NYSE$UE

Urban Edge Properties · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported strong third quarter results driven by strategic plan execution and portfolio growth.

Urban Edge Properties reported a decrease in net income and FFO compared to the prior year, primarily due to a gain on debt extinguishment in 2023. However, FFO as Adjusted increased by 9% per diluted share, driven by new leases and acquisitions. The company also raised its full-year 2024 FFO as Adjusted guidance by $0.03 per share at the midpoint and anticipates reaching the high end of its 2025 FFO target.

  • Achieved same-property portfolio leased occupancy of 96.3%, up 200 basis points year-over-year.
  • Increased retail shop leased occupancy to 90.4%, up 500 basis points year-over-year.
  • Executed 45 new leases, renewals and options totaling 683,000 sf during the quarter.
  • Acquired The Village at Waugh Chapel for $126 million and sold a Home Depot property in Union, New Jersey for $71 million.

Headline financials

Total Revenue

$112M

Previous: $102M+10.4%
EPS

$0.07

Previous: $0.32-78.1%
Capital Expenditures

-$182M

Previous: -$86.8M-109.1%
Free Cash Flow

-$172M

Previous: -$50.7M-240.0%
Net Income

$9.08M

Previous: $36.1M-74.9%
Operating Income

$1M

Previous: $4.46M-77.6%
Gross Profit

$28.8M

Previous: $30M-3.9%
Stock-Based Comp

$2.72M

Previous: $1.81M+49.7%

Revenue & EPS history

Urban Edge · Revenue · Quarterly

$112M

Q3 2024+10.4%vs Q3 2023
Beat estimate in 9 of 13 quarters(69%)
ActualEstimate

Forward guidance

The Company has updated its 2024 full-year guidance ranges for net income, FFO and FFO as Adjusted, estimating net income of $0.35 to $0.38 per diluted share, FFO of $1.44 to $1.47 per diluted share, and FFO as Adjusted of $1.32 to $1.35 per diluted share, up from its previous guidance ranges of net income of $0.28 to $0.31 per diluted share, FFO of $1.42 to $1.45 per diluted share, and FFO as Adjusted of $1.29 to $1.32 per diluted share.

Tailwinds

  • Same-property NOI growth, including properties in redevelopment, of 4.75% to 6.00%, reflecting an increase on the low end from our previous assumption of 4.50% to 6.00%.
  • Recurring G&A expenses ranging from $35.5 million to $36.5 million, a decrease on the high end from our previous assumption of $35.5 million to $37.0 million.
  • Interest and debt expense ranging from $82.0 million to $84.0 million, a decrease from our previous assumption of $83.0 million to $86.0 million, reflecting updated financing transactions.
  • Net income per diluted share between $0.35 and $0.38
  • FFO per diluted share between $1.44 and $1.47

Headwinds

  • Excludes items that impact FFO comparability, including gains and/or losses on extinguishment of debt, transaction, severance, litigation, or any one-time items outside of the ordinary course of business.
  • Acquisitions of $243 million and dispositions of $109 million, both reflecting activity completed year-to-date.
  • There can be no assurance that our actual results will not differ from the guidance set forth above.
  • The Company assumes no obligation to update publicly any forward-looking statements, including its 2024 earnings guidance, whether as a result of new information, future events or otherwise.
  • There are known and unknown risks and uncertainties associated with these projections.

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 Q3 2024

Historical avgQ3 2024

+0.6%

Avg return

Earnings day

+1.2%

Avg return

5 days after

+0.2%

Avg return

30 days after

51%

25 / 49 earnings

Positive

+10.1%

Q3 2023

Best reaction

-5.4%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.8%-2.1%+1.4%
Q4 2025-1.7%-1.3%-2.4%
Q3 2025-3.0%-6.2%-5.3%
Q1 2025-1.8%+0.1%-1.4%
Q4 2024+2.1%-0.0%-11.1%
Q3 2024+0.5%+1.0%+4.0%
Q2 2024-2.5%-6.1%+2.1%
Q1 2024-0.2%+0.5%+4.2%
Q4 2023-0.1%-1.1%-6.0%
Q3 2023+10.1%+15.3%+13.6%
Q2 2023+1.7%+0.8%-4.7%
Q1 2023-1.0%-2.0%+2.9%
Q4 2022+0.3%-0.4%-13.2%
Q3 2022+4.3%+4.3%+11.2%
Q2 2022+1.3%+3.2%+0.2%
Q1 2022-2.2%-8.8%-5.4%
Q4 2021+4.7%+3.7%+7.9%
Q3 2021+1.1%+0.7%-4.9%
Q2 2021+1.9%+0.9%+1.1%
Q1 2021+0.5%+2.3%+6.5%
Q4 2020-1.0%+2.9%+4.3%
Q3 2020-5.4%+33.2%+40.2%
Q2 2020+4.6%+11.5%+12.9%
Q1 2020+4.7%-5.4%-11.2%
Q4 2019-1.9%-1.0%-25.6%
Q3 2019-0.3%+2.4%-2.1%
Q2 2019-0.3%-3.6%+3.9%
Q1 2019-2.5%-0.8%-7.1%
Q4 2018-1.8%-1.4%-8.9%
Q3 2018-1.1%-2.3%-5.2%
Q2 2018-0.4%-1.1%+0.8%
Q1 2018-2.3%-0.3%+4.2%
Q4 2017+2.0%+4.1%+1.0%
Q3 2017+6.2%+1.7%+9.5%
Q2 2017-2.8%+0.4%+0.3%
Q1 2017-1.6%-3.8%-8.3%
Q4 2016+1.8%+3.2%-5.3%
Q3 2016-0.4%+1.4%+7.3%
Q2 2016-0.7%-0.1%-1.7%
Q1 2016+3.1%
Q4 2013+0.6%
Q4 2015-0.6%
Q3 2015+1.7%
Q3 2014+1.7%
Q2 2015+1.7%
Q2 2014+1.7%
Q4 2014+2.4%
Q1 2015+2.4%
Q1 2014+2.4%
Q3 2013
Q2 2013
Q1 2013

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