Home » NEWS » EastGroup Properties sees quaterly earnings decrease

EastGroup Properties sees quaterly earnings decrease

JACKSON — EastGroup Properties reported strong results for the second quarter, but profit fell from a year earlier, when the company recorded a large gain selling real estate.

The industrial landlord said yesterday that quarterly profit fell 4 percent to $7.6 million, or 25 cents per share, in the three months that ended June 30. That’s down from $8 million, or 28 cents per share, in 2012’s second quarter.

However, the Jackson-based company booked a $2 million gain in the 2012 quarter. Excluding that, continuing profit rose 28 percent.

Quarterly revenue rose 6 percent to $49.2 million.

“We are pleased to report EastGroup continued its positive momentum in all aspects of its business — internal operations, development and acquisitions,” CEO David Hoster II said in a statement. “Strong leasing results led to increased occupancy and positive same-property operating results.”

EastGroup said funds from operations, a measure commonly used by it and other real estate investment trusts, rose 4 percent to $23.9 million.

The company said it bought eight warehouses near Dallas for $70 million in May, and one warehouse in Charlotte, N.C. for $2.4 million in July. It’s also building 15 warehouses, for an estimated $85 million, in San Antonio, Houston, Orlando, Fla., Phoenix, Ariz., and Charlotte, N.C.

The company plans to sell $100 million in debt to an insurance company by Aug. 30, and said it raised $2 million through stock sales in the second quarter.



… we’d like to ask for your support. More people are reading the Mississippi Business Journal than ever before, but advertising revenues for all conventional media are falling fast. Unlike many, we do not use a pay wall, because we want to continue providing Mississippi’s most comprehensive business news each and every day. But that takes time, money and hard work. We do it because it is important to us … and equally important to you, if you value the flow of trustworthy news and information which have always kept America strong and free for more than 200 years.

If those who read our content will help fund it, we can continue to bring you the very best in news and information. Please consider joining us as a valued member, or if you prefer, make a one-time contribution.

Click for more info

About Megan Wright

Leave a Reply

Your email address will not be published. Required fields are marked *