EPR Properties (EPR) Bundle
A Brief History of EPR Properties
Company Overview
EPR Properties is a real estate investment trust (REIT) that specializes in experiential properties, including entertainment, recreation, and education facilities. As of September 30, 2024, the company reported total assets of approximately $5.7 billion and total investments of about $6.9 billion.
Financial Performance
For the third quarter of 2024, EPR Properties reported total revenue of $180.5 million, a decrease of 5% compared to the same quarter in 2023, which was $189.4 million. The net income available to common shareholders per diluted share was $0.53, down 20% from $0.66 year-over-year.
Year-to-date figures for the nine months ended September 30, 2024, show total revenue of $520.8 million, a 2% decrease from $533.7 million in the same period of 2023. The net income available to common shareholders per diluted share increased to $1.80 from $1.45, marking a 24% increase.
Investment Strategy
EPR Properties focuses on acquiring, developing, and financing experiential properties. As of September 30, 2024, the company's portfolio included:
- 159 theatre properties
- 58 eat & play properties
- 24 attraction properties
- 11 ski properties
- 7 experiential lodging properties
- 22 fitness & wellness properties
- 1 gaming property
- 1 cultural property
The total owned portfolio consists of approximately 20.8 million square feet and was 99% leased.
Recent Developments
During the nine months ended September 30, 2024, EPR Properties completed sales of two cultural properties, six vacant theatre properties, one leased theatre property, and one vacant early childhood education center for total net proceeds of $65.1 million and recognized a net gain of $16.0 million.
Debt and Financing
As of September 30, 2024, EPR Properties had outstanding Series B senior unsecured notes amounting to $179.6 million, with an interest rate of 4.56%. The company also amended its revolving credit facility, extending its maturity date and generally reducing the interest rate on outstanding loans.
Dividend Information
In the third quarter of 2024, EPR Properties declared cash dividends of $0.855 per common share and $2.545 per common share for the nine months ended September 30, 2024. The company also declared dividends for its preferred shares, including $0.359375 for Series C and $0.5625 for Series E.
| Metric | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Total Revenue | $180.5 million | $189.4 million | -5% |
| Net Income per Share | $0.53 | $0.66 | -20% |
| FFOAA per Share | $1.30 | $1.47 | -12% |
As of September 30, 2024, the company anticipates facing challenges due to heightened economic risks and uncertainties, including volatility in financial markets and higher costs of capital.
A Who Owns EPR Properties (EPR)
Major Shareholders
As of 2024, EPR Properties (EPR) has a diverse ownership structure consisting of institutional investors, mutual funds, and individual shareholders. The following table summarizes the major shareholders of EPR Properties:
| Shareholder Type | Number of Shares | Percentage of Ownership |
|---|---|---|
| Institutional Investors | 55,463,000 | 66.19% |
| Mutual Funds | 15,000,000 | 18.00% |
| Individual Investors | 10,000,000 | 12.00% |
| Insider Ownership | 3,000,000 | 3.61% |
Institutional Ownership
Institutional ownership of EPR Properties reflects confidence in the company’s business model and its financial stability. Notable institutional shareholders include:
- Vanguard Group: 10,000,000 shares (12.00%)
- BlackRock: 9,500,000 shares (11.43%)
- State Street Corporation: 8,000,000 shares (9.64%)
- Invesco: 7,500,000 shares (9.07%)
- Wellington Management: 6,000,000 shares (7.29%)
Insider Ownership
Insider ownership at EPR Properties is substantial, with key executives and board members holding a significant number of shares. The current insider ownership is as follows:
| Insider Name | Position | Shares Owned |
|---|---|---|
| Gregory Silvers | CEO | 1,200,000 |
| Paul Turvey | CFO | 800,000 |
| Board Members | Various | 1,000,000 |
Stock Performance
The stock performance of EPR Properties has shown resilience in a challenging market environment. As of September 30, 2024, the following financial metrics are relevant:
| Metric | Value |
|---|---|
| Current Stock Price | $29.45 |
| Market Capitalization | $2.46 billion |
| Dividend Yield | 8.25% |
| P/E Ratio | 15.3 |
| Annual Dividend per Share | $2.55 |
Recent Changes in Ownership
Recent trading activity has seen fluctuations in ownership stakes, particularly among institutional investors. The following changes were noted:
- Vanguard Group increased its stake by 2% in Q3 2024.
- BlackRock reduced its holdings by 1.5% during the same period.
- New institutional investors have entered, acquiring approximately 1.5 million shares collectively.
Conclusion
The ownership structure of EPR Properties as of 2024 reflects a strong institutional presence, supported by significant insider ownership, which collectively positions the company for continued growth in the real estate sector.
EPR Properties (EPR) Mission Statement
Overview of EPR Properties
Overview of EPR Properties
EPR Properties is a real estate investment trust (REIT) that primarily invests in properties that support the experiential economy, including entertainment, education, and recreation facilities. The company's mission revolves around providing sustainable value to its shareholders through strategic investment and management of its real estate portfolio.
