NYSE$CDP

COPT Defense Properties · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

Reported strong start in 2021 with leasing results in-line with internal forecast, increased full-year tenant retention guidance, and solid operations driving FFO per share at the high-end of guidance.

COPT reported a loss of $0.06 per share, but FFO per share, as adjusted for comparability, was $0.56, at the high end of guidance. Same-property cash NOI decreased 2.7%. The company raised its full-year guidance for FFO per share, as adjusted for comparability, to a new midpoint of $2.22, representing 4.7% growth over 2020 results.

  • EPS of ($0.06) Exceeded High End of Guidance by 1-Cent; FFO per Share, as Adjusted for Comparability, of $0.56 was at the High End of Guidance.
  • Raising Same-Property Cash NOI Guidance for the Year by 100 Basis Points, to (1%)-1%.
  • Core Portfolio 94.0% Occupied & 94.9% Leased.
  • 1.4 Million SF of Active Developments are 85% Leased.

Headline financials

Total Revenue

$162M

Previous: $146M+10.9%
EPS (adj)

$0.56

Previous: $0.51+9.8%
Same Property Cash NOI Growth

-2.7%

Previous: 5.0%-154.0%
Total Portfolio Leased

94.9%

No prior period
Adjusted EBITDA Fixed Charge Coverage Ratio

4.3

Previous: 3.8+13.2%
Capital Expenditures

-$63.4M

Previous: -$98.3M+35.5%
Free Cash Flow

-$70.1M

Previous: -$74.2M+5.6%
Net Income

-$6.67M

Previous: $24.1M-127.7%
Operating Income

$101M

Previous: $55.7M+80.7%
Gross Profit

$146M

Previous: $95.8M+52.3%
Cash & Equivalents

$36.1M

Previous: $159M-77.3%
Total Assets

$4.11B

Previous: $4.05B+1.4%
Stock-Based Comp

$1.9M

Previous: $1.39M+37.1%

Revenue & EPS history

COPT · Revenue · Quarterly

$162M

Q1 2021+10.9%vs Q1 2020
Beat estimate in 2 of 3 quarters(67%)
ActualEstimate

Forward guidance

Management is increasing its full-year guidance for EPS and FFOPS, per Nareit and as adjusted for comparability from the prior range of $0.25-$0.31, $1.65-$1.71, and $2.16-$2.22, respectively, to new ranges of $0.28-$0.34, $1.68-$1.74, and $2.19-$2.25, respectively. Management is establishing second quarter guidance for EPS and FFOPS per Nareit, and FFOPS, as adjusted for comparability at ($0.02)-$0.00, $0.33-$0.35, and $0.55-$0.57, respectively.

Tailwinds

  • EPS guidance increased to $0.28-$0.34
  • FFOPS, Nareit definition guidance increased to $1.68-$1.74
  • FFOPS, as adjusted for comparability guidance increased to $2.19-$2.25
  • Second quarter EPS guidance is ($0.02)-$0.00
  • Second quarter FFOPS, Nareit definition guidance is $0.33-$0.35

Headwinds

  • Loss on early extinguishment of debt
  • Decrease in same-property cash NOI
  • Diluted (loss) earnings per share
  • Diluted funds from operations per share (“FFOPS”), as calculated in accordance with Nareit’s definition, decreased
  • Lower renewal rate compared to aspirational targets

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 Q1 2021

Historical avgQ1 2021

+0.3%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+1.1%

Avg return

30 days after

61%

42 / 69 earnings

Positive

+6.2%

Q2 2019

Best reaction

-6.4%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.7%-4.1%+0.5%
Q4 2025+1.4%+1.2%+0.2%
Q3 2025+3.8%+5.4%+12.5%
Q2 2025+0.3%+1.0%+10.3%
Q1 2025-4.2%-0.5%+3.0%
Q4 2024-0.8%-5.5%-8.7%
Q3 2024+0.7%-1.1%+1.7%
Q2 2024+2.9%+2.2%+4.3%
Q1 2024+3.0%+4.4%+4.8%
Q4 2023+4.3%+4.4%+8.0%
Q3 2023+0.2%-0.5%+5.9%
Q2 2023-0.8%-1.5%-4.2%
Q1 2023+4.8%+5.9%+2.1%
Q4 2022-1.4%-0.6%-9.9%
Q3 2022+3.1%+4.4%+8.2%
Q2 2022+4.3%+1.0%-2.4%
Q1 2022-2.1%-1.8%+0.5%
Q4 2021+0.4%+0.5%+11.8%
Q3 2021-0.4%-0.2%-4.4%
Q2 2021-0.2%-3.4%-3.4%
Q1 2021-0.3%+1.5%-1.9%
Q4 2020+0.9%+1.2%-2.0%
Q3 2020+2.3%+6.0%+24.2%
Q2 2020-0.6%+2.0%-6.0%
Q1 2020-6.4%-7.0%-6.6%
Q4 2019-2.9%-2.4%-7.7%
Q3 2019-2.5%-0.5%-1.9%
Q2 2019+6.2%+3.2%+5.4%
Q1 2019+0.9%+1.7%-0.2%
Q4 2018+1.8%+2.7%+4.4%
Q3 2018-6.3%-8.7%-14.1%
Q2 2018+2.4%+1.9%+4.1%
Q1 2018+2.4%+2.7%+3.1%
Q4 2017+1.3%-2.0%+1.2%
Q3 2017+3.2%+2.5%+0.3%
Q2 2017-1.0%-2.8%-3.0%
Q1 2017+0.4%+1.1%-0.1%
Q4 2016+3.0%+2.9%+2.4%
Q3 2016-3.2%-4.3%+6.5%
Q2 2016+1.2%-0.4%-4.1%
Q1 2016+0.0%
Q4 2015+3.1%
Q3 2015-3.1%
Q2 2015-3.5%
Q1 2015-4.6%
Q4 2014+0.8%
Q3 2014+2.0%
Q2 2014-0.8%
Q1 2014+0.1%
Q4 2013+3.6%
Q3 2013+3.4%
Q2 2013-4.6%
Q1 2013-0.3%
Q4 2012+0.4%
Q3 2012-3.0%
Q2 2012+0.4%
Q1 2012+0.5%
Q4 2008+0.3%
Q4 2011+0.3%
Q3 2011-5.2%
Q2 2011-1.2%
Q1 2010-1.4%
Q1 2011+1.5%
Q4 2010+0.5%
Q3 2010+1.0%
Q4 2009+1.0%
Q3 2009+1.0%
Q2 2009+3.5%
Q2 2010+3.5%

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