![](/cdn/assets/images/search/clock.png)
We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
JBG SMITH Properties | NYSE:JBGS | NYSE | Common Stock |
Price Change | % Change | Share Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 15.23 | 0 | 09:09:43 |
JBG SMITH (NYSE: JBGS), a leading owner and developer of high-quality, mixed-use properties in the Washington, DC market, today filed its Form 10-Q for the quarter ended March 31, 2024 and reported its financial results.
Additional information regarding our results of operations, properties, and tenants can be found in our First Quarter 2024 Investor Package, which is posted in the Investor Relations section of our website at www.jbgsmith.com. We encourage investors to consider the information presented here with the information in that document.
First Quarter 2024 Highlights
FIRST QUARTER COMPARISON
in millions, except per share amounts
Three Months Ended
March 31, 2024
March 31, 2023
Amount
Per Diluted Share
Amount
Per Diluted Share
Net income (loss) (1)
$
(32.3
)
$
(0.36
)
$
21.2
$
0.19
FFO
$
10.7
$
0.12
$
33.0
$
0.29
Core FFO
$
26.9
$
0.29
$
37.2
$
0.33
_____________
(1)Includes gain on the sale of real estate totaling $197,000 and $40.7 million during the three months ended March 31, 2024 and 2023. Includes impairment loss of $17.2 million related to non-depreciable real estate assets recorded during the three months ended March 31, 2024.
Operating Portfolio
Development Portfolio
Under-Construction
Development Pipeline
Third-Party Asset Management and Real Estate Services Business
Balance Sheet
Investing and Financing Activities
Dividends
About JBG SMITH
JBG SMITH owns, operates, invests in, and develops mixed-use properties in high growth and high barrier-to-entry submarkets in and around Washington, DC, most notably National Landing. Through an intense focus on placemaking, JBG SMITH cultivates vibrant, amenity-rich, walkable neighborhoods throughout the Washington, DC metropolitan area. Approximately 75.0% of JBG SMITH's holdings are in the National Landing submarket in Northern Virginia, which is anchored by four key demand drivers: Amazon's new headquarters; Virginia Tech's under-construction $1 billion Innovation Campus; the submarket’s proximity to the Pentagon; and JBG SMITH’s deployment of 5G digital infrastructure. JBG SMITH's dynamic portfolio currently comprises 13.7 million square feet of high-growth multifamily, office and retail assets at share, 98% of which are Metro-served. It also maintains a development pipeline encompassing 9.3 million square feet of mixed-use, primarily multifamily, development opportunities. JBG SMITH is committed to the operation and development of green, smart, and healthy buildings and plans to maintain carbon neutral operations annually. For more information on JBG SMITH please visit www.jbgsmith.com.
Forward-Looking Statements
Certain statements contained herein may constitute "forward-looking statements" as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are not guarantees of performance. They represent our intentions, plans, expectations and beliefs and are subject to numerous assumptions, risks and uncertainties. Consequently, the future results, financial condition and business of JBG SMITH Properties ("JBG SMITH", the "Company", "we", "us", "our" or similar terms) may differ materially from those expressed in these forward-looking statements. You can find many of these statements by looking for words such as "approximate", "hypothetical", "potential", "believes", "expects", "anticipates", "estimates", "intends", "plans", "would", "may" or similar expressions in this earnings release. We also note the following forward-looking statements: our annual dividend per share and dividend yield; whether in the case of our under-construction assets and assets in the development pipeline, estimated square feet, estimated number of units and estimated potential development density are accurate; expected timing, completion, modifications and delivery dates for the projects we are developing; the ability of any or all of our demand drivers to materialize and their effect on economic impact, job growth, expansion of public transportation and related demand in the National Landing submarket; planned infrastructure and educational improvements related to Amazon's additional headquarters and the Virginia Tech Innovation Campus; our development plans related to National Landing; whether we will be able to successfully shift the majority of our portfolio to multifamily; and whether the allocation of capital to our share repurchase plan has any impact on our share price.
