Macerich Reports $194.1 Million Net Loss, Revenue Increases to $918.2 Million for Fiscal Year 2024

The Macerich Company reported a net loss of $194.1 million for the fiscal year ending December 31, 2024, a decrease from a net loss of $274.1 million in the previous year. The company's total revenues increased by 3.9% to $918.2 million, driven primarily by a 5.1% rise in leasing revenue, which reached $850.5 million. This growth was attributed to improved performance from joint venture transition centers, which contributed an additional $61.3 million, although this was partially offset by declines from properties that were sold or undergoing redevelopment.

In terms of operational metrics, the leased occupancy rate improved to 94.1% as of December 31, 2024, up from 93.5% a year earlier. The company signed 880 new and renewal leases totaling approximately 3.7 million square feet during the year, reflecting a 15.3% increase in the number of leases compared to 2023. However, comparable tenant sales for spaces less than 10,000 square feet decreased by 0.4% year-over-year, indicating challenges in retail performance despite the increase in occupancy.

Strategically, Macerich has been active in acquisitions and dispositions. In 2024, the company acquired its joint venture partners' interests in several properties, including Arrowhead Towne Center and South Plains Mall, for a total of approximately $158.5 million. The company also sold several properties, including The Oaks and Southridge Mall, generating proceeds that were primarily used to pay down debt. As of December 31, 2024, the company had total outstanding debt of $6.65 billion, with a focus on reducing its Net Debt to Adjusted EBITDA leverage ratio as part of its Path Forward Plan.

Looking ahead, Macerich anticipates continued challenges from external factors such as inflation and elevated interest rates, which may impact its financial performance. The company aims to generate positive cash flow after recurring operating capital expenditures and dividends in 2025, while also pursuing asset dispositions and acquisitions to strengthen its balance sheet. The company declared a quarterly cash dividend of $0.17 per share for the first quarter of 2025, reflecting its ongoing commitment to return value to shareholders.