Rexford Industrial Realty Inc. (NYSE: REXR) shares plunged 5.18% in pre-market trading on Thursday, following the release of the company's fourth quarter 2024 earnings results and a disappointing full-year 2025 guidance. The industrial real estate investment trust also announced a new $300 million share repurchase program.
For the fourth quarter of 2024, Rexford Industrial reported core funds from operations (FFO) of $0.58 per share, meeting Wall Street's expectations. However, the company's 2025 guidance fell short of analysts' consensus estimates, fueling the stock's selloff.
Rexford Industrial projected full-year 2025 core FFO of $2.37 to $2.41 per share, lower than the consensus estimate of $2.47. The company also guided for a slowdown in same-property net operating income (NOI) growth compared to 2024, citing a more challenging environment.
In addition to the underwhelming guidance, Rexford Industrial announced a new $300 million share repurchase program over the next 24 months. While share buybacks can return capital to shareholders, some analysts suggest the move may signal concerns about future growth prospects or a lack of attractive investment opportunities.
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