Many of the factors that will determine the outcome of these and our other forward-looking statements are beyond our ability to control or predict. These factors include, among others: adverse economic conditions in the Washington, DC metropolitan area, the timing of and costs associated with development and property improvements, financing commitments, and general competitive factors. For further discussion of factors that could materially affect the outcome of our forward-looking statements and other risks and uncertainties, see "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and the Cautionary Statement Concerning Forward-Looking Statements in the Company's Annual Report on Form 10‑K for the year ended December 31, 2023 and other periodic reports the Company files with the Securities and Exchange Commission. For these statements, we claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. You are cautioned not to place undue reliance on our forward-looking statements. All subsequent written and oral forward-looking statements attributable to us or any person acting on our behalf are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. We do not undertake any obligation to release publicly any revisions to our forward-looking statements to reflect events or circumstances occurring after the date hereof.
Pro Rata Information
We present certain financial information and metrics in this release "at JBG SMITH Share," which refers to our ownership percentage of consolidated and unconsolidated assets in real estate ventures (collectively, "real estate ventures") as applied to these financial measures and metrics. Financial information "at JBG SMITH Share" is calculated on an asset-by-asset basis by applying our percentage economic interest to each applicable line item of that asset's financial information. "At JBG SMITH Share" information, which we also refer to as being "at share," "our pro rata share" or "our share," is not, and is not intended to be, a presentation in accordance with GAAP. Given that a substantial portion of our assets are held through real estate ventures, we believe this form of presentation, which presents our economic interests in the partially owned entities, provides investors valuable information regarding a significant component of our portfolio, its composition, performance and capitalization.
We do not control the unconsolidated real estate ventures and do not have a legal claim to our co-venturers' share of assets, liabilities, revenue and expenses. The operating agreements of the unconsolidated real estate ventures generally allow each co-venturer to receive cash distributions to the extent there is available cash from operations. The amount of cash each investor receives is based upon specific provisions of each operating agreement and varies depending on certain factors including the amount of capital contributed by each investor and whether any investors are entitled to preferential distributions.
With respect to any such third-party arrangement, we would not be in a position to exercise sole decision-making authority regarding the property, real estate venture or other entity, and may, under certain circumstances, be exposed to economic risks not present were a third-party not involved. We and our respective co-venturers may each have the right to trigger a buy-sell or forced sale arrangement, which could cause us to sell our interest, or acquire our co-venturers' interests, or to sell the underlying asset, either on unfavorable terms or at a time when we otherwise would not have initiated such a transaction. Our real estate ventures may be subject to debt, and the repayment or refinancing of such debt may require equity capital calls. To the extent our co-venturers do not meet their obligations to us or our real estate ventures or they act inconsistent with the interests of the real estate venture, we may be adversely affected. Because of these limitations, the non-GAAP "at JBG SMITH Share" financial information should not be considered in isolation or as a substitute for our financial statements as reported under GAAP.
Occupancy, non-GAAP financial measures, leverage metrics, operating assets and operating metrics presented in our investor package exclude our 10.0% subordinated interest in one commercial building, our 33.5% subordinated interest in four commercial buildings, our 49.0% interest in three commercial buildings and our 9.9% interest in one commercial building, as well as the associated non-recourse mortgage loans, held through unconsolidated real estate ventures, as our investment in each real estate venture is zero, we do not anticipate receiving any near-term cash flow distributions from the real estate ventures, and we have not guaranteed their obligations or otherwise committed to providing financial support.
Non-GAAP Financial Measures
This release includes non-GAAP financial measures. For these measures, we have provided an explanation of how these non-GAAP measures are calculated and why JBG SMITH's management believes that the presentation of these measures provides useful information to investors regarding JBG SMITH's financial condition and results of operations. Reconciliations of certain non-GAAP measures to the most directly comparable GAAP financial measure are included in this earnings release. Our presentation of non-GAAP financial measures may not be comparable to similar non-GAAP measures used by other companies. In addition to "at share" financial information, the following non-GAAP measures are included in this release:
Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA"), EBITDA for Real Estate ("EBITDAre") and "Adjusted EBITDA" are non-GAAP financial measures. EBITDA and EBITDAre are used by management as supplemental operating performance measures, which we believe help investors and lenders meaningfully evaluate and compare our operating performance from period-to-period by removing from our operating results the impact of our capital structure (primarily interest charges from our outstanding debt and the impact of our interest rate swaps and caps) and certain non-cash expenses (primarily depreciation and amortization expense on our assets). EBITDAre is computed in accordance with the definition established by the National Association of Real Estate Investment Trusts ("Nareit"). Nareit defines EBITDAre as GAAP net income (loss) adjusted to exclude interest expense, income taxes, depreciation and amortization expense, gains and losses on sales of real estate and impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity, including our share of such adjustments of unconsolidated real estate ventures. These supplemental measures may help investors and lenders understand our ability to incur and service debt and to make capital expenditures. EBITDA and EBITDAre are not substitutes for net income (loss) (computed in accordance with GAAP) and may not be comparable to similarly titled measures used by other companies.
