American Homes 4 Rent · NYSE:AMH
American Homes 4 Rent — Investor Presentation (September 2023)
30 slides from American Homes 4 Rent's investor presentation, Sep 6, 2023
Slide 1: September 2023 Investor Highlights
September 2023 Investor Highlights
Slide 2: Forward-Looking Statements
2 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 relate to beliefs, expec
Slide 3: AMH At A Glance
AMH At A Glance 3 ➢ Largest Integrated Single-Family Rental Builder with 2,200 – 2,400 Deliveries Expected in 2023(1) ➢ 13,000+ Unit Land Pipeline Creates Opportunity for Years of Stable Growth(2) ➢ Highest-Quality Product and Superior Investment Returns ➢ Class A Single-Family Rental Locations, Ins
Slide 4: Same-Home Operational Update
4 Same-Home Operational Update Note: Refer to Defined Terms and Non-GAAP Reconciliations in the Appendix, as well as the 2Q23 Supplemental Information Package, for defined metrics and GAAP to non-GAAP reconciliations. 3Q23 Results Tracking In-Line with Most Recent Expectations 2022 2023’18 – ’19 Avg
Slide 5: Diversified Portfolio Footprint Positioned for Long-Term Sustainable Growth
Diversified Portfolio Footprint 5 Positioned for Long-Term Sustainable Growth and Portfolio Optimization Flexibility 30+ Markets 97.0% Same-Home Avg. Occupied Days(1) 17 Years Avg. Age per Home 21 States 58,045 Properties Owned $2,048 Same-Home Avg. Mon. Realized Rent(1) 1,990 sf Avg. Square Feet pe
Slide 6: SFR Macro Tailwinds
6 SFR Macro Tailwinds AMH Mojave Hills Development Las Vegas Market
Slide 7: Favorable Supply Landscape
0.0 0.4 0.8 1.2 1.6 2.0 2 0 0 0 2 0 0 1 2 0 0 2 2 0 0 3 2 0 0 4 2 0 0 5 2 0 0 6 2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0 2 0 1 1 2 0 1 2 2 0 1 3 2 0 1 4 2 0 1 5 2 0 1 6 2 0 1 7 2 0 1 8 2 0 1 9 2 0 2 0 2 0 2 1 2 0 2 2 2 0 2 3 P 2 0 2 4 P 2 0 2 5 P 2 0 2 6 P Single-Family Permits(2) (MM) 7 Favorable Supply Lan
Slide 8: Sustained Demand Tailwinds
8 Sustained Demand Tailwinds (1) Source: John Burns Real Estate Consulting, LLC. (Data as of Aug 2023) (2) Source: U.S. Census. Rental payments are now estimated to be ~27% cheaper compared to monthly home ownership costs across the top 20 AMH markets Millennials are Aging into Prime Single Family L
Slide 9: AMH Today
9 AMH Hammock Oaks Development Jacksonville Market AMH Today
Slide 10: 2023 Guidance
10 2023 Guidance Note: Refer to Defined Terms and Non-GAAP Reconciliations in the Appendix, as well as the 2Q23 Supplemental Information Package, for defined metrics and GAAP to non-GAAP reconciliations. (1) Refer to slide 23 for 2023 Guidance disclosure. Guidance is based on the 7/27/2023 earnings
Slide 11: Investment Grade Balance Sheet
Fixed Rate Debt, 23.0% Preferred Shares, 1.2% Common Shares & OP Units, 75.8% 2023 2024 2025 2026 2027 Thereafter Debt Maturity Schedule(2)(3) (MM) Principal Amortization Revolving Credit Facility Unsecured Senior Notes Asset-Backed Securitizations Liquidity - Undrawn Revolving Credit Facility Liqui
Slide 12: AMH vs. the Peer Set
12 AMH vs. the Peer Set (1) Source: Company Disclosure. Includes growth in 2021, 2022, and implied growth for midpoint of 2023 Core FFO per share guidance, unless not provided. (2) Source: S&P Global. Data is from 8/28/20 through 8/29/23. (3) Sources: Company Disclosure; John Burns Real Estate Consu
Slide 13: Differentiated Growth Strategy
13 Differentiated Growth Strategy AMH Hammock Oaks Development Jacksonville Market
Slide 14: Three-Pronged Growth Strategy
14 Three-Pronged Growth Strategy Consistent Growth from AMH Development Complemented by Nimble and Opportunistic Acquisition Channels That Can be “Dialed Up or Down” Based on Market Conditions Dials intended to indicate directional commentary only and should not be compared relative to one another.