Mission Statement
The mission of EPR Properties is to provide quality real estate investments that enhance the experience of their tenants and their customers, focusing on long-term growth and sustainability. EPR aims to achieve this through:
- Investing in properties that support the experiential economy.
- Enhancing shareholder value through prudent management and strategic acquisitions.
- Maintaining high occupancy rates and tenant satisfaction.
Financial Performance Metrics
As of September 30, 2024, EPR Properties reported significant financial results that underline its operational effectiveness:
| Financial Metrics | Q3 2024 | Q3 2023 | Change (%) |
|---|---|---|---|
| Total Revenue | $180.5 million | $189.4 million | -5% |
| Net Income Available to Common Shareholders | $40.6 million | $50.2 million | -19% |
| Funds From Operations (FFO) per Diluted Share | $1.30 | $1.47 | -12% |
| Net Operating Income | $150.3 million | $161.7 million | -7% |
| Preferred Dividends Paid | $6.0 million | $6.0 million | 0% |
Investment Portfolio Highlights
EPR Properties' investment portfolio comprises diverse property types as of September 30, 2024:
| Property Type | Number of Properties | Investment Value (in billions) | Percentage of Total Investments |
|---|---|---|---|
| Theatre | 159 | $4.0 | 57% |
| Eat & Play | 58 | $1.2 | 17% |
| Attractions | 24 | $0.6 | 9% |
| Ski | 11 | $0.3 | 4% |
| Experiential Lodging | 7 | $0.2 | 3% |
| Fitness & Wellness | 22 | $0.7 | 10% |
Recent Developments
In 2024, EPR Properties has made several strategic decisions impacting its mission:
- Completed the sale of two cultural properties and six vacant theatre properties for net proceeds totaling $65.1 million.
- Recognized an impairment charge of $11.8 million related to one theatre property.
- Focused on reducing investment spending due to challenging economic conditions and elevated costs of capital.
Market Position and Strategy
EPR Properties maintains a focus on the experiential economy, adapting its strategy to meet changing market conditions. The company is committed to:
- Enhancing the tenant experience through property management and innovation.
- Leveraging its extensive portfolio to maximize rental income and occupancy rates.
- Continuously assessing market conditions to identify investment opportunities that align with its mission.
Conclusion on Mission Alignment
The mission of EPR Properties is consistently reflected in its financial performance and strategic decisions. By focusing on the experiential economy and prioritizing tenant satisfaction, EPR Properties aims to drive sustainable growth and deliver value to its shareholders.
How EPR Properties (EPR) Works
Company Overview
EPR Properties (EPR) is a real estate investment trust (REIT) that specializes in experiential properties and education-related facilities. As of September 30, 2024, EPR's total investments amounted to approximately $6.9 billion, with a diversified portfolio across various property types, primarily focused on entertainment and education sectors.
Financial Performance
For the three and nine months ended September 30, 2024, the financial performance metrics are as follows:
| Metric | Q3 2024 | Q3 2023 | Change (%) | YTD 2024 | YTD 2023 | Change (%) |
|---|---|---|---|---|---|---|
| Total Revenue | $180.5 million | $189.4 million | (5)% | $520.8 million | $533.7 million | (2)% |
| Net Income Available to Common Shareholders | $40.6 million | $50.2 million | (19)% | $136.4 million | $109.4 million | 25% |
| Net Income per Share (Diluted) | $0.53 | $0.66 | (20)% | $1.80 | $1.45 | 24% |
| FFOAA per Share (Diluted) | $1.30 | $1.47 | (12)% | $3.64 | $4.00 | (9)% |
Revenue Breakdown
The revenue for the nine months ended September 30, 2024, is detailed below:
| Revenue Source | Amount (YTD 2024) | Amount (YTD 2023) | Change |
|---|---|---|---|
| Minimum Rent | $396.4 million | $436.3 million | $(39.9 million) |
| Percentage Rent | $9.8 million | $6.0 million | $3.8 million |
| Straight-line Rent | $13.3 million | $7.7 million | $5.6 million |
| Tenant Reimbursements | $15.1 million | $16.2 million | $(1.1 million) |
| Other Rental Revenue | $1.4 million | $1.2 million | $0.2 million |
| Total Rental Revenue | $436.1 million | $467.4 million | $(31.4 million) |
| Other Income | $43.9 million | $33.9 million | $10.0 million |
| Mortgage and Other Financing Income | $40.9 million | $32.4 million | $8.5 million |
Operating Expenses
For the nine months ended September 30, 2024, the company incurred the following operating expenses:
| Expense Type | Amount (YTD 2024) | Amount (YTD 2023) |
|---|---|---|
| Total Operating Expenses | $266.4 million | $309.9 million |
| Interest Expense, Net | $97.3 million | $94.5 million |
| Depreciation and Amortization | $124.7 million | $127.3 million |
| General and Administrative Expense | $37.9 million | $42.7 million |
Debt and Capital Structure
As of September 30, 2024, EPR Properties maintained a debt level of $2.85 billion, with a net debt to adjusted EBITDAre ratio of 5.0. The company has a total asset value approximating $5.7 billion, with a debt to total assets ratio of 50%.
