Continued Double-Digit Revenue Growth
Highlights Strong Performance
Logistic Properties of the Americas (NYSE American: LPA)
(together with its subsidiaries, “LPA” or the “Company”), announced
today its unaudited financial results for the three months ended
September 30, 2024 (“third quarter 2024” or “3Q24”). The Financial
results are expressed in U.S. dollars and are presented in
accordance with International Financial Reporting Standards
(“IFRS”), which differ in certain significant respects from the
U.S. generally accepted accounting principles (“GAAP”). This
information should be read in conjunction with, and is qualified in
its entirety by reference to, the Company’s consolidated financial
statements, including the notes thereto. Financial results are
preliminary and subject to year-end audit and adjustments. All
comparisons within this announcement are year-over-year (“YoY”),
unless otherwise noted. LPA’s financial results are stated in U.S.
dollars unless otherwise noted. LPA is a leading developer, owner,
acquirer and manager of logistics and industrial real estate of
institutional quality in the Americas, and one of the few
internally managed, vertically-integrated, and institutional
platforms operating across the region.
3Q24 Financial and Operating Highlights
- Revenue increased by 10.4% to $11.3 million for the three
months ended September 30, 2024, primarily driven by increases of
26.4% and 9.5% in Peru and Costa Rica, respectively, thereby
offsetting a 7.1% decline in Colombia, which resulted from the
tactical divestment of a building during the fourth quarter of
2023.
- 3Q24 Net Operating Income (NOI) increased by 10.3% to $9.6
million, from $8.7 million in 3Q23, while 3Q23 Same-Property Cash
NOI remained in line.
- LPA’s operating portfolio achieved a leased rate of 98.5% by
quarter’s end, from 94.6% in 2Q24. This increase reflects the
Company’s strategic approach to capturing rental market growth
through both lease renewals and new lease agreements. LPA ended
3Q24 having executed two new lease agreements in Colombia with
Porsche and DSV (formerly Panalpina), respectively, earlier than
previously expected, resulting in a combined gross leasable area
(GLA) of 125,282 square feet. These new leases replace prior
vacancies and reflect current increased market rental rates,
achieving an average rate increase of 28%. LPA secured a new lease
at the Callao Park in Peru with Scharff International Courier &
Cargo S.A. and also leased available space in the Lima Sur Park
with Signia Soluciones Logisticas S.A.C., for a combined GLA of
92,537 square feet. In Costa Rica, LPA signed a new lease agreement
with Chemelco Food Tech, S.A., adding 1,416 square feet to LPA’s
total leased portfolio. The quarter’s leasing activity in Peru and
Costa Rica demonstrates the Company’s ability to effectively
capture embedded rental rate growth within its portfolio in the
markets where LPA operates.
- Average rent per square foot increased by 4.9% year-over-year
(“YoY”) to $7.92 in 3Q24 from $7.55 in 3Q23, supported by charges
related to automatic escalators included in the Company’s existing
lease contracts.
- Net Earnings Attributable to Owners of the Company reached $4.9
million in 3Q24, a 266% increase compared to $1.4 million in 3Q23.
Earnings per Share Attributable to Owners of the Company increased
to basic of $0.16 and diluted of $0.15 compared to basic and
diluted of $0.05 in 3Q23.
Subsequent Events
- In December 2022, the Company committed to a 30-year land lease
agreement with Lima Airport Partners S.R.L. (“LAP”) to develop
warehouses on the leased land. In connection with this commitment,
on October 31, 2024, LAP granted the Company the right to access
three land parcels measuring approximately 1.5 million square feet,
of which one parcel measuring approximately 0.7 million square feet
will be used by LPA to begin construction of a warehouse. For the
remaining land parcels, the Company is authorized to prepare the
land for future construction, after which the land parcels will be
returned to LAP until further authorization on construction is
granted to the Company.
- On November 12, 2024, the Company has entered into a binding
agreement with a Mexican real estate developer to form a strategic
partnership in Mexico for the purpose of operating real estate
properties located in Mexico. Upon formation of the partnership,
the real estate developer will contribute two operating properties
to the partnership, and the Company will contribute cash equal to
10% of the appraised values of the two properties. The Company will
own a 10% equity interest in the partnership, and the real estate
developer company will own the remainder. This transaction is
expected to close in early 2025.
Furthermore, this strategic alliance grants
LPA immediate access to Falcon’s extensive experience through more
than 65 years operating within Mexico’s industrial and logistics
market, well-established relationships with Mexico's key
landowners, and a solid local network of clients and
developers.
