Acadia Realty Trust(AKR) - 2024 Q4 - Annual Results

Financial Performance - Total revenues for Q4 2024 were $93.334 million, with rental income contributing$91.579 million, representing a year-over-year increase [16]. - Net income attributable to Acadia Shareholders for Q4 2024 was $8.524 million, compared to$21.650 million for the full year [16]. - The company reported total expenses of $76.571 million for Q4 2024, with depreciation and amortization accounting for$35.189 million [16]. - Total Revenues for the year ended December 31, 2024, were $340,900,000, with a quarterly revenue of$87,650,000 [18]. - Net Operating Income for properties was $229,905,000 for the year, with a quarterly figure of$59,267,000 [18]. - Net Income attributable to Acadia shareholders for the year was $21,650,000, with a quarterly net income of$8,524,000 [18]. - Total Expenses for the year were $110,995,000, with quarterly expenses amounting to$28,383,000 [18]. - Interest income for the year was $25,085,000, while quarterly interest income was$6,575,000 [18]. - Total Fee and Other Income for the year was a loss of $2,826,000, with a quarterly gain of$1,962,000 [18]. - The company reported unrealized losses on marketable securities of $4,616,000 for the year, with quarterly unrealized gains of$949,000 [18]. - Funds from Operations (FFO) before special items for the year ended December 31, 2024, was $148,976,000, an increase from$133,105,000 in 2023 [29]. - EBITDA for the quarter ended December 31, 2024, was $53,277,000, up from$45,588,000 in the same quarter of 2023 [32]. - The FFO per common share for the year ended December 31, 2024, was $1.12, compared to$1.28 in 2023 [29]. - The Adjusted Funds from Operations (AFFO) increased to $32,510,000 in Q4 2024 from$24,335,000 in Q4 2023, marking a rise of 33.8% [60]. - The company declared dividends of $0.19 per share in Q4 2024, up from$0.18 per share in Q4 2023, reflecting a 5.6% increase [60]. Market Capitalization and Debt - The total market capitalization as of December 31, 2024, was $4.189 billion, with equity capitalization making up 72$1.547 billion, with total debt capitalization representing 28% of the total market capitalization [9]. - Net Debt as of December 31, 2024, was $1,150,537,000, down from$1,433,551,000 in 2023, indicating a reduction of 19.7% [60]. - The Debt/EBITDA ratio improved to 5.5x in 2024 from 7.1x in 2023, highlighting better leverage management [60]. - Total debt for the Core Portfolio amounts to $1,072,218,000, with a pro-rata share of$878,923,000 [67]. - Total debt for Investment Management is $1,275,085,000, with a pro-rata share of$299,294,000 [69]. - The total debt for both Core Portfolio and Investment Management is $2,347,303,000, with a pro-rata share of$1,178,217,000 [69]. Property and Portfolio Management - Acadia Realty Trust's core portfolio focuses on high-quality retail properties in dynamic retail corridors, indicating a strategy for market expansion [4]. - The company is actively expanding its market presence with new acquisitions and strategic investments in various properties across key locations [43]. - Total acquisitions for the year amounted to $687,477,000, with significant properties acquired in New York and Texas [43]. - Total dispositions for the year were$179,876,000, including notable sales in New York and New Jersey [43]. - The company plans to expand its portfolio with new acquisitions in urban retail locations, focusing on high-traffic areas [86]. - The company is focusing on enhancing its portfolio by integrating new technologies and sustainable practices in property management [87]. Occupancy and Rental Income - The company reported a physical occupancy rate of 93.1% and a leased occupancy rate of 95.8% at the end of the period, showing consistent occupancy levels [34]. - Minimum rents increased by 6.6% to $36,851,000 for the quarter, compared to$34,572,000 in the prior year [34]. - The average Base Rent (ABR) across the portfolio is $53.00 per square foot, with the highest ABR recorded at$340.50 per square foot [85]. - The company achieved a 100% occupancy rate in several key properties, including the 165 Newbury Street and the Elmwood Park Shopping Center [87]. - The total annual base rent (ABR) for the core portfolio is $164,599,800, with an average ABR per square foot of$36.51 [90]. - The company’s core portfolio includes properties with an average occupancy rate of 93.1% [90]. Future Guidance - Future guidance for 2025 includes continued focus on opportunistic and value-add investments through its investment management platform [4]. - 2025 guidance for net earnings per share attributable to Acadia shareholders is projected between $26.2 million ($0.22/share) and $32.1 million ($0.27/share), compared to 2024 actuals of $21.7 million ($0.19/share) [48]. - Funds from Operations (FFO) before special items per share is expected to range from $1.30 to$1.39, up from $1.28 in 2024 [50]. - The company anticipates same property net operating income growth of 5.0$20.743 million, down from $25.153 million in the previous year [101]. - The company’s total capital expenditures for tenant improvements were$8.496 million for the year ended December 31, 2024 [101]. - The total estimated costs for redevelopment projects include $156 million for 555 9th Street in San Francisco, CA, with a TBD completion date [119]. - The company has a total of 15 redevelopment projects planned, with various completion dates and estimated costs [119]. Non-GAAP Financial Measures - The company defines Funds from Operations (FFO) as net income excluding gains or losses from property sales, depreciation, and amortization [121]. - Adjusted Funds from Operations (AFFO) is defined as FFO adjusted for straight-line rent, non-real estate depreciation, and other costs [122]. - The Company utilizes non-GAAP financial measures such as EBITDA, NOI, and same-property NOI to assist investors in analyzing performance [125].