Adjusted EBITDA represents EBITDAre adjusted for items we believe are not representative of ongoing operating results, such as Transaction and Other Costs, impairment write-downs of non-depreciable real estate, gain (loss) on the extinguishment of debt, earnings (losses) and distributions in excess of our investment in unconsolidated real estate ventures, lease liability adjustments, income from investments, business interruption insurance proceeds, litigation settlement proceeds and share-based compensation expense related to the Formation Transaction and special equity awards. We believe that adjusting such items not considered part of our comparable operations, provides a meaningful measure to evaluate and compare our performance from period-to-period.
Because EBITDA, EBITDAre and Adjusted EBITDA have limitations as analytical tools, we use EBITDA, EBITDAre and Adjusted EBITDA to supplement GAAP financial measures. Additionally, we believe that users of these measures should consider EBITDA, EBITDAre and Adjusted EBITDA in conjunction with net income (loss) and other GAAP measures in understanding our operating results.
Funds from Operations ("FFO"), "Core FFO" and Funds Available for Distribution ("FAD") are non-GAAP financial measures. FFO is computed in accordance with the definition established by Nareit in the Nareit FFO White Paper - 2018 Restatement. Nareit defines FFO as net income (loss) (computed in accordance with GAAP), excluding depreciation and amortization expense related to real estate, gains and losses from the sale of certain real estate assets, gains and losses from change in control and impairment write-downs of certain real estate assets and investments in entities when the impairment is directly attributable to decreases in the value of depreciable real estate held by the entity, including our share of such adjustments for unconsolidated real estate ventures.
Core FFO represents FFO adjusted to exclude items which we believe are not representative of ongoing operating results, such as Transaction and Other Costs, impairment write-downs of non-depreciable real estate, gain (loss) on the extinguishment of debt, earnings (losses) and distributions in excess of our investment in unconsolidated real estate ventures, share-based compensation expense related to the Formation Transaction and special equity awards, lease liability adjustments, income from investments, business interruption insurance proceeds, litigation settlement proceeds, amortization of the management contracts intangible and the mark-to-market of derivative instruments, including our share of such adjustments for unconsolidated real estate ventures.
FAD represents Core FFO adjusted for recurring tenant improvements, leasing commissions and other capital expenditures, net deferred rent activity, third-party lease liability assumption (payments) refunds, recurring share-based compensation expense, accretion of acquired below-market leases, net of amortization of acquired above-market leases, amortization of debt issuance costs and other non-cash income and charges, including our share of such adjustments for unconsolidated real estate ventures. FAD is presented solely as a supplemental disclosure that management believes provides useful information as it relates to our ability to fund dividends.
We believe FFO, Core FFO and FAD are meaningful non‑GAAP financial measures useful in comparing our levered operating performance from period-to-period and as compared to similar real estate companies because these non‑GAAP measures exclude real estate depreciation and amortization expense, which implicitly assumes that the value of real estate diminishes predictably over time rather than fluctuating based on market conditions, and other non-comparable income and expenses. FFO, Core FFO and FAD do not represent cash generated from operating activities and are not necessarily indicative of cash available to fund cash requirements and should not be considered as an alternative to net income (loss) (computed in accordance with GAAP) as a performance measure or cash flow as a liquidity measure. FFO, Core FFO and FAD may not be comparable to similarly titled measures used by other companies.
"Net Debt" is a non-GAAP financial measurement. Net Debt represents our total consolidated and unconsolidated indebtedness less cash and cash equivalents at our share. Net Debt is an important component in the calculations of Net Debt to Annualized Adjusted EBITDA and Net Debt / total enterprise value. We believe that Net Debt is a meaningful non-GAAP financial measure useful to investors because we review Net Debt as part of the management of our overall financial flexibility, capital structure and leverage. We may utilize a considerable portion of our cash and cash equivalents at any given time for purposes other than debt reduction. In addition, cash and cash equivalents at our share may not be solely controlled by us. The deduction of cash and cash equivalents at our share from consolidated and unconsolidated indebtedness in the calculation of Net Debt, therefore, should not be understood to mean that it is available exclusively for debt reduction at any given time.
