NYSE$WPC

WP Carey Inc · Q4 2023 earnings

Q4 2023 earnings · · Investor relations

Briefing

W. P. Carey's financial results for Q4 2023 and full year 2023 were announced, with the company focusing on its strategic office exit and narrowing its 2024 AFFO guidance.

W. P. Carey reported a decrease in net income attributable to W. P. Carey for the fourth quarter of 2023 to $144.3 million, and a decrease in AFFO per diluted share to $1.19. The company completed $345.6 million in investments during the quarter and made significant progress in its strategic office exit, bringing office exposure below 3% of total ABR.

  • Net income attributable to W. P. Carey was $144.3 million for Q4 2023.
  • AFFO was $1.19 per diluted share for Q4 2023.
  • Investment volume of $345.6 million was completed during Q4 2023.
  • Strategic office exit progressed, with office exposure below 3% of total ABR.

Headline financials

Total Revenue

$412M

Previous: $402M+2.6%
EPS (adj)

$1.19

Previous: $1.29-7.8%
Net Lease Properties

1.4K

Previous: 1.4K-1.7%
Tenants

336

Previous: 392-14.3%
Square Feet Leased

173.0M

Previous: 176.0M-1.7%
Occupancy Rate

98.1%

Previous: 98.8%-0.7%
Weighted-Average Lease Term

11.7

Previous: 10.8+8.3%
Self-Storage Operating Properties

89

Previous: 84+6.0%
Hotel Operating Properties

5

Previous: 1+400.0%
Student Housing Operating Properties

2

Previous: 2+0.0%
Net Income

$144M

Previous: $210M-31.1%
Operating Income

$129M

Previous: $168M-22.9%

Revenue & EPS history

WP Carey · Revenue · Quarterly

$412M

Q4 2023+2.6%vs Q4 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Revenue by segment

WP Carey · $421M total across 4 segments · Q3 2023

  • Lease revenues
    $369M+11.2%
  • Operating property revenues
    $49.2M+130.5%
  • Other lease-related income
    $2.31M-71.8%
  • Asset management revenue
    $194K-83.8%

Forward guidance

For the 2024 full year, the Company expects to report total AFFO of between $4.65 and $4.75 per diluted share, based on anticipated investment and disposition volumes, and general and administrative expenses.

Tailwinds

  • Investment volume of between $1.5 billion and $2.0 billion
  • Disposition volume of between $1.2 billion and $1.4 billion
  • Completion of the Company’s strategic plan to exit office
  • Exercise of the U-Haul purchase option during the 2024 first quarter, generating approximately $465 million in gross proceeds
  • Other dispositions totaling between $150 million and $350 million

Headwinds

  • Completion of the Company’s strategic plan to exit office
  • Anticipated asset sales under the Office Sale Program totaling between $550 million and $600 million during the first half of 2024
  • Exercise of the U-Haul purchase option during the 2024 first quarter, generating approximately $465 million in gross proceeds
  • Other dispositions totaling between $150 million and $350 million
  • Total general and administrative expenses of between $100 million and $103 million

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 2023

Historical avgQ4 2023

-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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