Simon Property Reports Mixed Q3 Results But Retail Enthusiasm Soars

Shares of Simon Property Group Inc ($SPG) were in focus on Friday after the company reported its third-quarter results with revenue beating Wall Street estimates but earnings falling short of expectations.

Revenue rose 5% year-over-year (YoY) to $1.48 billion, significantly beating an estimate of $1.32 billion. However, earnings per share (EPS) came in at $1.46 versus an estimate of $1.49. Net income fell 20% YoY to $475.2 million.

Real Estate Funds From Operations rose 4.8% YoY to $1.144 billion while Funds From Operations declined 11% YoY to $1.067 billion. Domestic property net operating income increased 5.4%.

Simon Property said that occupancy at the end of Sept. improved 1% YoY to 96.2% while base minimum rent per square foot increased by 2.3% to $57.71.

The company highlighted that in August, Tulsa Premium Outlets opened with 338,000 square feet featuring a mix of merchandise, amenities and experiences. Simon owns 100% of this center, it said.

In Sept, the 184,000 square-foot, phase two expansion of Busan Premium Outlets in South Korea opened featuring new fashion and sports brands and in vogue food and beverage brands.  The company owns 50% of this center.

The company’s board has declared a quarterly common stock dividend of $2.10 for the fourth quarter of 2024. The dividend will be payable on Dec. 30, 2024 to shareholders of record on Dec. 9, 2024.

For the full fiscal year 2024, Simon Property estimates net income to be within a range of $7.18 to $7.28 per diluted share.

Following the announcement, retail sentiment on Stocktwits jumped into the ‘extremely bullish’ territory (96/100) from ‘bearish’ a day ago, accompanied by ‘extremely high’ message volume.

Stocktwits users are expressing optimism on the firm following the earnings announcement.

Also See: Intel Stock Rises Pre-Market On Better-Than-Feared Q3: But Retail’s Unimpressed With Biggest Quarterly Loss Ever

For updates and corrections email newsroom@stocktwits.com

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