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VICI Properties' Q4 AFFO Meets Estimates, Revenues Rise Y/Y

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VICI Properties (VICI - Free Report) reported fourth-quarter adjusted funds from operations (AFFO) per share of 57 cents, in line with the Zacks Consensus Estimate. Moreover, the figure increased 3.6% from the prior-year quarter.

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Results reflect a year-over-year rise in revenues, mainly driven by income from sales-type leases and income from lease financing receivables, loans and securities. However, higher interest expenses in the quarter acted as a dampener. The company issued its AFFO per share outlook for 2025.

VICI Properties generated total revenues of $976.1 million, which surpassed the Zacks Consensus Estimate by 0.1%. The top line rose 4.7% on a year-over-year basis.

For 2024, the company reported an AFFO per share of $2.26, up from the prior year’s $2.15. Moreover, the reported figure met the Zacks Consensus Estimate. The total revenues of $3.85 billion improved 6.6% year over year. The metric nearly met the consensus mark of $3.85 billion.

Behind the Headlines

In the reported quarter, VICI Properties’ income from sales-type leases was $524.7 million, increasing 3.6% from the year-ago quarter.

Its income from lease financing receivables, loans and securities was $420.7 million, rising 6% year over year.

Other income of $19.5 million in the fourth quarter increased 6.5% from the year-ago quarter. Golf revenues rose 5.7% to $11.2 million.

However, VICI Properties’ quarterly interest expenses were up 1.4% year over year to $208.1 million.

Balance Sheet Position

VICI Properties exited the fourth quarter with cash and cash equivalents of $524.6 million, up from $355.7 million as of Sept. 30, 2024.

As of Dec. 31, 2024, VICI Properties’ liquidity totaled $3.3 billion, including cash and cash equivalents of $524.6 million, $376.3 million of estimated net proceeds available under its forward sale agreements, and approximately $2.4 billion of availability under its revolving credit facility.

The company had approximately $17.1 billion in total debt as of Dec. 31, 2024, unchanged from the prior quarter.

2025 Outlook

VICI Properties expects AFFO per share in the range of $2.32-$2.35. The Zacks Consensus Estimate presently stands at $2.31, below the projected range.

Currently, the company carries a Zacks Rank #4 (Sell).

 

VICI Properties Inc. Price, Consensus and EPS Surprise

VICI Properties Inc. Price, Consensus and EPS Surprise

VICI Properties Inc. price-consensus-eps-surprise-chart | VICI Properties Inc. Quote

 

Performance of Other REITs

Host Hotels & Resorts, Inc. (HST - Free Report) reported fourth-quarter AFFO per share of 44 cents, which surpassed the Zacks Consensus Estimate of 40 cents. The figure remained unchanged from the prior-year quarter.

Results reflected higher revenues, driven by year-over-year comparable hotel total RevPAR growth. The company issued its outlook for 2025 AFFO per share. Presently, HST carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Healthpeak Properties, Inc. (DOC - Free Report) reported fourth-quarter 2024 funds from operations (FFO) as adjusted per share of 46 cents, beating the Zacks Consensus Estimate by a penny. The reported figure remained unchanged from the prior-year quarter.

Results reflected better-than-anticipated revenues. Growth in total merger-combined same-store cash (adjusted) net operating income was witnessed across the portfolio. However, higher interest expenses affected the results to some extent. Currently, DOC carries a Zacks Rank #3.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.


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