Latest news with #RexfordIndustrial
Yahoo
6 days ago
- Business
- Yahoo
Rexford Industrial Realty Inc (REXR) Q2 2025 Earnings Call Highlights: Strong Leasing Activity ...
Leases Executed: 1.7 million square feet, including lease up of four repositioning and redevelopment projects. Leasing Spreads: Net effective leasing spreads at 21%, cash leasing spreads at 8%. Embedded Rent Steps: Averaged 3.7%, up 10 basis points from last quarter. Same Property Occupancy: 96.1%, an increase of 40 basis points sequentially. Net Absorption: Positive 220,000 square feet. Market Rent Decline: 3.5% sequentially, 12.8% year over year. Repositioning and Redevelopment Lease Up: 520,000 square feet executed, total year-to-date over 900,000 square feet. Annualized NOI from Repositioning: Over $16 million, with a 7.4% unlevered stabilized yield. Dispositions: $82 million in the quarter, year-to-date $134 million at a low 4% cap rate. Core FFO: $0.59 per share, $0.01 increase over the prior quarter. Full Year 2025 Core FFO Outlook: $2.37 to $2.41 per share. Incremental Cash NOI Opportunity: $195 million, representing growth of 28%. Liquidity: Over $1.8 billion, including $560 million of cash. Net Debt to EBITDA: 4 times. Warning! GuruFocus has detected 5 Warning Signs with REXR. Release Date: July 17, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Rexford Industrial Realty Inc (NYSE:REXR) executed 1.7 million square feet of leases, including lease-up of four repositioning and redevelopment projects. The company achieved a same property occupancy rate of 96.1%, an increase of 40 basis points sequentially. Rexford Industrial Realty Inc (NYSE:REXR) reported de minimis levels of bad debt at only 6 basis points of revenue, indicating strong tenant health. The company has a substantial embedded growth opportunity within its portfolio, totaling $195 million of incremental cash NOI, representing growth of 28%. Rexford Industrial Realty Inc (NYSE:REXR) has over $1.8 billion of liquidity, including $560 million of cash, and a low leverage balance sheet with net debt to EBITDA of 4 times. Negative Points Market rents across Rexford's portfolio declined approximately 3.5% sequentially and 12.8% year over year. Macroeconomic and tariff uncertainty are impacting tenant decision-making, putting pressure on overall demand, rent levels, and lease-up time frames. The company has no acquisitions under contract or accepted offer currently, despite actively pursuing potential opportunities. Rexford Industrial Realty Inc (NYSE:REXR) expects some deceleration in occupancy in the second half of the year due to planned move-outs within the same property portfolio. The company experienced delays in rent commencements on repositioning and redevelopment projects, impacting financial projections. Q & A Highlights Q: Can you discuss the potential future repositioning and redevelopment starts and the variability in the timeline for these projects? A: Michael Fitzmaurice, CFO, explained that the pipeline is somewhat fluid and can change quarter to quarter. The biggest driver currently is the Hertz asset, which will have a significant impact when its lease expires in March 2026. Laura Clark, COO, added that the Hertz asset is an irreplaceable location adjacent to LAX, and they are ready to start development to deliver a 400,000 square foot building there. Q: How do you view the 3% cash mark to market going forward, and what impact could it have on cash same-store growth? A: Laura Clark, COO, noted that the cash mark to market is currently at 3%, and its future trend will depend on market rent growth. Only about 15% of the portfolio rolls annually, so future leasing spreads will depend on the mix of units and properties rolling. Rexford's growth is not dependent on mark to market, as there is significant embedded growth within the portfolio from repositioning and redevelopment projects. Q: Are you seeing opportunities to invest at higher cap rates, and is share buyback a consideration given the current cost of capital? A: Laura Clark, COO, stated that their capital allocation principles remain unchanged, focusing on cash flow accretion and net asset value. They continue to evaluate acquisition opportunities that meet stringent criteria and are looking to recycle disposition proceeds at higher yields. Share buybacks were not specifically addressed, but the focus remains on repositioning and redevelopment for attractive returns. Q: Can you elaborate on the delays in rent commencements for repositioning and redevelopment projects? A: Laura Clark, COO, mentioned that they feel good about the progress, having leased about 900,000 square feet, with 1.5 million square feet remaining. Rent commencement assumptions are late in the year, with a slight delay of about one month on average due to market dynamics. They have activity on 80% of the remaining space and are comfortable with their projections. Q: How has tenant behavior changed in terms of lease terms and renewal activity? A: Laura Clark, COO, noted that lease terms have remained steady at four to five years on average. Renewal activity has been strong, with tenants approaching earlier for renewals. Early renewals have doubled compared to the previous year, indicating tenants' need to secure space and their long-term strategic planning. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
6 days ago
- Business
- Yahoo
Rexford Industrial Realty Inc (REXR) Q2 2025 Earnings Call Highlights: Strong Leasing Activity ...
