Industrial Logistics Properties Trust · NASDAQ:ILPT
Industrial Logistics Properties Trust — Q1 2025 Earnings Presentation
33 slides from Industrial Logistics Properties Trust's earnings presentation, Apr 29, 2025
Slide 1: Financial Results and Supplemental Information First Quarter 2025
Financial Results and Supplemental Information April 29, 2025 FIRST QUARTER 2025 Exhibit 99.2 2020 Joe B. Jackson Parkway Murfreesboro, TN 1,016,281 Square Feet ILPT Ownership: 100%
Slide 2: Table of Contents
2Q1 2025RETURN TO TABLE OF CONTENTS QUARTERLY RESULTS Industrial Logistics Properties Trust Announces First Quarter 2025 Financial Results .......................................................................... 4 First Quarter 2025 Highlights ......................................................
Slide 3: Quarterly Results
3Q1 2025RETURN TO TABLE OF CONTENTS Quarterly Results
Slide 4: ILPT Announces First Quarter 2025 Financial Results
4Q1 2025RETURN TO TABLE OF CONTENTS "Our first quarter results continued to highlight the strong operating fundamentals of our portfolio, as the majority of our key financial metrics increased year-over-year and sequentially. Leasing velocity also remained robust, as we completed over 2.3 million sq
Slide 5: First Quarter 2025 Highlights
5Q1 2025RETURN TO TABLE OF CONTENTS Portfolio Update • Executed 2,319,000 square feet of total leasing activity at weighted average rental rates that were 18.9% higher than prior rental rates for the same space and with a weighted average lease term (by annualized rental revenues) of 6.0 years. • Le
Slide 6: Financials
6Q1 2025RETURN TO TABLE OF CONTENTS Financials
Slide 7: Key Financial Data
7Q1 2025RETURN TO TABLE OF CONTENTS As of and for the Three Months Ended As of 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 3/31/2025 Selected Income Statement Data: Capitalization: Rental income $ 111,905 $ 110,521 $ 108,945 $ 110,621 $ 112,235 Total common shares 66,143,704 Net loss $ (31,16
Slide 8: Condensed Consolidated Statements of Income (Loss)
8Q1 2025RETURN TO TABLE OF CONTENTS Condensed Consolidated Statements of Income (Loss) Three Months Ended March 31, 2025 2024 Rental income $ 111,905 $ 112,235 Expenses: Real estate taxes 14,154 15,861 Other operating expenses 10,249 10,322 Depreciation and amortization 41,518 43,577 General and adm
Slide 9: Condensed Consolidated Balance Sheets
9Q1 2025RETURN TO TABLE OF CONTENTS Condensed Consolidated Balance Sheets March 31, December 31, 2025 2024 ASSETS Real estate properties $ 5,181,091 $ 5,180,385 Accumulated depreciation (555,714) (523,886) Total real estate properties, net 4,625,377 4,656,499 Investment in unconsolidated joint ventu
Slide 10: Debt Summary
10Q1 2025RETURN TO TABLE OF CONTENTS (1) Interest rates reflect the impact of interest rate caps, as applicable. (2) This loan has two remaining one-year extension options, subject to the satisfaction of certain conditions, and requires that interest be paid at an annual rate of SOFR plus a weighted
Slide 11: Debt Maturity Schedule
11Q1 2025RETURN TO TABLE OF CONTENTS (1) This loan matures in March 2026, subject to one remaining one-year extension option. (2) This loan matures in October 2025, subject to two remaining one-year extension options. Debt Maturity Schedule (dollars in millions) As of March 31, 2025 Current Maturity
Slide 12: Leverage and Coverage Ratios
12Q1 2025RETURN TO TABLE OF CONTENTS As of and for the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Leverage Ratios: Net debt / total gross assets 68.7% 68.6% 68.1% 68.2% 68.6% Net debt / gross book value of real estate assets 71.3% 71.3% 71.0% 71.2% 71.7% Net debt / total m
Slide 13: Capital Expenditures Summary
13Q1 2025RETURN TO TABLE OF CONTENTS (dollars in thousands) For the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Tenant improvements $ 3 $ 916 $ 433 $ 142 $ 444 Leasing costs 3,222 1,265 2,695 184 2,127 Building improvements 734 3,176 2,509 2,506 802 Total capital expenditur
Slide 14: Portfolio Information
14Q1 2025RETURN TO TABLE OF CONTENTS Portfolio Information
Slide 15: Occupancy and Leasing Summary
15Q1 2025RETURN TO TABLE OF CONTENTS (dollars and sq. ft. in thousands, except per sq. ft. data) As of and for the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Properties 411 411 411 411 411 Rentable square feet 59,890 59,890 59,890 59,893 59,893 Percentage leased 94.6% 94.4
Slide 16: Tenant Credit Characteristics and Concentration
16Q1 2025RETURN TO TABLE OF CONTENTS As of March 31, 2025 Tenant Credit Characteristics and Concentration % of Total Annualized Top 10 Tenants (1) Rental Revenues 1 FedEx Corporation 28.7% 2 Amazon.com Services, Inc. 6.7% 3 Home Depot U.S.A., Inc. 2.2% 4 American Tire Distributors, Inc. (2) 1.6% 5 U
Slide 17: Portfolio Lease Expiration and Reset Schedules
17Q1 2025RETURN TO TABLE OF CONTENTS Cumulative Cumulative % of Total % of Total % of Total % of Total Leased Leased Leased Annualized Annualized Annualized No. of Square Feet Square Feet Square Feet Rental Revenues Rental Revenues Rental Revenues Year Leases Expiring Expiring Expiring Expiring Expi
