NYSE$EQR

Equity Residential · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Reported results for the quarter and year ended December 31, 2021.

Equity Residential reported strong Q4 2021 results, driven by robust demand and high occupancy. EPS was $1.40, FFO per share was $0.76, and Normalized FFO per share was $0.82. The company's capital allocation plan remains on track with acquisitions in expansion markets and dispositions in established markets.

  • EPS increased by 105.9%, FFO per share increased by 4.1%, and Normalized FFO per share increased by 7.9% during the fourth quarter of 2021 compared to the same period of 2020.
  • Same store revenue increased by 4.9% for the fourth quarter of 2021 compared to the same period of 2020, driven by strong Physical Occupancy, a substantial improvement in pricing power and an increase in Non-Residential revenues.
  • Same store Turnover was 9.4% for the fourth quarter of 2021, the lowest in the Company’s history, demonstrating the depth of demand from its residents.
  • The Company continued to successfully execute on its capital allocation strategy during the fourth quarter of 2021 with the acquisition of six operating properties in its expansion markets for an aggregate purchase price of approximately $689.0 million and the disposition of four operating properties in its California and Washington, D.C. markets for an aggregate sale price of approximately $695.0 million.

Headline financials

Total Revenue

$645M

Previous: $613M+5.2%
EPS (adj)

$0.82

Previous: $0.76+7.9%
Physical Occupancy

96.6%

Previous: 94.2%+2.5%
Turnover

9.4%

Previous: 13.4%-29.9%
Net Income

$561M

Previous: $263M+113.3%
Operating Income

$642M

Previous: $357M+80.0%
Cash & Equivalents

$124M

Previous: $42.6M+190.7%
Total Assets

$21.2B

Previous: $20.3B+4.3%
Stock-Based Comp

$5.89M

Previous: $4.9M+20.2%

Revenue & EPS history

Equity Residential · Revenue · Quarterly

$645M

Q4 2021+5.2%vs Q4 2020
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Forward guidance

The Company has established guidance ranges for the first quarter of 2022 EPS, FFO per share and Normalized FFO per share as listed below: Q1 2022 Guidance EPS $0.85 to $0.89 FFO per share $0.75 to $0.79 Normalized FFO per share $0.76 to $0.80

Tailwinds

  • Same Store NOI $ 0.48
  • Lease-Up NOI 0.06

Headwinds

  • Interest expense, net (0.04 )
  • Corporate overhead (0.04 )

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 Q4 2021

Historical avgQ4 2021

-0.1%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+1.0%

Avg return

30 days after

47%

34 / 72 earnings

Positive

+8.8%

Q2 2008

Best reaction

-9.2%

Q2 2011

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.0%+0.1%+0.5%
Q4 2025+3.4%+4.7%+1.5%
Q3 2025-4.2%-3.9%+0.5%
Q1 2025+1.0%+1.9%+0.9%
Q4 2024+0.4%+1.4%+2.2%
Q3 2024-5.2%-5.4%+3.3%
Q2 2024-1.7%-0.8%+4.8%
Q1 2024+3.3%+4.2%+4.5%
Q4 2023+1.2%+1.2%+1.2%
Q3 2023-2.3%+2.3%+4.4%
Q2 2023-3.8%-2.4%-4.5%
Q1 2023-1.6%+3.3%-2.8%
Q4 2022-0.6%+1.6%-10.4%
Q3 2022-0.5%-1.6%-2.6%
Q2 2022+3.0%+6.7%+5.7%
Q1 2022-4.6%-9.7%-15.4%
Q4 2021+3.7%+1.6%-2.3%
Q3 2021+2.2%+1.3%+3.0%
Q2 2021-0.4%-0.4%-2.0%
Q1 2021-1.5%-0.7%+2.6%
Q4 2020+2.8%+2.3%+11.4%
Q3 2020-8.8%-7.3%+19.2%
Q2 2020+0.5%+0.6%+6.2%
Q1 2020-2.4%+2.8%-1.3%
Q4 2019-0.1%+0.9%-4.7%
Q3 2019-1.0%-1.2%-4.1%
Q2 2019-0.9%+1.1%+5.9%
Q1 2019+1.6%+1.7%+0.7%
Q4 2018+0.4%+0.4%+2.7%
Q3 2018+3.0%+2.0%+9.4%
Q2 2018+2.2%+1.3%+5.7%
Q1 2018-0.2%+2.5%+1.3%
Q4 2017+0.7%-2.1%-8.0%
Q3 2017+0.3%+1.5%+2.2%
Q2 2017+1.1%+1.6%+2.0%
Q1 2017+1.7%+0.6%+1.4%
Q4 2016-1.3%-0.5%+4.2%
Q3 2016+0.7%-0.9%-2.5%
Q2 2016-6.0%-3.1%-6.5%
Q1 2016-3.5%
Q4 2015-1.4%
Q3 2015+0.2%
Q2 2015-0.8%
Q1 2015-1.7%
Q4 2014+2.4%
Q3 2014-0.1%
Q2 2014+1.1%
Q1 2014+0.5%
Q4 2013+1.8%
Q3 2013-2.8%
Q2 2013-3.1%
Q1 2013-0.5%
Q4 2012+1.4%
Q3 2012+0.2%
Q2 2012-0.9%
Q1 2012-1.3%
Q4 2011+0.2%
Q3 2011-0.1%
Q2 2011-9.2%
Q1 2011-1.1%
Q4 2010+0.1%
Q3 2010+4.1%
Q2 2010-2.1%
Q1 2009-6.1%
Q1 2010-0.9%
Q4 2009-0.1%
Q4 2007-0.1%
Q3 2008+1.1%
Q3 2009+1.1%
Q4 2008+8.8%
Q2 2009+8.8%
Q2 2008+8.8%

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