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Business Wire 21-Oct-2019 4:15 PM
Increased quarterly FFOM per share by 5 percent; announces three new on-campus development projects
American Campus Communities, Inc. (NYSE:ACC) today announced the following financial results for the quarter ended September 30, 2019.
Highlights
"We are pleased with the successful delivery of five developments this quarter. This group of new assets has already contributed to the $0.02 earnings guidance raise we recently announced," said Bill Bayless, American Campus Communities CEO. "With our target development yields of 6.25 percent and above, and private market values for core assets trading in the low 4 percent area, these assets also generated significant net asset value for our shareholders upon delivery. As we look forward to the start of a new leasing season, we see a healthy fundamental environment with Fall 2020 new supply in our markets expected to decline approximately 20 percent from 2019 levels."
Third Quarter Operating Results
Revenue for the 2019 third quarter totaled $227.7 million versus $213.5 million in the third quarter 2018, and operating income for the quarter totaled $27.3 million versus $21.5 million in the prior year third quarter. The increase in revenue and operating income was primarily due to increased occupancy and rental rates and growth associated with recently completed development and presale development projects. Net income for the 2019 third quarter totaled $20.2 million, or $0.14 per fully diluted share, compared with net loss of $2.3 million, or $0.02 per fully diluted share for the same quarter in 2018. FFO for the 2019 third quarter totaled $86.0 million, or $0.62 per fully diluted share, as compared to $60.6 million, or $0.44 per fully diluted share for the same quarter in 2018. FFOM for the 2019 third quarter was $64.1 million, or $0.46 per fully diluted share, as compared to $60.6 million, or $0.44 per fully diluted share for the same quarter in 2018. A reconciliation of FFO and FFOM to net income is provided in Table 3.
NOI for same store properties was $91.2 million in the quarter, an increase of 0.4 percent from $90.9 million in the 2018 third quarter. Same store property revenues increased by 2.2 percent over the 2018 third quarter due primarily to an increase in occupancy and average rental rates. Same store property operating expenses increased by 3.9 percent versus the prior year quarter. NOI for the total portfolio increased 4.7 percent to $100.0 million for the quarter from $95.5 million in the comparable period of 2018. A reconciliation of same store NOI to total NOI is provided in Table 4.
Portfolio Update
Developments
During the quarter, the company placed into service five owned development and presale development assets totaling $405.9 million. As of September 30, 2019, this year's portfolio achieved 98.1 percent occupancy. The company also progressed with construction of its $785.8 million development pipeline with expected deliveries in 2020 through 2023. These projects are all core Class A assets and remain on track to meet their targeted stabilized development yield in the range of 6.25 – 6.8 percent.
On-Campus Development Awards
The company has been awarded or is directly negotiating three new on-campus development projects through its public-private partnership platform. Pre-development activities are underway for these projects, which include anticipated third-party development projects with Georgetown University in Washington D.C. and Texas State University in San Marcos, TX, and an anticipated second phase American Campus Equity (ACE®) development with Northeastern University in Boston. The transaction structure, scope, feasibility, fees and timing have not been finalized for the proposed projects.
Capital Recycling Update
The company is under an access agreement and the buyer is completing final due diligence for the sale of one asset with anticipated proceeds of $100 million. In addition, the company is in negotiations for the sale of another property with proceeds of approximately $150 million. The sale of these previously acquired assets are expected to represent a low 4 percent economic cap rate.
Capital Markets
At-The-Market (ATM) Share Offering Program
The company did not sell any shares under the ATM during the quarter.
2019 Outlook
The company is maintaining its recently increased guidance range for the fiscal year 2019, anticipating that FFO will be in the range of $2.61 to $2.63 per fully diluted share and FFOM will be in the range of $2.40 to $2.44 per fully diluted share. For additional details regarding the company's 2019 outlook, see pages S-18 through S-19 of the Supplemental Analyst Package 3Q 2019. All guidance is based on the current expectations and judgment of the company's management team.
