NYSE$EGP

EastGroup Properties Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

EastGroup reported strong second-quarter results, driven by solid industrial market fundamentals.

EastGroup Properties announced an 11% increase in FFO per share for the second quarter of 2023. The company's operating portfolio remains strong, with high leased and occupied percentages. Rental rates on new and renewal leases increased significantly, and the company continues to invest in development and acquisitions.

  • Net income attributable to common stockholders was $0.97 per diluted share.
  • Funds from Operations (FFO) increased by 11.0% to $1.91 per share.
  • Operating portfolio was 98.5% leased and 98.2% occupied as of June 30, 2023.
  • Rental rates on new and renewal leases increased an average of 52.8%.

Headline financials

Total Revenue

$140M

Previous: $119M+18.0%
EPS (adj)

$1.91

Previous: $1.72+11.0%
Operating Portfolio Leased Percentage

98.5%

Previous: 99.1%-0.6%
Operating Portfolio Occupancy Percentage

98.2%

Previous: 98.5%-0.3%
Capital Expenditures

-$236M

Previous: -$307M+23.2%
Free Cash Flow

-$193M

Previous: -$261M+26.2%
Net Income

$43.5M

Previous: $46.2M-5.8%
Operating Income

$134M

Previous: $112M+19.3%
Gross Profit

$140M

Previous: $119M+18.0%
Cash & Equivalents

$1.08M

Previous: $5.56M-80.5%
Total Assets

$4.2B

Previous: $3.85B+9.1%
Stock-Based Comp

$2.17M

Previous: $2.42M-10.2%

Revenue & EPS history

EastGroup · Revenue · Quarterly

$140M

Q2 2023+18%vs Q2 2022
Beat estimate in 11 of 15 quarters(73%)
ActualEstimate

Forward guidance

EastGroup estimates the EPS for 2023 to be in the range of $3.84 to $3.94 and FFO per share to be in the range of $7.58 to $7.68.

Tailwinds

  • FFO per share is projected to increase over the prior year.
  • Same PNOI growth is expected on a cash basis.
  • Average month-end occupancy is projected for the operating portfolio.
  • Development starts are projected for square footage.
  • Unsecured debt closing in period.

Headwinds

  • Potential gains on dispositions are not included in the projections.
  • Reserves of uncollectible rent.
  • There are risks and uncertainties associated with these projections.
  • The company assumes no obligation to update publicly any forward-looking statements.
  • Please refer to the “Forward-Looking Statements” disclosures included in this earnings release and “Risk Factors” disclosed in our annual and quarterly reports filed with the Securities and Exchange Commission for more information.

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 Q2 2023

Historical avgQ2 2023

-0.2%

Avg return

Earnings day

+0.3%

Avg return

5 days after

+0.9%

Avg return

30 days after

55%

38 / 69 earnings

Positive

+7.8%

Q2 2020

Best reaction

-12.4%

Q1 2010

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.2%+0.7%+2.1%
Q4 2025+2.9%+4.9%+2.7%
Q3 2025-1.0%-3.0%+0.2%
Q2 2025+0.6%+1.9%+3.1%
Q1 2025+1.6%+1.6%+2.7%
Q4 2024+1.5%+4.0%+7.2%
Q3 2024-0.9%-2.1%-4.6%
Q2 2024-3.1%-2.2%-3.0%
Q1 2024-3.3%-4.5%-1.5%
Q4 2023+2.1%+2.3%+0.0%
Q3 2023+1.8%+1.6%+11.1%
Q2 2023-0.7%-5.4%-4.5%
Q1 2023-2.2%+0.2%-3.9%
Q4 2022-0.8%-2.5%-5.5%
Q3 2022+5.3%+8.2%+8.2%
Q2 2022-0.5%+3.4%+4.4%
Q1 2022-1.8%-8.9%-23.2%
Q4 2021+2.9%-1.9%-3.1%
Q3 2021+1.6%+2.7%+8.9%
Q2 2021-0.0%+0.2%-2.7%
Q1 2021+0.7%+1.5%+0.4%
Q4 2020-0.6%+0.2%-4.4%
Q3 2020-2.0%-1.9%+1.7%
Q2 2020+7.8%+6.9%+9.2%
Q1 2020-7.9%-5.5%+4.7%
Q4 2019+0.6%+2.0%-4.3%
Q3 2019+4.4%+3.9%+3.2%
Q2 2019+1.6%+2.6%+3.4%
Q1 2019+0.8%+2.0%+2.4%
Q4 2018+0.9%+1.8%+0.9%
Q3 2018+2.1%+1.9%+6.8%
Q2 2018-2.2%-2.8%+4.4%
Q1 2018-0.5%+0.7%+5.3%
Q4 2017+1.8%-3.2%-4.4%
Q3 2017-0.8%-3.0%+1.1%
Q2 2017+2.7%+2.4%+2.1%
Q1 2017+1.4%+1.2%+3.1%
Q4 2016-2.3%-0.7%+4.8%
Q3 2016-0.0%+0.5%-4.8%
Q2 2016-0.7%+0.1%+1.0%
Q1 2016-3.4%
Q4 2015-2.8%
Q3 2015+0.7%
Q2 2015+0.4%
Q1 2015-1.4%
Q4 2014-2.6%
Q3 2014+0.5%
Q2 2014-0.9%
Q1 2014+0.5%
Q4 2013-1.4%
Q3 2013+2.4%
Q2 2013+3.4%
Q1 2013+0.5%
Q4 2012+0.3%
Q3 2012-1.4%
Q2 2012-3.4%
Q1 2012+0.9%
Q4 2008+0.8%
Q4 2011+0.8%
Q3 2011-1.2%
Q2 2011-12.4%
Q1 2010-12.4%
Q1 2011+0.7%
Q4 2010+0.5%
Q3 2010+0.2%
Q3 2009+0.2%
Q2 2009+1.1%
Q4 2009+1.1%
Q2 2010+1.1%

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