NYSE$SUI

Sun Communities Inc · Q4 2022 earnings

Q4 2022 earnings · · Investor relations

Briefing

Sun Communities reported mixed Q4 2022 results with a decrease in net income but an increase in Core FFO. The company highlighted strong demand and strategic investments driving solid performance, along with record RV conversions.

Sun Communities reported a net income of $4.7 million, or $0.04 per diluted share, for Q4 2022, compared to $12.9 million, or $0.11 per diluted share, for the same period in 2021. Core FFO was $1.33 per share, a 1.5% increase year-over-year. The company reported strong demand and accretive investments drive continued solid performance. They are expecting total Same Property NOI growth of 4.9% - 5.9% in 2023.

  • Net income attributable to common shareholders was $4.7 million, or $0.04 per diluted share.
  • Core FFO was $1.33 per Share, representing a 1.5% increase as compared to the corresponding period in 2021.
  • Same Property NOI for MH and RV properties increased by 4.4%.
  • Record volume of transient-to-annual RV conversions propel record gains in revenue producing sites.

Headline financials

Total Revenue

$674M

Previous: $542M+24.3%
EPS (adj)

$1.33

Previous: $1.31+1.5%
Annual RV Occupancy

100.0%

Previous: 100.0%+0.0%
UK Annual Occupancy

89.0%

Previous: 97.4%-8.6%
Net Income

$4M

Previous: $14.8M-72.9%
Operating Income

$6.8M

Previous: $20.9M-67.5%
Gross Profit

$296M

Previous: $259M+14.4%
Cash & Equivalents

$72.8M

Previous: $65.8M+10.6%
Total Assets

$17.1B

Previous: $13.5B+26.6%
Stock-Based Comp

$37.6M

Previous: $28M+34.3%

Revenue & EPS history

Sun Communities · Revenue · Quarterly

$674M

Q4 2022+24.3%vs Q4 2021
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

Sun Communities · $441M total across 2 segments · Q4 2022

  • MH Total Revenue
    $391M+15.3%
  • RV Total Revenue
    $49.8M+8.7%

Forward guidance

The Company is establishing full-year and first quarter 2023 guidance for diluted EPS and Core FFO per Share.

Tailwinds

  • Expecting Total Same Property NOI Growth of 4.9% - 5.9% during the year ending December 31, 2023.
  • Total Expected NOI from Real Property: Change in 2023 Revenues Real property (excluding transient) 9.8% - 10.2%
  • Real property (transient) 0.9% - 2.1%
  • Increase in revenue producing sites 2,800 - 3,100
  • Vacant site additions from expansions and ground-up developments 1,000 - 1,300

Headwinds

  • Diluted EPS $(0.03) - $0.02 for the first quarter ending March 31, 2023
  • Total property operating expenses 13.5% - 13.9%
  • General and administrative expenses $256.5 - $261.6 millions
  • NOI from real property and home sales(a) $155.5 - $165.1 millions
  • Total Same Property NOI(1) growth during the first quarter ending March 31, 2023 is 3.3% - 4.4%.

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 2022

Historical avgQ4 2022

+0.4%

Avg return

Earnings day

+1.0%

Avg return

5 days after

+0.1%

Avg return

30 days after

64%

41 / 64 earnings

Positive

+8.8%

Q3 2022

Best reaction

-7.5%

Q3 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.5%-0.8%-2.3%
Q4 2025+2.0%+4.5%-4.4%
Q3 2025+2.8%+4.4%+7.8%
Q1 2025-4.5%-3.8%-4.3%
Q4 2024-0.6%-1.0%-2.8%
Q3 2024-7.5%-4.6%-6.4%
Q2 2024+4.7%+2.3%+6.3%
Q1 2024-6.5%-1.5%-3.1%
Q4 2023+2.4%+1.1%+1.4%
Q3 2023+2.4%+4.4%+18.7%
Q2 2023-4.9%-6.3%-10.9%
Q1 2023-2.3%+0.3%-7.6%
Q4 2022-5.1%-6.8%-14.4%
Q3 2022+8.8%+12.1%+21.9%
Q2 2022+0.2%+2.1%-0.4%
Q1 2022-1.8%-6.0%-13.8%
Q4 2021-1.3%-0.4%-6.5%
Q3 2021-2.2%-3.1%-1.1%
Q2 2021+2.2%+4.2%+4.6%
Q1 2021+1.4%+3.5%+3.9%
Q4 2020+1.2%+1.3%-0.4%
Q3 2020-2.3%-2.3%-3.6%
Q2 2020+3.4%+4.1%+7.6%
Q1 2020+3.4%+15.8%+13.0%
Q4 2019+2.1%+1.0%-33.6%
Q3 2019+1.9%+1.9%+2.0%
Q2 2019-0.2%+1.2%+11.5%
Q1 2019+2.2%+1.7%+5.5%
Q4 2018-0.7%-1.0%+3.0%
Q3 2018+3.7%+3.2%+3.0%
Q2 2018+0.2%+0.2%+5.8%
Q1 2018+0.0%+2.9%+2.2%
Q4 2017+2.4%+4.0%+3.6%
Q3 2017+0.5%+0.7%+4.2%
Q2 2017+1.2%+1.4%+2.3%
Q1 2017+0.5%+0.2%+4.0%
Q4 2016+3.1%+2.2%-0.6%
Q3 2016-1.0%-2.3%-7.6%
Q2 2016-2.4%-3.6%-4.3%
Q1 2016-0.2%
Q4 2015+1.7%
Q3 2015-2.9%
Q2 2015+3.3%
Q1 2015+2.7%
Q4 2014-1.3%
Q3 2014+6.6%
Q2 2014+1.5%
Q1 2014+2.7%
Q4 2013-2.6%
Q3 2013+0.1%
Q2 2013-1.0%
Q1 2013+0.3%
Q4 2012+1.5%
Q3 2012-3.9%
Q2 2012+0.4%
Q1 2011+1.4%
Q1 2012+0.6%
Q1 2010+0.7%
Q4 2011+0.7%
Q3 2011-1.9%
Q3 2010-1.9%
Q2 2010+2.5%
Q2 2011+2.5%
Q4 2010+2.5%

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