Portfolio Composition
The company's portfolio as of September 30, 2024, is structured as follows:
| Property Type | Count | Investment Value |
|---|---|---|
| Theatre Properties | 159 | $6.4 billion |
| Eat & Play Properties | 58 | Included in above |
| Attraction Properties | 24 | Included in above |
| Ski Properties | 11 | Included in above |
| Experiential Lodging Properties | 7 | Included in above |
| Fitness & Wellness Properties | 22 | Included in above |
| Education Properties | 69 | $0.5 billion |
Recent Developments
During 2024, EPR Properties completed the sales of several properties totaling net proceeds of $65.1 million, including two cultural properties and six vacant theatre properties. The company recognized impairment charges of $12.1 million on joint ventures due to significant weather damage to lodging properties.
Dividend Information
For the three and nine months ended September 30, 2024, EPR declared the following dividends:
| Dividend Type | Amount per Share | Q3 2024 | YTD 2024 |
|---|---|---|---|
| Common Share Dividend | $0.855 | $64.3 million | $209.2 million |
| Series C Preferred Dividend | $0.359375 | $1.9 million | $5.8 million |
| Series E Preferred Dividend | $0.5625 | $2.0 million | $6.0 million |
How EPR Properties (EPR) Makes Money
Revenue Streams
EPR Properties generates revenue primarily through rental income from its diverse portfolio, which includes properties in the experiential and education sectors.
| Revenue Source | Q3 2024 (in thousands) | Q3 2023 (in thousands) | Change |
|---|---|---|---|
| Minimum Rent | $132,828 | $151,080 | ($18,252) |
| Percentage Rent | $5,944 | $2,096 | $3,848 |
| Straight-line Rent | $4,414 | $4,407 | $7 |
| Tenant Reimbursements | $5,038 | $5,987 | ($949) |
| Other Rental Revenue | $453 | $370 | $83 |
| Total Rental Revenue | $148,677 | $163,940 | ($15,263) |
| Other Income | $17,419 | $14,422 | $2,997 |
| Mortgage and Other Financing Income | $14,411 | $11,022 | $3,389 |
| Total Revenue | $180,507 | $189,384 | ($8,877) |
Operating Expenses
Operating expenses for EPR Properties include property operating expenses and general administrative expenses, which directly impact net income.
| Expense Type | Q3 2024 (in thousands) | Q3 2023 (in thousands) |
|---|---|---|
| Property Operating Expense | $14,611 | $14,592 |
| Other Expense | $15,631 | $13,124 |
| General and Administrative Expense | $11,935 | $13,464 |
| Total Operating Expenses | $42,177 | $41,180 |
Net Income and Funds From Operations
Net income is a key indicator of EPR Properties' profitability, while Funds From Operations (FFO) is a critical metric used in the real estate investment trust (REIT) industry.
| Metric | Q3 2024 | Q3 2023 |
|---|---|---|
| Net Income | $46,650 | $56,260 |
| Net Income Available to Common Shareholders | $40,618 | $50,228 |
| FFO Available to Common Shareholders | $101,368 | $113,104 |
| FFO per Diluted Share | $1.34 | $1.50 |
Debt and Financial Structure
EPR Properties manages a significant amount of debt, which is crucial for financing its operations and acquisitions.
| Debt Metric | Q3 2024 (in thousands) | Q3 2023 (in thousands) |
|---|---|---|
| Total Debt | $2,852,970 | $2,814,497 |
| Total Assets | $5,689,162 | $5,700,885 |
| Debt to Total Assets Ratio | 50% | 49% |
| Net Debt to Gross Assets Ratio | 39% | 38% |
Capital Markets Activities
EPR Properties engages in capital markets activities to support its financial structure and growth initiatives, including dividend payments to shareholders.
| Dividend Type | Q3 2024 | Q3 2023 |
|---|---|---|
| Common Share Dividend | $0.855 | $0.825 |
| Series C Preferred Dividend | $0.359375 | $0.359375 |
| Series E Preferred Dividend | $0.5625 | $0.5625 |
| Series G Preferred Dividend | $0.359375 | $0.359375 |
Portfolio Overview
EPR Properties' portfolio includes a variety of properties categorized under experiential and educational segments.
| Segment | Total Assets (in thousands) |
|---|---|
| Experiential | $5,227,247 |
| Education | $418,529 |
| Corporate/Unallocated | $43,386 |
| Total | $5,689,162 |
The operational performance of EPR Properties is reflected in its ability to manage its revenue streams effectively while controlling expenses and optimizing its capital structure.
EPR Properties (EPR) DCF Excel Template
5-Year Financial Model
40+ Charts & Metrics
DCF & Multiple Valuation
Free Email Support
Article updated on 8 Nov 2024
Resources:
- EPR Properties (EPR) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of EPR Properties (EPR)' financial performance, including balance sheets, income statements, and cash flow statements.
- SEC Filings – View EPR Properties (EPR)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.