Net Operating Income ("NOI") and "Annualized NOI" are non-GAAP financial measures management uses to assess an asset's performance. The most directly comparable GAAP measure is net income (loss) attributable to common shareholders. We use NOI internally as a performance measure and believe NOI provides useful information to investors regarding our financial condition and results of operations because it reflects only property related revenue (which includes base rent, tenant reimbursements and other operating revenue, net of Free Rent and payments associated with assumed lease liabilities) less operating expenses and ground rent for operating leases, if applicable. NOI also excludes deferred rent, related party management fees, interest expense, and certain other non-cash adjustments, including the accretion of acquired below-market leases and the amortization of acquired above-market leases and below-market ground lease intangibles. Management uses NOI as a supplemental performance measure of our assets and believes it provides useful information to investors because it reflects only those revenue and expense items that are incurred at the asset level, excluding non-cash items. In addition, NOI is considered by many in the real estate industry to be a useful starting point for determining the value of a real estate asset or group of assets. However, because NOI excludes depreciation and amortization expense and captures neither the changes in the value of our assets that result from use or market conditions, nor the level of capital expenditures and capitalized leasing commissions necessary to maintain the operating performance of our assets, all of which have real economic effect and could materially impact the financial performance of our assets, the utility of NOI as a measure of the operating performance of our assets is limited. NOI presented by us may not be comparable to NOI reported by other REITs that define these measures differently. We believe to facilitate a clear understanding of our operating results, NOI should be examined in conjunction with net income (loss) attributable to common shareholders as presented in our financial statements. NOI should not be considered as an alternative to net income (loss) attributable to common shareholders as an indication of our performance or to cash flows as a measure of liquidity or our ability to make distributions. Annualized NOI represents NOI for the three months ended March 31, 2024 multiplied by four. Management believes Annualized NOI provides useful information in understanding our financial performance over a 12‑month period, however, investors and other users are cautioned against attributing undue certainty to our calculation of Annualized NOI. Actual NOI for any 12‑month period will depend on a number of factors beyond our ability to control or predict, including general capital markets and economic conditions, any bankruptcy, insolvency, default or other failure to pay rent by one or more of our tenants and the destruction of one or more of our assets due to terrorist attack, natural disaster or other casualty, among others. We do not undertake any obligation to update our calculation to reflect events or circumstances occurring after the date of this earnings release. There can be no assurance that the Annualized NOI shown will reflect our actual results of operations over any 12‑month period.
Definitions
"Development Pipeline" refers to assets that have the potential to commence construction subject to receipt of full entitlements, completion of design and market conditions where we (i) own land or control the land through a ground lease or (ii) are under a long-term conditional contract to purchase, or enter into, a leasehold interest with respect to land.
"Estimated Potential Development Density" reflects management's estimate of developable gross square feet based on our current business plans with respect to real estate owned or controlled as of March 31, 2024. Our current business plans may contemplate development of less than the maximum potential development density for individual assets. As market conditions change, our business plans, and therefore, the Estimated Potential Development Density, could change accordingly. Given timing, zoning requirements and other factors, we make no assurance that Estimated Potential Development Density amounts will become actual density to the extent we complete development of assets for which we have made such estimates.
"First-generation" is a lease on space that had been vacant for at least nine months or a lease on newly delivered space.
"Formation Transaction" refers collectively to the spin-off on July 17, 2017 of substantially all of the assets and liabilities of Vornado Realty Trust's Washington, DC segment, which operated as Vornado / Charles E. Smith, and the acquisition of the management business and certain assets and liabilities of The JBG Companies.
"Free Rent" means the amount of base rent and tenant reimbursements that are abated according to the applicable lease agreement(s).
"GAAP" means accounting principles generally accepted in the United States of America.
"In-Service" refers to multifamily or commercial operating assets that are at or above 90% leased or have been operating and collecting rent for more than 12 months as of March 31, 2024.
"Non-Same Store" refers to all operating assets excluded from the same store pool.
"Same Store" refers to the pool of assets that were in-service for the entirety of both periods being compared, excluding assets for which significant redevelopment, renovation or repositioning occurred during either of the periods being compared.
