Wheeler Real Estate Investment Trust(US:WHLR)2025-11-06 21:20Company Overview - Wheeler Real Estate Investment Trust, Inc. (WHLR) focuses on owning, leasing, and operating income-producing retail properties, primarily grocery-anchored centers[11]. Financial Performance - The company reported a significant increase in Annualized Base Rent (ABR), reaching $X million, reflecting a Y% growth compared to the previous period[9]. - WHLR reported a net income attributable to common stockholders of $8.914 million for the three months ended September 30, 2025, with basic earnings per share of $18.37[16]. - Total revenue for the third quarter was $23.8 million, a decrease of 3.9% or $1.0 million compared to the prior year, primarily due to a $1.9 million decrease in rental revenues and tenant reimbursements[21]. - Same-Property Net Operating Income (Same-Property NOI) increased by A% year-over-year, demonstrating improved operational performance[10]. - FFO for the quarter was $18.1 million, or $37.23 per share, compared to a FFO loss of $35.0 million in the prior year[27]. - Total revenue decreased by 3.5% to $74.3 million, primarily due to a $5.5 million decrease in rental revenues from sold properties[32]. - Funds from Operations (FFO) improved to $13.8 million, or $68.28 per share, compared to a loss of $(42.7) million per share previously[32]. - Net Income for Q3 2025 was $12,982,000, a significant improvement from a loss of $30,631,000 in Q3 2024[50]. - Total assets decreased to $625.174 million as of September 30, 2025, down from $653.702 million as of December 31, 2024, a decline of 4.4%[47]. - Cash and cash equivalents totaled $27.1 million, down from $43.0 million at the end of 2024[38]. Occupancy and Leasing - The occupancy rate as of September 30, 2025, was Z%, indicating strong demand for leased space[10]. - The occupancy rate for WHLR's real estate portfolio was 91.8%, a decrease of 20 basis points from the previous year, while the leased rate was 92.4%, a decrease of 140 basis points[22]. - WHLR executed 32 lease renewals totaling 160,167 square feet at a weighted average increase of $1.04 per square foot, representing a 9.5% increase over in-place rental rates[22]. - Total leasable square feet across all properties is 7,436,018, with a percentage leased of 92.4% and a percentage occupied of 91.8% as of September 30, 2025[64]. - The company operates a total of 66 properties with 944 tenants, generating an Annualized Base Rent (ABR) of $72,104,000[65]. - WHLR renewed a total of 457,848 square feet of leases in the nine months ended September 2025, with a weighted average increase of 12.4% over prior rates[74]. - New leases totaled 104,228 square feet in the nine months ended September 2025, with a new rent spread of 36.3%[74]. Debt and Financial Leverage - WHLR's financial leverage remains a concern, with total debt reported at C million, which could impact future performance[5]. - The total assets of WHLR as of September 30, 2025, were $625.174 million, with total debt amounting to $502.676 million, resulting in a debt-to-total assets ratio of 80.4%[16]. - Debt increased to $502.7 million, influenced by new loan proceeds and repayments related to property sales[38]. - The company has a significant portion of its debt maturing after 2029, accounting for 84.5% of total principal repayments and maturities[59]. Strategic Initiatives - The company plans to expand its portfolio by acquiring additional properties in secondary and tertiary markets, targeting a growth rate of B% in the next fiscal year[11]. - The company is actively exploring new technology solutions to enhance property management efficiency and tenant experience[11]. - WHLR's management emphasizes the importance of maintaining compliance with REIT regulations to ensure continued operational success[5]. - The company is also focusing on strategic partnerships to enhance market presence and tenant diversity[11]. Tenant and Lease Information - The top ten tenants contribute 22.8% of the total ABR, with Food Lion leading at $4,456,000, representing 6.2% of the total[70]. - The lease expiration schedule indicates that 8.2% of the total square footage (613,001 sq ft) is available, with 0.2% expiring in 2025[71]. - The average annualized base rent per occupied square foot is $10.57 across all properties[71]. - The company has a diverse tenant mix, with grocery stores making up a significant portion of the ABR[70]. Operational Metrics - Same-Property NOI increased by 3.3% or $0.5 million, driven by a $0.9 million increase in property revenue, partially offset by a $0.4 million increase in property expenses[22]. - The company recognized a non-operating gain of $6.3 million from changes in the fair value of derivative liabilities[38]. - The company reported impairment charges of $2.490 million in Q3 2025, compared to $1.195 million in Q3 2024, indicating increased asset write-downs[48].