INDIANAPOLIS, Feb. 5, 2024
/PRNewswire/ -- Simon®, a real estate investment trust
engaged in the ownership of premier shopping, dining, entertainment
and mixed-use destinations, today reported results for the quarter
and twelve months ended December 31,
2023.
"This was an excellent quarter and year for Simon Property
Group, which was capped off by our 30th anniversary as a public
company in December. Over that 30-year period, we are proud
to have delivered a total return to shareholders of 3,100%," said
David Simon, Chairman, Chief
Executive Officer and President. "In 2023, we generated
record annual Funds From Operations of nearly $4.7 billion, executed over 18 million square
feet of leases, delivered 13 significant redevelopment projects,
and completed several major financing transactions that reinforced
our industry-leading balance sheet. We achieved 2023 total
shareholder return of 29.3% and returned $2.9 billion to shareholders in dividends and
share repurchases."
Results for the Quarter
- Net income attributable to common stockholders was $747.5 million, or $2.29 per diluted share, as compared to
$673.8 million, or $2.06 per diluted share in 2022.
- Net income for the fourth quarter of 2023 includes after-tax
net gains of $117.4 million, or
$0.31 per diluted share, primarily
due to the partial sale of the Company's ownership interest in
Authentic Brands Group ("ABG"); prior year period included non-cash
after-tax gains from investment activity of $90.5 million, or $0.25 per diluted share.
- Funds From Operations ("FFO") was $1.382
billion, or $3.69 per diluted
share as compared to $1.274 billion,
or $3.40 per diluted share in the
prior year, inclusive of the gains referenced above.
- Domestic property Net Operating Income ("NOI") increased 7.3%
and portfolio NOI increased 7.2% compared to the prior year
period.
Results for the Year
- Net income attributable to common stockholders was $2.280 billion, or $6.98 per diluted share, as compared to
$2.136 billion, or $6.52 per diluted share in 2022.
- Net income for 2023 includes after-tax gains of $282.9 million or $0.75 per diluted share from investment activity;
prior year included non-cash after-tax gains of $27.1 million or $0.08 per diluted share from investment
activity.
- FFO was $4.686 billion, or
$12.51 per diluted share as compared
to $4.481 billion, or $11.95 per diluted share in the prior year,
inclusive of the gains referenced above.
- Domestic property NOI increased 4.8% and portfolio NOI
increased 4.9% compared to the prior year period.
U.S. Malls and Premium Outlets Operating Statistics
- Occupancy was 95.8% at December 31,
2023, compared to 94.9% at December
31, 2022, an increase of 90 basis points.
- Base minimum rent per square foot was $56.82 at December 31,
2023, compared to $55.13 at
December 31, 2022, an increase of
3.1%.
- Reported retailer sales per square foot was $743 for the trailing 12 months ended
December 31, 2023, a decrease of 1.3%
compared to 2022.
Capital Markets and Balance Sheet Liquidity
The Company was active in both the secured and unsecured credit
markets in 2023.
During the year, the Company completed three senior notes
offerings totaling $3.1 billion, with
a weighted average coupon rate of 5.36% and a weighted average term
of 15.6 years. The Company also completed 16 non-recourse mortgage
loans totaling approximately $1.73
billion (U.S. dollar equivalent), of which Simon's share was
$954 million. The weighted
average interest rate on the mortgage loans was 6.53%. The Company
also closed on a new, upsized $5.0
billion multi-currency unsecured revolving credit
facility.
As of December 31, 2023, Simon had
approximately $10.9 billion of
liquidity consisting of $2.8 billion
of cash on hand, including its share of joint venture cash, and
$8.1 billion of available capacity
under its revolving credit facilities.
Dividends
Today, Simon's Board of Directors declared a
quarterly common stock dividend of $1.95 for the first quarter of 2024. This
is an increase of $0.15, or 8.3%
year-over-year. The dividend will be payable on March 29, 2024 to shareholders of record on
March 8, 2024.
Simon's Board of Directors declared the quarterly dividend on
its 8 3/8% Series J Cumulative Redeemable Preferred Stock (NYSE:
SPGPrJ) of $1.046875 per share,
payable on March 29, 2024 to
shareholders of record on March 15,
2024.
