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Investing.com -- Equity Lifestyle Properties, Inc. (NYSE:ELS) reported second quarter earnings that narrowly beat analyst expectations, while revenue significantly exceeded forecasts. The real estate investment trust’s shares remained flat following the announcement.
The company reported second quarter earnings per share of $0.42, just $0.01 above the analyst estimate of $0.41. Revenue surged to $376.9 million, substantially exceeding the consensus estimate of $318.22 million. Normalized Funds from Operations (FFO) per share came in at $0.69, representing a 4.7% increase compared to the same period in 2024.
Core property operating revenues increased 3.5% YoY, while core property operating expenses remained flat compared to the second quarter of 2024. This led to a 6.4% increase in core income from property operations, excluding property management.
"Our second quarter performance landed at the midpoint of our previous guidance range, demonstrating the stability of our business model," said Marguerite Nader, President and CEO of Equity Lifestyle Properties. "We’re particularly pleased with our ability to control operating expenses while growing our core property revenues."
The company’s manufactured housing segment showed strength with core MH base rental income increasing 5.5% compared to the same period last year. Meanwhile, core RV and marina base rental income grew by a more modest 0.7%.
Looking ahead, Equity Lifestyle Properties updated its full-year 2025 guidance, projecting normalized FFO per share between $3.01 and $3.11. For the third quarter, the company expects normalized FFO per share between $0.72 and $0.78.
During the quarter, the company entered into a $240 million unsecured term loan agreement and repaid $86.9 million of principal on eight mortgage loans, representing all debt maturing in 2025.
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