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Prologis (PLD) Q4 FFO Beats Estimates on Higher Revenues

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Have you been eager to see how Prologis Inc. (PLD - Free Report) performed in Q4 in comparison with the market expectations? Let’s quickly scan through the key facts from this San Francisco, CA – based industrial real estate investment trust’s (REIT) earnings release this morning:

A FFO Beat

Prologis came out with core funds from operations ("FFO") per share of 67 cents, beating the Zacks Consensus Estimate of 66 cents.

Better-than-expected growth in revenues was primarily responsible for this beat.

How Was the Earnings Surprise Trend?

Prologis has a decent earnings surprise history. Before posting a beat in Q4, the company delivered positive surprise in two out of prior four quarters and in-line result in the other two occasions, as shown in the chart below.

Overall, the company surpassed the Zacks Consensus Estimate by an average of 2.3% in the trailing four quarters.

Prologis, Inc. Price and EPS Surprise
 


Prologis, Inc. Price and EPS Surprise
| Prologis, Inc. Quote


Revenue Came Higher Than Expected

Prologis’ rental and other revenues amounted to $551.8 million, which beat the Zacks Consensus Estimate of $534.3 million.

Key Developments to Note:

Prologis provided its core FFO per share outlook for full-year 2018. The company projects core FFO per share in the range of $2.85-$2.95.

What Zacks Rank Says

Prologis currently has a Zacks Rank #4 (Sell). However, since the latest earnings performance is yet to be reflected in the estimate revisions, the rank is subject to change. While things apparently look favorable, it all depends on what sense the just-released report makes to the analysts.

(You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.)

Note: All EPS numbers presented in this write up represent funds from operations (“FFO”) per share. FFO, a widely used metric to gauge the performance of REITs, is obtained after adding depreciation and amortization and other non-cash expenses to net income.

Check back later for our full write up on this PLD earnings report!

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