2024 Guidance
The Company currently estimates net income to be within a range
of $6.45 to $6.70 per diluted share and FFO to be within a
range of $11.85 to $12.10 per diluted share for the year ending
December 31, 2024.
The following table provides the GAAP to non-GAAP reconciliation
for the expected range of estimated net income attributable to
common stockholders per diluted share to FFO per diluted share:
|
For the year ending
December 31, 2024
|
|
|
|
|
Low
End
|
|
High
End
|
|
Estimated net income
attributable to common stockholders
per diluted share
|
$6.45
|
|
$6.70
|
|
Depreciation and
amortization including Simon's share
of unconsolidated entities
|
5.40
|
|
5.40
|
|
Estimated FFO per
diluted share
|
$11.85
|
|
$12.10
|
Conference Call
Simon will hold a conference call to discuss the quarterly
financial results today from 5:00 p.m. to 6:00 p.m. Eastern Time, Monday, February 5, 2024. A live webcast of
the conference call will be accessible in listen-only mode at
investors.simon.com. An audio replay of the conference call
will be available until February 12,
2024. To access the audio replay, dial 1-844-512-2921
(international +1-412-317-6671) passcode 13743637.
Supplemental Materials and Website
Supplemental information on our fourth quarter 2023 performance
is available at investors.simon.com. This information has also been
furnished to the SEC in a current report on Form 8-K.
We routinely post important information online on our investor
relations website, investors.simon.com. We use this website, press
releases, SEC filings, quarterly conference calls, presentations
and webcasts to disclose material, non-public information in
accordance with Regulation FD. We encourage members of the
investment community to monitor these distribution channels for
material disclosures. Any information accessed through our website
is not incorporated by reference into, and is not a part of, this
document.
Non-GAAP Financial Measures
This press release includes FFO, FFO per share and portfolio NOI
growth which are financial performance measures not defined by
generally accepted accounting principles in the United States ("GAAP"). Reconciliations of
these non-GAAP financial measures to the most directly comparable
GAAP measures are included in this press release and in Simon's
supplemental information for the quarter. FFO and NOI growth
are financial performance measures widely used in the REIT
industry. Our definitions of these non-GAAP measures may not be the
same as similar measures reported by other REITs.
Forward-Looking Statements
Certain statements made in
this press release may be deemed "forward-looking statements"
within the meaning of the Private Securities Litigation Reform Act
of 1995. Although the Company believes the expectations reflected
in any forward-looking statements are based on reasonable
assumptions, the Company can give no assurance that its
expectations will be attained, and it is possible that the
Company's actual results may differ materially from those indicated
by these forward–looking statements due to a variety of risks,
uncertainties and other factors. Such factors include, but are not
limited to: changes in economic and market conditions that may
adversely affect the general retail environment, including but not
limited to those caused by inflation, recessionary pressures, wars,
escalating geopolitical tensions as a result of the war in
Ukraine and the conflicts in the
Middle East, and supply chain
disruptions; the inability to renew leases and relet vacant space
at existing properties on favorable terms; the potential loss of
anchor stores or major tenants; the inability to collect rent due
to the bankruptcy or insolvency of tenants or otherwise; an
increase in vacant space at our properties; the potential for
violence, civil unrest, criminal activity or terrorist activities
at our properties; natural disasters; the availability of
comprehensive insurance coverage; the intensely competitive market
environment in the retail industry, including e-commerce; security
breaches that could compromise our information technology or
infrastructure; reducing emissions of greenhouse gases;
environmental liabilities; our international activities subjecting
us to risks that are different from or greater than those
associated with our domestic operations, including changes in
foreign exchange rates; our continued ability to maintain our
status as a REIT; changes in tax laws or regulations that result in
adverse tax consequences; risks associated with the acquisition,
development, redevelopment, expansion, leasing and management of
properties; the inability to lease newly developed properties on
favorable terms; the loss of key management personnel;
uncertainties regarding the impact of pandemics, epidemics or
public health crises, and the associated governmental restrictions
on our business, financial condition, results of operations, cash
flow and liquidity; changes in market rates of interest; the impact
of our substantial indebtedness on our future operations, including
covenants in the governing agreements that impose restrictions on
us that may affect our ability to operate freely; any disruption in
the financial markets that may adversely affect our ability to
access capital for growth and satisfy our ongoing debt service
requirements; any change in our credit rating; risks relating to
our joint venture properties, including guarantees of certain joint
venture indebtedness; and general risks related to real estate
investments, including the illiquidity of real estate
investments.
