NYSE$JBGS

JBG SMITH Properties · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

JBG SMITH experienced improved market fundamentals and strengthened demand tailwinds

JBG SMITH reported a net loss attributable to common shareholders of $3.0 million, or $0.03 per share, and Core FFO attributable to common shareholders of $44.8 million, or $0.34 per share for the three months ended June 30, 2021. The company saw improvements in commercial and multifamily portfolios and progressed with development pipeline.

  • Amazon's accelerated hiring pace continues to be a significant growth catalyst in National Landing, hiring over 1,600 employees and is on track to surpass its minimum commitment to the Commonwealth of Virginia of 3,544 new hires by year end 2021.
  • Virginia Tech continues to expand its commitment in National Landing, partnering with aircraft manufacturer Boeing, which has committed to provide Virginia Tech with $50 million to support the $1 billion Innovation Campus.
  • Tour activity in the commercial portfolio has ranged from 50 to 75% of pre-pandemic levels, and the company leased more space in June than in any month since the start of the pandemic.
  • The company secured final entitlements for two multifamily buildings in National Landing, 2000 and 2001 South Bell Street, with design calling for 785 multifamily units and over 29,000 square feet of ground floor retail.

Headline financials

Total Revenue

$155M

Previous: $145M+6.7%
EPS (adj)

$0.34

Previous: $0.26+30.8%
Same Store NOI Growth

0.4%

Previous: -3.0%+113.3%
Free Cash Flow

-$2.97M

Previous: -$45.3M+93.4%
Net Income

-$2.97M

Previous: -$36.8M+91.9%
Operating Income

-$41.9M

Previous: -$61M+31.3%
Gross Profit

$120M

Previous: $111M+7.6%
Cash & Equivalents

$201M

Previous: $711M-71.7%
Total Assets

$6.01B

Previous: $6.5B-7.5%
Stock-Based Comp

$13.7M

Previous: $20.8M-34.4%

Revenue & EPS history

JBG SMITH · Revenue · Quarterly

$155M

Q2 2021+6.7%vs Q2 2020
Beat estimate in 8 of 11 quarters(73%)
ActualEstimate

Revenue by segment

JBG SMITH · $31.3M total across 2 segments · Q3 2023

  • Third-Party Real Estate Services
    $23.9M
  • Other Revenue
    $7.33M

Forward guidance

JBG SMITH is cautiously optimistic about a strong recovery, but remains vigilant due to new COVID-19 variants and the re-imposition of certain safety protocols. The company is focused on capitalizing on demand tailwinds from Amazon’s HQ2, the Virginia Tech Innovation Campus, and the deployment of 5G and its Smart City plan in National Landing.

Tailwinds

  • Vaccination rates suggest a strong recovery is underway.
  • Return-to-the-office plans indicate a positive trend.
  • Market fundamentals are improving.
  • The company is well-positioned to thrive as the recovery unfolds.
  • The company remains laser focused on capitalizing on the strong demand tailwinds of Amazon’s HQ2, the Virginia Tech Innovation Campus and the deployment of 5G and our Smart City plan in National Landing.

Headwinds

  • New variants of COVID-19 are increasing cases.
  • Certain safety protocols are being re-imposed.
  • Uncertainty and unpredictability persist due to the evolving pandemic.
  • The medium-term implications for office remain a concern.
  • Vacancy is still at record highs across the region.

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 2021

Historical avgQ2 2021

-1.5%

Avg return

Earnings day

-2.2%

Avg return

5 days after

-0.6%

Avg return

30 days after

23%

9 / 40 earnings

Positive

+5.1%

Q1 2023

Best reaction

-9.7%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.6%+0.7%-1.8%
Q4 2025-1.4%-0.9%-6.4%
Q3 2025-5.4%-11.2%-14.6%
Q1 2025-1.6%+4.4%+20.3%
Q3 2024-3.0%-7.6%-7.7%
Q2 2024-3.0%-4.7%+3.3%
Q1 2024-6.4%-3.9%-8.7%
Q4 2023+0.8%-0.6%+3.2%
Q3 2023-1.0%-5.4%+11.5%
Q2 2023-9.7%-7.4%-6.2%
Q1 2023+5.1%+2.9%+7.3%
Q4 2022-2.5%-4.9%-27.3%
Q3 2022-1.4%-2.6%+4.2%
Q2 2022-3.1%-6.6%-14.1%
Q1 2022+2.6%-2.2%+0.3%
Q4 2021-5.9%-2.4%+4.2%
Q3 2021+0.3%+2.9%-3.8%
Q2 2021-4.4%-3.7%-4.5%
Q1 2021-1.6%+0.3%+6.1%
Q4 2020+1.8%-1.8%-3.0%
Q3 2020+0.1%-1.0%+33.3%
Q2 2020-0.0%+0.1%-2.1%
Q1 2020-2.0%+0.6%-1.1%
Q4 2019-2.4%-11.0%-26.4%
Q3 2019-1.5%-2.1%-1.8%
Q2 2019+0.4%+1.2%+3.6%
Q1 2019-1.8%-1.2%-4.4%
Q4 2018-1.8%-1.5%+1.1%
Q3 2018-1.4%-2.3%-0.7%
Q2 2018-0.8%+0.6%-2.2%
Q1 2017-0.5%-2.0%+3.5%
Q1 2018-0.5%-2.0%+3.5%
Q4 2015-1.8%-2.2%-0.1%
Q4 2017-1.8%-2.2%-0.1%
Q1 2016-1.8%-2.2%-0.1%
Q3 2017+0.8%-0.5%+5.1%
Q3 2016+0.8%-0.5%+5.1%
Q2 2016-0.5%-1.4%-1.4%
Q2 2017-0.5%-1.4%-1.4%
Q4 2016-0.5%-1.4%-1.4%

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