NYSE$WPC

WP Carey Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

W. P. Carey Inc. reported financial results for the second quarter ended June 30, 2021.

W. P. Carey Inc. announced second quarter 2021 financial results, with investment volume of $780.0 million and gross disposition proceeds of $86.0 million. The company raised and narrowed its 2021 AFFO guidance range to between $4.94 and $5.02 per diluted share. The overall collection rate was 99% for the second quarter rent due, and portfolio occupancy was 98.0%.

  • Investment volume of $780.0 million for the second quarter, bringing total investment volume for the first half of 2021 to $993.7 million.
  • Gross disposition proceeds of $86.0 million during the second quarter, bringing total dispositions for the first half of 2021 to $99.7 million.
  • Overall collection rate of 99% for 2021 second quarter rent due.
  • AFFO guidance range raised and narrowed to between $4.94 and $5.02 per diluted share, including Real Estate AFFO of between $4.82 and $4.90 per diluted share.

Headline financials

Total Revenue

$320M

Previous: $291M+10.0%
EPS (adj)

$1.27

Previous: $1.14+11.4%
Net Lease Properties

1.3K

Previous: 1.2K+4.1%
Tenants

356

Previous: 352+1.1%
Square Feet Leased

150.0M

Previous: 142.0M+5.6%
Occupancy Rate

98.0%

Previous: 98.9%-0.9%
Weighted-Average Lease Term

10.8

Previous: 10.7+0.9%
Capital Expenditures

-$837M

Previous: -$266M-214.9%
Free Cash Flow

-$717M

Previous: -$161M-346.5%
Net Income

$120M

Previous: $105M+14.2%
Operating Income

$178M

Previous: $163M+8.9%
Gross Profit

$319M

Previous: $288M+10.6%
Cash & Equivalents

$165M

Previous: $137M+19.9%
Total Assets

$15.2B

Previous: $14B+9.1%

Revenue & EPS history

WP Carey · Revenue · Quarterly

$320M

Q2 2021+10%vs Q2 2020
Beat estimate in 10 of 16 quarters(63%)
ActualEstimate

Revenue by segment

WP Carey · $309M total across 2 segments · Q2 2021

  • Lease revenues
    $305M+8.9%
  • Operating property revenues
    $3.25M+127.4%

Forward guidance

The Company has raised and narrowed its guidance range for the 2021 full year and currently expects to report total AFFO of between $4.94 and $5.02 per diluted share, including Real Estate AFFO of between $4.82 and $4.90 per diluted share.

Tailwinds

  • Investments for the Company's Real Estate portfolio of between $1.5 billion and $2.0 billion, which has been revised higher.
  • Positive impact on rent collections as businesses recover from the initial effects of the COVID-19 pandemic
  • Increased expectations for full year investment volume
  • Active deal pipeline
  • Favorable cost of capital

Headwinds

  • Dispositions from the Company's Real Estate portfolio of between $150 million and $250 million, which has been revised lower.
  • Total general and administrative expenses of between $82 million and $84 million, which has been revised higher.
  • Effects of pandemics and global outbreaks of contagious diseases or the fear of such outbreaks (such as the current COVID-19 pandemic)
  • Tenants’ continued ability to pay rent
  • Impairments of assets, gains and losses from sales of assets, and depreciation and amortization from new acquisitions.

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

-0.2%

Avg return

Earnings day

-0.7%

Avg return

5 days after

-0.1%

Avg return

30 days after

47%

32 / 68 earnings

Positive

+10.4%

Q2 2011

Best reaction

-8.5%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.8%-0.3%+2.4%
Q4 2025-0.4%+2.2%-1.5%
Q3 2025+0.1%-0.3%+1.9%
Q1 2025+2.1%+0.6%+2.6%
Q4 2024+2.8%+4.5%+11.6%
Q3 2024-2.2%-4.1%+0.1%
Q2 2024-5.1%-6.0%-2.8%
Q1 2024-1.9%+1.8%+0.7%
Q4 2023-7.3%-9.0%-6.2%
Q3 2023-1.9%-1.0%+14.4%
Q2 2023-5.4%-6.6%-9.8%
Q1 2023+0.5%-2.5%-7.3%
Q4 2022+4.9%+3.2%-3.3%
Q3 2022+4.0%+4.5%+9.2%
Q2 2022+3.1%+0.1%+1.1%
Q1 2022-8.5%-7.1%-0.8%
Q4 2021+2.0%+3.1%+7.2%
Q3 2021-1.5%-1.4%-2.9%
Q2 2021-1.2%-1.2%-4.0%
Q1 2021+3.1%+1.1%+2.8%
Q4 2020+0.2%-0.6%+0.3%
Q3 2020+2.9%+5.7%+12.5%
Q2 2020-0.5%+0.3%+1.7%
Q1 2020-7.3%-10.2%-8.9%
Q4 2019+4.0%+2.1%-41.8%
Q3 2019-3.8%-6.4%-9.4%
Q2 2019-4.0%-1.0%+3.3%
Q1 2019-0.5%-2.1%+4.7%
Q4 2018-0.3%-1.2%+4.5%
Q3 2018-0.3%+0.3%+4.4%
Q2 2018+0.2%-0.1%+1.5%
Q1 2018+3.1%+3.8%+5.8%
Q4 2017+1.7%-0.1%+1.0%
Q3 2017+2.0%+4.0%+3.8%
Q2 2017-0.1%-1.8%+2.5%
Q1 2017-0.5%-0.1%+7.8%
Q4 2016+1.3%-0.7%-3.0%
Q3 2016-1.4%+0.3%-1.9%
Q2 2016-2.1%-2.2%-6.8%
Q1 2016+0.8%
Q4 2015+2.5%
Q3 2015-0.3%
Q2 2015-3.0%
Q1 2015-2.0%
Q4 2014-3.6%
Q3 2014-0.4%
Q2 2014+1.2%
Q1 2014-0.8%
Q4 2013+1.1%
Q3 2013-0.7%
Q2 2013-2.7%
Q1 2013+3.6%
Q4 2012+2.2%
Q3 2012-0.7%
Q2 2012-2.4%
Q4 2011-2.4%
Q1 2012+1.1%
Q4 2010-2.6%
Q3 2011-1.8%
Q2 2011+10.4%
Q1 2010+0.2%
Q1 2011+0.0%
Q4 2008+3.4%
Q3 2009+1.1%
Q3 2010+1.1%
Q4 2009+0.8%
Q2 2010+0.8%
Q2 2009+0.8%

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