The Company discusses these and other risks and uncertainties
under the heading "Risk Factors" in its annual and quarterly
periodic reports filed with the SEC. The Company may update
that discussion in subsequent other periodic reports, but except as
required by law, the Company undertakes no duty or obligation to
update or revise these forward-looking statements, whether as a
result of new information, future developments, or otherwise.
About Simon
Simon® is a real estate
investment trust engaged in the ownership of premier shopping,
dining, entertainment and mixed-use destinations and an S&P 100
company (Simon Property Group, NYSE: SPG). Our properties across
North America, Europe and Asia provide community gathering places for
millions of people every day and generate billions in annual
sales.
|
Simon Property Group, Inc.
Unaudited Consolidated Statements of
Operations
(Dollars in
thousands, except per share amounts)
|
|
|
|
|
For the Three
Months
|
|
For the Twelve
Months
|
|
Ended December
31,
|
|
Ended December
31,
|
|
2023
|
2022
|
|
2023
|
2022
|
|
|
|
|
|
|
|
REVENUE:
|
|
|
|
|
|
|
Lease income
|
$
1,362,455
|
$ 1,287,141
|
|
$
5,164,335
|
$ 4,905,175
|
|
Management fees and
other revenues
|
33,484
|
31,853
|
|
125,995
|
116,904
|
|
Other income
|
131,499
|
80,904
|
|
368,506
|
269,368
|
|
Total
revenue
|
1,527,438
|
1,399,898
|
|
5,658,836
|
5,291,447
|
|
|
|
|
|
|
|
EXPENSES:
|
|
|
|
|
|
|
Property
operating
|
122,793
|
127,206
|
|
489,346
|
464,135
|
|
Depreciation and
amortization
|
320,256
|
317,181
|
|
1,262,107
|
1,227,371
|
|
Real estate
taxes
|
103,330
|
109,612
|
|
441,783
|
443,224
|
|
Repairs and
maintenance
|
29,420
|
29,602
|
|
97,257
|
93,595
|
|
Advertising and
promotion
|
40,633
|
35,364
|
|
127,346
|
107,793
|
|
Home and regional
office costs
|
53,113
|
41,168
|
|
207,618
|
184,592
|
|
General and
administrative
|
10,278
|
9,994
|
|
38,513
|
34,971
|
|
Other
|
55,476
|
45,566
|
|
187,844
|
152,213
|
|
Total operating
expenses
|
735,299
|
715,693
|
|
2,851,814
|
2,707,894
|
|
|
|
|
|
|
|
OPERATING INCOME
BEFORE OTHER ITEMS
|
792,139
|
684,205
|
|
2,807,022
|
2,583,553
|
|
|
|
|
|
|
|
Interest
expense
|
(224,923)
|
(200,901)
|
|
(854,648)
|
(761,253)
|
|
Gain on disposal,
exchange, or revaluation of equity interests, net
|
167,390
|
121,177
|
|
362,019
|
121,177
|
|
Income and other tax
expense
|
(41,622)
|
(52,344)
|
|
(81,874)
|
(83,512)
|
|
Income from
unconsolidated entities
|
167,828
|
213,635
|
|
375,663
|
647,977
|
|
Unrealized (losses)
gains in fair value of publicly traded equity instruments
and
|
|
|
|
|
|
|
derivative instrument,
net
|
(8,157)
|
2,208
|
|
11,892
|
(61,204)
|
|
Gain (loss) on
acquisition of controlling interest, sale or disposal of, or
recovery on,
|
|
|
|
|
|
|
assets and interests in
unconsolidated entities and impairment, net
|
6,841
|
4,768
|
|
(3,056)
|
5,647
|
|
|
|
|
|
|
|
CONSOLIDATED NET
INCOME
|
859,496
|
772,748
|
|
2,617,018
|
2,452,385
|
|
|
|
|
|
|
|
Net income attributable
to noncontrolling interests
|
111,182
|
98,128
|
|
333,892
|
312,850
|
|
Preferred
dividends
|
834
|
834
|
|
3,337
|
3,337
|
|
|
|
|
|
|
|
NET INCOME
ATTRIBUTABLE TO COMMON STOCKHOLDERS
|
$
747,480
|
$ 673,786
|
|
$
2,279,789
|
$ 2,136,198
|
|
|
|
|
|
|
|
|
|
|
|
|
|
BASIC AND DILUTED
EARNINGS PER COMMON SHARE:
|
|
|
|
|
|
|
Net income
attributable to common stockholders
|
$
2.29
|
$ 2.06
|
|
$
6.98
|
$ 6.52
|
|
Simon Property Group, Inc.