Leases Executed: 1.7 million square feet, including lease up of four repositioning and redevelopment projects. Leasing Spreads: Net effective leasing spreads at 21%, cash leasing spreads at 8%. Embedded Rent Steps: Averaged 3.7%, up 10 basis points from last quarter. Same Property Occupancy: 96.1%, an increase of 40 basis points sequentially. Net Absorption: Positive 220,000 square feet. Market Rent Decline: 3.5% sequentially, 12.8% year over year. Repositioning and Redevelopment Lease Up: 520,000 square feet executed, total year-to-date over 900,000 square feet. Annualized NOI from Repositioning: Over $16 million, with a 7.4% unlevered stabilized yield. Dispositions: $82 million in the quarter, year-to-date $134 million at a low 4% cap rate. Core FFO: $0.59 per share, $0.01 increase over the prior quarter. Full Year 2025 Core FFO Outlook: $2.37 to $2.41 per share. Incremental Cash NOI Opportunity: $195 million, representing growth of 28%. Liquidity: Over $1.8 billion, including $560 million of cash. Net Debt to EBITDA: 4 times. Warning! GuruFocus has detected 5 Warning Signs with REXR. Release Date: July 17, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Positive Points Rexford Industrial Realty Inc (NYSE:REXR) executed 1.7 million square feet of leases, including lease-up of four repositioning and redevelopment projects. The company achieved a same property occupancy rate of 96.1%, an increase of 40 basis points sequentially. Rexford Industrial Realty Inc (NYSE:REXR) reported de minimis levels of bad debt at only 6 basis points of revenue, indicating strong tenant health. The company has a substantial embedded growth opportunity within its portfolio, totaling $195 million of incremental cash NOI, representing growth of 28%. Rexford Industrial Realty Inc (NYSE:REXR) has over $1.8 billion of liquidity, including $560 million of cash, and a low leverage balance sheet with net debt to EBITDA of 4 times. Negative Points Market rents across Rexford's portfolio declined approximately 3.5% sequentially and 12.8% year over year. Macroeconomic and tariff uncertainty are impacting tenant decision-making, putting pressure on overall demand, rent levels, and lease-up time frames. The company has no acquisitions under contract or accepted offer currently, despite actively pursuing potential opportunities. Rexford Industrial Realty Inc (NYSE:REXR) expects some deceleration in occupancy in the second half of the year due to planned move-outs within the same property portfolio. The company experienced delays in rent commencements on repositioning and redevelopment projects, impacting financial projections. Q & A Highlights Q: Can you discuss the potential future repositioning and redevelopment starts and the variability in the timeline for these projects? A: Michael Fitzmaurice, CFO, explained that the pipeline is somewhat fluid and can change quarter to quarter. The biggest driver currently is the Hertz asset, which will have a significant impact when its lease expires in March 2026. Laura Clark, COO, added that the Hertz asset is an irreplaceable location adjacent to LAX, and they are ready to start development to deliver a 400,000 square foot building there. Q: How do you view the 3% cash mark to market going forward, and what impact could it have on cash same-store growth? A: Laura Clark, COO, noted that the cash mark to market is currently at 3%, and its future trend will depend on market rent growth. Only about 15% of the portfolio rolls annually, so future leasing spreads will depend on the mix of units and properties rolling. Rexford's growth is not dependent on mark to market, as there is significant embedded growth within the portfolio from repositioning and redevelopment projects. Q: Are you seeing opportunities to invest at higher cap rates, and is share buyback a consideration given the current cost of capital? A: Laura Clark, COO, stated that their capital allocation principles remain unchanged, focusing on cash flow accretion and net asset value. They continue to evaluate acquisition opportunities that meet stringent criteria and are looking to recycle disposition proceeds at higher yields. Share buybacks were not specifically addressed, but the focus remains on repositioning and redevelopment for attractive returns. Q: Can you elaborate on the delays in rent commencements for repositioning and redevelopment projects? A: Laura Clark, COO, mentioned that they feel good about the progress, having leased about 900,000 square feet, with 1.5 million square feet remaining. Rent commencement assumptions are late in the year, with a slight delay of about one month on average due to market dynamics. They have activity on 80% of the remaining space and are comfortable with their projections. Q: How has tenant behavior changed in terms of lease terms and renewal activity? A: Laura Clark, COO, noted that lease terms have remained steady at four to five years on average. Renewal activity has been strong, with tenants approaching earlier for renewals. Early renewals have doubled compared to the previous year, indicating tenants' need to secure space and their long-term strategic planning. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Yahoo
