Inventrust Properties (IVT) Q2 2024 earnings summary

Executive summary

• Q2 2024 net income was $1.5 million ($0.02 per diluted share), down from $2.1 million ($0.03 per share) year-over-year; six-month net income rose to $4.4 million ($0.06 per share) from $3.2 million ($0.05 per share) year-over-year.

• Nareit FFO for Q2 2024 was $30.1 million ($0.44 per share), up from $29.2 million ($0.43 per share) year-over-year; six-month Nareit FFO was $60.9 million ($0.89 per share), up from $57.2 million ($0.84 per share).

• Core FFO for Q2 2024 was $29.1 million ($0.43 per share), flat year-over-year; six-month Core FFO was $59.1 million ($0.87 per share), up from $56.4 million ($0.83 per share).

• Leased occupancy reached a record 96.4% as of June 30, 2024, with strong tenant retention and robust leasing demand.

• Focus remains on Sun Belt, grocery-anchored and necessity-based retail centers, with 95% of NOI generated from this region.

Financial highlights

• Same Property NOI for Q2 2024 was $44.8 million, up 2.6% year-over-year; year-to-date same property NOI was $82.6 million, up 3.3%.

• Core FFO for the first half was $60.9 million ($0.89/share), a 6% increase year-over-year; Q2 Core FFO was $29.1 million ($0.43/share), flat year-over-year.

• Annualized base rent per square foot as of June 30, 2024, was $19.71, up 2.8% year-over-year.

• Dividend of $0.2263 per share declared for Q2 2024, paid July 15, 2024; annualized dividend payment increased 5% to $0.91/share.

• Total income for Q2 2024 was $67.4 million, up $2.7 million compared to Q2 2023.

Outlook and guidance

• 2024 full-year Same Property NOI growth guidance raised to 3.5%–4.5%.

• 2024 Nareit FFO per diluted share guidance increased to $1.73–$1.77; Core FFO to $1.69–$1.73.

• 2024 net income per diluted share guidance: $0.08–$0.12.

• Net investment activity guidance maintained at $75 million.

• Bad debt reserve assumption lowered to 25–75 bps of total revenue.