On October 31, 2024, VICI Properties Inc (VICI, Financial) released its 8-K filing detailing the financial results for the third quarter of 2024. VICI Properties Inc, a real estate investment trust based in the United States, specializes in owning and acquiring gaming, hospitality, and entertainment destinations under long-term triple net leases. The company operates through two segments: real property business and golf course business.

Performance Overview

VICI Properties Inc reported a total revenue of $964.7 million for the third quarter, surpassing the analyst estimate of $952.86 million and marking a 6.7% increase from the same period last year. Net income attributable to common stockholders rose by 31.7% year-over-year to $732.9 million, translating to $0.70 per share, which exceeded the estimated earnings per share of $0.67.

Financial Achievements and Strategic Moves

The company declared a quarterly cash dividend of $0.4325 per share, reflecting a 4.2% increase from the previous year. This marks the seventh consecutive annual dividend increase, highlighting VICI's commitment to returning value to shareholders. Additionally, VICI deployed $230 million of capital through various loan and Partner Property Growth Fund agreements, showcasing its strategic investment initiatives.

Income Statement Highlights

VICI Properties Inc's income from sales-type leases and lease financing receivables, loans, and securities contributed significantly to the total revenue. The company reported an Adjusted Funds from Operations (AFFO) of $593.9 million, up 8.4% from the previous year, with an AFFO per share of $0.57, a 4.9% increase year-over-year.

Balance Sheet and Liquidity

As of September 30, 2024, VICI Properties Inc had approximately $17.1 billion in total debt and $3.3 billion in liquidity, including $355.7 million in cash and cash equivalents. The company also had $630.2 million of estimated forward sale equity proceeds and $2.3 billion available under its revolving credit facility.

CEO Commentary

Edward Pitoniak, Chief Executive Officer of VICI Properties, stated, “In the third quarter, we continued to demonstrate the flow-through efficiency of our economic model, increasing our quarterly revenue by approximately 7% year-over-year and our AFFO per share by approximately 5% year-over-year. Our track record of 100% rent collection since formation is bolstered by enduring secular tailwinds, mission-critical real estate and tenant transparency.”

Analysis and Outlook

VICI Properties Inc's robust financial performance in the third quarter underscores its strategic focus on expanding its portfolio and enhancing shareholder value. The company's ability to exceed revenue and earnings estimates reflects its strong operational execution and favorable market conditions in the gaming and hospitality sectors. With updated AFFO guidance for the full year 2024, VICI remains well-positioned to capitalize on growth opportunities and maintain its trajectory of consistent dividend increases.

Explore the complete 8-K earnings release (here) from VICI Properties Inc for further details.