NYSE$CSR

Centerspace · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Announced financial results and increased financial outlook.

Centerspace reported a net loss of $(0.81) per diluted share for Q3 2021, but Core FFO increased by 4.3% to $0.98 per diluted share. Same-store revenues also increased by 6.2% compared to the same period in 2020.

  • Net Loss was $(0.81) per diluted share for the third quarter of 2021, compared to Net Income of $1.38 per diluted share for the same period of 2020.
  • Core FFO increased 4.3% to $0.98 per diluted share for the three months ended September 30, 2021, compared to $0.94 for the three months ended September 30, 2020.
  • Same-store revenues increased by 6.2% for the third quarter of 2021 compared to the third quarter of 2020.
  • Same-store new lease over lease rates were 10.8% for the third quarter of 2021, compared to 0.0% in the same period of the prior year.

Headline financials

Total Revenue

$50.4M

Previous: $44.1M+14.2%
EPS (adj)

$0.98

Previous: $0.94+4.3%
Weighted Average Occupancy

94.3%

Previous: 94.4%-0.1%
Capital Expenditures

-$230M

Previous: -$189M-22.0%
Free Cash Flow

-$240M

Previous: -$169M-41.7%
Net Income

-$9.49M

Previous: $19.6M-148.4%
Operating Income

$1.14M

Previous: $2M-42.9%
Gross Profit

$48.2M

Previous: $42.7M+12.9%
Cash & Equivalents

$20.8M

Previous: $16.8M+23.9%
Total Assets

$1.88B

Previous: $1.48B+26.9%
Stock-Based Comp

$601K

Previous: $554K+8.5%

Revenue & EPS history

Centerspace · Revenue · Quarterly

$50.4M

Q3 2021+14.2%vs Q3 2020
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

Centerspace · $49.2M total across 2 segments · Q3 2021

  • Same-store Revenue
    $42M
  • Non-same-store Revenue
    $7.21M

Forward guidance

Centerspace revised its 2021 financial outlook, including the acquisition of KMS on September 1, 2021.

Tailwinds

  • Same-Store Revenue growth between 3.5% and 4.0%.
  • Same-Store NOI growth between 3.0% and 3.5%.
  • Updated Core FFO per Share – diluted between $3.92 and $4.02
  • Full year earnings per share mid-point outlook of $(0.30) resulting in a 3% increase in Core FFO from our prior outlook
  • Strategic portfolio acquisition comprised of 14 communities in Minneapolis, Minnesota and three communities in St. Cloud, Minnesota totaling 2,696 apartment homes for an aggregate acquisition cost of $359.9 million

Headwinds

  • Earnings per Share – diluted between $(0.36) and $(0.24)
  • Same-Store Expenses growth between 4.5% and 5.0%
  • FFO per Share – diluted between $3.40 and $3.52
  • COVID-19 pandemic continues to impact business and operations
  • The company assumes no obligation to update or supplement forward-looking statements that become untrue due to subsequent events.

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

-0.0%

Avg return

Earnings day

-0.1%

Avg return

5 days after

+0.4%

Avg return

30 days after

48%

30 / 62 earnings

Positive

+9.5%

Q2 2023

Best reaction

-9.0%

Q1 2017

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.1%-1.7%-13.1%
Q4 2025+1.4%-1.3%-9.3%
Q3 2025+1.8%+1.4%+9.6%
Q1 2025+1.9%+0.8%+6.0%
Q4 2024+2.5%+3.5%+2.5%
Q3 2024-1.8%-5.1%+4.1%
Q2 2024-1.9%+0.1%+5.9%
Q1 2024+4.1%+6.4%+2.0%
Q4 2023+3.4%+0.4%+3.0%
Q3 2023+1.6%+6.3%+11.9%
Q2 2023+9.5%+5.5%+6.9%
Q1 2023+0.5%+5.3%+4.3%
Q4 2022-2.2%-3.0%-19.9%
Q3 2022-3.2%-9.5%-6.9%
Q2 2022-0.2%-2.1%-12.2%
Q1 2022-6.4%-10.1%-9.0%
Q4 2021-3.3%+7.2%+1.5%
Q3 2021-2.4%-0.3%-0.3%
Q2 2021+3.1%+5.5%+13.4%
Q1 2021-1.0%+1.2%+2.0%
Q4 2020+1.8%-1.5%-1.3%
Q3 2020+3.6%+0.0%+6.5%
Q2 2020-1.0%+0.7%-1.6%
Q1 2020-3.9%-1.3%+19.0%
Q4 2019-9.0%-9.4%-34.5%
Q3 2019-1.2%+0.2%+4.2%
Q2 2019+7.8%+5.9%+12.6%
Q1 2019+1.1%+1.5%+1.8%
Q4 2018-3.7%-5.9%-8.5%
Q3 2018+2.7%+4.2%+13.1%
Q2 2018-2.0%-2.7%-4.1%
Q1 2018-5.3%-5.0%+1.6%
Q4 2017+1.1%+9.6%+2.6%
Q3 2017-1.7%-1.7%+3.2%
Q2 2017+5.3%+4.8%+10.1%
Q1 2017-9.0%-13.7%-14.1%
Q4 2016+0.0%+0.3%+2.3%
Q3 2016+9.5%
Q2 2016-5.9%
Q1 2016+1.1%
Q4 2015+1.0%
Q3 2015+2.0%
Q2 2015-0.6%
Q1 2015-1.2%
Q4 2014-2.7%
Q3 2013-1.5%
Q2 2013-2.9%
Q1 2013+0.5%
Q4 2013+0.7%
Q4 2012+0.6%
Q3 2012+2.9%
Q2 2012-2.4%
Q1 2012+2.0%
Q4 2011+4.1%
Q3 2011-4.1%
Q2 2011+4.6%
Q1 2011+1.5%
Q4 2010-1.0%
Q3 2010-1.4%
Q2 2010+0.0%
Q1 2010-2.4%
Q4 2009-1.2%

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