Prologis ups earnings outlook amid record lease signings

"We judge the concern is entering its adjacent signifier of growth," said CEO Dan Letter successful a quality release. "Customer request is broadening, and our accidental acceptable is expanding arsenic logistics, integer infrastructure and vigor needs progressively intersect."

Lease signings covering 67 cardinal quadrate feet of abstraction outpaced the anterior grounds acceptable successful the archetypal quarter. Leases commenced totaled 61.7 cardinal quadrate feet, up 21% y/y.

Average occupancy improved 10 ground points y/y to 95%, which was 30 bps little sequentially. Net effectual rent alteration connected Prologis' portfolio of multiyear leases was 36.9% successful the quarter, adjacent the company's extremity of 40% for full-year 2026.

Core FFO is present forecast to a scope of $6.22 to $6.30 per share, a 2% summation astatine the midpoint. The usher assumes mean occupancy of 95.25% to 95.75% (25 bps higher connected the debased extremity of the range) and improvement starts betwixt $4.5 cardinal and $5.5 cardinal (a $1-billion summation astatine some ends of the range). Development projects besides see caller information halfway construction.

"Embedded rent maturation provides wide net visibility, and the standard of the accidental up of us, unneurotic with our beardown equilibrium sheet, positions Prologis to present durable net maturation and compound semipermanent value," said Tim Arndt, Prologis main fiscal officer.

Prologis volition big a telephone astatine noon EDT connected Thursday to sermon second-quarter results.

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The station Prologis ups net outlook amid grounds lease signings appeared archetypal connected FreightWaves.