"Second-generation" is a lease on space that had been vacant for less than nine months.
"Transaction and Other Costs" include pursuit costs related to completed, potential and pursued transactions, demolition costs, and severance and other costs.
"Under-Construction" refers to assets that were under construction during the three months ended March 31, 2024.
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
in thousands
March 31, 2024
December 31, 2023
ASSETS
Real estate, at cost:
Land and improvements
$
1,187,685
$
1,194,737
Buildings and improvements
4,283,889
4,021,322
Construction in progress, including land
427,524
659,103
5,899,098
5,875,162
Less: accumulated depreciation
(1,379,090
)
(1,338,403
)
Real estate, net
4,520,008
4,536,759
Cash and cash equivalents
220,514
164,773
Restricted cash
39,752
35,668
Tenant and other receivables
40,223
44,231
Deferred rent receivable
178,111
171,229
Investments in unconsolidated real estate ventures
104,782
264,281
Deferred leasing costs, net
79,538
81,477
Intangible assets, net
54,401
56,616
Other assets, net
168,021
163,481
TOTAL ASSETS
$
5,405,350
$
5,518,515
LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
Liabilities:
Mortgage loans, net
$
1,816,508
$
1,783,014
Revolving credit facility
—
62,000
Term loans, net
717,391
717,172
Accounts payable and accrued expenses
133,084
124,874
Other liabilities, net
129,489
138,869
Total liabilities
2,796,472
2,825,929
Commitments and contingencies
Redeemable noncontrolling interests
435,529
440,737
Total equity
2,173,349
2,251,849
TOTAL LIABILITIES, REDEEMABLE NONCONTROLLING INTERESTS AND EQUITY
$
5,405,350
$
5,518,515
_____________
Note: For complete financial statements, please refer to our Quarterly Report on Form 10-Q for the quarter ended March 31, 2024.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
in thousands, except per share data
Three Months Ended March 31,
2024
2023
REVENUE
Property rental
$
122,636
$
124,033
Third-party real estate services, including reimbursements
17,868
22,784
Other revenue
4,680
6,145
Total revenue
145,184
152,962
EXPENSES
Depreciation and amortization
56,855
53,431
Property operating
35,279
35,612
Real estate taxes
13,795
15,224
General and administrative:
Corporate and other
14,973
16,123
Third-party real estate services
22,327
23,823
Share-based compensation related to Formation Transaction and special equity awards
—
351
Transaction and other costs
1,514
2,472
Total expenses
144,743
147,036
OTHER INCOME (EXPENSE)
Income from unconsolidated real estate ventures, net
975
433
Interest and other income, net
2,100
4,077
Interest expense
(30,160
)
(26,842
)
Gain on the sale of real estate, net
197
40,700
Impairment loss
(17,211
)
—
Total other income (expense)
(44,099
)
18,368
INCOME (LOSS) BEFORE INCOME TAX BENEFIT
(43,658
)
24,294
Income tax benefit
1,468
16
NET INCOME (LOSS)
(42,190
)
24,310
Net (income) loss attributable to redeemable noncontrolling interests
4,534
(3,363
)
Net loss attributable to noncontrolling interests
5,380
224
NET INCOME (LOSS) ATTRIBUTABLE TO COMMON SHAREHOLDERS
$
(32,276
)
$
21,171
EARNINGS (LOSS) PER COMMON SHARE - BASIC AND DILUTED
$
(0.36
)
$
0.19
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING - BASIC AND DILUTED
92,635
114,052
_____________
Note: For complete financial statements, please refer to our Quarterly Report on Form 10-Q for the quarter ended March 31, 2024.
