Experiential Portfolio Drives EPR Properties' Growth in 2023 and Beyond
2024-03-12
EPR Properties recently conducted an earnings conference call where key executives, including Greg Silvers, Greg Zimmerman, and Mark Peterson, deliberated on the company's performance and future outlook. During the call, cautionary statements were made regarding forward-looking information, and interested parties were directed to the company's website for additional details.
In 2023, EPR Properties witnessed significant progress, marked by robust earnings growth, executed investment spending, and sector-leading total shareholder return. Despite a 20% decline in box office revenues, the theatre portfolio maintained a coverage level of 1.7 times. By the end of the year, the company's total investments amounted to approximately $6.8 billion, with the Experiential portfolio constituting 93% of the total investments.
Various financial highlights were shared throughout the call, encompassing total investment spending, net proceeds from transactions, and performance metrics for different property portfolios. The company elaborated on its strategies for managing underperforming assets, lease restructurings, and outlined future investment plans.
Looking forward to 2024, EPR Properties provided guidance on investment spending, box office gross estimates, and funding sources for their projects. The company aims to primarily deploy funds from cash on hand, operations, and proceeds from dispositions. They anticipate growth in FFO as adjusted per share and maintain an optimistic outlook on the performance of their theatre portfolio compared to industry standards.
The call also delved into specific property transactions, lease agreements, and the company's approach to selling vacant properties such as Regals and AMCs. EPR Properties underscored their commitment to maximizing returns for shareholders while strategically managing their diverse portfolio of experiential assets.
Overall, the earnings conference call offered valuable insights into EPR Properties' financial performance, strategic initiatives, and future prospects in the real estate investment sector.