American Homes 4 Rent · NYSE:AMH
American Homes 4 Rent — Investor Presentation (March 2022)
29 slides from American Homes 4 Rent's investor presentation, Mar 4, 2022
Slide 1: Investor Highlights March 2022
Investor Highlights March 2022 5 2 ESS : Oomes
Slide 2: Forward-Looking Statements
Forward-Looking Statements Various statements contained in this presentation, including those that express a belief, expectation or intention, as well as those that are not statements of historical fact, are forward- looking statements. These forward-looking statements may include projections and es
Slide 3: AMH At A Glance
3 ➢ Largest Builder of Single-Family Homes For Rent with 2,100 – 2,400 Deliveries Expected in 2022 ➢ 18,000+ Unit Land Pipeline to Fuel Further Acceleration(2) ➢ Highest-Quality Product and Superior Investment Returns ➢ Class A SFR Locations, Inside Existing AMH Footprint ➢ Three-Pronged External Gr
Slide 4: AMH Today
4 AMH Today The Market Opportunity Robust Growth Engine Strong Governance Practices
Slide 5: Same-Home Operational Update
5 Same-Home Operational Update Note: Refer to Defined Terms and Non-GAAP Reconciliations, as well as the 4Q21 Supplemental Information Package, for defined metrics and GAAP to non-GAAP reconciliations. 2020 2021 2022 97.4% 97.3% 97.6% 97.4% 95.0% 96.0% 97.0% 98.0% 4Q February QTD Same-Home Average O
Slide 6: Full Year 2022 Guidance
6 Full Year 2022 Guidance Guidance Summary(1) Full Year Midpoint Core FFO per share and unit $1.53 - $1.59 $1.56 Core FFO per share and unit growth 12.5% - 16.9% 14.7% Same-Home Portfolio: Core revenues growth 7.25% - 9.25% 8.25% Core property operating expenses growth 4.75% - 6.75% 5.75% Core NOI g
Slide 7: 2022 Core FFO Bridge
7 2022 Core FFO Bridge $1.36 $1.56 Note: Refer to Defined Terms and Non-GAAP Reconciliations, as well as the 4Q21 Supplemental Information Package, for defined metrics and GAAP to non-GAAP reconciliations. (1) Refer to slide 22 for 2022 Guidance disclosure. Guidance is based on the 2/24/2022 earning
Slide 8: AMH vs. the Peer Set
8 AMH vs. the Peer Set (1) Source: Company Disclosure. Includes growth in 2020, 2021, and implied growth for midpoint of 2022 Core FFO guidance, unless not provided. (2) Source: Company Disclosure. (3) Sources: Company Disclosure. International Monetary Fund. John Burns Real Estate Consulting, LLC.
Slide 9: Investment Grade Balance Sheet
Liquidity - Cash and Cash Equivalents Liquidity - Undrawn Revolving Credit Facility Revolving Credit Facility Asset-Backed Securitizations Unsecured Senior Notes Principal Amortization 9 Investment Grade Balance Sheet Capital Structure(1) Debt Maturity Schedule(1)(2)(3) Balance Sheet Philosophy ✓ Ma
Slide 10: The Market Opportunity
10 AMH Today The Market Opportunity Robust Growth Engine Strong Governance Practices
Slide 11: Millennials Enter Prime Single Family Living Years; Housing Undersupply
11 Millennials Enter Prime Single Family Living YearsDecade of Undersupply = Massive Housing Shortage Changing Lifestyle Preferences → Increased Preference to Rent Recent HPA Growth Creates Long Runway for SFR Rent Growth (1.0%) (0.5%) 0.0% 0.5% 1.0% 1.5% 2.0% 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 2 0 2 4
Slide 12: Migration Trends Favor AMH Footprint
Migration Trends Favor AMH Footprint 12 Sources: U.S. Census Bureau; AMH Research, John Burns Real Estate Consulting, LLC (Data: YoY Change from July 2019-July 2020) US Census Migration Data 2019 - 2020 Trends Existed Prior to the Pandemic and Continue to This Day ❑ Observable 2019 - 2020 trends of
Slide 13: Robust Growth Engine
13 AMH Today The Market Opportunity Robust Growth Engine Strong Governance Practices
Slide 14: Total Inventory Additions
391 945 1,647 2,054 2,2501,552 286 564 2,213 2,100 408 148 381 340 100 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 4,500 5,000 2018 2019 2020 2021 2022E Total Inventory Additions(1) AMH Development Traditional Acquisitions National Builder 14 AMH Development National Builder Program Traditional
Slide 15: AMH Development
15 AMH Development Desirable ❑ Communities located in existing, high-performing AMH submarkets ❑ AMH communities blend seamlessly with other high-quality housing stock in surrounding submarket ❑ “Neighborhood feel” creates emotional attachment to home, community and amenities ❑ Designed for today’s
Slide 16: Strategy