16-07-2025
- Business
- Yahoo
Rexford Industrial (REXR) Q2 Earnings: Taking a Look at Key Metrics Versus Estimates
For the quarter ended June 2025, Rexford Industrial (REXR) reported revenue of $249.51 million, up 5% over the same period last year. EPS came in at $0.59, compared to $0.37 in the year-ago quarter. The reported revenue represents a surprise of +1.96% over the Zacks Consensus Estimate of $244.72 million. With the consensus EPS estimate being $0.58, the EPS surprise was +1.72%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Rexford Industrial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Revenues- Rental revenues: $241.57 million versus the three-analyst average estimate of $239.56 million. The reported number represents a year-over-year change of +3.7%. Revenues- Management and leasing services: $0.13 million versus the three-analyst average estimate of $0.14 million. The reported number represents a year-over-year change of -15.4%. Revenues- Interest income: $7.81 million compared to the $5.32 million average estimate based on three analysts. The reported number represents a change of +75.7% year over year. Net Earnings Per Share (Diluted): $0.48 versus the four-analyst average estimate of $0.26. View all Key Company Metrics for Rexford Industrial here>>> Shares of Rexford Industrial have returned -0.4% over the past month versus the Zacks S&P 500 composite's +4.5% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Rexford Industrial Realty, Inc. (REXR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
16-07-2025
- Business
- Yahoo
Rexford Industrial (REXR) Q2 FFO and Revenues Top Estimates
Rexford Industrial (REXR) came out with quarterly funds from operations (FFO) of $0.59 per share, beating the Zacks Consensus Estimate of $0.58 per share. This compares to FFO of $0.6 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an FFO surprise of +1.72%. A quarter ago, it was expected that this industrial real estate investment trust would post FFO of $0.57 per share when it actually produced FFO of $0.62, delivering a surprise of +8.77%. Over the last four quarters, the company has surpassed consensus FFO estimates three times. Rexford Industrial, which belongs to the Zacks REIT and Equity Trust - Other industry, posted revenues of $249.51 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 1.96%. This compares to year-ago revenues of $237.57 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future FFO expectations will mostly depend on management's commentary on the earnings call. Rexford Industrial shares have lost about 6.4% since the beginning of the year versus the S&P 500's gain of 6.2%. What's Next for Rexford Industrial? While Rexford Industrial has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's FFO outlook. Not only does this include current consensus FFO expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of estimate revisions. Ahead of this earnings release, the estimate revisions trend for Rexford Industrial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus FFO estimate is $0.59 on $245.68 million in revenues for the coming quarter and $2.38 on $990.64 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, REIT and Equity Trust - Other is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Kilroy Realty (KRC), has yet to report results for the quarter ended June 2025. The results are expected to be released on July 28. This real estate investment trust is expected to post quarterly earnings of $1.01 per share in its upcoming report, which represents a year-over-year change of -8.2%. The consensus EPS estimate for the quarter has been revised 0.3% higher over the last 30 days to the current level. Kilroy Realty's revenues are expected to be $269.62 million, down 4% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Rexford Industrial Realty, Inc. (REXR) : Free Stock Analysis Report Kilroy Realty Corporation (KRC) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
27-06-2025
- Business
- Yahoo
If You Invested $10K In Rexford Industrial Realty Stock 10 Years Ago, How Much Would You Have Now?