A reconciliation of the range provided for projected net income to projected FFO and FFOM for the fiscal year ending December 31, 2019 is included in Table 5.
Supplemental Information and Earnings Conference Call
Supplemental financial and operating information, as well as this release, are available in the investor relations section of the American Campus Communities website, www.americancampus.com. In addition, the company will host a conference call to discuss third quarter results and the 2019 outlook on Tuesday, October 22, 2019 at 10:00 a.m. ET (9:00 a.m. CT). The conference call may be accessed by dialing 888-317-6003 passcode 4824168, or 412-317-6061 for international participants.
To listen to the live webcast, go to www.americancampus.com at least 15 minutes prior to the call so that required audio software can be downloaded. A replay of the conference call will be available beginning one hour after the end of the call until November 5, 2019 by dialing 877-344-7529 or 412-317-0088 conference number 10134878. Additionally, the replay will be available for one year at www.americancampus.com.
Non-GAAP Financial Measures
The National Association of Real Estate Investment Trusts ("NAREIT") currently defines Funds from Operations ("FFO") as net income or loss attributable to common shares computed in accordance with generally accepted accounting principles ("GAAP"), excluding gains or losses from depreciable operating property sales, impairment charges and real estate depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures. We present FFO because we consider it an important supplemental measure of our operating performance and believe it is frequently used by securities analysts, investors and other interested parties in the evaluation of REITs. We also believe it is meaningful to present a measure we refer to as FFO-Modified, or ("FFOM"), which reflects certain adjustments related to the economic performance of our on-campus participating properties and excludes property acquisition costs and other non-cash items, as we determine in good faith. FFO and FFOM should not be considered as alternatives to net income or loss computed in accordance with GAAP as an indicator of our financial performance or to cash flow from operating activities computed in accordance with GAAP as an indicator of our liquidity, nor are these measures indicative of funds available to fund our cash needs, including our ability to pay dividends or make distributions.
The company defines property net operating income ("NOI") as property revenues less direct property operating expenses, excluding depreciation, but including allocated corporate general and administrative expenses.
About American Campus Communities
American Campus Communities, Inc. is the largest owner, manager and developer of high-quality student housing communities in the United States. The company is a fully integrated, self-managed and self-administered equity real estate investment trust (REIT) with expertise in the design, finance, development, construction management and operational management of student housing properties. As of September 30, 2019, American Campus Communities owned 168 student housing properties containing approximately 113,400 beds. Including its owned and third-party managed properties, ACC's total managed portfolio consisted of 205 properties with approximately 140,300 beds. Visit www.americancampus.com.
Forward-Looking Statements
In addition to historical information, this press release contains forward-looking statements under the applicable federal securities law. These statements are based on management's current expectations and assumptions regarding markets in which American Campus Communities, Inc. (the "Company") operates, operational strategies, anticipated events and trends, the economy, and other future conditions. Forward-looking statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. For discussions of some risks and uncertainties that could cause actual results to differ materially from those expressed or implied by the forward-looking statements, please refer to our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2018 under the heading "Risk Factors" and under the heading "Business - Forward-looking Statements" and subsequent quarterly reports on Form 10-Q. We undertake no obligation to publicly update any forward-looking statements, including our expected 2019 operating results, whether as a result of new information, future events, or otherwise.
