Logistics real estate investment trust Prologis Inc. beat first-quarter expectations and raised full-year guidance on Tuesday.
Core funds from operations (FFO) of $1.09 per share outpaced analysts’ expectations by 2 cents and were 12 cents higher than the year-ago period. Prologis (NYSE: PLD) expects 2022 net earnings to be in the range of $4.85 to $5 per share, 10% higher than its outlook provided at the beginning of the year. Core FFO guidance was raised nearly 2% to a range of $5.10 to $5.16 per share and ahead of the consensus estimate of $5.04 at the time of the print.
“The need for resilience in the supply chain continues to drive record demand despite today’s economic and geopolitical risks,” Hamid Moghadam, co-founder and CEO, stated in a press release. “With our well-positioned portfolio, irreplaceable land bank, abundant investment capacity and differentiated customer solutions, we expect to continue to outperform while delivering exceptional customer service.”
Click for full article: “Prologis: Logistics real estate market in ‘unprecedented territory’”
Occupancy remained high at 97.4%, in line with the fourth quarter and 200 basis points higher year-over-year. By quarter end, 98.1% of Prologis’ portfolio was leased.
Net effective rent change (average rate over the life of the lease) was 37% across the entire portfolio and 41.5% in the U.S.
Shares of PLD were up 2.1% in early trading Tuesday compared to the S&P 500, which was up 0.7%.
The company will host a call at noon Tuesday to discuss these results with analysts. Stay tuned to FreightWaves for continuing coverage of Prologis’ earnings report.
Prologis Ventures is an investor in FreightWaves.
Click for full article: “Prologis: Logistics real estate market in ‘unprecedented territory’”
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