IRT(US:IRT)2026-02-11 21:05Financial Performance - EPS for the full year 2025 was $0.24, compared to $0.17 for the full year 2024[10] - Net income available to common shares for the quarter ended December 31, 2025, was $33.3 million, compared to a net loss of $1.0 million for the same quarter in 2024[14] - Net income available to common shares for the three months ended December 31, 2025, was $33,266,000, a significant increase from $6,893,000 in the previous quarter[44] - Earnings per share (diluted) rose to $0.14, compared to $0.03 in the prior quarter[44] - Net income for Q4 2025 was $34,015, compared to a loss of $1,100 in Q4 2024, indicating a significant turnaround[51] - The company’s total revenue for the year ended December 31, 2025, was $657.696 million, up from $640.035 million in 2024, marking a 2.6% increase[50] - Total revenue for Q4 2025 was $167.127 million, a 3.6% increase from $160.963 million in Q4 2024[50] Operational Metrics - Same-store portfolio NOI growth was 1.8% for the fourth quarter and 2.4% for the full year 2025, driven by revenue growth of 2.0% and 1.7% respectively[10] - Average occupancy for the full year 2025 was 95.4%, a 30 basis point increase over 2024[10] - Same-store portfolio NOI for Q4 2025 was $99,430, up 1.8% from $97,644 in Q4 2024[55] - Average occupancy rate remained stable at 95.4% in Q4 2025, slightly down from 95.5% in Q4 2024[55] - Total same-store portfolio net operating income (NOI) for 2025 reached $380,051,000, reflecting a 2.4% increase from 2024[58] - Average occupancy across the portfolio improved to 95.4% in 2025, up from 95.1% in 2024[58] Capital Expenditures and Investments - The company completed 2,003 renovations in its Value Add program for the full year 2025, achieving an average ROI of 15.3%[10] - For the three months ended December 31, 2025, recurring capital expenditures were $5.8 million, or $169 per unit, while total capital expenditures for the year were $30.4 million, or $884 per unit[21] - Capital expenditures for 2026 are projected to be $29 million to $33 million for recurring expenses and $42 million to $46 million for value-add renovations[31] - The company plans to acquire properties worth approximately $145 million and dispose of properties valued between $106 million and $112 million in 2026[33] Debt and Financing - A new $350 million unsecured term loan was established to repay a $200 million term loan and fund mortgage maturities, maturing in February 2030[25] - As of December 31, 2025, the company's net debt to Adjusted EBITDA was 5.7x, with a weighted average effective interest rate of 4.3% on consolidated debt[26] - Total consolidated debt as of December 31, 2025, is $2,281,475, with a weighted average contractual rate of 4.3%[76] - The company has an unsecured revolver capacity of $750,000, of which $198,892 was drawn as of December 31, 2025[76] Shareholder Returns - The company repurchased 1.9 million shares of common stock for $30.0 million during the year[10] - The Board declared a quarterly dividend of $0.17 per share, paid on January 23, 2026[27] - During the same period, the company repurchased approximately 1.9 million shares at an average price of $16.00 per share, totaling approximately $30.0 million, with $220.0 million remaining under the stock repurchase program[24] Market Performance - The common share price at the end of the period was $17.48, an increase from $16.39 in the previous quarter[44] - The average effective monthly rent per unit increased to $1,581 in Q4 2025, a 0.6% rise from $1,571 in Q4 2024[55] - Monthly rent per unit increased by 0.6% to $1,581 compared to $1,571 in 2024[57] Property Sales and Acquisitions - The company acquired a 140-unit community in Columbus, Ohio for approximately $29.5 million on January 15, 2026, increasing its exposure in the area[18] - The company sold Jamestown at St. Matthews in Louisville, Kentucky for a gross sales price of $50.0 million, recognizing a gain of approximately $17.8 million[19] - The total sale price for properties disposed of was $161 million, with an average price per unit of $150[68] Future Projections - 2026 same-store NOI growth is projected to be between (0.6%) to 2.2%[14] - For 2026, the company projects EPS guidance between $0.21 and $0.28, with FFO per share guidance between $1.15 and $1.19[29] - The same-store portfolio is expected to have property revenue growth of 1.0% to 2.4% and NOI growth of (0.6%) to 2.2%[31]