Table 1 American Campus Communities, Inc. and Subsidiaries Consolidated Balance Sheets (dollars in thousands) |
||||||||
|
|
September 30, 2019 |
|
December 31, 2018 |
||||
|
|
(unaudited) |
|
|
||||
Assets |
|
|
|
|
||||
|
|
|
|
|
||||
Investments in real estate: |
|
|
|
|
||||
Owned properties, net |
|
$ |
6,759,867 |
|
|
$ |
6,583,397 |
|
On-campus participating properties, net |
|
76,854 |
|
|
77,637 |
|
||
Investments in real estate, net |
|
6,836,721 |
|
|
6,661,034 |
|
||
|
|
|
|
|
||||
Cash and cash equivalents |
|
56,218 |
|
|
71,238 |
|
||
Restricted cash |
|
29,569 |
|
|
35,279 |
|
||
Student contracts receivable |
|
27,360 |
|
|
8,565 |
|
||
Operating lease right of use assets 1 |
|
461,810 |
|
|
— |
|
||
Other assets 1 |
|
257,304 |
|
|
262,730 |
|
||
|
|
|
|
|
||||
Total assets |
|
$ |
7,668,982 |
|
|
$ |
7,038,846 |
|
|
|
|
|
|
||||
Liabilities and equity |
|
|
|
|
||||
|
|
|
|
|
||||
Liabilities: |
|
|
|
|
||||
Secured mortgage, construction and bond debt, net |
|
$ |
827,588 |
|
|
$ |
853,084 |
|
Unsecured notes, net |
|
1,984,748 |
|
|
1,588,446 |
|
||
Unsecured term loans, net |
|
199,033 |
|
|
198,769 |
|
||
Unsecured revolving credit facility |
|
352,100 |
|
|
387,300 |
|
||
Accounts payable and accrued expenses |
|
86,295 |
|
|
88,767 |
|
||
Operating lease liabilities 2 |
|
469,479 |
|
|
— |
|
||
Other liabilities 2 |
|
211,612 |
|
|
191,233 |
|
||
Total liabilities |
|
4,130,855 |
|
|
3,307,599 |
|
||
|
|
|
|
|
||||
Redeemable noncontrolling interests |
|
157,863 |
|
|
184,446 |
|
||
|
|
|
|
|
||||
Equity: |
|
|
|
|
||||
American Campus Communities, Inc. and Subsidiaries stockholders' equity: |
|
|
|
|
||||
Common stock |
|
1,373 |
|
|
1,370 |
|
||
Additional paid in capital |
|
4,455,565 |
|
|
4,458,240 |
|
||
Common stock held in rabbi trust |
|
(3,486 |
) |
|
(3,092 |
) |
||
Accumulated earnings and dividends |
|
(1,104,448 |
) |
|
(971,070 |
) |
||
Accumulated other comprehensive loss |
|
(18,929 |
) |
|
(4,397 |
) |
||
Total American Campus Communities, Inc. and Subsidiaries stockholders' equity |
|
3,330,075 |
|
|
3,481,051 |
|
||
Noncontrolling interests – partially owned properties |
|
50,189 |
|
|
65,750 |
|
||
Total equity |
|
3,380,264 |
|
|
3,546,801 |
|
||
|
|
|
|
|
||||
Total liabilities and equity |
|
$ |
7,668,982 |
|
|
$ |
7,038,846 |
|
Table 2 American Campus Communities, Inc. and Subsidiaries Consolidated Statements of Comprehensive Income (dollars in thousands, except share and per share data) |
||||||||||||||||
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||
|
|
(unaudited) |
|
(unaudited) |
||||||||||||
Revenues |
|
|
|
|
|
|
|
|
||||||||
Owned properties 1 |
|
$ |
211,082 |
|
|
$ |
202,834 |
|
|
$ |
638,657 |
|
|
$ |
597,854 |
|
On-campus participating properties 1 |
|
6,944 |
|
|
6,980 |
|
|
24,788 |
|
|
23,605 |
|
||||
Third-party development services |
|
5,611 |
|
|
835 |
|