16 Strategy Design and create ideal rental Homes and Communities using data and insights from AMH’s integrated development and operating platforms Less opportunity for alignment of interests between developer and operators Product Type & Location High-quality, detached, single family homes, with att
Slide 17: AMH Development Deliveries and Land Pipeline
19 391 945 1,647 2,054 2,250 0 500 1,000 1,500 2,000 2,500 3,000 2016 2017 2018 2019 2020 2021 2022E AMH Development Deliveries 17 AMH Development M id p o in t o f G u id a n ce A Predictable and Consistent Driver of Earnings Growth, Fueled by our Extensive Land Pipeline M id p o in t o f G u id a
Slide 18: Strong Governance Practices
18 AMH Today The Market Opportunity Robust Growth Engine Strong Governance Practices
Slide 19: Environmental, Social and Governance
19 ❑ Operate responsibly ❑ Transparency in our actions ❑ Lead with Integrity Governance ❑ We are governed by a 13-member Board of Trustees, of which approx. 77% are independent. The Board has ESG oversight through the Audit, Human Capital and Compensation, and Nominating and Corporate Governance com
Slide 20: Corporate Governance Highlights
20 Corporate Governance Highlights Independent & Accountable Stewardship ▪ AMH is governed by a 13‐member board of trustees ▪ Independent Chairman of the Board ▪ Annual election of trustees ▪ Majority voting standard (plurality carve‐out voting standard only in contested elections) Continued Focus o
Slide 21: Appendix
Appendix 21
Slide 22: Reconciliations: 2022 Guidance
22 Defined Terms and Non-GAAP Reconciliations 2022 Guidance The Company does not provide guidance for the most comparable GAAP financial measures of net income or loss, rents and other single-family property revenues and property operating expenses, or a reconciliation of the forward-looking non-GAA
Slide 23: Core Net Operating Income (Core NOI)
Core Net Operating Income ("Core NOI“) Core NOI, which we also present separately for our Same-Home, unencumbered and encumbered portfolios, is a supplemental non-GAAP financial measure that we define as core revenues, which is calculated as rents and other single-family property revenues, excluding
Slide 24: Reconciliations: Credit Ratios
24 Defined Terms and Non-GAAP Reconciliations Credit Ratios We present the following selected metrics because we believe they are helpful as supplemental measures in assessing the Company’s ability to service its financing obligations and in evaluating balance sheet leverage against that of other re
Slide 25: Reconciliations: Unencumbered Core NOI and Fixed Charge Coverage
25 Defined Terms and Non-GAAP Reconciliations Unencumbered Core NOI Percentage For the Trailing Twelve Months Ended Dec 31, 2021 Unencumbered Core NOI $ 490,675 Core NOI 719,816 Unencumbered Core NOI Percentage 68.2% Fixed Charge Coverage For the Trailing Twelve Months Ended Dec 31, 2021 Interest ex
Slide 26: Reconciliations: EBITDA / EBITDAre / Adjusted EBITDAre
26 Defined Terms and Non-GAAP Reconciliations EBITDA / EBITDAre / Adjusted EBITDAre EBITDA is defined as earnings before interest, taxes, depreciation and amortization. EBITDA is a non-GAAP financial measure and is used by us and others as a supplemental measure of performance. EBITDAre is a supplem
Slide 27: Reconciliations: FFO / Core FFO
27 Defined Terms and Non-GAAP Reconciliations Funds from Operations (“FFO”) / Core FFO attributable to common share and unit holders FFO attributable to common share and unit holders is a non-GAAP financial measure that we calculate in accordance with the definition approved by NAREIT, which defines
Slide 28: Reconciliations: Net Income to Core FFO
28 Defined Terms and Non-GAAP Reconciliations The following is a reconciliation of net income attributable to common shareholders, as determined in accordance with GAAP, to Core FFO attributable to common share and unit holders (amounts in thousands, except share and per share data): (1) Included in
Slide 29: Reconciliations: Same-Home Property
29 Defined Terms and Non-GAAP Reconciliations Same-Home Property A property is classified as Same-Home if it has been stabilized longer than 90 days prior to the beginning of the earliest period presented under comparison. A property is removed from Same-Home if it has been classified as held for sa
American Homes 4 Rent — Investor Presentation (March 2022) on 6ix