Aimco OP L.P. reported its financial results for the third quarter and nine months ended September 30, 2024, highlighting significant changes in revenue, profitability, and strategic developments compared to the previous fiscal period.

For the three months ended September 30, 2024, rental and other property revenues increased to $53.2 million, up from $47.7 million in the same period of 2023. For the nine months, revenues rose to $154.5 million from $137.6 million. However, total operating expenses also surged, reaching $54.6 million for the quarter (up from $44.3 million) and $156.1 million for the nine months (up from $130.2 million). This led to a net loss of $20.1 million for the third quarter, a stark contrast to a net income of $1.7 million in Q3 2023. The nine-month net loss deepened to $88.4 million from $4.0 million in the prior year.

Net income attributable to Aimco for the three months was $(21.9 million), compared to $(2.3 million) in the same quarter of 2023. The loss per common share for Q3 2024 was $(0.16), compared to $(0.02) in Q3 2023. For the nine months, the loss attributable to Aimco was $(92.6 million), with a loss per share of $(0.67), compared to $(14.7 million) and $(0.10) respectively in the previous year.

As of September 30, 2024, total real estate assets increased to $2.3 billion from $2.2 billion at the end of 2023, with net real estate rising to $1.7 billion. However, total liabilities also increased to $1.6 billion from $1.5 billion, and total equity decreased significantly to $292.0 million from $420.0 million.

Strategically, Aimco has been active in its development projects, with ongoing construction of a luxury residential tower in Miami and the completion of several apartment communities. The company secured a $55.5 million preferred equity commitment for a waterfront rental development in Miami. Additionally, Aimco's investment in IQHQ Holdings, LP, saw a non-cash impairment charge of $47.0 million, reflecting a significant decrease in the carrying value of this investment.

Cash and cash equivalents decreased to $82.6 million from $122.6 million at the end of 2023, while net cash provided by operating activities increased to $46.2 million from $42.6 million. The company reported a net cash used in investing activities of $114.4 million, a notable decrease from $264.1 million in the prior year, indicating a shift in capital allocation strategies.

Overall, Aimco's financial performance reflects a challenging environment with increased operating costs and significant net losses, despite growth in revenue and ongoing strategic developments in its real estate portfolio.