Industrial Logistics Properties Trust · NASDAQ:ILPT
Industrial Logistics Properties Trust — Q4 2024 Earnings Presentation
36 slides from Industrial Logistics Properties Trust's earnings presentation, Feb 18, 2025
Slide 1: Fourth Quarter 2024 Financial Results and Supplemental Information
1 Industrial Logistics Properties Trust Fourth Quarter 2024 Financial Results and Supplemental Information February 18, 2025 Exhibit 99.2 996 Paragon Way Rock Hill, SC 945,023 Square Feet ILPT Ownership: 100%
Slide 2: Table of Contents
2Q4 2024RETURN TO TABLE OF CONTENTS QUARTERLY RESULTS Industrial Logistics Properties Trust Announces Fourth Quarter 2024 Financial Results ...................................................................... 4 Fourth Quarter 2024 Highlights ........................................................
Slide 3: Quarterly Results
3Q4 2024RETURN TO TABLE OF CONTENTS Quarterly Results
Slide 4: Management Quote on Fourth Quarter 2024
4Q4 2024RETURN TO TABLE OF CONTENTS "We finished the year with continued strong demand for our high-quality portfolio as we achieved annual leasing of nearly 6,100,000 square feet. During the quarter, we completed 731,000 square feet of leasing at weighted average rental rates that were 39.3% higher
Slide 5: Fourth Quarter 2024 Highlights
5Q4 2024RETURN TO TABLE OF CONTENTS Portfolio Update • Executed approximately 731,000 square feet of total leasing activity at weighted average rental rates that were 39.3% higher than prior rental rates for the same space and with a weighted average lease term (by annualized rental revenues) of 11.
Slide 6: Financials
6Q4 2024RETURN TO TABLE OF CONTENTS Financials
Slide 7: Key Financial Data
7Q4 2024RETURN TO TABLE OF CONTENTS As of and for the Three Months Ended As of 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 Selected Income Statement Data: Capitalization: Rental income $ 110,521 $ 108,945 $ 110,621 $ 112,235 $ 108,895 Total common shares 66,144,308 Net loss $ (34,
Slide 8: Condensed Consolidated Statements of Income (Loss)
8Q4 2024RETURN TO TABLE OF CONTENTS Condensed Consolidated Statements of Income (Loss) Three Months Ended December 31, Year Ended December 31, 2024 2023 2024 2023 Rental income $ 110,521 $ 108,895 $ 442,322 $ 437,338 Expenses: Real estate taxes 16,214 13,560 62,563 60,053 Other operating expenses 10
Slide 9: Condensed Consolidated Balance Sheets
9Q4 2024RETURN TO TABLE OF CONTENTS Condensed Consolidated Balance Sheets December 31, 2024 2023 ASSETS Real estate properties $ 5,180,385 $ 5,169,552 Accumulated depreciation (523,886) (397,454) Total real estate properties, net 4,656,499 4,772,098 Investment in unconsolidated joint venture 116,732
Slide 10: Debt Summary
10Q4 2024RETURN 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
11Q4 2024RETURN TO TABLE OF CONTENTS (1) This loan matures in March 2025, subject to two remaining one year extension options. In February 2025, Mountain JV provided notice to exercise the second extension option for the maturity of this loan. (2) This loan matures in October 2025, subject to two re
Slide 12: Leverage and Coverage Ratios
12Q4 2024RETURN TO TABLE OF CONTENTS As of and for the Three Months Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 Leverage Ratios: Net debt / total gross assets 68.6% 68.1% 68.2% 68.6% 68.4% Net debt / gross book value of real estate assets 71.3% 71.0% 71.2% 71.7% 71.3% Net debt / total
Slide 13: Capital Expenditures Summary
13Q4 2024RETURN TO TABLE OF CONTENTS (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Tenant improvements $ 916 $ 433 $ 142 $ 444 $ 1,423 $ 1,935 $ 3,316 Leasing costs 1,265 2,695 184 2,127 1,196 6,271 5,08
Slide 14: Portfolio Information
14Q4 2024RETURN TO TABLE OF CONTENTS Portfolio Information
Slide 15: Same Property Results
15Q4 2024RETURN TO TABLE OF CONTENTS (dollars and sq. ft. in thousands) As of and for the Three Months Ended As of and for the Year Ended 12/31/2024 12/31/2023 12/31/2024 12/31/2023 Properties 411 411 411 411 Rentable square feet 59,890 59,951 59,890 59,951 Percent leased 94.4% 98.8% 94.4% 98.8% Ren
Slide 16: Occupancy and Leasing Summary
16Q4 2024RETURN TO TABLE OF CONTENTS (dollars and sq. ft. in thousands, except per sq. ft. data) As of and for the As of and for the Three Months Ended Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 Properties 411 411 411 411 411 411 Rentable square feet 59,890 59,890 59,8
Slide 17: Tenant Credit Characteristics and Concentration
17Q4 2024RETURN TO TABLE OF CONTENTS As of December 31, 2024 % of Total Annualized Tenant Credit Characteristics Rental Revenues Investment grade rated 18.1% Subsidiaries of investment grade rated parent entities 37.5% Other leased Hawaii lands 21.1% Subtotal investment grade rated, subsidiaries of