EBITDA, EBITDAre AND ADJUSTED EBITDA RECONCILIATIONS (NON-GAAP)
(Unaudited)
dollars in thousands
Three Months Ended March 31,
2024
2023
EBITDA, EBITDAre and Adjusted EBITDA
Net income (loss)
$
(42,190
)
$
24,310
Depreciation and amortization expense
56,855
53,431
Interest expense
30,160
26,842
Income tax benefit
(1,468
)
(16
)
Unconsolidated real estate ventures allocated share of above adjustments
2,552
3,664
EBITDA attributable to noncontrolling interests
—
30
EBITDA
$
45,909
$
108,261
Gain on the sale of real estate, net
(197
)
(40,700
)
Gain on the sale of unconsolidated real estate assets
(480
)
—
EBITDAre
$
45,232
$
67,561
Transaction and other costs, net of noncontrolling interests (1)
1,514
2,472
Income from investments, net
(58
)
(1,861
)
Impairment loss related to non-depreciable real estate
17,211
—
Share-based compensation related to Formation Transaction and special equity awards
—
351
Earnings and distributions in excess of our investment in unconsolidated real estate venture
(213
)
(167
)
Unconsolidated real estate ventures allocated share of above adjustments
—
2
Adjusted EBITDA
$
63,686
$
68,358
Net Debt to Annualized Adjusted EBITDA (2)
9.3
x
7.8
x
March 31, 2024
March 31, 2023
Net Debt (at JBG SMITH Share)
Consolidated indebtedness (3)
$
2,524,430
$
2,344,304
Unconsolidated indebtedness (3)
66,413
87,832
Total consolidated and unconsolidated indebtedness
2,590,843
2,432,136
Less: cash and cash equivalents
227,132
291,799
Net Debt (at JBG SMITH Share)
$
2,363,711
$
2,140,337
_____________
Note: All EBITDA measures as shown above are attributable to common limited partnership units ("OP Units") and certain fully vested incentive equity awards that may be convertible into OP Units.
(1)Includes pursuit costs related to completed, potential and pursued transactions, demolition costs, severance and other costs.
(2)Quarterly Adjusted EBITDA is annualized by multiplying by four.
(3)Net of premium/discount and deferred financing costs.
FFO, CORE FFO AND FAD RECONCILIATIONS (NON-GAAP)
(Unaudited)
in thousands, except per share data
Three Months Ended March 31,
2024
2023
FFO and Core FFO
Net income (loss) attributable to common shareholders
$
(32,276
)
$
21,171
Net income (loss) attributable to redeemable noncontrolling interests
(4,534
)
3,363
Net loss attributable to noncontrolling interests
(5,380
)
(224
)
Net income (loss)
(42,190
)
24,310
Gain on the sale of real estate, net of tax
(1,409
)
(40,700
)
Gain on the sale of unconsolidated real estate assets
(480
)
—
Real estate depreciation and amortization
55,187
51,611
Pro rata share of real estate depreciation and amortization from unconsolidated real estate ventures
1,491
2,760
FFO attributable to noncontrolling interests
—
224
FFO Attributable to OP Units
$
12,599
$
38,205
FFO attributable to redeemable noncontrolling interests
(1,921
)
(5,203
)
FFO Attributable to Common Shareholders
$
10,678
$
33,002
FFO attributable to OP Units
$
12,599
$
38,205
Transaction and other costs, net of tax and noncontrolling interests (1)
1,144
2,373
Income from investments, net of tax
(44
)
(1,405
)
Impairment loss related to non-depreciable real estate
17,211
—
Loss from mark-to-market on derivative instruments, net of noncontrolling interests
42
2,541
Earnings and distributions in excess of our investment in unconsolidated real estate venture
(213
)
(167
)
Share-based compensation related to Formation Transaction and special equity awards
—
351
Amortization of management contracts intangible, net of tax
1,054
1,106
Unconsolidated real estate ventures allocated share of above adjustments
—
36
Core FFO Attributable to OP Units
$
31,793
$
43,040
Core FFO attributable to redeemable noncontrolling interests
(4,849
)
(5,862
)
Core FFO Attributable to Common Shareholders
$
26,944
$
37,178
FFO per common share - diluted
$
0.12
$
0.29
Core FFO per common share - diluted
$
0.29
$
0.33
Weighted average shares - diluted (FFO and Core FFO)
92,786
114,062
See footnotes under table below.
