Mid-America Apartment Communities Reports 26.5% Increase in Net Income for Q1 2025

Mid-America Apartment Communities, Inc. (MAA) reported a net income of $180.8 million for the first quarter of 2025, a 26.5% increase from $142.8 million in the same period of 2024. This growth was bolstered by a $71.9 million gain from the sale of depreciable real estate assets. Total revenues for the quarter reached $549.3 million, reflecting a 1.0% increase compared to $543.6 million in the prior year. The company attributed the revenue growth to stable occupancy rates and improved collections, despite a slight decrease in average effective rent per unit.

In terms of operational metrics, MAA's average physical occupancy for its Same Store segment improved to 95.6% from 95.3% year-over-year. The company managed 291 apartment communities across 16 states and the District of Columbia as of March 31, 2025, with seven development communities under construction, totaling 2,312 units. The company also reported a resident turnover rate of 41.5%, down from 44.4% in the previous year, indicating improved tenant retention.

MAA's total assets remained relatively stable at $11.8 billion as of March 31, 2025, compared to $11.8 billion at the end of 2024. The company’s liabilities decreased slightly to $5.7 billion from $5.7 billion, while shareholders' equity increased to $6.1 billion from $6.1 billion. The company’s debt profile included $4.7 billion in unsecured notes and $360.3 million in secured property mortgages, with a weighted average effective interest rate of 3.8%.

Looking ahead, MAA anticipates continued demand for apartments driven by economic conditions, job growth, and population increases in its markets. However, the company remains cautious about potential pressures on rent collections and overall demand due to elevated supply levels and inflationary impacts on operating costs. MAA plans to maintain its focus on strategic acquisitions and development projects while managing its capital structure to support future growth.