Camden Property Trust Reports $163.3M Net Income for 2024, Down from $403.3M

Camden Property Trust reported a net income attributable to common shareholders of $163.3 million for the year ended December 31, 2024, a significant decrease from $403.3 million in the previous year. This decline was primarily attributed to a higher gain on the sale of properties in 2023, which amounted to $225.4 million compared to $43.8 million in 2024. Additionally, the company recognized a $41.0 million impairment charge related to land development activities in 2024, whereas no such impairments were recorded in 2023. Total revenues for the year were approximately $1.54 billion, reflecting a marginal increase of 0.1% from the previous year.

In terms of operational performance, Camden owned and managed 177 multifamily properties comprising 59,996 apartment homes across the United States as of December 31, 2024. The company reported a weighted average occupancy rate of approximately 95% for its stabilized properties, with an average monthly rental rate of $1,997, up from $1,981 in 2023. The same-store revenue increased by 1.3%, driven by higher rental income and lower uncollectible revenue, attributed to favorable job growth and demographics in its operating markets.

Strategically, Camden continued to focus on its development pipeline, with three projects under construction expected to add 1,138 apartment homes. The estimated total cost to complete these projects is approximately $243.6 million. However, the company halted development activities on four projects, leading to the aforementioned impairment charges. Camden also sold one operating property in Atlanta for approximately $115 million, recognizing a gain of $43.8 million from the transaction.

Financially, Camden maintained a conservative capital structure, with outstanding debt of approximately $3.5 billion as of December 31, 2024. The company has a $1.2 billion unsecured revolving credit facility, of which about $1.0 billion was available at year-end. Camden's interest expense coverage ratio was approximately 6.9 times, indicating strong cash flow relative to its interest obligations. The company plans to continue evaluating its property portfolio for potential acquisitions and dispositions, aiming to sustain its financial flexibility and meet liquidity requirements through various funding sources, including cash flows from operations and equity offerings.

Looking ahead, Camden expects to navigate a competitive multifamily market characterized by elevated new supply and continued demand. The company remains committed to its growth strategy, focusing on selective acquisitions and developments while managing its operational costs and maintaining a strong balance sheet. Future dividend payments will be determined by the Board of Trust Managers, with an annualized dividend rate projected at $4.20 for 2025, reflecting the company's ongoing commitment to returning value to shareholders.