Prologis Sees AI Spending Creating Millions of Square Feet of New Warehouse Demand
Prologis Inc. (NYSE: PLD ) stock rose Thursday after the logistics real estate investment trust reported second-quarter results that topped Wall Street expectations on funds from operations (FFO), raised its full-year outlook for the second time this year and received a higher price forecast from Barclays. Core FFO came in at $1.63 per diluted share, up from $1.46 a year earlier and above the analyst consensus estimate of $1.54. Net earnings increased to $1.13 per diluted share from $0.61 a year earlier. Rental and other revenue rose to $2.183 billion from $2.037 billion a year ago but missed analysts’ estimate of $2.226 billion. Total revenue increased to $2.43 billion from $2.18 billion in the prior-year quarter. Total expenses rose to $1.47 billion from $1.33 billion, while operating income climbed to $1.25 billion from $913 million. Leasing Hits Record Prologis signed more t...
Prologis Inc. (NYSE: PLD ) stock rose Thursday after the logistics real estate investment trust reported second-quarter results that topped Wall Street expectations on funds from operations (FFO), raised its full-year outlook for the second time this year and received a higher price forecast from Barclays. 54. 61 a year earlier.
226 billion. 18 billion in the prior-year quarter. 25 billion from $913 million. Leasing Hits Record Prologis signed more than 67 million square feet of leases during the quarter, a company record.
9%. 5%, up 20 basis points from the end of the first quarter. 4%. 8 gigawatts.
6 billion in total available liquidity. Chief Executive Officer Daniel Letter said customer demand is broadening as logistics, digital infrastructure and energy needs increasingly intersect, positioning the company for its next phase of growth. 23. 18.
05. 75%. In addition, it lifted expectations for development starts, acquisitions, contributions, dispositions and same-store NOI growth. Prologis said artificial intelligence infrastructure is becoming a new demand driver for its logistics business.
The company estimates that every $1 trillion spent on data center capital expenditures could generate 30 million to 40 million square feet of incremental warehouse demand, as AI projects require extensive supply chain, manufacturing and logistics support. ” Following the results, Barclays analyst Brendan Lynch maintained an Overweight rating on Prologis and raised his price forecast to $156 from $139. 05 at the time of publication on Thursday. 17, according to Pro data.
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