The following is a summary of the Kennedy-Wilson Holdings, Inc. (KW) Q2 2024 Earnings Call Transcript:
Financial Performance:
Kennedy-Wilson reported a net loss of $0.43 per share in Q2.
Adjusted EBITDA for Q2 totaled $79 million.
Investment Management revenue increased by 37% to $26 million in Q2.Paid down our line of credit by $67 million and have $172 million drawn on our $500 million line of credit.
Total debt share is 98% fixed or hedged with a weighted average maturity of five years.
Business Progress:
Deployed $2 billion of new capital in the first half of the year, with $1.7 billion in credit platform and $300 million in multifamily and industrial acquisitions.
Stabilized five multifamily communities, adding $16 million to annual NOI.
Focused on growing investment management platform, including significant inroads into diversifying into the Japanese investment markets. Reopened office in Japan to strengthen capital raising efforts from Asian markets.
Opportunities:
Significantly grown fee bearing capital by 93% to $8.7 billion, leveraging improved market conditions and low-interest rates to increase investments.
Anticipating further interest rate cuts by the Fed, which is expected to increase transaction volumes and opportunities.
A target to expand assets under management with a focus on growing investment management, stabilizing and expanding rental housing and credit platforms.
Risks:
Rising insurance costs impacted same store NOI results, reducing them by approximately 50 basis points. However, premiums expected to be flat to down H2 due to favorable July renewals.
More details: Kennedy-Wilson IR
Tips: For more comprehensive details, please refer to the IR website. The article is only for investors' reference without any guidance or recommendation suggestions.
