Simon Property(US:SPG)2025-11-06 12:40Financial Performance - Total revenue for Q3 2025 reached $1,601,572, an increase of 8.2% compared to $1,480,710 in Q3 2024[28] - Lease income for the nine months ended September 30, 2025, was $4,199,812, up from $3,958,236 in the same period of 2024, reflecting a growth of 6.1%[28] - Consolidated net income for the nine months ended September 30, 2025, was $1,824,237, a decrease of 6.8% from $1,957,262 in 2024[30] - Operating income before other items for Q3 2025 was $812,914, an increase from $767,769 in Q3 2024, representing a growth of 5.9%[28] - Basic and diluted earnings per common share for Q3 2025 were $1.86, compared to $1.46 in Q3 2024, showing an increase of 27.4%[28] - The company reported a net cash provided by operating activities of $2,932,810 for the nine months ended September 30, 2025, compared to $2,729,106 in 2024, an increase of 7.4%[30] - Total operating expenses for Q3 2025 were $788,658, an increase of 10.6% from $712,941 in Q3 2024[39] - Consolidated net income for the nine months ended September 30, 2025, was $369.135 million, compared to $319.002 million for the same period in 2024, reflecting a year-over-year increase of 15.7%[116] Assets and Liabilities - Cash and cash equivalents increased to $1,552,577 as of September 30, 2025, compared to $1,400,345 at the end of 2024, marking a growth of 10.9%[26] - Total assets rose to $33,602,187 as of September 30, 2025, up from $32,405,691 at the end of 2024, indicating a growth of 3.7%[26] - Total liabilities increased to $30,627,651 as of September 30, 2025, compared to $28,806,239 at the end of 2024, reflecting a rise of 6.3%[26] - Total assets decreased to $11.862 billion as of September 30, 2025, from $12.379 billion at the end of 2024, a decline of 4.2%[122] - Total liabilities as of September 30, 2025, were $15.040 billion, slightly down from $15.171 billion at the end of 2024, a decrease of 0.9%[122] Equity and Distributions - As of March 31, 2025, the total equity stood at $3,025,809,000, with a net income of $479,372,000, excluding preferred interests[32] - The company reported a net loss of $30,830,000 in other comprehensive income for the period ending March 31, 2025[32] - Distributions to common stockholders and limited partners, excluding preferred interests, totaled $812,000,000 for the period ending June 30, 2025[33] - The total preferred units and noncontrolling redeemable interests in properties amounted to $244.965 million, up from $184.729 million at December 31, 2024[150] - Simon paid a common stock dividend of $2.15 per share for Q3 2025, totaling $6.35 per share for the nine months ended September 30, 2025[146] Acquisitions and Investments - The company made acquisitions totaling $961,080 during the nine months ended September 30, 2025[30] - On June 27, 2025, the company acquired a 75% interest in the retail component and 100% of the parking component of Brickell City Centre for $497.7 million, consolidating $544.6 million of investment property[93] - On April 1, 2025, the company acquired a 50% interest in Briarwood Mall for $9.2 million, resulting in the consolidation of $168.6 million of investment property[94] - On January 30, 2025, the company completed the acquisition of two luxury outlet destinations in Italy for $392.4 million, recording $413.5 million of investment property[95] - The company owns a 31.3% noncontrolling interest in Catalyst, which recognized a net pre-tax gain of $71.6 million in 2025[109] Market and Risk Factors - The company experienced a significant unrealized loss on hedging activities amounting to $18,593,000 for the quarter ending March 31, 2025[32] - The company reported a currency translation adjustment loss of $21,976,000 for the quarter ending March 31, 2025[32] - The total accumulated other comprehensive income (loss) related to Simon's currency translation adjustment was ($310.5) million as of September 30, 2025, compared to ($250.2) million as of December 31, 2024[74] - There have been no material changes in market risk assumptions since December 31, 2024, as disclosed in the 2024 Annual Report[277] Lease Income - Total lease income for the nine months ended September 30, 2025, was $4,199.8 million, compared to $3,958.2 million for the same period in 2024, reflecting a year-over-year increase of 6.1%[167] - Fixed lease income for the three months ended September 30, 2025, was $1,173.6 million, up from $1,093.1 million in 2024, representing a 7.3% increase[167] - Variable lease income for the nine months ended September 30, 2025, was $769.3 million, compared to $723.7 million in 2024, indicating a year-over-year increase of 6.3%[167] - Lease income for the three months ended September 30, 2025, was $1,456,774,000, compared to $1,341,424,000 in 2024, showing an increase of 8.6%[179][182] Long-Term Incentive Programs - The total compensation expense related to LTIP and LTI programs for the nine months ended September 30, 2025, was approximately $39.0 million, compared to $17.0 million for the same period in 2024[162] - The 2021 Long-Term Incentive Program (LTI Program) had a maximum potential fair value of $18.4 million, with 209,784 LTIP units earned valued at $5.7 million[155][162] - The 2022 LTI Program had a maximum potential fair value of $20.6 million, with 107,462 LTIP units earned valued at $13.7 million[156][162] - The 2023 LTI Program has a maximum potential fair value of $42.5 million, with LTIP units to be determined in 2026[157][158][162] - The 2024 LTI Program has a maximum potential fair value of $44.1 million, with LTIP units to be determined in 2027[159][162] - The 2025 LTI Program has a maximum potential fair value of $48.0 million, with LTIP units to be determined in 2028[161][162]