CEO Commentary
LPA’s portfolio of operating assets continued delivering solid
performance levels in the third quarter, driven by favorable
underlying market trends and positive leasing dynamics across our
markets. Revenues increased by 10.4% year-over-year, as more of our
leases were marked-to-market upon renewal, also benefiting from the
execution of new leases with several new tenants, including
European multinational companies, complementing our lease
portfolio. This top line growth, combined with continued operating
efficiencies, increased NOI by 10.3% to $9.6 million for the third
quarter 2024. It is important to note that general and
administrative expenses were significantly higher again this
quarter, mainly due to the one-time costs related to LPA’s
transition to become a publicly traded company, and the additional
costs that will be recurring as we have assumed heightened auditing
and reporting obligations to comply with U.S. Securities and
Exchange Commission requirements.
Our operating GLA increased by 10.9% to 5.1 million square feet
from the beginning of the year. Stabilized leased area leveled off
by 150 basis points to 98.5% during the same period, as we are
patient and highly selective in our re-leasing efforts,
particularly in Colombia where the range of mark-to-market spreads
increased by 25% to 40%. The considerable scarcity of new supply
within this market over the last 18 months has enabled us to
identify higher-value and option-constrained tenants which require
our premium product.
The quarter also brought additional residual fee income from the
release of certain shareholders from lock-up agreements when LPA’s
share price activity warranted these releases. This income
bolstered our funding for expanding LPA’s portfolio in the region.
We do not expect to receive additional fee income of this nature in
subsequent quarters.
Lastly and perhaps most noteworthy, we have initiated our
investment program in Mexico, aligning with our long-term value
creation strategy and seizing an opportunity to deploy capital
earlier than initially planned. Consistent with our long-term value
creation strategy, we have begun investing in Mexico, successfully
identifying an opportunity to invest capital sooner than we
initially expected. Extending LPA’s differentiated
vertically-integrated real estate platform to Mexico represents an
exciting new phase of growth for our Company, as we continue to
benefit from the growing industrial and logistics sector demand and
strong nearshoring and ecommerce tailwinds within Mexico. We expect
to replicate our success through sustained operational excellence
in this globally relevant, and fast-growing market, leveraging our
many years of experience delivering world-class products and
capital solutions to the region's highest quality tenants.
Esteban Saldarriaga Chief Executive Officer
Real Estate Portfolio
Real Estate Portfolio
As of September 30, 2024
As of December 31, 2023
As of September 30, 20231
Number of operating real estate
properties
30
28
28
Operating GLA (sq. ft)
5,121,625
4,619,616
4,615,760
Leased area (sq. ft)
5,629,154
5,308,454
5,098,759
Number of tenants
51
53
53
Average rent per square foot
$7.92
$7.80
$7.55
Weighted average remaining lease term
5.0 years
5.3 years
5.5 years
Stabilized occupancy rate (% of GLA)
94.5 %
100.0 %
99.4 %
1 Excludes a held-for-sale investment
property in Colombia with a Leased Area of 289,000 square feet
which was occupied by one tenant.
Financial Performance
Revenues
(amounts expressed in thousand dollars,
unless otherwise noted)
Three months ended September
30
2024
2023
% Chg.
Rental revenue
Colombia
2,068
2,226
(7.1
)%
Peru
2,983
2,360
26.4
%
Costa Rica
6,122
5,589
9.5
%
Unallocated revenue
100
39
154.2
%
Total revenue
11,273
10,214
10.4
%
Investment Property Operating
Expenses
(amounts expressed in thousand dollars,
unless otherwise noted)
Three months ended September
30
2024
2023
% Chg.
Investment property operating expense
Colombia
(310
)
(261
)
18.6
%
Peru
(566
)
(423
)
34.0
%
Costa Rica
(741
)
(825
)
(10.2
%)
Total Investment Property Operating
expense
(1,617
)
(1,509
)
7.1
%
Operating Performance
(amounts expressed in thousand dollars,
unless otherwise noted)
Three months ended September
30
2024
2023
% Chg.
Total revenues
11,273
10,214
10.4
%
Total investment property operating
expense
(1,617
)
(1,509
)
7.1
%
General and administrative
(4,751
)
(2,520
)
88.5
%
Investment property valuation gain
8,175
9,826
(16.8
)%
Interest income from affiliates
—
160
(100.0
)%
Financing costs
(5,797
)
(5,647
)
2.7
%
Net foreign currency gain
49
13
261.6
%
Other income
1,105
32
NM
Other expenses
(1,238
)
(3,345
)
(63.0
)%
Profit before taxes
7,199
7,224
(0.4
)%
Income tax expense
(2,366
)
(4,853
)
(51.3
)%
PROFIT FOR THE PERIOD
4,833
2,371
103.8
%
NM- not meaningful
Supplemental Information
Please refer to LPA’s quarterly Supplemental Information and
Management Discussion and Analysis, both which are available on the
Company’s Investor Relations website at
https://ir.lpamericas.com
3Q24 Earnings Conference Call
When: November 14, 2024, 9:00 a.m. Eastern Time
Who: Mr. Esteban Saldarriaga, Chief Executive Officer,
Mr. Paul Smith, Chief Financial Officer, Ms. Annette Fernandez,
Chief Operating Officer, and Mr. Camilo Ulloa, Investor
Relations
Dial-in: +1 800 343 5172 (Toll-Free), +1 203 518 9843
(International)
Passcode: LPA3Q24
Pre-Register: You may pre-register at any time: here.
