Equity REITs see Q2 earnings drop marginally as FFOs normalize - Nareit
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Aug 21 2024
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Source: SeekingAlpha
Q2 Earnings Decline: Equity REITs experienced a slight year-over-year decrease in Q2 earnings, with average FFO per share dropping to $0.80 from $0.81, attributed to unusually high sector-specific FFO in the previous year. Notable declines were seen in subsectors like Industrial, Residential, Health Care, and Telecommunications.
Occupancy Rates and Market Performance: The average occupancy rate for the sector also fell slightly to 93.60%, driven by decreases in Industrial and Office subsectors. Despite these challenges, the FTSE Nareit All Equity REITs index has risen approximately 4% year-to-date, indicating a positive trend amidst an otherwise lackluster earnings season.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