|
12,389 |
|
|
3,883 |
|
||||
Third-party management services |
|
3,342 |
|
|
2,128 |
|
|
9,118 |
|
|
7,311 |
|
||||
Resident services |
|
726 |
|
|
692 |
|
|
2,255 |
|
|
2,284 |
|
||||
Total revenues |
|
227,705 |
|
|
213,469 |
|
|
687,207 |
|
|
634,937 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Operating expenses |
|
|
|
|
|
|
|
|
||||||||
Owned properties 1 |
|
111,836 |
|
|
107,997 |
|
|
294,768 |
|
|
282,193 |
|
||||
On-campus participating properties 1 |
|
3,822 |
|
|
3,875 |
|
|
11,585 |
|
|
11,030 |
|
||||
Third-party development and management services |
|
5,430 |
|
|
3,831 |
|
|
14,129 |
|
|
11,573 |
|
||||
General and administrative 2 |
|
7,165 |
|
|
7,183 |
|
|
22,595 |
|
|
27,055 |
|
||||
Depreciation and amortization |
|
68,930 |
|
|
66,131 |
|
|
206,500 |
|
|
194,447 |
|
||||
Ground/facility leases |
|
3,215 |
|
|
2,951 |
|
|
10,000 |
|
|
8,526 |
|
||||
Loss (gain) from disposition of real estate |
|
— |
|
|
— |
|
|
282 |
|
|
(42,314 |
) |
||||
Provision for real estate impairment |
|
— |
|
|
— |
|
|
3,201 |
|
|
— |
|
||||
Other operating income |
|
— |
|
|
— |
|
|
— |
|
|
(2,648 |
) |
||||
Total operating expenses |
|
200,398 |
|
|
191,968 |
|
|
563,060 |
|
|
489,862 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Operating income |
|
27,307 |
|
|
21,501 |
|
|
124,147 |
|
|
145,075 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Nonoperating income (expenses) |
|
|
|
|
|
|
|
|
||||||||
Interest income |
|
960 |
|
|
1,274 |
|
|
2,855 |
|
|
3,740 |
|
||||
Interest expense |
|
(28,303 |
) |
|
(25,185 |
) |
|
(82,432 |
) |
|
(72,207 |
) |
||||
Amortization of deferred financing costs |
|
(1,315 |
) |
|
(1,116 |
) |
|
(3,665 |
) |
|
(4,744 |
) |
||||
Gain (loss) from extinguishment of debt 3 |
|
20,992 |
|
|
— |
|
|
20,992 |
|
|
(784 |
) |
||||
Other nonoperating income |
|
— |
|
|
570 |
|
|
— |
|
|
570 |
|
||||
Total nonoperating expenses |
|
(7,666 |
) |
|
(24,457 |
) |
|
(62,250 |
) |
|
(73,425 |
) |
||||
|
|
|
|
|
|
|
|
|
||||||||
Income (loss) before income taxes |
|
19,641 |
|
|
(2,956 |
) |
|
61,897 |
|
|
71,650 |
|
||||
Income tax (provision) benefit 4 |
|
(305 |
) |
|
219 |
|
|
(983 |
) |
|
(2,147 |
) |
||||
Net income (loss) |
|
19,336 |
|
|
(2,737 |
) |
|
60,914 |
|
|
69,503 |
|
||||
Net loss (income) attributable to noncontrolling interests |
|
887 |
|
|
392 |
|
|
(665 |
) |
|
88 |
|
||||
Net income (loss) attributable to ACC, Inc. and Subsidiaries common stockholders |
|
$ |
20,223 |
|
|
$ |
(2,345 |
) |
|
$ |
60,249 |
|
|
$ |
69,591 |
|
Other comprehensive (loss) income |
|
|
|
|
|
|
|
|
||||||||
Change in fair value of interest rate swaps and other |
|
(145 |
) |
|
81 |
|
|
(14,532 |
) |
|
726 |
|
||||
Comprehensive income (loss) |
|
$ |
20,078 |
|
|
$ |
(2,264 |
) |
|
$ |
45,717 |
|
|
$ |