Slide 15: Strategy
15 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 16: AMH Development: A Consistent Driver of Earnings Growth
16 AMH Development A Consistent Driver of Earnings Growth, Fueled by 13,000+ Unit Land Pipeline at Locked in Prices 0 2,000 4,000 6,000 9,000 13,000 14,000 13,000 0 2,000 4,000 6,000 8,000 10,000 12,000 14,000 16,000 2016 2017 2018 2019 2020 2021 2022 2Q23 AMH Development Land Pipeline(1) Total Lots
Slide 17: Continuous Portfolio and Platform Optimization
Continuous Portfolio and Platform Optimization 17 Internal Development Program Integrated with AMH Operating Platform Provides Unique Ability to Optimize Portfolio and Platform through Continuous Data Feedback Loops Ideal floorplans designed by in- house architects based on AMH’s rich data history E
Slide 18: Leaders in ESG
18 Leaders in ESG AMH Walden Woods Development Tampa Market
Slide 19: ESG Commitment
19 ESG Commitment Providing Quality, Sustainable Housing that Our Residents Desire Fostering Strong CommunitiesBuilding for the Future Leading with Integrity Efficient, durable homes that are better for residents and the environment • Our newly constructed homes are designed to use nearly 38% less e
Slide 20: Recent ESG Recognitions
Great Place To Work® 2023 & 2022 by Great Place To Work Institute America’s Most Trustworthy Companies 2023 & 2022 by Newsweek and Statista 20 Recent ESG Recognitions 2022 Best Workplaces in Real Estate by Fortune Top ESG Regional Performer 2023 & 2022 by Sustainalytics America’s Most Responsible Co
Slide 21: Independent & Accountable Stewardship
21 Independent & Accountable Stewardship ▪ 83% Independent trustees ▪ Annual election of trustees ▪ Majority voting standard (plurality carve‐out voting standard only in contested elections) ▪ Annual Board self-evaluation process ▪ Regular shareholder engagement with trustee participation Ongoing Bo
Slide 22: Appendix
Appendix
Slide 23: 2023 Guidance
23 2023 Guidance Set forth on slide 10 are the Company’s current expectations with respect to full year 2023 Core FFO attributable to common share and unit holders and our underlying assumptions. In reliance on the exception provided by applicable SEC rules, the Company does not provide guidance for
Slide 24: Defined Terms and Non-GAAP Reconciliations
24 Defined Terms and Non-GAAP Reconciliations 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 ot
Slide 25: Credit Ratios
25 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 real estate companies. The tables below recon
Slide 26: Unencumbered Core NOI Percentage and Fixed Charge Coverage
26 Unencumbered Core NOI Percentage For the Trailing Twelve Months Ended Jun 30, 2023 Unencumbered Core NOI $ 616,125 Core NOI 871,571 Unencumbered Core NOI Percentage 70.7% Fixed Charge Coverage For the Trailing Twelve Months Ended Jun 30, 2023 Interest expense per income statement $ 143,229 Less:
Slide 27: EBITDA / EBITDAre / Adjusted EBITDAre
27 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 supplemental non-GAAP financial measure, which we
Slide 28: Funds from Operations / Core FFO
28 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 FFO as net income or loss calculated in ac
Slide 29: Reconciliation to Core FFO
29 The following is a reconciliation of these metrics to 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): Defined Terms and Non-GAAP Reconciliation
Slide 30: Property Enhancing Capex and Same-Home Definitions
30 Property Enhancing Capex Includes elective capital expenditures to enhance the operating profile of a property, such as investments to increase future revenues or reduce maintenance expenditures. Same-Home Property A property is classified as Same-Home if it has been stabilized longer than 90 day
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