NYSE$PGRE

Paramount Group Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Paramount's financial performance remained steady with a slight increase in net income and core FFO, as the company raised its full-year earnings guidance.

Paramount Group, Inc. reported a net income attributable to common stockholders of $1.7 million, or $0.01 per diluted share, for the quarter ended March 31, 2023. Core Funds from Operations (FFO) attributable to common stockholders was $56.2 million, or $0.26 per diluted share. The company raised its full-year 2023 earnings guidance and reported a 7.1% increase in Same Store Net Operating Income (NOI).

  • Net income attributable to common stockholders was $1.7 million, or $0.01 per diluted share.
  • Core FFO attributable to common stockholders was $56.2 million, or $0.26 per diluted share.
  • Full year 2023 earnings guidance was raised.
  • Same Store NOI increased by 7.1%.

Headline financials

Total Revenue

$188M

Previous: $184M+2.6%
EPS (adj)

$0.26

Previous: $0.25+4.0%
Same Store Cash NOI Decrease

0.1%

No prior period
Capital Expenditures

-$18.9M

Previous: -$29M+34.9%
Free Cash Flow

$39.1M

Previous: $29.6M+31.8%
Net Income

$1.73M

Previous: $3.37M-48.7%
Operating Income

$44.5M

Previous: $45.6M-2.4%
Gross Profit

$118M

Previous: $117M+1.0%
Cash & Equivalents

$452M

Previous: $462M-2.2%
Total Assets

$8.48B

Previous: $8.5B-0.2%
Stock-Based Comp

$5.12M

Previous: $6.56M-22.0%

Revenue & EPS history

Paramount · Revenue · Quarterly

$188M

Q1 2023+2.6%vs Q1 2022
Beat estimate in 13 of 15 quarters(87%)
ActualEstimate

Revenue by segment

Paramount · $184M total across 2 segments · Q4 2021

  • Rental Revenue
    $172M
  • Fee and Other Income
    $12.4M

Forward guidance

The Company is raising its Estimated Core FFO Guidance for the full year of 2023, and estimates that net loss attributable to common stockholders will be between $0.11 and $0.07 per diluted share.

Tailwinds

  • Estimated Core FFO to be between $0.90 and $0.94 per diluted share.
  • Increase of $0.01 per diluted share at the midpoint of the Company's prior guidance.
  • Better than expected portfolio operations.
  • Management’s view of current and future market conditions.
  • Assumptions with respect to rental rates and occupancy levels.

Headwinds

  • Possible future property acquisitions or dispositions.
  • Realized and unrealized gains and losses on real estate related fund investments.
  • Fluctuations as a result of several factors.
  • Negative impact of the COVID-19 global pandemic.
  • Impact on operating results from the Federal Deposit Insurance Corporation being appointed as receiver of our tenant First Republic Bank

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 16 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

+0.2%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+2.1%

Avg return

30 days after

52%

23 / 44 earnings

Positive

+8.9%

Q3 2023

Best reaction

-6.9%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2025
Q3 2025+0.2%+0.5%+0.9%
Q2 2025+1.8%+6.8%+19.8%
Q1 2025+7.2%+7.9%+41.4%
Q4 2024-2.0%-5.4%-7.4%
Q3 2024-2.6%-0.6%-1.8%
Q2 2024-2.1%-12.0%-2.5%
Q1 2024+3.4%+4.3%-2.1%
Q4 2023+7.1%+7.3%+2.0%
Q3 2023+8.9%+10.1%+9.8%
Q2 2023-6.9%-6.9%-0.8%
Q1 2023+6.4%+5.7%+6.6%
Q4 2022-3.1%-4.8%-28.9%
Q3 2022-4.5%-3.9%-5.6%
Q2 2022+1.1%+4.7%-3.9%
Q1 2022-1.8%-6.0%-9.2%
Q4 2021-3.7%+16.7%+15.1%
Q3 2021-4.0%
Q2 2021-0.9%
Q1 2021+1.0%
Q4 2020+0.2%
Q3 2020-3.4%
Q2 2020-1.4%
Q1 2020+7.5%
Q4 2019+1.9%
Q3 2019+2.9%
Q2 2019-2.2%
Q1 2019+0.0%
Q4 2018-2.1%
Q3 2018+0.8%
Q2 2018-1.4%
Q1 2018+1.3%
Q4 2017+0.4%
Q3 2017+0.5%
Q2 2017+1.0%
Q1 2017+1.0%
Q4 2016-1.4%
Q3 2016-3.1%
Q2 2016+1.2%
Q1 2016-0.5%
Q4 2015-1.0%
Q3 2015+0.9%
Q2 2015-1.0%
Q1 2015+1.0%
Q4 2014+1.0%
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013

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