Summary
Prologis, Inc. (PLD) reported its financial results for the second quarter and first six months ended June 30, 2011. The period was marked by significant transformative events, including the merger with AMB Property Corporation (AMB) and the acquisition of ProLogis European Properties (PEPR). These transactions substantially increased the company's asset base and operational scale across global markets. Financially, the company reported a net loss attributable to common shareholders for both the quarter and the year-to-date period. However, this loss is heavily influenced by substantial merger, acquisition, and integration expenses, as well as other non-recurring charges. Revenue streams, particularly rental income and private capital revenue, showed growth compared to the prior year, driven by the expanded portfolio. The company is actively managing its debt and successfully raised significant capital through an equity offering to support its strategic initiatives and strengthen its balance sheet. Key operational highlights include an increase in the leased percentage of its consolidated operating portfolio and continued development activity. Prologis is focused on strengthening its financial position, aligning its portfolio, growing its private capital business, and optimizing its organizational efficiency.
Financial Highlights
37 data points| Operating Expenses | $367.88M |
| Operating Income | -$50.83M |
| Interest Expense | $112.92M |
| Net Income | -$143.83M |
| EPS (Basic) | $-0.49 |
| EPS (Diluted) | $-0.49 |
| Shares Outstanding (Basic) | 307.76M |
| Shares Outstanding (Diluted) | 307.76M |
Key Highlights
- 1Completed a significant merger with AMB Property Corporation and acquired a controlling interest in ProLogis European Properties (PEPR), substantially expanding the company's global footprint and asset base.
- 2Reported a net loss attributable to common shareholders for the six months ended June 30, 2011, of $198.1 million, impacted by significant merger, acquisition, and integration expenses ($109 million) and an impairment charge of $103.8 million.
- 3Total revenues increased to $574.8 million for the six months ended June 30, 2011, from $436.5 million in the prior year period, driven by higher rental income and private capital revenue.
- 4Prologis successfully raised approximately $1.1 billion in net proceeds from a public equity offering in June 2011 to repay debt and for general corporate purposes.
- 5The leased percentage of the consolidated operating portfolio increased to 89.5% at June 30, 2011, up from 87.6% at December 31, 2010.
- 6The company's debt increased significantly to $12.1 billion at June 30, 2011, from $6.5 billion at December 31, 2010, primarily due to debt assumed in the merger and PEPR acquisition.
- 7Prologis incurred $109 million in merger, acquisition, and other integration expenses during the first six months of 2011.