Callers will need to press # to be connected to an operator to
access LPA’s financial results conference call via telephone.
Webcast: click here
The call recording will also be available for replay on LPA’s
website for a limited time.
About Logistic Properties of the Americas
Logistic Properties of the Americas is a leading developer,
owner, and manager of institutional quality industrial and
logistics real estate in high-growth and high-barrier-to-entry
markets in Central and South America. LPA’s customers are
multinational and regional e-commerce retailers, third-party
logistic operators, business-to-business distributors, and retail
distribution companies among others. LPA expects its strong
customer relationships and insight to enable future growth through
the development and acquisition of high-quality, strategically
located facilities in its target markets. As of September 30, 2024,
LPA’s operating and development portfolio was comprised of 31
logistics facilities in Costa Rica, Peru and Colombia totaling more
than 491,000 square meters (or approximately 5.3 million square
feet) of gross leasable area. For more information visit
https://ir.lpamericas.com.
Forward-Looking Statements
This press release contains certain forward-looking information,
which may not be included in future public filings or investor
guidance. The inclusion of forward-looking information in this
press release should not be construed as a commitment by LPA to
provide guidance on such information in the future. Certain
statements in this press release may be considered forward-looking
statements within the meaning of the U.S. federal securities laws.
Forward-looking statements include, without limitation, statements
about future events or LPA’s future financial or operating
performance. These forward-looking statements regarding future
events and the future results of LPA are based on current
expectations, estimates, forecasts, and projections about the
industry in which LPA operates, as well as the beliefs and
assumptions of LPA’s management. These forward-looking statements
are only predictions and are subject to known and unknown risks,
uncertainties, assumptions and other factors beyond LPA’s control
that are difficult to predict because they relate to events and
depend on circumstances that will occur in the future. They are
neither statements of historical fact nor promises or guarantees of
future performance. Therefore, LPA’s actual results may differ
materially and adversely from those expressed or implied in any
forward-looking statements and LPA therefore caution against
relying on any of these forward-looking statements.
These forward-looking statements are based upon estimates and
assumptions that, while considered reasonable by LPA and its
management, are inherently uncertain and are inherently subject to
risks variability and contingencies, many of which are beyond LPA’s
control. Factors that may cause actual results to differ materially
from current expectations include, but are not limited to: (i) the
possibility of any economic slowdown or downturn in real estate
asset values or leasing activity or in the geographic markets where
LPA operates; (ii) LPA’s ability to manage growth; (iii) LPA’s
ability to continue to comply with applicable listing standards of
NYSE American; (iv) changes in applicable laws, regulations,
political and economic developments; (v) the possibility that LPA
may be adversely affected by other economic, business and/or
competitive factors; (vi) LPA’s estimates of expenses and
profitability; (vii) the outcome of any legal proceedings that may
be instituted against LPA and (viii) other risks and uncertainties
set forth in the filings by LPA with the U.S. Securities and
Exchange Commission. There may be additional risks that LPA does
not presently know or that LPA currently believes are immaterial
that could also cause actual results to differ from those contained
in the forward-looking statements. Any forward-looking statements
made by or on behalf of LPA speak only as of the date they are
made. Except as otherwise required by applicable law, LPA disclaims
any obligation to publicly update or revise any forward-looking
statements to reflect any changes in their respective expectations
with regard thereto or any changes in events, conditions or
circumstances on which any such statement is based. Accordingly,
you should not place undue reliance on forward-looking statements
due to their inherent uncertainty.
Nothing within this press release should be regarded as a
representation by any person that the forward-looking statements
set forth herein will be achieved or that any of the contemplated
results of such forward-looking statements will be achieved. You
should not place undue reliance on forward-looking statements,
which speak only as of the date they are made.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20241113043557/en/
Investor Relations Camilo Ulloa Logistic Properties of
the Americas +506 6293 9083 camilo@lpamericas.com Barbara Cano/Ivan
Peill InspIR Group barbara@inspirgroup.com /
ivan@inspirgroup.com
Logistic Properties of t... (AMEX:LPA)
과거 데이터 주식 차트
부터 11월(11) 2024 으로 12월(12) 2024
Logistic Properties of t... (AMEX:LPA)
과거 데이터 주식 차트
부터 12월(12) 2023 으로 12월(12) 2024
