 in Q4 2023, representing a growth of 7.5% year-over-year [51]. - Same-Home core revenues for Q4 2024 were $334,673,000, slightly up from $321,880,000 in Q4 2023, indicating a growth of 4.0% [51]. - Same-Home core revenues for the year ended December 31, 2024, were $1,328.285 million, compared to $1,265.168 million for 2023, reflecting a year-over-year increase [46]. Operating Income - Core Net Operating Income (Core NOI) from the total portfolio rose by 8.5% to $255.6 million in Q4 2024, supported by a 7.6% increase in core revenues [9]. - Core NOI for Q4 2024 was $255,561,000, compared to $235,627,000 in Q4 2023, reflecting an increase of 8.4% year-over-year [51]. - Core NOI for the year ended December 31, 2024, was $978.307 million, up from $904.813 million in 2023, indicating strong operational performance [46]. - Core FFO attributable to common share and unit holders for the year ended December 31, 2024, was $1.77, compared to $1.66 in 2023, reflecting a 6.6% increase [147]. Capital Investment and Financing - The company issued $500 million of 5.250% unsecured senior notes due 2035, raising net proceeds of $494.2 million [10]. - Total capital investment for 2025 is projected to be between $0.8 billion and $1.0 billion, with wholly owned development deliveries estimated at 1,800 to 2,000 properties [32]. - The company plans to fund its 2025 capital plan through retained cash flow, approximately $400 million to $500 million from recycled capital, and debt capital [38]. - The company plans a total capital investment program of $0.8 - $1.0 billion, with anticipated repayments of $925.4 million for AMH 2015-SFR1 and AMH 2015-SFR2 securitizations in 2025 [114]. Occupancy and Property Management - The average occupied days percentage for the portfolio was 94.2% in Q4 2024, slightly down from 95.1% in Q3 2024 [21]. - The number of occupied single-family properties increased to 57,486 as of December 31, 2024, from 55,726 a year earlier, indicating a growth of 3.2% [51]. - The average occupied days percentage across all markets was 95.4% in Q4 2024, down from 96.1% in Q4 2023, a decrease of 0.7% [72]. - The company’s turnover rate is calculated as the number of tenant move-outs during the period divided by the total number of properties, indicating tenant retention and property performance [158]. Debt and Equity - The total debt to total capitalization ratio was 24.1% at the end of Q4 2024, up from 22.0% in Q4 2023 [51]. - The company reported a total debt of $5,075,391 thousand, with a weighted average interest rate of 4.35% and an average maturity of 12.0 years [78]. - Shareholders' equity reached $7,160,016 thousand as of December 31, 2024, compared to $6,967,524 thousand in 2023, indicating an increase of 2.8% [76]. - The net debt and preferred shares to adjusted EBITDAre ratio is 5.4x, indicating a stable financial position [85]. Future Guidance - The company expects full year 2025 Core FFO attributable to common share and unit holders to continue growing, although specific guidance for GAAP net income is not provided due to uncertainties [31]. - Core FFO attributable to common share and unit holders for Full Year 2025 is projected to be between $1.80 and $1.86, reflecting a growth of 1.7% to 5.1% [32]. - Same-Home core revenues growth is expected to be between 2.50% and 4.50%, with average occupied days percentage in the low 96% area and average monthly realized rent growth in the high 3.0% area [33]. - The company anticipates property operating expenses growth of 3.00% to 5.00% in 2025, with property tax growth moderating between 3.50% and 5.50% [110].