American Homes 4 Rent(AMH)2025-05-02 17:49Financial Performance - Net income attributable to common shareholders was $109,972 thousand for Q1 2025, compared to $109,289 thousand in Q1 2024, showing a slight increase of 0.6%[31] - Comprehensive income attributable to common shareholders was $108,306 thousand for Q1 2025, compared to $109,167 thousand in Q1 2024, indicating a decrease of approximately 0.8%[34] - Net income for the three months ended March 31, 2025, was $128,713,000, compared to $128,095,000 for the same period in 2024, reflecting a slight increase[41] - Net income attributable to common unitholders for Q1 2025 was $125.227 million, slightly up from $124.609 million in Q1 2024, indicating a growth of 0.5%[48] - The Company reported net income of $128,713,000 for the three months ended March 31, 2025, slightly up from $128,095,000 in 2024, indicating a year-over-year increase of 0.5%[117] Revenue and Expenses - Rental and other single-family property revenues increased to $459,276 thousand for the three months ended March 31, 2025, up from $423,555 thousand in the same period of 2024, reflecting a growth of about 8.4%[31] - Total expenses for the same period were $394.797 million, compared to $366.841 million in 2024, reflecting an increase of about 7.6%[48] - Property operating expenses increased to $167,530 thousand in Q1 2025, up from $155,927 thousand in Q1 2024, representing an increase of about 7.5%[31] - Interest expense rose to $45,426 thousand for Q1 2025, compared to $38,577 thousand in Q1 2024, reflecting an increase of approximately 17.5%[31] - Total property operating expenses for the three months ended March 31, 2025, were $167.5 million, compared to $155.9 million for the same period in 2024, indicating an increase of about 7.4%[135] Assets and Liabilities - Total assets decreased to $13,289,223 thousand as of March 31, 2025, from $13,381,151 thousand at December 31, 2024, representing a decline of approximately 0.7%[28] - Total liabilities decreased to $5,447,112 thousand as of March 31, 2025, from $5,532,521 thousand at December 31, 2024, a reduction of approximately 1.5%[28] - Total shareholders' equity slightly decreased to $7,153,889 thousand as of March 31, 2025, from $7,160,016 thousand at December 31, 2024, a decline of approximately 0.1%[28] - The Company’s total capital as of March 31, 2025, was $7,842,111,000, compared to $7,848,630,000 as of December 31, 2024[46] - The Company’s total debt as of March 31, 2025, is $4.989 billion, down from $5.075 billion as of December 31, 2024[91] Cash Flow - Cash provided by operating activities for the three months ended March 31, 2025, was $223,403,000, an increase from $201,780,000 in the same period of 2024[41] - Cash used for investing activities was $107,689,000 for the three months ended March 31, 2025, compared to $68,146,000 for the same period in 2024[41] - Cash and cash equivalents significantly decreased to $69,698 thousand as of March 31, 2025, down from $199,413 thousand at December 31, 2024, a decline of about 65%[28] - Cash payments for interest, net of amounts capitalized, were $(68,249,000) for the three months ended March 31, 2025, compared to $(38,389,000) in 2024[43] - Cash, cash equivalents, and restricted cash at the end of Q1 2025 totaled $218.858 million, down from $283.291 million at the end of Q1 2024, a decrease of about 22.8%[59] Property Management - The company held 61,361 single-family properties across 24 states as of March 31, 2025, including 661 properties classified as held for sale[64] - The average occupancy rate across all markets is 94.8%, with an average realized rent per property of $2,255[144] - The average monthly rent realized in the Atlanta market is $2,292, with an occupancy rate of 94.7%[144] - The average blended change in rent for the company is 3.7% for the three months ended March 31, 2025[144] - The company incurs costs between $300,000 and $450,000 to acquire and develop land and build a rental home[154] Shareholder Distributions - The Company declared distributions of $0.30 per Class A and Class B common share for the three months ended March 31, 2025, compared to $0.26 for the same period in 2024, representing a 15.4% increase[106] - The Company distributed an aggregate of $131.2 million to shareholders during the three months ended March 31, 2025, compared to $112.7 million in the same period of 2024, representing a 16.5% increase[205] Joint Ventures and Investments - The Company held 20% ownership interests in four unconsolidated joint ventures as of March 31, 2025[83] - The Company has joint ventures with various institutional investors, including a 20% ownership in the Alaska JV with 166 completed homes and investments totaling $14.655 million as of March 31, 2025[85] - The Institutional Investor JV has an outstanding loan of $232.7 million with a maturity date of July 1, 2027, and an interest rate of SOFR plus 1.90%[87] - J.P. Morgan JV I increased its borrowing capacity to $500 million, with an outstanding principal balance of $358.2 million as of March 31, 2025, maturing on January 24, 2028[88] Market Conditions - The company has strategically scaled back acquisitions as the housing market adjusts to the current macroeconomic environment[151] - The average time to lease a property after acquisition is approximately 10 to 50 days for new constructions and 20 to 40 days for traditionally acquired properties[156] Internal Controls and Compliance - The Company maintains effective disclosure controls and procedures, ensuring timely reporting in accordance with SEC guidelines[220] - Management evaluated the effectiveness of disclosure controls and concluded they were effective at a reasonable assurance level[221] - There were no changes in the Company's internal control over financial reporting during the quarter ended March 31, 2025, that materially affected its controls[222]