VICI Properties Inc (VICI) Reports 20.3% YoY Revenue Growth in Q3 2023
VICI Properties Inc (NYSE:VICI) reported a 20.3% year-over-year increase in total revenues to $904.3 million in Q3 2023.
Net income attributable to common stockholders increased to $556.3 million from $330.9 million YoY.
The company completed its first sale-leaseback transaction in the family entertainment sector with Bowlero.
VICI Properties also increased its full-year 2023 guidance.
On October 25, 2023, VICI Properties Inc (NYSE:VICI), an experiential real estate investment trust, released its third-quarter earnings report. The company reported a 20.3% year-over-year increase in total revenues to $904.3 million. Net income attributable to common stockholders also saw a significant increase, rising from $330.9 million in Q3 2022 to $556.3 million in Q3 2023.
Financial Highlights
Adjusted Funds from Operations (AFFO) attributable to common stockholders increased 16.4% year-over-year to $547.6 million. On a per-share basis, AFFO increased 10.7% year-over-year to $0.54. The company ended the quarter with $510.9 million in cash and cash equivalents and $807.2 million of estimated available forward sale equity proceeds.
VICI Properties also declared a quarterly cash dividend of $0.415 per share, representing a 6.4% year-over-year increase. The company increased its AFFO guidance for full year 2023 to between $2,170 million and $2,180 million, or between $2.14 and $2.15 per diluted share.
Acquisitions and Portfolio Activity
During the quarter, VICI Properties completed the Rocky Gap Casino Resort acquisition with Century Casinos and acquired the real estate of Century Casinos' four gaming properties in Alberta, Canada. The company also expanded its partnership with Canyon Ranch through a preferred equity investment, a mortgage loan, and call rights to acquire Canyon Ranch Tucson and Canyon Ranch Lenox.
Subsequent to the quarter end, VICI Properties entered the family entertainment sector through the acquisition of 38 bowling entertainment centers in a sale-leaseback transaction with Bowlero.
CEO Commentary
Edward Pitoniak, Chief Executive Officer of VICI Properties, said, VICIs third quarter financial performance reflects our sustained, sustainable commitment to accretive growth and capital deployment through acquisitions and strategic financing activity, exemplified by approximately 20% revenue growth and nearly 11% growth in AFFO per share year-over-year."
Balance Sheet and Liquidity
As of September 30, 2023, VICI Properties had approximately $17.1 billion in total debt and approximately $3.7 billion in liquidity. This liquidity is comprised of $510.9 million in cash and cash equivalents, $807.2 million of estimated net proceeds available upon settlement of outstanding forward sale agreements, and approximately $2.3 billion of availability under the Revolving Credit Facility.
2023 Guidance
The company is increasing its AFFO guidance for the full year 2023. VICI Properties estimates AFFO for the year ending December 31, 2023, will be between $2,170 million and $2,180 million, or between $2.14 and $2.15 per diluted share.
Explore the complete 8-K earnings release (here) from VICI Properties Inc for further details.
This article first appeared on GuruFocus.
