Prologis Shares Slide 3.86% Amid Revenue Dip and Market Challenges

On October 21st, Prologis (PLD), a global leader in logistics real estate, saw its shares dip by 3.86%, extending a three-day decline to 7.25%. The company recently disclosed its third-quarter results for 2024, reporting total revenue of $6.01 billion, a slight year-on-year decrease of 2.17%. Meanwhile, net income improved to $2.453 billion, marking a 1.01% increase.

Hamid Moghadam, Co-Founder, Chairman, and CEO, acknowledged the challenging market conditions, yet remained optimistic about Prologis’ long-term demand drivers and market potential. The company’s strategic emphasis on supply improvement reflects its resilience amidst market uncertainties.

In the U.S., Prologis oversees approximately 75.09 million square meters of assets. Since entering the Chinese market in 2003, it has established a robust presence with 44 logistics centers spanning 5.3 million square meters across 24 cities. These facilities support manufacturing, retail, e-commerce, and logistics enterprises with modern solutions.

Prologis has a rich history dating back to the early 1990s, flourishing during the REIT boom. The merger between AMB Property Corporation and Security Capital Industrial Trust in 2011 created Prologis, now one of the largest logistics real estate operators worldwide.

The company has consistently expanded its portfolio, notably through major investments like the 2019 establishment of the $1.7 billion Prologis China Core Logistics Fund. Despite market challenges, Prologis remains committed to investing in China. The company identifies significant potential for integration and growth in an economy characterized by urbanization, a growing middle class, and increasing consumer demand.

Global Vice Chairman, Diarmuid O’Connell, reaffirmed Prologis’ commitment to China, emphasizing plans for continued investment and collaboration with new capital ventures to support the international reach of Chinese enterprises.