Slide 18: Key Financial Data by Investment Portfolio
18Q1 2025RETURN TO TABLE OF CONTENTS (dollars and sq. ft. in thousands, except per sq. ft. data) Key Financial Data by Investment Portfolio As of and for the Three Months Ended March 31, 2025 ILPT Wholly Owned Properties Mountain Industrial ILPT Mainland Hawaii Total REIT LLC (1) Other (2) Consolida
Slide 19: Joint Ventures
19Q1 2025RETURN TO TABLE OF CONTENTS Joint Ventures
Slide 20: Consolidated Joint Venture - Mountain Industrial REIT LLC
20Q1 2025RETURN TO TABLE OF CONTENTS GA: 12.2% TX: 10.1% OH: 9.7% IN: 8.3% NC: 5.8% FL: 5.1%IL: 5.0% MI: 4.5% NJ: 3.8% MS: 3.7% KS: 3.5% 16 Other States: 28.3% Consolidated Joint Venture - Mountain Industrial REIT LLC (dollars in thousands) Number of Leases Expiring 1 10 13 7 10 40 % of Total Annual
Slide 21: Mountain JV Consolidated Balance Sheets
21Q1 2025RETURN TO TABLE OF CONTENTS (dollars and sq. ft. in thousands) ILPT Number of Square Joint Venture Ownership Presentation Properties States Feet Mountain Industrial REIT LLC 61% Consolidated 94 27 20,978 (1) Amounts shown on this page reflect 100% ownership interest of this joint venture, n
Slide 22: Operating Information of the Consolidated Joint Venture
22Q1 2025RETURN TO TABLE OF CONTENTS Operating Information of the Consolidated Joint Venture (100%) Pro-Rata Operating Information of the Consolidated Joint Venture (ILPT Share) (1) Three Months Ended March 31, Three Months Ended March 31, 2025 2024 2025 2024 Rental income $ 41,685 $ 42,363 $ 25,428
Slide 23: Operating Information of the Consolidated Joint Venture (continued)
23Q1 2025RETURN TO TABLE OF CONTENTS Operating Information of the Consolidated Joint Venture (100%) Pro-Rata Operating Information of the Consolidated Joint Venture (ILPT Share) (1) Three Months Ended March 31, Three Months Ended March 31, 2025 2024 2025 2024 Normalized FFO $ 749 $ (270) $ 457 $ (16
Slide 24: Unconsolidated Joint Venture - The Industrial Fund REIT LLC
24Q1 2025RETURN TO TABLE OF CONTENTS Unconsolidated Joint Venture - The Industrial Fund REIT LLC (1) As of March 31, 2025 ILPT ILPT Number of Square Investment in Joint Venture Ownership Properties States Feet Joint Venture The Industrial Fund REIT LLC 22% 18 12 11,726 $ 114,700 Three Months Ended M
Slide 25: Appendix
25Q1 2025RETURN TO TABLE OF CONTENTS Appendix
Slide 26: Calculation of NOI and Cash Basis NOI
26Q1 2025RETURN TO TABLE OF CONTENTS (dollars in thousands) For the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Calculation of NOI and Cash Basis NOI: Rental income $ 111,905 $ 110,521 $ 108,945 $ 110,621 $ 112,235 Real estate taxes (14,154) (16,214) (15,339) (15,149) (15,8
Slide 27: EBITDA, EBITDAre and Adjusted EBITDAre Reconciliation
27Q1 2025RETURN TO TABLE OF CONTENTS (dollars in thousands) For the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Net loss $ (31,169) $ (34,380) $ (35,407) $ (33,479) $ (33,902) Plus: interest expense 69,813 71,739 73,936 73,631 73,230 Plus: income tax expense 28 60 33 36 33
Slide 28: Cash Available for Distribution Calculation
28Q1 2025RETURN TO TABLE OF CONTENTS (amounts in thousands, except per share data) For the Three Months Ended 3/31/2025 12/31/2024 9/30/2024 6/30/2024 3/31/2024 Normalized FFO attributable to common shareholders $ 13,490 $ 8,877 $ 8,063 $ 8,965 $ 9,450 Plus (minus): Non-cash interest expense 10,587
Slide 29: Company Profile, Research Coverage and Governance Information
29Q1 2025RETURN TO TABLE OF CONTENTS Company Profile, Research Coverage and Governance Information Management: ILPT is managed by The RMR Group (Nasdaq: RMR). RMR is an alternative asset management company that is focused on commercial real estate and related businesses. As of March 31, 2025, RMR ha
Slide 30: Non-GAAP Financial Measures and Certain Definitions
30Q1 2025RETURN TO TABLE OF CONTENTS Unless otherwise noted, all data presented in this presentation excludes the properties owned by an unconsolidated joint venture in which ILPT owns a 22% equity interest. See page 24 for information regarding this joint venture and related mortgage notes. Non-GAA
Slide 31: Non-GAAP Financial Measures and Certain Definitions (Continued)
31Q1 2025RETURN TO TABLE OF CONTENTS Non-GAAP Financial Measures and Certain Definitions (Continued) Cash Available for Distribution: ILPT calculates CAD as shown on page 28. ILPT defines CAD as Normalized FFO minus ILPT's proportionate share of Normalized FFO from unconsolidated joint venture prope
Slide 32: Certain Definitions
32Q1 2025RETURN TO TABLE OF CONTENTS Leased square feet - Leased square feet is pursuant to existing leases as of March 31, 2025, and includes space being fitted out for occupancy, if any, and space which is leased but is not occupied, if any. Leasing costs - Leasing costs include leasing related co
Slide 33: Warning Concerning Forward-Looking Statements
33Q1 2025RETURN TO TABLE OF CONTENTS Warning Concerning Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws that are subject to risks and uncertainties. These statements
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