ARLINGTON, Va. (AP) — ARLINGTON, Va. (AP) — AvalonBay Communities Inc. (AVB) on Wednesday reported a key measure of profitability in its second quarter. The results surpassed Wall Street expectations.
The Arlington, Virginia-based real estate investment trust said it had funds from operations of $404 million, or $2.82 per share, in the period.
The average estimate of nine analysts surveyed by Zacks Investment Research was for funds from operations of $2.80 per share.
Funds from operations is a closely watched measure in the REIT industry. It takes net income and adds back items such as depreciation and amortization.
The company said it had net income of $268.7 million, or $1.87 per share.
The apartment building owner posted revenue of $760.2 million in the period, missing Street forecasts. Five analysts surveyed by Zacks expected $761.7 million.
For the current quarter ending in September, AvalonBay expects its per-share funds from operations to range from $2.75 to $2.85.
The company expects full-year funds from operations in the range of $11.19 to $11.59 per share.
The company's shares have dropped 11% since the beginning of the year, while the S&P's 500 index has increased 8%. In the final minutes of trading on Wednesday, shares hit $196.31, a decline of almost 5% in the last 12 months.
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This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on AVB at https://www.zacks.com/ap/AVB
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