NYSE$IRT

Independence Realty Trust Inc · Q4 2021 earnings

Q4 2021 earnings · · Investor relations

Briefing

Announced fourth quarter and full year 2021 financial results.

Independence Realty Trust reported strong fourth-quarter results, marked by significant growth in net income and same-store NOI. The completion of the STAR merger has doubled the property and unit count, positioning the company for continued growth in the U.S. Sunbelt region.

  • Net income available to common shares was $28.6 million, compared to $13.3 million for the quarter ended December 31, 2020.
  • Earnings per diluted share was $0.23, compared to $0.14 for the quarter ended December 31, 2020.
  • Same store net operating income (NOI) grew by 15.1% compared to the quarter ended December 31, 2020.
  • The strategic merger with Steadfast Apartment REIT (STAR) was completed on December 16, 2021, adding 68 properties with 21,394 rentable units and two development properties with 621 rentable units.

Headline financials

Total Revenue

$76.8M

Previous: $53.9M+42.4%
EPS (adj)

$0.24

Previous: $0.22+9.1%
Portfolio Average Occupancy

95.7%

Previous: 94.9%+0.8%
NOI Margin

65.6%

Previous: 62.3%+5.3%
Free Cash Flow

-$21.5M

Previous: $14.4M-249.3%
Net Income

$29.5M

Previous: $13.4M+120.5%
Operating Income

$49.9M

No prior period
Gross Profit

$46.7M

Previous: $31.8M+47.1%
Cash & Equivalents

$36M

Previous: $8.75M+311.1%
Total Assets

$6.51B

Previous: $1.73B+275.0%
Stock-Based Comp

$1.31M

Previous: $803K+63.5%

Revenue & EPS history

Independence Realty Trust · Revenue · Quarterly

$76.8M

Q4 2021+42.4%vs Q4 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Forward guidance

IRT introduced 2022 full year guidance with earnings per diluted share projected to be in the range of $0.32 to $0.36 and Core FFO per share in the range of $1.00 to $1.04.

Tailwinds

  • Property revenue growth of 8.1% to 9.1%
  • Controllable operating expense growth of 2.5% to 3.5%
  • Property NOI growth of 10.0% to 12.0%
  • Disposition volume of $157 million
  • Recurring Capital Expenditures of $18.5 million to $21.5 million

Headwinds

  • Real estate tax and insurance expense growth of 6.5% to 8.5%
  • Total operating expense growth of 4.0% to 5.5%
  • General and administrative & Property management expenses of $48.0 million to $51.0 million
  • Interest expense of $100.0 million to $103.0 million
  • Acquisition volume None assumed

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

+0.8%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+2.3%

Avg return

30 days after

51%

26 / 51 earnings

Positive

+10.0%

Q2 2015

Best reaction

-8.7%

Q2 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.1%+1.3%-0.3%
Q4 2025-5.3%-2.4%-6.0%
Q3 2025+4.5%+7.2%+13.4%
Q1 2025-1.4%-0.3%-4.3%
Q4 2024+2.2%+3.6%+4.5%
Q3 2024-0.5%-2.3%+10.8%
Q2 2024+2.9%+2.0%+11.4%
Q1 2024-0.1%+1.9%+5.4%
Q4 2023+8.2%+8.4%+8.5%
Q3 2023+1.6%+11.8%+11.0%
Q2 2023-1.6%-0.4%-3.7%
Q1 2023+4.8%+6.2%+8.0%
Q4 2022-1.8%-3.0%-19.8%
Q3 2022+0.2%+2.2%+6.7%
Q2 2022+4.5%+1.7%-5.3%
Q1 2022-2.0%-10.1%-7.7%
Q4 2021+4.0%-3.6%+1.1%
Q3 2021+6.6%+5.8%+10.5%
Q2 2021-8.7%-3.6%+0.1%
Q1 2021-1.8%-1.7%+0.9%
Q4 2020+2.1%+5.7%+8.3%
Q3 2020+4.1%+3.8%+7.2%
Q2 2020+3.4%-0.4%+7.2%
Q1 2020-3.5%-1.3%+19.1%
Q4 2019+5.6%+8.2%-39.3%
Q3 2019+1.7%-1.7%-1.4%
Q2 2019+5.2%+1.9%+12.4%
Q1 2019-0.5%+0.7%+3.7%
Q4 2018-3.9%-4.3%-1.8%
Q3 2018-2.4%-2.8%+1.9%
Q2 2018+0.0%-0.4%+1.4%
Q1 2018-1.1%+0.0%+0.9%
Q4 2017-5.7%-1.3%+2.6%
Q3 2017+0.6%+1.7%+1.1%
Q2 2017+0.0%+0.1%+1.7%
Q1 2017-0.5%-1.3%+7.2%
Q4 2016-0.7%-1.8%-0.5%
Q3 2016-2.8%-8.5%+3.9%
Q2 2016+7.6%+9.9%+10.2%
Q1 2016+4.1%
Q4 2015+3.1%
Q3 2015+5.2%
Q2 2015+10.0%
Q1 2015-5.2%
Q4 2014-1.4%
Q3 2014+0.6%
Q2 2014+0.4%
Q1 2014-1.3%
Q4 2013+0.9%
Q3 2013+1.0%
Q2 2013-3.0%
Q1 2013
Q4 2012
Q3 2012
Q2 2012
Q1 2011
Q1 2012
Q4 2009
Q4 2011
Q3 2010
Q3 2011
Q2 2011
Q2 2010
Q4 2010
Q1 2010

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