70,317 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net income (loss) per share attributable to ACC, Inc. and Subsidiaries common shareholders |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Basic and diluted |
|
$ |
0.14 |
|
|
$ |
(0.02 |
) |
|
$ |
0.43 |
|
|
$ |
0.50 |
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average common shares outstanding |
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Basic |
|
137,403,842 |
|
|
137,022,012 |
|
|
137,259,130 |
|
|
136,742,094 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Diluted |
|
138,375,527 |
|
|
137,022,012 |
|
|
138,257,906 |
|
|
137,660,802 |
|
Table 3 American Campus Communities, Inc. and Subsidiaries Consolidated Statements of Funds from Operations ("FFO") (unaudited, dollars in thousands, except share and per share data) |
||||||||||||||||
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
||||||||||||
|
|
2019 |
|
2018 |
|
2019 |
|
2018 |
||||||||
Net income (loss) attributable to ACC, Inc. and Subsidiaries common stockholders |
|
$ |
20,223 |
|
|
$ |
(2,345 |
) |
|
$ |
60,249 |
|
|
$ |
69,591 |
|
Noncontrolling interests' share of net (loss) income |
|
(887 |
) |
|
(392 |
) |
|
665 |
|
|
(88 |
) |
||||
Joint venture partners' share of FFO |
|
(1,175 |
) |
|
(1,563 |
) |
|
(6,856 |
) |
|
(2,100 |
) |
||||
Loss (gain) from disposition of real estate |
|
— |
|
|
— |
|
|
282 |
|
|
(42,314 |
) |
||||
Elimination of provision for real estate impairment |
|
— |
|
|
— |
|
|
3,201 |
|
|
— |
|
||||
Total depreciation and amortization |
|
68,930 |
|
|
66,131 |
|
|
206,500 |
|
|
194,447 |
|
||||
Corporate depreciation 1 |
|
(1,135 |
) |
|
(1,261 |
) |
|
(3,528 |
) |
|
(3,420 |
) |
||||
FFO attributable to common stockholders and OP unitholders |
|
85,956 |
|
|
60,570 |
|
|
260,513 |
|
|
216,116 |
|
||||
Elimination of operations of on-campus participating properties |
|
|
|
|
|
|
|
|
||||||||
Net loss (income) from on-campus participating properties |
|
424 |
|
|
436 |
|
|
(2,138 |
) |
|
(1,715 |
) |
||||
Amortization of investment in on-campus participating properties |
|
(2,289 |
) |
|
(1,962 |
) |
|
(6,334 |
) |
|
(5,856 |
) |
||||
|
|
84,091 |
|
|
59,044 |
|
|
252,041 |
|
|
208,545 |
|
||||
Modifications to reflect operational performance of on-campus participating properties |
|
|
|
|
|
|
|
|
||||||||
Our share of net cashflow 2 |
|
353 |
|
|
644 |
|
|
2,063 |
|
|
2,232 |
|
||||
Management fees and other |
|
369 |
|
|
302 |
|
|
1,597 |
|
|
1,058 |
|
||||
Contribution from on-campus participating properties |
|
722 |
|
|
946 |
|
|
3,660 |
|
|
3,290 |
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Transaction costs 3 |
|
147 |
|
|
(232 |
) |
|
147 |
|
|
7,586 |
|
||||
Elimination of (gain) loss from extinguishment of debt 4 |
|
(20,992 |
) |
|
— |
|
|
(20,992 |
) |
|
784 |
|
||||
Elimination of gain from litigation settlement 5 |
|
— |
|
|
— |
|
|
— |
|
(2,648 |
) |
|||||
Elimination of FFO from property in receivership 6 |
|
104 |
|
|
