SITE Centers Corp., a real estate investment firm, has reported a decrease in Funds from Operations (FFO) for the fourth quarter. This is due to losses in real estate dispositions and a downturn in FFO from joint ventures. Despite this, the firm's earnings exceeded market expectations.
In the fourth quarter, the company's FFO stood at $52.936 million or $0.25 per share, dropping from last year's $62.262 million or $0.29 per share.
There was a significant increase in the losses on real estate dispositions, rising from $15.352 million in 2022 to $187.796 million. Additionally, FFO from joint ventures fell to $1.654 million, compared to $2.806 million the previous year.
The company's Operating FFO decreased to $53.979 million or $0.26 per share, as compared to $62.501 million or $0.29 per share a year prior.
On the other hand, the net income rose substantially from $25.408 million or $0.12 per share in 2022 to $193.635 million or $0.92 per share, bolstered by a gain on real estate disposition of $187.796 million as opposed to the prior year's $15.532 million.
According to an average estimate by six analysts polled by Thomson Reuters, the firm was expected to earn $0.02 per share for the quarter, excluding special items.
In other financial results, operating income dipped to $84.938 million from $94.207 million a year ago, and revenue declined from the previous year’s $136.433 million to $123.156 million, falling short of analysts' estimate of $129.52 million.
Looking ahead, SITE Centers has declared a first-quarter dividend of $0.13 per share, set to be paid on April 5 to shareholders of record as of March 14.