Unaudited Consolidated Balance
Sheets
(Dollars in
thousands, except share amounts)
|
|
|
|
|
|
|
December
31,
|
December 31,
|
|
2023
|
2022
|
|
ASSETS:
|
|
|
|
Investment properties,
at cost
|
$
39,285,138
|
$ 38,326,912
|
|
Less - accumulated
depreciation
|
17,716,788
|
16,563,749
|
|
21,568,350
|
21,763,163
|
|
Cash and cash
equivalents
|
1,168,991
|
621,628
|
|
Short-term
investments
|
1,000,000
|
-
|
|
Tenant receivables and
accrued revenue, net
|
826,126
|
823,540
|
|
Investment in TRG, at
equity
|
3,049,719
|
3,074,345
|
|
Investment in
Klépierre, at equity
|
1,527,872
|
1,561,112
|
|
Investment in other
unconsolidated entities, at equity
|
3,540,648
|
3,511,263
|
|
Right-of-use assets,
net
|
484,073
|
496,930
|
|
Deferred costs and
other assets
|
1,117,716
|
1,159,293
|
|
Total
assets
|
$
34,283,495
|
$ 33,011,274
|
|
|
|
|
LIABILITIES:
|
|
|
|
Mortgages and unsecured
indebtedness
|
$
26,033,423
|
$ 24,960,286
|
|
Accounts payable,
accrued expenses, intangibles, and deferred revenues
|
1,693,248
|
1,491,583
|
|
Cash distributions and
losses in unconsolidated entities, at equity
|
1,760,922
|
1,699,828
|
|
Dividend
payable
|
1,842
|
1,997
|
|
Lease
liabilities
|
484,861
|
497,953
|
|
Other
liabilities
|
621,601
|
535,736
|
|
Total
liabilities
|
30,595,897
|
29,187,383
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
Limited partners'
preferred interest in the Operating Partnership and
noncontrolling
|
|
|
|
redeemable
interests
|
195,949
|
212,239
|
|
|
|
|
EQUITY:
|
|
|
|
Stockholders'
Equity
|
|
|
|
Capital stock ( total
shares authorized, $0.0001 par value, 238,000,000
|
|
|
|
shares of excess common
stock, 850,000,000 authorized shares of preferred
stock):
|
|
|
|
|
|
|
Series J 8 3/8%
cumulative redeemable preferred stock, 1,000,000 shares
authorized,
|
|
|
|
796,948 issued and
outstanding with a liquidation value of $39,847
|
41,106
|
41,435
|
|
|
|
|
Common stock, $0.0001
par value, 511,990,000 shares authorized, 342,895,886
and
|
|
|
|
342,905,419 issued and
outstanding, respectively
|
33
|
34
|
|
|
|
|
Class B common stock,
$0.0001 par value, 10,000 shares authorized, 8,000
|
|
|
|
issued and
outstanding
|
-
|
-
|
|
|
|
|
Capital in excess of
par value
|
11,406,236
|
11,232,881
|
|
Accumulated
deficit
|
(6,095,576)
|
(5,926,974)
|
|
Accumulated other
comprehensive loss
|
(172,787)
|
(164,873)
|
|
Common stock held in
treasury, at cost, 16,983,364 and 15,959,628 shares,
respectively
|
(2,156,178)
|
(2,043,979)
|
|
Total stockholders'
equity
|
3,022,834
|
3,138,524
|
|
Noncontrolling
interests
|
468,815
|
473,128
|
|
Total
equity
|
3,491,649
|
3,611,652
|
|
Total liabilities
and equity
|
$
34,283,495
|
$ 33,011,274
|
|
Simon Property
Group, Inc.
|
|
Unaudited Joint
Venture Combined Statements of Operations
|
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended December 31,
|
|
For the Twelve
Months Ended December 31,
|
|
2023
|
2022
|
|
2023
|
2022
|
|
|
|
|
|
|
|
REVENUE:
|
|
|
|
|
|
|
Lease income
|
$
772,258
|
$ 752,541
|
|
$
2,984,455
|
$ 2,894,611
|
|
Other income
|
106,797
|
83,478
|
|
464,058
|
341,923
|
|
Total
revenue
|
879,055
|
836,019
|
|
3,448,513
|
3,236,534
|
|
|
|
|
|
|
|
OPERATING
EXPENSES:
|
|
|
|
|
|
|
Property
operating
|
163,275
|
159,804
|
|
638,638
|
605,018
|
|
Depreciation and
amortization
|
172,727
|
161,836
|
|
656,089
|
666,762
|
|
Real estate
taxes
|
45,258
|
59,010
|
|
237,809
|
246,707
|
|
Repairs and
maintenance
|
21,642
|
23,200
|
|
77,093
|
81,522
|
|
Advertising and
promotion
|
24,577
|
22,058
|
|
83,279
|
74,776
|
|
Other
|
56,742
|
59,827
|
|
236,955
|
205,405
|
|
Total operating
expenses
|
484,221
|
485,735
|
|
1,929,863
|
1,880,190
|
|
|
|
|
|
|
|
OPERATING INCOME
BEFORE OTHER ITEMS
|
394,834
|
350,284
|
|
1,518,650
|
1,356,344
|
|
|
|
|
|
|
|
Interest
expense
|
(176,964)
|
(159,668)
|
|
(685,193)
|
(599,245)
|
|
Gain on sale or
disposal of, or recovery on, assets and interests in unconsolidated
entities, net
|
-
|
45,814
|
|
20,529
|
50,336
|
|
|
|
|
|
|
|
NET
INCOME
|
$
217,870
|
$ 236,430
|
|
$
853,986
|
$ 807,435
|
|
|
|
|
|
|
|
Third-Party
Investors' Share of Net Income
|
$
107,069
|
$ 142,897
|
|
$
436,408
|
$ 423,816
|
|
|
|
|
|
|
|
Our Share of Net
Income
|
110,801
|
93,533
|
|
417,578
|
383,619
|
|
Amortization of
Excess Investment (A)
|
(14,926)
|
(14,956)
|
|
(59,707)
|
(60,109)
|
|
Our Share of Gain on
Sale or Disposal of, or Recovery on, Assets and Interests in
Unconsolidated Entities, net
|
|
|
|
|
|
|
-
|
-
|
|
(454)
|
(2,532)
|
|
|
|
|
|
|
|
Income from
Unconsolidated Entities (B)
|
$
95,875
|
$ 78,577
|
|
$
357,417
|
$ 320,978
|
|
|
|
|
|
|
|
Note: The above
financial presentation does not include any information related to
our investments in Klépierre S.A.
|
|
("Klépierre"), The Taubman Realty Group ("TRG") and other platform
investments. For additional information, see footnote B.
|
|
Simon Property
Group, Inc.
|
|
Unaudited Joint
Venture Combined Balance Sheets
|
|
(Dollars in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
December
31,
|
December
31,
|
|
|
2023
|
2022
|
|
|
Assets:
|
|
|
|
|
Investment properties,
at cost
|
$
19,315,578
|
$ 19,256,108
|
|
|
Less - accumulated
depreciation
|
8,874,745
|
8,490,990
|
|
|
10,440,833
|
10,765,118
|
|
|
Cash and cash
equivalents
|
1,372,377
|
1,445,353
|
|
|
Tenant receivables and
accrued revenue, net
|
505,933
|
546,025
|
|
|
Right-of-use assets,
net
|
126,539
|
143,526
|
|
|
Deferred costs and
other assets
|
537,943
|
482,375
|
|
|
Total assets
|
$
12,983,625
|
$ 13,382,397
|
|
|
|
|
|
|
Liabilities and
Partners' Deficit:
|
|
|
|
|
Mortgages
|
$
14,282,839
|
$ 14,569,921
|
|
|
Accounts payable,
accrued expenses, intangibles, and deferred revenue
|
1,032,217
|
961,984
|
|
|
Lease
liabilities
|
116,535
|
133,096
|
|
|
Other
liabilities
|
368,582
|
446,064
|
|
|
Total
liabilities
|
15,800,173
|
16,111,065
|
|
|
|
|
|
|
Preferred
units
|
67,450
|
67,450
|
|
|
Partners'
deficit
|
(2,883,998)
|
(2,796,118)
|
|
|
Total liabilities and
partners' deficit
|
$
12,983,625
|
$ 13,382,397
|
|
|
|
|
|
|
Our Share
of:
|
|
|
|
|
Partners'
deficit
|
$
(1,258,809)
|
$
(1,232,086)
|
|
|
Add: Excess Investment
(A)
|
1,173,852
|
1,219,117
|
|
|
Our net Investment in
unconsolidated entities, at equity
|
$
(84,957)
|
$ (12,969)
|
|
|
|
Note: The above
financial presentation does not include any information related to
our investments in Klépierre,
|
|
|
TRG and other platform investments. For additional information, see
footnote B.
|
|
|
Simon Property
Group, Inc.
|
|
Unaudited
Reconciliation of Non-GAAP Financial Measures (c)
|
|
(Amounts in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of
Consolidated Net Income to FFO
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Three Months
Ended
|
|
For the Twelve
Months Ended
|
|
|
|
|
|
December
31,
|
|
December
31,
|
|
|
|
|
|
2023
|
|
2022
|
|
2023
|
|
2022
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Net
Income (D)
|
|
|
$
859,496
|
|
$
772,748
|
|
$
2,617,018
|
|
$ 2,452,385
|
|
Adjustments to
Arrive at FFO:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization from consolidated
|
|
|
|
|
|
|
|
|
properties
|
|
|
316,881
|
|
311,304
|
|
1,250,550
|
|
1,214,441
|
|
Our share of
depreciation and amortization from
|
|
|
|
|
|
|
|
|
unconsolidated entities,
including Klépierre, TRG and other corporate investments
|
219,604
|
|
200,654
|
|
841,862
|
|
845,784
|
|
(Gain) loss on
acquisition of controlling interest, sale or disposal of, or
recovery on,
|
|
|
|
|
|
|
|
|
assets and interests in
unconsolidated entities and impairment, net
|
(6,841)
|
|
(4,768)
|
|
3,056
|
|
(5,647)
|
|
Net loss (income)
attributable to noncontrolling interest holders in
|
|
|
|
|
|
|
|
|
properties
|
|
|
585
|
|
(240)
|
|
1,336
|
|
(2,738)
|
|
Noncontrolling
interests portion of depreciation and amortization, gain on
consolidation of properties,
|
|
|
|
|
|
|
|
|
and loss (gain) on
disposal of properties
|
(6,464)
|
|
(4,594)
|
|
(22,719)
|
|
(18,234)
|
|
Preferred distributions
and dividends
|
(1,298)
|
|
(1,313)
|
|
(5,237)
|
|
(5,252)
|
|
FFO of the Operating
Partnership
|
|
$
1,381,963
|
|
$
1,273,791
|
|
$
4,685,866
|
|
$ 4,480,739
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net income
per share to diluted FFO per share reconciliation:
|
|
|
|
|
|
|
|
|
Diluted net income
per share
|
|
|
$
2.29
|
|
$
2.06
|
|
$
6.98
|
|
$
6.52
|
|
Depreciation and
amortization from consolidated properties
|
|
|
|
|
|
|
|
|
and our share of
depreciation and amortization from unconsolidated
|
|
|
|
|
|
|
|
|
entities, including
Klépierre, TRG and other corporate investments, net of
noncontrolling
|
|
|
|
|
|
|
|
|
interests portion of
depreciation and amortization
|
1.42
|
|
1.35
|
|
5.52
|
|
5.44
|
|
(Gain) loss on
acquisition of controlling interest, sale or disposal of, or
recovery on,
|
|
|
|
|
|
|
|
|
assets and interests in
unconsolidated entities and impairment, net
|
(0.02)
|
|
(0.01)
|
|
0.01
|
|
(0.01)
|
|
Diluted FFO per
share
|
|
|
$
3.69
|
|
$
3.40
|
|
$
12.51
|
|
$
11.95
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Details for per share
calculations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FFO of the Operating
Partnership
|
|
|
$
1,381,963
|
|
$
1,273,791
|
|
$
4,685,866
|
|
$ 4,480,739
|
|
Diluted FFO allocable
to unitholders
|
|
(179,592)
|
|
(160,937)
|
|
(597,727)
|
|
(564,946)
|
|
Diluted FFO allocable
to common stockholders
|
|
$
1,202,371
|
|
$
1,112,854
|
|
$
4,088,139
|
|
$ 3,915,793
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and Diluted
weighted average shares outstanding
|
325,934
|
|
326,954
|
|
326,808
|
|
327,817
|
|
Weighted average
limited partnership units outstanding
|
48,930
|
|
47,303
|
|
47,782
|
|
47,295
|
|
Basic and Diluted
weighted average shares and units outstanding
|
374,864
|
|
374,257
|
|
374,590
|
|
375,112
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and Diluted FFO
per Share
|
|
|
$
3.69
|
|
$
3.40
|
|
$
12.51
|
|
$
11.95
|
|
Percent Change
|
|
|
|
8.5 %
|
|
|
|
4.7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Simon Property
Group, Inc.
|
|
Footnotes to
Unaudited Financial Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Notes:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(A)
|
Excess investment
represents the unamortized difference of our investment over equity
in the underlying net assets of the related partnerships and joint
ventures shown therein. The Company generally amortizes
excess investment over the life of the related assets.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(B)
|
The Unaudited Joint
Venture Combined Statements of Operations do not include any
operations or our share of net income or excess investment
amortization related to our investments in Klépierre, TRG and other
platform investments. Amounts included in Footnote D below
exclude our share of related activity for our investments in
Klépierre, TRG and other platform investments. For further
information on Klépierre, reference should be made to financial
information in Klépierre's public filings and additional discussion
and analysis in our Form 10-K.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(C)
|
This report contains
measures of financial or operating performance that are not
specifically defined by GAAP, including FFO and FFO per
share. FFO is a performance measure that is standard in the
REIT business. We believe FFO provides investors with
additional information concerning our operating performance and a
basis to compare our performance with those of other REITs.
We also use these measures internally to monitor the operating
performance of our portfolio. Our computation of these non-GAAP
measures may not be the same as similar measures reported by other
REITs.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
We determine FFO based
upon the definition set forth by the National Association of Real
Estate Investment Trusts ("NAREIT") Funds From Operations White
Paper - 2018 Restatement. Our main business includes acquiring,
owning, operating, developing, and redeveloping real estate in
conjunction with the rental of retail real estate. Gains and
losses of assets incidental to our main business are included in
FFO. We determine FFO to be our share of consolidated net
income computed in accordance with GAAP, excluding real estate
related depreciation and amortization, excluding gains and losses
from extraordinary items, excluding gains and losses from the sale,
disposal or property insurance recoveries of, or any impairment
related to, depreciable retail operating properties, plus the
allocable portion of FFO of unconsolidated joint ventures based
upon economic ownership interest, and all determined on a
consistent basis in accordance with GAAP. However, you should
understand that FFO does not represent cash flow from operations as
defined by GAAP, should not be considered as an alternative to net
income determined in accordance with GAAP as a measure of operating
performance, and is not an alternative to cash flows as a measure
of liquidity.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(D)
|
Includes our share
of:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
Gain on land sales of
$5.8 million and $0.2 million for the three months ended December
31, 2023 and 2022, respectively, and $13.6 million and $15.8
million for the twelve months ended December 31, 2023 and 2022,
respectively.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
Straight-line
adjustments decreased income by ($1.0) million and ($3.9) million
for the three months ended December 31, 2023 and 2022,
respectively, and ($11.4) million and ($26.8) million for the
twelve months ended December 31, 2023 and 2022,
respectively.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
Amortization of fair
market value of leases increased (decreased) income by $0.0 million
and $0.1 million for the three months ended December 31, 2023 and
2022, respectively, and $0.2 million and ($0.2) million for the
twelve months ended December 31, 2023 and 2022,
respectively.
|
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SOURCE Simon