Invitation Homes Q4 FFO Meets Estimates, Revenues Increase Y/Y

Core Insights - Invitation Homes Inc. reported fourth-quarter 2024 core funds from operations (FFO) per share of 47 cents, meeting Zacks Consensus Estimates and showing a year-over-year increase from 45 cents [1][3] - Total revenues for the quarter were $659.1 million, slightly missing the Zacks Consensus Estimate by 0.62%, but reflecting a 5.6% year-over-year improvement [2] - The company anticipates continued demand for high-quality, well-located single-family homes for lease, with a strategic vision for external growth [3] Financial Performance - Same-store core revenues increased by 2.7%, while same-store core operating expenses decreased by 1.5% year over year, leading to a 4.7% improvement in same-store net operating income (NOI) [4] - Same-store average occupancy was reported at 96.7%, down 60 basis points year over year [4] - For the full year 2024, core FFO per share was $1.88, a 6.2% increase from the previous year, and total revenues grew by 7.7% to $2.62 billion [3] Expenses and Acquisitions - Property management expenses rose significantly by 55% year over year to $39.2 million, with notable increases in casualty losses, impairment, and other expenses [5] - In the fourth quarter, the company and its joint ventures acquired 501 homes for $171 million and disposed of 581 homes for approximately $245 million [5] Balance Sheet and Liquidity - As of the end of the fourth quarter, Invitation Homes had total liquidity of $1.35 billion, which includes unrestricted cash and undrawn capacity on its revolving credit facility [6] - The company's total secured and unsecured debt was $8.29 billion, with a Net Debt/TTM adjusted EBITDAre ratio of 5.3X [6] 2025 Guidance - Invitation Homes provided initial guidance for 2025, expecting core FFO per share to be between $1.88 and $1.94, with a midpoint of $1.91, aligning with the Zacks Consensus Estimate of $1.93 [7] - The guidance is based on projected same-store revenue growth of 1.75% to 3.25% and an increase in same-store expenses of 2.75% to 4.25% [7]