NYSE$ARE

Alexandria Real Estate Equities Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Alexandria reported strong Q3 2021 results, driven by high demand for life science space and strategic leasing activity.

Alexandria Real Estate Equities, Inc. announced financial and operating results for the third quarter ended September 30, 2021, with key highlights including a net income per share of $0.67 and FFO per share, as adjusted, of $1.95. The company experienced historic-high year-to-date leasing volume and continued strong rental rate growth.

  • Signed a 15-year full-building lease with Moderna, Inc. for its new headquarters and core R&D facility at 325 Binney Street.
  • Achieved historic-high year-to-date leasing volume with 5.4 million RSF of leasing activity.
  • Reported rental rate increases of 35.3% and rental rate increases (cash basis) of 19.3% for 3Q21 over expiring rates on renewed and re-leased space.
  • Maintained a strong and flexible balance sheet with $4.0 billion of liquidity as of September 30, 2021.

Headline financials

Total Revenue

$548M

Previous: $545M+0.5%
EPS (adj)

$1.95

Previous: $1.83+6.6%
Capital Expenditures

-$5.3B

Previous: -$3.06B-73.1%
Free Cash Flow

-$5.2B

Previous: -$2.98B-74.4%
Net Income

$103M

Previous: $81.1M+27.3%
Operating Income

$163M

Previous: $194M-16.2%
Gross Profit

$454M

Previous: $416M+9.3%
Cash & Equivalents

$326M

Previous: $446M-27.0%
Total Assets

$28.6B

Previous: $21.9B+30.3%
Stock-Based Comp

$9.73M

Previous: $13M-25.1%

Revenue & EPS history

Alexandria · Revenue · Quarterly

$548M

Q3 2021+0.5%vs Q3 2020
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Forward guidance

The following updated guidance is based on our current view of existing market conditions and assumptions for the year ending December 31, 2021. There can be no assurance that actual amounts will not be materially higher or lower than these expectations.

Tailwinds

  • Real estate dispositions and partial interest sales $2,170
  • Construction $2,110
  • Rental rate increases 33.0% to 36.0%
  • Rental rate increases (cash basis) 19.0% to 22.0%
  • Earnings per share $3.91 to $3.93

Headwinds

  • Occupancy 93.3% to 93.9%
  • Gain on sales of real estate(0.02)
  • Impairment of real estate – rental properties 0.18
  • Unrealized gains on non-real estate investments (1.26)
  • Significant realized gains on non-real estate investments (0.76)

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.7%

Avg return

Earnings day

-0.6%

Avg return

5 days after

-0.2%

Avg return

30 days after

47%

32 / 68 earnings

Positive

+6.2%

Q3 2022

Best reaction

-19.2%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025+3.3%+1.8%+23.1%
Q1 2026-10.2%-9.2%+8.1%
Q3 2025-19.2%-25.2%-31.2%
Q1 2025-5.7%-3.3%-7.4%
Q4 2024-4.8%-4.7%-1.1%
Q3 2024-3.1%-7.2%-14.4%
Q2 2024-3.0%-5.0%-7.5%
Q1 2024+3.3%+0.5%+6.1%
Q4 2023-2.5%-2.3%-2.4%
Q3 2023+0.5%-3.6%+10.0%
Q2 2023+0.4%+2.7%-4.8%
Q1 2023-3.1%-0.2%-8.1%
Q4 2022+0.0%+4.4%-11.1%
Q3 2022+6.2%+10.4%+15.0%
Q2 2022+4.2%+10.4%+6.1%
Q1 2022-2.6%-7.0%-18.1%
Q4 2021+3.0%+0.6%+0.0%
Q3 2021+0.4%-2.0%+1.0%
Q2 2021+1.9%+2.2%+3.5%
Q1 2021-0.7%+1.0%-1.1%
Q4 2020-0.4%+2.7%-4.6%
Q3 2020-2.7%-5.6%+1.3%
Q2 2020+3.1%+5.3%+1.1%
Q1 2020+1.8%+1.0%+1.3%
Q4 2019+2.8%+2.7%+0.1%
Q3 2019-1.2%+0.1%+2.6%
Q2 2019+3.2%+1.0%+2.8%
Q1 2019-0.6%-0.7%+0.6%
Q4 2018-0.7%+1.3%+5.3%
Q3 2018+2.4%-0.8%+2.6%
Q2 2018+4.0%+4.0%+4.5%
Q1 2018+3.6%+3.0%+0.4%
Q4 2017-0.6%-1.9%-4.1%
Q3 2017+1.5%+2.6%+3.9%
Q2 2017+0.5%+0.2%-0.8%
Q1 2017+1.8%+2.1%+3.7%
Q4 2016-1.7%-1.9%+4.8%
Q3 2016+2.3%-1.8%+4.5%
Q2 2016-2.5%-0.8%-2.0%
Q1 2016+0.8%
Q4 2015-3.7%
Q3 2015+1.7%
Q2 2015+0.1%
Q1 2015-0.3%
Q4 2014-0.5%
Q3 2014-0.8%
Q2 2014+0.1%
Q1 2014+0.3%
Q4 2013+2.3%
Q3 2013-2.2%
Q2 2013-1.4%
Q1 2013+3.1%
Q4 2012-0.2%
Q3 2012+0.5%
Q2 2012+1.4%
Q1 2012+0.9%
Q4 2010-3.4%
Q4 2011-3.4%
Q3 2011-4.2%
Q2 2011-5.2%
Q1 2010-5.5%
Q1 2011+1.5%
Q4 2008-4.5%
Q3 2010-2.4%
Q3 2009-2.4%
Q2 2010-0.5%
Q2 2009-0.5%
Q4 2009-0.5%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro