Invitation Homes' Q2 FFO and Revenues Beat, Rents Improve Y/Y

Core Insights - Invitation Homes Inc. (INVH) reported second-quarter 2025 core funds from operations (FFO) per share of 48 cents, exceeding the Zacks Consensus Estimate of 47 cents and up from 47 cents in the prior-year quarter [1][8] - Total revenues reached $681.4 million, surpassing the Zacks Consensus Estimate of $676.9 million and reflecting a 4.3% year-over-year improvement [2] - The company experienced a 2.5% increase in same-store net operating income (NOI) and a 4.0% growth in same-store blended rent, although occupancy decreased to 97.2%, down 40 basis points year over year [3][8] Financial Performance - Same-store core revenues grew by 2.4%, while same-store core operating expenses increased by 2.2% year over year, contributing to the overall NOI improvement [3] - The company acquired 939 wholly owned homes for approximately $316 million and 101 homes in joint ventures for around $34 million during the second quarter [4] - Invitation Homes launched a developer lending program, providing a $32.7 million loan to a homebuilder for a community development in Houston [5] Balance Sheet and Credit Ratings - As of June 30, 2025, Invitation Homes had total liquidity of $1.28 billion, with secured and unsecured debt totaling $8.25 billion and a Net Debt/TTM adjusted EBITDAre ratio of 5.3X [6] - S&P Global Ratings reaffirmed the issuer and issue-level credit ratings for Invitation Homes at 'BBB' and upgraded its outlook to 'Positive' from 'Stable' in April [6] 2025 Guidance - The company maintained its initial 2025 outlook, expecting core FFO per share between $1.88 and $1.94, with a midpoint of $1.91, aligning with the Zacks Consensus Estimate of $1.93 [7][9]