FFO, CORE FFO AND FAD RECONCILIATIONS (NON-GAAP)
(Unaudited)
in thousands, except per share data
Three Months Ended March 31,
2024
2023
FAD
Core FFO attributable to OP Units
$
31,793
$
43,040
Recurring capital expenditures and Second-generation tenant improvements and leasing commissions (2)
(9,035
)
(7,794
)
Straight-line and other rent adjustments (3)
(1,430
)
(8,377
)
Third-party lease liability assumption (payments) refunds
—
95
Share-based compensation expense
9,379
9,348
Amortization of debt issuance costs
3,902
1,307
Unconsolidated real estate ventures allocated share of above adjustments
459
402
Non-real estate depreciation and amortization
294
355
FAD available to OP Units (A)
$
35,362
$
38,376
Distributions to common shareholders and unitholders (B)
$
18,998
$
29,619
FAD Payout Ratio (B÷A) (4)
53.7
%
77.2
%
Capital Expenditures
Maintenance and recurring capital expenditures
$
1,195
$
2,973
Share of maintenance and recurring capital expenditures from unconsolidated real estate ventures
2
—
Second-generation tenant improvements and leasing commissions
7,817
4,742
Share of Second-generation tenant improvements and leasing commissions from unconsolidated real estate ventures
21
79
Recurring capital expenditures and Second-generation tenant improvements and leasing commissions
9,035
7,794
Non-recurring capital expenditures
3,522
9,693
Share of non-recurring capital expenditures from unconsolidated real estate ventures
14
2
First-generation tenant improvements and leasing commissions
2,895
3,125
Share of First-generation tenant improvements and leasing commissions from unconsolidated real estate ventures
51
313
Non-recurring capital expenditures
6,482
13,133
Total JBG SMITH Share of Capital Expenditures
$
15,517
$
20,927
_____________
(1)Includes pursuit costs related to completed, potential and pursued transactions, demolition costs, severance and other costs.
(2)
Includes amounts, at JBG SMITH Share, related to unconsolidated real estate ventures.
(3)
Includes straight-line rent, above/below market lease amortization and lease incentive amortization.
(4)
The quarterly FAD payout ratio is not necessarily indicative of an amount for the full year due to fluctuation in the timing of capital expenditures, the commencement of new leases and the seasonality of our operations.
NOI RECONCILIATIONS (NON-GAAP)
(Unaudited)
dollars in thousands
Three Months Ended March 31,
2024
2023
Net income (loss) attributable to common shareholders
$
(32,276
)
$
21,171
Add:
Depreciation and amortization expense
56,855
53,431
General and administrative expense:
Corporate and other
14,973
16,123
Third-party real estate services
22,327
23,823
Share-based compensation related to Formation Transaction and special equity awards
—
351
Transaction and other costs
1,514
2,472
Interest expense
30,160
26,842
Impairment loss
17,211
—
Income tax benefit
(1,468
)
(16
)
Net income (loss) attributable to redeemable noncontrolling interests
(4,534
)
3,363
Net loss attributable to noncontrolling interests
(5,380
)
(224
)
Less:
Third-party real estate services, including reimbursements revenue
17,868
22,784
Other revenue
11,263
1,726
Income from unconsolidated real estate ventures, net
975
433
Interest and other income, net
2,100
4,077
Gain on the sale of real estate, net
197
40,700
Consolidated NOI
66,979
77,616
NOI attributable to unconsolidated real estate ventures at our share
3,046
4,429
Non-cash rent adjustments (1)
(1,430
)
(8,377
)
Other adjustments (2)
5,240
6,845
Total adjustments
6,856
2,897
NOI
$
73,835
$
80,513
Less: out-of-service NOI loss (3)
(3,032
)
(710
)
Operating Portfolio NOI
$
76,867
$
81,223
Non-Same Store NOI (4)
1,130
10,109
Same Store NOI (5)
$
75,737
$
71,114
Change in Same Store NOI
6.5
%
Number of properties in Same Store pool
41
_____________
(1)
Adjustment to exclude straight-line rent, above/below market lease amortization and lease incentive amortization.
(2)
Adjustment to include other revenue and payments associated with assumed lease liabilities related to operating properties and to exclude commercial lease termination revenue and related party management fees.
(3)
Includes the results of our Under-Construction assets and assets in the Development Pipeline.
(4)
Includes the results of properties that were not In-Service for the entirety of both periods being compared, including disposed properties, and properties for which significant redevelopment, renovation or repositioning occurred during either of the periods being compared.
(5)
Includes the results of the properties that are owned, operated and In-Service for the entirety of both periods being compared.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240430076692/en/
Kevin Connolly Executive Vice President, Portfolio Management & Investor Relations (240) 333‑3837 kconnolly@jbgsmith.com
1 Year JBG SMITH Properties Chart |
1 Month JBG SMITH Properties Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions