Brixmor Property Group (BRX) Q4 2024 earnings summary

Executive summary

• Achieved strong growth in NOI and FFO, both up 5% year-over-year, driven by robust leasing, portfolio transformation, and value-add reinvestment; 1.5M sq ft of new/renewal leases in Q4 2024 with rent spreads on new leases at 34.4% and total comparable space at 21.0%.

• Operates 363 open-air shopping centers, 81% of ABR from grocery-anchored centers, with anchor occupancy at 97.2% and high grocer productivity at ~$710 PSF.

• Net income attributable to shareholders rose to $83.4M ($0.27/share) in Q4 2024, up from $72.7M ($0.24/share) in Q4 2023; full year net income was $339.3M ($1.11/share), up from $305.1M ($1.01/share) in 2023.

• Redevelopment and construction delivered $205M of reinvestment at a 9% incremental return; in-process pipeline grew to nearly $400M at a 10% return.

• Moody’s upgraded credit rating to Baa2 with a stable outlook in December 2024.

Financial highlights

• Q4 2024 Nareit FFO was $0.53 per share, with same property NOI growth of 4.7%; full-year property NOI growth was 5% and Nareit FFO per share reached $2.13.

• Total leased occupancy reached 95.2% at year-end 2024, with small shop leased occupancy at a record 91.1%.

• In-place ABR PSF hit a record $17.66; small shop new lease ABR PSF reached $30.60.

• Signed but not yet commenced ABR pool totaled $61M at $21 per sq ft, with $53M expected to commence in 2025.

• Dividend declared: $0.2875/share for Q1 2025 (annualized $1.15/share).

Outlook and guidance

• 2025 same property NOI growth guidance is 3.5%–4.5%, including a 200 basis point drag from tenant disruption.

• 2025 Nareit FFO guidance is $2.19–$2.24 per share, representing 4% growth at midpoint despite a $0.06 headwind from interest income.

• 87% of signed-not-commenced ABR expected to commence by year-end 2025.

• Revenues deemed uncollectible projected at 75–110 basis points of total revenues, consistent with historical rates.

• Expect slower growth in H1 2025 due to lease rejections, with acceleration in H2 as backfills commence.