NYSE$PGRE

Paramount Group Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Paramount Group's results for the third quarter of 2021 were announced, with raised guidance for the full year.

Paramount Group reported a net loss attributable to common stockholders of $2.1 million, or $0.01 per diluted share. Core FFO attributable to common stockholders was $50.1 million, or $0.23 per diluted share. The company raised its Estimated Core FFO Guidance for the full year of 2021 to be between $0.90 to $0.92 per diluted share.

  • Net loss attributable to common stockholders was $2.1 million, or $0.01 per diluted share.
  • Core Funds from Operations (FFO) attributable to common stockholders of $50.1 million, or $0.23 per diluted share.
  • Same Store Cash Net Operating Income (NOI) increased by 6.0%.
  • Leased 374,385 square feet, of which the Company’s share was 314,673 square feet at a weighted average initial rent of $74.47 per square foot.

Headline financials

Total Revenue

$179M

Previous: $177M+1.3%
EPS (adj)

$0.23

Previous: $0.22+4.5%
Leased Occupancy

90.3%

No prior period
Capital Expenditures

-$74.1M

Previous: -$85.3M+13.1%
Free Cash Flow

$114M

Previous: $54.2M+110.1%
Net Income

-$2.06M

Previous: -$6.96M+70.5%
Operating Income

$41.1M

Previous: $33.1M+24.1%
Gross Profit

$112M

Previous: $109M+2.8%
Cash & Equivalents

$495M

Previous: $516M-4.1%
Total Assets

$8.55B

Previous: $8.81B-3.0%
Stock-Based Comp

$4.19M

Previous: $4.5M-6.9%

Revenue & EPS history

Paramount · Revenue · Quarterly

$179M

Q3 2021+1.3%vs Q3 2020
Beat estimate in 12 of 16 quarters(75%)
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 2021 to be between $0.90 to $0.92 per diluted share.

Tailwinds

  • Better than expected portfolio operations, aggregating $0.02 per diluted share
  • $0.01 per diluted share from lower interest expense
  • Estimated net loss attributable to common stockholders will be between $0.08 to $0.06 per diluted share
  • Up $0.03 per diluted share from the midpoint of the Company’s prior estimate
  • Resulting from better than expected portfolio operations and lower interest expense

Headwinds

  • Estimates reflect management’s view of current and future market conditions
  • Estimates include assumptions with respect to rental rates, occupancy levels and the earnings impact of the events referenced in this release
  • Estimates do not include the impact on operating results from possible future property acquisitions or dispositions, capital markets activity or realized and unrealized gains or losses on real estate fund investments
  • Estimates may be subject to fluctuations as a result of several factors, including the negative impact of the COVID-19 global pandemic, straight-line rent adjustments and the amortization of above and below-market leases
  • There can be no assurance that the Company’s actual results will not differ materially from the estimates set forth above

Historical earnings impact

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

Avg. return before/after earnings

Based on 16 quarterly earnings reports

Historical avg

+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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