Equity Residential (EQR) Q4 2024 earnings summary

Executive summary

• Delivered solid 2024 results with Normalized FFO per share at $3.89, EPS at $2.72, and record-low turnover of 42.5%, reflecting strong demand, disciplined expense control, and favorable supply-demand dynamics in core markets.

• Board approved a 2.6% increase in annual dividend to $2.77 per share for 2025.

• Portfolio is positioned for long-term cash flow growth, focusing on established coastal markets with limited exposure to oversupplied Sunbelt regions.

• Strategic capital allocation included $2B in expansion market acquisitions and $1B in coastal market dispositions in 2024.

• Recognized for sustainability leadership, including Dow Jones Sustainability Indices and Nareit's Leader in the Light award.

Financial highlights

• 2024 EPS was $2.72 (up 23.6% year-over-year); Q4 2024 EPS was $1.10 (up 34.1%).

• 2024 Normalized FFO per share was $3.89; Q4 2024 Normalized FFO per share was $1.00.

• Same-store revenue grew 3.0% in 2024, with expense growth at 2.9% and same-store NOI up 3.1%.

• Physical occupancy for 2024 was 96.1%–96.2%.

• Net gain on sales of real estate properties for 2024 was $546.8M.

Outlook and guidance

• 2025 guidance: EPS of $3.00–$3.10, Normalized FFO per share of $3.90–$4.00, and same-store revenue growth of 2.25%–3.25%.

• Expense growth for 2025 expected at 3.5%–4.5%; NOI growth 1.4%–3.0%.

• 2025 blended rate growth expected between 2%–3%, with occupancy at 96.2%.

• 2025 guidance includes $1.5B in acquisitions and $1B in dispositions, with net acquisitions funded by debt.

• Revenue growth anticipated to accelerate in the second half of 2025, led by coastal markets.