LXP Industrial Trust Reports Mixed Quarterly Earnings Results

LXP Industrial Trust's latest report reveals a decline in FFO and net income, despite slight revenue growth and an increase in dividends. Investors may weigh these mixed results for future stock performance.

Date: 06-11-2024

AI Rating: 5

LXP Industrial Trust's financial report indicates a decline in key metrics, which could impact investors' perceptions and stock prices. The Funds from Operations (FFO) available to equityholders fell to $45.13 million from $51.92 million year-over-year. The FFO per share also declined to $0.15 compared to $0.18 in the prior year.

Furthermore, the net income attributable to common shareholders was reported at $4.7 million, or $0.02 per share, which is significantly lower than the previous year’s $11.0 million or $0.04 per share. This substantial decline in net income suggests potential struggles in maintaining profitability.

On a slightly positive note, total gross revenues increased to $85.6 million, up from $85.4 million a year ago, slightly beating analysts’ expectations of $84.22 million. Additionally, the same-store Net Operating Income (NOI) showed growth of 5.4% in the third quarter, showing slight operational improvement.

LXP revised its net income estimate for the year ending December 31, 2024, within a range of $0.14 to $0.15 per share, alongside expectations for adjusted FFO ranging from $0.63 to $0.64 per share. Although this range indicates some stability, it highlights the challenges the company faces in the upcoming quarters.

Moreover, LXP declared a quarterly dividend of $0.135 per share, a 3.8% increase from previous dividends, which can be seen as a positive signal to investors regarding cash flow management.

Overall, while there are some indications of stability through revenue growth and increased dividends, the fall in FFO and net income raises concerns about future performance, which could weigh on stock price sentiment.

Stocks: LXP