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Rexford Industrial Realty Inc. (NYSE:REXR) is a real estate investment trust focused on infill Southern California industrial properties. It is set to report its Q2 2025 earnings on July 16. Wall Street analysts expect the company to post EPS of $0.58, down from $0.60 in the prior-year period. According to Benzinga Pro, quarterly revenue is expected to reach $251.72 million, up from $232.97 million a year earlier. Don't Miss: GoSun's breakthrough rooftop EV charger already has 2,000+ units reserved — become an investor in this $41.3M clean energy brand today. Invest early in CancerVax's breakthrough tech aiming to disrupt a $231B market. Back a bold new approach to cancer treatment with high-growth potential. The company's stock traded at approximately $14.89 per share 10 years ago. If you had invested $10,000, you could have bought roughly 672 shares. Currently, shares trade at $36.95, meaning your investment's value could have grown to $24,815 from stock price appreciation alone. However, Rexford Industrial Realty also paid dividends during these 10 years. Rexford Industrial Realty's dividend yield is currently 4.65%. Over the last 10 years, it has paid about $10.06 in dividends per share, which means you could have made $6,756 from dividends alone. Summing up $24,815 and $6,756, we end up with the final value of your investment, which is $31,571. This is how much you could have made if you had invested $10,000 in Rexford Industrial Realty stock 10 years ago. This means a total return of 215.71%. However, this figure is less than the S&P 500 total return for the same period, which was 241.45%. Trending: This Jeff Bezos-backed startup will allow you to become a landlord in just 10 minutes, with minimum investments as low as $100. Rexford Industrial Realty has a consensus rating of "Neutral" and a price target of $45.50 based on the ratings of 14 analysts. The price target implies a more than 23% potential upside from the current stock price. The company on April 16 announced its Q1 2025 earnings, posting FFO of $0.62, compared to the consensus estimate of $0.58, and revenues of $248.82 million, compared to the consensus of $244.74 million, as reported by Benzinga. 'Rexford Industrial delivered solid first quarter performance, underscoring the strength of our platform and the discipline of our execution,' said co-CEOs Howard Schwimmer and Michael Frankel. 'Our differentiated business model and investment-grade balance sheet will continue to afford us the ability to unlock substantial embedded growth and drive long-term shareholder value, while navigating current macroeconomic uncertainty.' For its full-year 2025, the company expects core FFO per diluted share in the range of $2.37 to $2.41. Given the expected upside potential, growth-focused investors may find Rexford Industrial Realty stock attractive. Furthermore, they can benefit from the company's solid dividend yield of 4.65% and consistent hikes. Rexford Industrial Realty has raised its dividend consecutively for the last 10 years. Check out this article by Benzinga for three more stocks offering high dividend yields. See Next: $100k in assets? Maximize your retirement and cut down on taxes: Book your free call with a financial advisor to start your financial journey – no cost, no obligation. Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here's how you can earn passive income with just $100. This article If You Invested $10K In Rexford Industrial Realty Stock 10 Years Ago, How Much Would You Have Now? originally appeared on
