Veris Residential (VRE) Q4 2024 earnings summary

Executive summary

• Achieved 13% year-over-year Core FFO growth to $0.60 per share, with a 36% increase since 2022, and reported a net loss per share of ($0.25), a significant improvement from ($1.22) in 2023.

• Completed transformation into a pure-play multifamily REIT, exiting office assets, and focusing on Class A properties in top-performing residential markets.

• Completed $223 million in non-strategic asset sales, refinanced $526 million in mortgages, and reduced net debt by $156 million year-over-year.

• Dividend increased by approximately 60% on an annualized basis, and leverage reduced by about one-third over three years.

• Announced a $100 million share repurchase program and identified $300–$500 million in assets for sale over the next 12–24 months.

Financial highlights

• Core FFO per share rose to $0.60 in 2024, up from $0.53 in 2023; Q4 Core FFO was $0.11 per share.

• Full-year NOI growth of 6.9% and blended net rental growth of 4% in 2024.

• Net loss available to common shareholders was ($23.1) million for 2024, compared to ($107.3) million in 2023.

• Dividend per share for 2024 was $0.2625, up from $0.1025 in 2023.

• Revenues up 5.4% for the year, driven by rent growth and stabilization of key assets.

Outlook and guidance

• 2025 Core FFO per share guidance: $0.61–$0.63, representing 2–5% growth.

• Projected same-store NOI growth of 1.7%–2.7% and revenue growth of 2.1%–2.7%.

• Expense growth expected at 2.6%–3%, with controllable expenses nearly flat due to technology and efficiency initiatives.

• Plans to use asset sale proceeds for up to $100 million in share repurchases and further debt reduction, targeting leverage below 9x Net Debt-to-EBITDA.

• Net loss per share guidance for 2025 is ($0.24)–($0.22).