Prologis Reports Strong Q3 Financials with 20% Revenue Growth and Increased Net Earnings

Prologis, Inc. reported significant financial performance for the third quarter and the nine months ended September 30, 2024, reflecting robust growth in rental revenues and net earnings. For the three months ended September 30, 2024, total revenues reached $2,036.4 million, up from $1,914.7 million in the same period of 2023. Rental revenues specifically increased to $1,897.2 million, compared to $1,777.4 million a year earlier. Operating income for the quarter surged to $1,251.0 million, a substantial rise from $882.1 million in Q3 2023. Consolidated net earnings for the quarter were $1,063.5 million, compared to $799.1 million in the prior year, leading to a net earnings per share of $1.08, up from $0.81.

For the nine months ended September 30, 2024, total consolidated revenue was $6.028 billion, with net earnings attributable to common stockholders amounting to $2.448 billion, slightly up from $2.424 billion in 2023. The company’s net cash provided by operating activities for the nine months was $3.577 billion, down from $4.299 billion in the previous year, primarily due to changes in working capital and operating expenses.

Prologis continued to expand its real estate portfolio, with total investments in real estate properties increasing to $92.1 billion as of September 30, 2024, from $88.7 billion at the end of 2023. The company reported net investments in real estate properties of $79.8 billion, up from $77.7 billion. The acquisition activity was notable, with the company acquiring 30 operating properties totaling 6.0 million square feet and entering the Indian market with a 225-acre land acquisition.

The Strategic Capital Segment reported revenues of $419 million for the nine months ended September 30, 2024, a decline from $1.071 billion in 2023, primarily due to lower promote revenues. General and administrative expenses increased to $316 million, reflecting inflationary pressures and higher compensation costs.

Prologis maintained a strong balance sheet, with total debt rising to $32.3 billion from $29.0 billion at the end of 2023. The company’s total liabilities increased to $38.2 billion, while total stockholders’ equity slightly decreased to $53.1 billion. The company reported a total available liquidity of $6.6 billion as of September 30, 2024, which includes $781 million in cash and a borrowing capacity of $5.8 billion.

Overall, Prologis demonstrated resilience and growth in its core logistics real estate operations, supported by strategic acquisitions and a strong market position in high-demand areas.