842 |
|
|
1,912 |
|
|
2,037 |
|
||||
Funds from operations-modified ("FFOM") attributable to common stockholders and OP unitholders |
|
$ |
64,072 |
|
|
$ |
60,600 |
|
|
$ |
236,768 |
|
|
$ |
219,594 |
|
|
|
|
|
|
|
|
|
|
||||||||
FFO per share – diluted |
|
$ |
0.62 |
|
|
$ |
0.44 |
|
|
$ |
1.88 |
|
|
$ |
1.56 |
|
|
|
|
|
|
|
|
|
|
||||||||
FFOM per share – diluted |
|
$ |
0.46 |
|
|
$ |
0.44 |
|
|
$ |
1.71 |
|
|
$ |
1.58 |
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average common shares outstanding - diluted |
|
138,879,244 |
|
|
138,585,384 |
|
|
138,854,970 |
|
|
138,569,643 |
|
Table 4 American Campus Communities, Inc. and Subsidiaries Owned Properties Results of Operations1 (unaudited, dollars in thousands) |
||||||||||||||||||||||||||||||
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
|||||||||||||||||||||||||||
|
2019 |
|
2018 |
|
$ Change |
|
% Change |
|
2019 |
|
2018 |
|
$ Change |
|
% Change |
|||||||||||||||
Owned properties revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Same store properties |
$ |
194,005 |
|
|
$ |
189,791 |
|
|
$ |
4,214 |
|
|
2.2 |
% |
|
$ |
589,581 |
|
|
$ |
573,187 |
|
|
$ |
16,394 |
|
|
2.9 |
% |
|
New properties |
17,799 |
|
|
9,337 |
|
|
8,462 |
|
|
|
|
49,116 |
|
|
9,594 |
|
|
39,522 |
|
|
|
|||||||||
Sold and held for sale properties 2 |
4 |
|
|
1,547 |
|
|
(1,543 |
) |
|
|
|
2,215 |
|
|
11,774 |
|
|
(9,559 |
) |
|
|
|||||||||
Total revenues 3 4 |
$ |
211,808 |
|
|
$ |
200,675 |
|
|
$ |
11,133 |
|
|
5.5 |
% |
|
$ |
640,912 |
|
|
$ |
594,555 |
|
|
$ |
46,357 |
|
|
7.8 |
% |
|
Owned properties operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Same store properties |
$ |
102,805 |
|
|
$ |
98,929 |
|
|
$ |
3,876 |
|
|
3.9 |
% |
|
$ |
271,817 |
|
|
$ |
265,102 |
|
|
$ |
6,715 |
|
|
2.5 |
% |
|
New properties |
8,886 |
|
|
4,831 |
|
|
4,055 |
|
|
|
|
20,782 |
|
|
5,146 |
|
|
15,636 |
|
|
|
|||||||||
Other 5 |
75 |
|
|
217 |
|
|
(142 |
) |
|
|
|
210 |
|
|
561 |
|
|
(351 |
) |
|
|
|||||||||
Sold and held for sale properties 2 6 |
70 |
|
|
1,169 |
|
|
(1,099 |
) |
|
|
|
1,959 |
|
|
5,801 |
|
|
(3,842 |
) |
|
|
|||||||||
Total operating expenses 3 |
$ |
111,836 |
|
|
$ |
105,146 |
|
|
$ |
6,690 |
|
|
6.4 |
% |
|
$ |
294,768 |
|
|
$ |
276,610 |
|
|
$ |
18,158 |
|
|
6.6 |
% |
|
Owned properties net operating income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Same store properties |
$ |
91,200 |
|
|
$ |
90,862 |
|
|
$ |
338 |
|
|
0.4 |
% |
|
$ |
317,764 |
|
|
$ |
308,085 |
|
|
$ |
9,679 |
|
|
3.1 |
% |
|
New properties |
8,913 |
|
|
4,506 |
|
|
4,407 |
|
|
|
|
28,334 |
|
|
4,448 |
|
|
23,886 |
|
|
|
|||||||||
Other 5 |
(75 |
) |
|
(217 |
) |
|
142 |
|
|
|
|
(210 |
) |
|
(561 |
) |
|
351 |
|
|
|
|||||||||
Sold and held for sale properties 2 6 |
(66 |
) |
|
378 |
|
|
(444 |
) |
|
|
|
256 |
|
|
5,973 |
|
|
(5,717 |
) |
|
|
|||||||||
Total net operating income |
$ |
