$SPG 1Q15 10-Q: At March 31, 2015, SPG owned 5.71MM shares, representing a market value of $481.7MM with an aggregate net unrealized gain of $107.8MM. Market value at Dec. 31, 2014 was $476.4MM with aggregate net unrealized gain of $102.5MM. At March 31, 2015 investments of $168.7MM vs. $167.1MM at Dec. 31, 2014 in non-marketable securities.
$SPG narrowed its 2017 EPS guidance to $6.23-6.28 from $6.20-6.28 and its FFO outlook to $11.17-11.22 from $11.14-11.22. This current range includes an expected $0.03 per share negative impact in 4Q17 due to the ongoing repair and restoration of its two centers located Puerto Rico.
$SPG's BoD declared a quarterly common stock dividend of $1.85 per share. This is a 12.1% increase year-over-year. The dividend will be payable on Nov. 30, 2017 to stockholders of record on Nov. 16, 2017. The company will pay $7.15 per share in common stock dividends in 2017, a 10.0% increase year-over-year.
$SPG reported a rise in 3Q17 earnings driven by higher revenue. Net income rose to $513.8MM or $1.65 per share from $504.7MM or $1.61 per share last year. Revenue grew to $1.4Bil from $1.36Bil. Funds from operations increased 7% to $1.04Bil or $2.89 per share.
Genting Simon, a joint venture between Genting Plantations and $SPG, has opened Genting Highlands Premium Outlet, its second Premium Outlet Center in Malaysia. The 278,000 sq-ft facility will feature over 130 designers and brand name stores.
$SPG reported lower 1Q17 earnings, as prior year results included gains of $22.7MM related to acquisition. Net income fell to $477.7MM, or $1.53 per share, compared to $481MM, or $1.55 per share during 1Q16. Revenue during the quarter was $1.35Bil.
Shinsegae Simon, a joint venture between Shinsegae Group and $SPG, opened Siheung Premium Outlets, its fourth Premium Outlet Center in South Korea. Siheung Premium Outlets will feature 220 domestic and international brands contained in 452,000 square feet of space.
$SPG amended and extended its $4Bil unsecured multi-currency revolving credit facility. The newly refinanced facility, which can be increased to $5Bil during its term, will initially mature on June 30, 2021 and can be extended for an additional year to June 30, 2022 at the company's sole option.
$SPG's BoD authorized a two year extension of its $2Bil common stock repurchase program that had previously been announced on April 2, 2015 and was scheduled to expire on March 31, 2017. Since the program's inception, $SPG has purchased about $600MM of its common stock. Under the extended program, $SPG may buy balance of about $1.4Bil.
For 2017, $SPG expects FFO per share to grew 9-10% to $11.45-11.55. This guidance assumes no planned or disposition activity, rising interest rate environment, the impact from a continued strong US dollar vs. euro and yen compared to 2016 levels and diluted share count of approx. 361MM shares.
$SPG reported a charge of $0.08 to 4Q16 FFO due to the company's decision to postpone the construction of Copley Residential Tower. The company got approvals for 14 out of the 15 required. $SPG postponed the project due to the uncertainty of receiving the last approval and the rapidly rising construction cost.
$SPG said its BoD declared a quarterly common stock dividend of $1.75 per share. The dividend will be payable on Feb. 28, 2017 to stockholders of record on Feb. 14, 2017. This is an increase of $0.10 from the previous quarter, and a YoverY increase of 9.4%.
$SPG's funds from operations for 4Q16 increased to $912.23MM or $2.53 per share from $866.46MM or $2.40 per share in the previous year quarter. Looking ahead into 2017, the company now expects EPS to be within the $6.45-6.55 range and FFO per share to be within the $11.45-11.55 range.
$SPG intends to use the net proceeds from its recent offering of $1.85Bil for funding the planned optional redemption of its 10.35% notes due 2019, pending optional redemption of its 5.875% notes due 2017, and repaying a portion of the borrowings outstanding under its $3.5Bil unsecured supplemental revolving credit facility.
$SPG agreed to sell $550MM principal amount of its 2.35% senior notes due Jan. 30, 2022, $750MM principal amount of its 3.25% senior notes due Nov. 30, 2026, and $550MM principal amount of its 4.25% senior notes due Nov. 30, 2046. The offering is expected to close on Nov. 23, 2016, subject to customary closing conditions.
