W. P. Carey(US:WPC)2025-04-30 20:08Financial Performance - Net income attributable to W. P. Carey decreased to $125,824 from $159,223, a decline of approximately 21%[17] - Basic earnings per share decreased to $0.57 from $0.72, reflecting a decrease of about 20.8%[17] - Net income for the three months ended March 31, 2025, was $125.816 million, a decrease from $159.086 million in the same period of 2024, representing a decline of approximately 21%[26] - For the three months ended March 31, 2025, net income was $125.8 million, a decrease of 21% from $159.2 million in the same period of 2024[156] - Basic earnings per share (EPS) for Q1 2025 was $0.57, compared to $0.72 in Q1 2024, reflecting a decline of approximately 21%[156] Revenue and Income - Lease revenues increased to $353,768 from $322,251, representing a growth of about 9.8% year-over-year[17] - Total operating lease income increased to $353.8 million, up from $322.3 million in the same period of 2024, representing a growth of 9.8%[65] - Revenue from hotel operating properties for the three months ended March 31, 2025, was $8.2 million, a decrease from $10.2 million in the same period of 2024, reflecting a decline of 19.6%[41] - The company recognized lease termination income of $1.7 million for the three months ended March 31, 2025[64] Assets and Liabilities - Total assets decreased to $17,307,305 from $17,535,024, a decline of approximately 1.3%[13] - Total liabilities decreased to $8,940,382 from $9,100,900, a reduction of approximately 1.8%[13] - Total stockholders' equity decreased to $8,362,363 from $8,429,695, a decrease of about 0.8%[13] - Cash and cash equivalents decreased significantly to $187,809 from $640,373, a decline of about 70.7%[13] - Cash and cash equivalents at the end of Q1 2025 were $217.629 million, a decrease from $1.104 billion at the end of Q1 2024, reflecting a decline of about 80%[26] Expenses - Depreciation and amortization expenses increased to $129,607 from $118,768, an increase of approximately 9.2%[17] - The company reported depreciation and amortization expenses of $134.521 million for Q1 2025, up from $123.487 million in Q1 2024, reflecting an increase of approximately 9%[26] - Depreciation expense for buildings and improvements subject to operating leases was $75.3 million for the three months ended March 31, 2025, compared to $71.6 million for the same period in 2024, an increase of 5.2%[56] - The net amortization of intangibles for the three months ended March 31, 2025, was $48,000,000, compared to $42,600,000 for the same period in 2024, reflecting a year-over-year increase of approximately 10.5%[92] Investments and Acquisitions - The company acquired 64 properties during the three months ended March 31, 2025, with total capitalized costs amounting to $176.3 million[57] - During Q1 2025, the company sold nine properties for total proceeds of $126.7 million, recognizing a net gain of $43.8 million[164] - In April 2025, the company completed two acquisitions totaling approximately $171.0 million[166] Cash Flow and Financing - Total cash provided by operating activities for Q1 2025 was $273.213 million, compared to $1.035 billion in Q1 2024, indicating a significant decrease of about 73%[26] - The company incurred a net cash used in investing activities of $173.870 million in Q1 2025, compared to $236.972 million in Q1 2024, showing a decrease of approximately 26%[26] - The company funded $248,900,000 of a $261,900,000 construction loan for the Las Vegas Retail Complex as of March 31, 2025, with an outstanding principal of $243,900,000[99] Derivatives and Hedging - The estimated fair value of total derivatives decreased from $23.5 million on December 31, 2024, to $10.6 million on March 31, 2025, indicating a reduction of approximately 55.1%[120] - The company reported a total loss of $12.5 million on derivatives in Other Comprehensive Income for the three months ended March 31, 2025, compared to a gain of $7.0 million in the same period of 2024[121] - The fair value of foreign currency collars designated as cash flow hedging instruments was $9.6 million on March 31, 2025, down from $21.6 million on December 31, 2024[120] Equity and Dividends - Dividends declared for Q1 2025 were $0.890 per share, compared to $0.865 per share in Q1 2024, representing an increase of approximately 2.9%[26] - The company declared a quarterly dividend of $0.890 per share, paid on April 15, 2025[160] Credit and Debt - The carrying value of Senior Unsecured Notes was $6,211.9 million, down from $6,505.9 million on December 31, 2024, reflecting a decrease of approximately 4.5%[116] - The total principal balance of Senior Unsecured Notes outstanding was $6.3 billion as of March 31, 2025[143] - Scheduled debt principal payments total $7.937917 billion as of March 31, 2025, with the largest payment of $1.244804 billion due in 2029[151] Miscellaneous - The company was in compliance with all financial maintenance covenants at March 31, 2025[146] - The company established an "at-the-market" offering program with a gross sales price of up to $1.0 billion, but did not issue any shares during the reporting period[158]