99,972 |
|
|
$ |
95,529 |
|
|
$ |
4,443 |
|
|
4.7 |
% |
|
$ |
346,144 |
|
|
$ |
317,945 |
|
|
$ |
28,199 |
|
|
8.9 |
% |
Table 5 American Campus Communities, Inc. and Subsidiaries 2019 Outlook1 (dollars in thousands, except share and per share data) |
||||||||||||||||
|
|
Prior Guidance |
|
Current Guidance |
||||||||||||
|
|
Low |
|
High |
|
Low |
|
High |
||||||||
|
|
|
|
|
|
|
|
|
||||||||
Net income 2 |
|
$ |
74,600 |
|
|
$ |
86,700 |
|
|
$ |
102,500 |
|
|
$ |
106,300 |
|
Noncontrolling interests' share of net income |
|
5,800 |
|
|
3,900 |
|
|
1,600 |
|
|
1,600 |
|
||||
Joint venture partners' share of funds from operations |
|
(14,500 |
) |
|
(11,600 |
) |
|
(9,700 |
) |
|
(9,700 |
) |
||||
Real estate related depreciation and amortization |
|
273,100 |
|
|
273,100 |
|
|
272,400 |
|
|
272,400 |
|
||||
Corporate depreciation |
|
(5,300 |
) |
|
(5,300 |
) |
|
(4,800 |
) |
|
(4,800 |
) |
||||
Funds from operations ("FFO") |
|
$ |
333,700 |
|
|
$ |
346,800 |
|
|
$ |
362,000 |
|
|
$ |
365,800 |
|
|
|
|
|
|
|
|
|
|
||||||||
Elimination of operations from on-campus participation properties ("OCPP") |
|
(14,100 |
) |
|
(13,700 |
) |
|
(14,400 |
) |
|
(14,000 |
) |
||||
Contribution from on-campus participation properties |
|
5,500 |
|
|
6,100 |
|
|
4,800 |
|
|
5,400 |
|
||||
Elimination of gain from early extinguishment of debt 2 |
|
— |
|
|
— |
|
|
(21,000 |
) |
|
(21,000 |
) |
||||
Elimination of FFO from property in receivership 2 |
|
— |
|
|
— |
|
|
1,900 |
|
|
1,900 |
|
||||
Transaction costs 3 |
|
800 |
|
|
800 |
|
|
600 |
|
|
600 |
|
||||
Funds from operations - modified ("FFOM") |
|
$ |
325,900 |
|
|
$ |
340,000 |
|
|
$ |
333,900 |
|
|
$ |
338,700 |
|
|
|
|
|
|
|
|
|
|
||||||||
Net income per share - diluted |
|
$ |
0.54 |
|
|
$ |
0.62 |
|
|
$ |
0.74 |
|
|
$ |
0.77 |
|
|
|
|
|
|
|
|
|
|
||||||||
FFO per share - diluted |
|
$ |
2.40 |
|
|
$ |
2.50 |
|
|
$ |
2.61 |
|
|
$ |
2.63 |
|
|
|
|
|
|
|
|
|
|
||||||||
FFOM per share - diluted |
|
$ |
2.35 |
|
|
$ |
2.45 |
|
|
$ |
2.40 |
|
|
$ |
2.44 |
|
|
|
|
|
|
|
|
|
|
||||||||
Weighted-average common shares outstanding - diluted |
|
138,866,100 |
|
|
138,866,100 |
|
|
138,866,100 |
|
|
138,866,100 |
|
1. |
The company believes that the financial results for the fiscal year ending December 31, 2019 may be affected by, among other factors: |
|
|
|
|
2. |
In July 2019, an owned property was transferred to the lender in settlement of the property's $27.4 million mortgage loan. The gain resulting from the transfer as well as the operating results of the property during the receivership period have been eliminated when calculating FFOM in order to more accurately present the company's anticipated operating results for 2019. |
|
3. |
Represents transaction costs related to the closing of two presale development properties. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20191021005798/en/