Prologis’ revenue for Q3 2017 fell by 14.47% to $603m. Earnings for the quarter decreased by 7.97% to $370m and adjusted EBITDA decreased by 16.06% to $665m.
Net earnings per diluted share was $1.63 compared with $0.52 for the same period in 2016. This year-over-year increase was driven primarily by higher gains on dispositions of real estate, as well as by improved operating conditions.
During the quarter, the company closed on the acquisition of its partner’s interest in its Brazil platform and contributed the former North American Industrial Fund to U.S. Logistics Fund (USLF), generating a one-time gain in earnings of approximately $560m.
Hamid R. Moghadam, Chairman and CEO Prologis, commented: “Our third quarter results reflect strong market conditions and our customers’ intensifying need for well-located logistics facilities. Taken together, the lack of available labour and land scarcity are becoming additional governors on new construction. These favourable conditions have elevated our mark-to-market. Our in-place rents are now below market by 14% globally and 18% in the U.S., extending our organic growth into the foreseeable future.”
Source: Prologis
