Earnings Review and Free Research Report: Invitation Homes’ Revenue Gained 5.1%; Adjusted FFO Soared 21.5%
Research Desk Line-up: Maui Land & Pineapple Post Earnings Coverage
LONDON, UK / ACCESSWIRE / August 23, 2017 /Pro-Trader Daily has just published a free post-earnings coverage on Invitation Homes Inc. (NYSE: INVH), which can be viewed by registering at http://protraderdaily.com/optin/?symbol=INVH, following the Company's posting of its second quarter fiscal 2017 operating results on August 10, 2017. The Company's revenue numbers beat market estimates. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:
Get more of our free earnings reports coverage from other constituents of the Real Estate Development industry. Pro-TD has currently selected Maui Land & Pineapple Company, Inc. (NYSE: MLP) for due-diligence and potential coverage as the Company reported on August 09, 2017, its financial results for Q2 2017. Register for a free membership today, and be among the early birds that get access to our report on Maui Land & Pineapple when we publish it.
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on INVH; also brushing on MLP. With the links below you can directly download the report of your stock of interest free of charge at:
For Q2 2017, Invitation Homes' total revenues increased 5.1% to $242.22 million compared to revenue of $230.50 million in Q2 2016. Revenue growth was driven by an increase in average rental rate per home that more than offset a slight decline in home count. The Company's total property operating and maintenance expenses increased 1.7% to $93 million. Invitation Homes' revenue exceeded estimates of $240.58 million.
Invitation Homes' net income for the three months ended June 30, 2017, was $5.53 million compared to net loss of $19.67 million in Q2 2016. The turnaround was attributed to higher revenues, lower interest expense, and an increase in net gain on sale of property, partially offset by higher total operating expenses.
Invitation Homes' core funds from operations (FFO) for the three months ended June 30, 2017, increased 17.9% to $77.2 million, primarily due to an increase in net operating income (NOI), driven by higher revenues. The Company's adjusted funds from operations (AFFO) for the three months ended June 30, 2017, increased 21.5% to $65.6 million.
For the total portfolio, Invitation Homes' occupancy decreased to 95.0% in Q2 2017 from 95.1% in Q2 2016, and increased to 95.0% in YTD 2017 from 94.8% in YTD 2016.
For the reported quarter, Same Store revenue growth of 4.6% was driven by a 4.3% increase in average monthly rent and a 22.4% increase in other property income, partially offset by a 0.5% decline in average occupancy to 95.9%.
Invitation Homes' Same Store expenses increased 1.9% on a y-o-y basis for Q2 2017, driven primarily by 11.3% higher property taxes. The Company noted that California property tax reassessments related to the initial public offering (IPO) became estimable in Q2 2017, and the incremental taxes accrued in H1 2017 for expected reassessments were booked entirely in Q2 2017. Excluding the impact of property taxes attributable to Q1 2017 that were booked in Q2 2017, Same Store property taxes would have increased by 9.1% in the reported quarter, and Same Store expenses would have increased by 1.0%.
Invitation Homes' Same Store core NOI margin increased to 62.9% in Q2 2017 from 61.5% in Q2 2016. Excluding the impact of property taxes attributable to Q1 2017, Same Store core NOI margin in the reported quarter would have been 63.2%. The Company's Same Store blended net effective rental rate growth was 5.1% on leases signed in Q2 2017.
Investment Management Activity
In Q2 2017, Invitation Homes' acquired 229 homes for $64.1 million, including estimated renovation cost, and sold 422 homes for gross proceeds of $58.7 million, resulting in total portfolio home count at June 30, 2017, of 47,725 homes. The Company's dispositions in the reported quarter resulted in a gain on sale, net of tax, of approximately $10.2 million. On a year-to-date basis, Invitation Homes acquired 350 homes for $95.3 million, including estimated renovation cost, and sold 923 homes for gross proceeds of $136.4 million. Dispositions year-to-date resulted in a gain on sale, net of tax, of approximately $24.5 million.
Balance Sheet and Capital Markets Activity
At June 30, 2017, Invitation Homes had $1.16 billion in availability through a combination of unrestricted cash and undrawn capacity on its credit facility. The Company's total indebtedness at June 30, 2017, was $5.68 billion, consisting of $4.18 billion of secured debt and $1.50 billion of unsecured debt.
During the reported quarter, Invitation Homes closed a ten-year fixed rate securitization loan with a total principal amount of $1.00 billion. Net proceeds of approximately $930 million were used to repay the remaining outstanding balance of the IH1 2014-1 securitization and to voluntarily prepay $510 million of the IH1 2014-3 securitization.
On Tuesday, August 22, 2017, the stock closed the trading session at $23.15, slightly slipping 0.64% from its previous closing price of $23.30. A total volume of 2.01 million shares have exchanged hands, which was higher than the 3-month average volume of 1.30 million shares. Invitation Homes' stock price advanced 6.34% in the last one month, 7.37% in the past three months, and 7.32% in the previous six months. Furthermore, since the start of the year, shares of the Company have rallied 15.75%. The stock has a dividend yield of 1.38% and currently has a market cap of $7.27 billion.
Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email firstname.lastname@example.org. Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Phone number: (917) 341.4653
Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
© 2017 Accesswire. All Rights Reserved.