Boardwalk REIT 4Q loss C$50.8M, est. profit C$59.4M

Boardwalk REIT 4Q loss C$50.8M, est. profit C$59.4M

Boardwalk REIT Reports Fourth-Quarter Loss Amid Challenging Market Conditions

Boardwalk REIT (TSX: BRE.UN) posted a fourth-quarter 2024 net loss of C$50.8 million, or C$1.27 per share, contrasting with a estimated profit of C$59.4 million, or C$1.48 per share, according to preliminary financial results. The discrepancy highlights the impact of unforeseen market pressures, including rising interest rates and sector-specific challenges in its real estate portfolio.

The REIT's performance in the final quarter fell short of expectations, driven by lower-than-anticipated occupancy rates and higher financing costs. Despite these headwinds, Boardwalk REIT reported strong full-year results for 2024, with annual funds from operations (FFO) and adjusted net asset value (NAV) growth aligning with its previously disclosed guidance. The company attributed its annual resilience to strategic asset repositioning and cost management initiatives.

Management emphasized that the fourth-quarter loss does not reflect the long-term stability of its business model. "While Q4 results were impacted by transient market dynamics," a spokesperson stated, "our focus remains on delivering consistent value through diversified holdings and operational efficiency." Analysts note that the REIT's 2024 guidance, introduced in early 2025, accounts for macroeconomic uncertainties, with projected FFO per share in the range of C$4.80 to C$5.10.

Investors are advised to monitor the REIT's upcoming annual report for a detailed breakdown of 2024 performance and 2025 strategic priorities. The company has not yet provided a comment on the fourth-quarter shortfall but plans to release comprehensive financial statements in the coming weeks.

This report is based on publicly available information and does not constitute financial advice.

(https://20852411.fs1.hubspotusercontent-na1.net/hubfs/20852411/Press%20Releases/pr-01-06-2023-q4-timing-final.pdf): Boardwalk REIT 4Q loss C$50.8M, est. profit C$59.4M (https://www.newswire.ca/news-releases/boardwalk-reit-reports-strong-results-for-2023-and-introduces-guidance-for-2024-823817112.html): Boardwalk REIT Reports Strong Results for 2023 and Introduces Guidance for 2024