Net earnings per diluted share was $0.55 for the quarter compared with $0.68 for the first quarter of 2018, according to Prologis’ first quarter report. According to a prepared release, core funds from operations\ per diluted share was $0.73 for the quarter compared with $0.80 for the same period in 2018.
In addition, the Q1 report shows that there were no promotes earned in the quarter, whereas net promote income was $0.09 per diluted share in the same period in 2018.
“Our proprietary operating data points to continued market strength,” said Hamid R. Moghadam, chairman and CEO, Prologis. “Our customers are focused on locations close to the end consumer in large consumption markets. In the first quarter, demand was exceptionally strong for small and medium-sized spaces.”
Prologis and its co-investment ventures completed $5.4 billion in capital markets activity, which included the previously revealed upsizing of its global line of credit to $3.5 billion. Notably, more than $1.1 billion of the remaining activity was raised in Japanese yen at a weighted average rate of 45 basis points and term of more than eight years.
The company ended the first quarter with leverage of 20.8% on a market capitalization basis, debt-to-adjusted EBITDA* of 4.3x and $4.1 billion of liquidity.
To accommodate its co-investment partners and to bring Prologis’ investment in line with its long-term targets, the company reduced its ownership in its Prologis European Logistics Fund, generating $313 million in proceeds during the quarter.
“Our 2019 outlook is more optimistic today than it was 90 days ago,” said Thomas S. Olinger, chief financial officer, Prologis. “As a result, we are increasing our full-year guidance by more than 2% to reflect this view and our strong performance in the quarter.”