Slide 18: Portfolio Lease Expiration and Reset Schedules
18Q4 2024RETURN 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 19: Key Financial Data by Investment Portfolio
19Q4 2024RETURN 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 December 31, 2024 ILPT Wholly Owned Properties Mountain Industrial ILPT Mainland Hawaii Total REIT LLC (1) Other (2) Consol
Slide 20: Joint Ventures
20Q4 2024RETURN TO TABLE OF CONTENTS Joint Ventures
Slide 21: Consolidated Joint Venture - Mountain Industrial REIT LLC
21Q4 2024RETURN TO TABLE OF CONTENTS GA: 12.5% TX: 10.2% OH: 9.9% IN: 8.5% NC: 5.9% FL: 5.1%MI: 4.6% NJ: 3.9% IL: 3.8% MS: 3.6% KS: 3.6% 16 Other States: 28.4% Consolidated Joint Venture - Mountain Industrial REIT LLC (dollars in thousands) Number of Leases Expiring 3 11 13 7 10 36 % of Total Annual
Slide 22: Consolidated Joint Venture Balance Sheets
22Q4 2024RETURN 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 23: Operating Information of the Consolidated Joint Venture
23Q4 2024RETURN 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 December 31, Year Ended December 31, Three Months Ended December 31, Year Ended December 31, 2024 2
Slide 24: Operating Information of the Consolidated Joint Venture (continued)
24Q4 2024RETURN 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 December 31, Year Ended December 31, Three Months Ended December 31, Year Ended December 31, 2024 2
Slide 25: Unconsolidated Joint Venture - The Industrial Fund REIT LLC
25Q4 2024RETURN TO TABLE OF CONTENTS Unconsolidated Joint Venture - The Industrial Fund REIT LLC (1) As of December 31, 2024 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 $ 116,732 Three Months Ende
Slide 26: Appendix
26Q4 2024RETURN TO TABLE OF CONTENTS Appendix
Slide 27: Calculation and Reconciliation of NOI and Cash Basis NOI
27Q4 2024RETURN TO TABLE OF CONTENTS Calculation and Reconciliation of NOI and Cash Basis NOI (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Calculation of NOI and Cash Basis NOI: Rental income $ 110,521
Slide 28: Reconciliation of NOI to Same Property NOI
28Q4 2024RETURN TO TABLE OF CONTENTS Reconciliation of NOI to Same Property NOI and Calculation of Same Property Cash Basis NOI (dollars in thousands) For the Three Months Ended December 31, For the Year Ended December 31, 2024 2023 2024 2023 Reconciliation of NOI to Same Property NOI: Rental income
Slide 29: Calculation of EBITDA, EBITDAre and Adjusted EBITDAre
29Q4 2024RETURN TO TABLE OF CONTENTS Calculation of EBITDA, EBITDAre and Adjusted EBITDAre (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Net loss $ (34,380) $ (35,407) $ (33,479) $ (33,902) $ (41,402) $
Slide 30: Calculation of FFO, Normalized FFO and CAD
30Q4 2024RETURN TO TABLE OF CONTENTS Calculation of FFO, Normalized FFO and CAD (dollars in thousands) For the Three Months Ended For the Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Net loss attributable to common shareholders $ (24,101) $ (24,990) $ (23,175)
Slide 31: Cash Available for Distribution Calculation
31Q4 2024RETURN TO TABLE OF CONTENTS (amounts in thousands, except per share data) For the Three Months Ended For the Year Ended 12/31/2024 9/30/2024 6/30/2024 3/31/2024 12/31/2023 12/31/2024 12/31/2023 Normalized FFO attributable to common shareholders $ 8,877 $ 8,063 $ 8,965 $ 9,450 $ 8,086 $ 35,3
Slide 32: Company Profile, Research Coverage and Governance Information
32Q4 2024RETURN 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 December 31, 2024, RMR
Slide 33: Non-GAAP Financial Measures and Certain Definitions
33Q4 2024RETURN 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 25 for information regarding this joint venture and related mortgage notes. Non-GAA
Slide 34: Non-GAAP Financial Measures and Certain Definitions (Continued)
34Q4 2024RETURN TO TABLE OF CONTENTS Non-GAAP Financial Measures and Certain Definitions (Continued) Cash Available for Distribution: ILPT calculates CAD as shown on page 31. ILPT defines CAD as Normalized FFO minus ILPT's proportionate share of Normalized FFO from unconsolidated joint venture prope
Slide 35: Certain Definitions: ILPT Wholly Owned Properties
35Q4 2024RETURN TO TABLE OF CONTENTS ILPT Wholly Owned Properties - ILPT Wholly Owned Properties refers to of 316 properties that are wholly owned by ILPT, including 226 buildings, leasable land parcels and easements containing approximately 16.7 million rentable square feet that are primarily indus
Slide 36: Warning Concerning Forward-Looking Statements
36Q4 2024RETURN 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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