Company: EGP
Filing Date: 2025-04-23
Form Type: 10-Q
Source: 0000049600-25-000065
Chunk: 41

Company: EASTGROUP PROPERTIES INC
Filing Date: 2025-04-23
Form: 10-Q
Item: Part I, Item 1
Chunk 41
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 assets and its operating results. The Company believes that the exclusion of depreciation and amortization in the calculations of PNOI and FFO provides supplemental indicators of the properties’ performance since real estate values have historically risen or fallen with market conditions.  PNOI and FFO as calculated by the Company may not be comparable to similarly titled but differently calculated measures for other REITs.  Investors should be aware that items excluded from or added back to FFO are significant components in understanding and assessing the Company’s financial performance.  These non-GAAP figures should not be considered a substitute for, and should only be considered together with and as a supplement to, the Company’s financial information presented in accordance with GAAP.

The following table presents reconciliations of Net Income to PNOI, Same PNOI and Same PNOI Excluding Income from Lease Terminations for the three months ended March 31, 2025 and 2024.

 Three Months EndedMarch 31, 20252024 (In thousands)NET INCOME$59,437 58,658 Gain on sales of real estate investments— (8,751)Gain on sales of non-operating real estate— (222)Interest income(232)(275)Other revenue(1,805)(150)Indirect leasing costs263 177 Depreciation and amortization52,520 45,169 Company’s share of depreciation from unconsolidated investment31 31 Interest expense 8,025 10,061 General and administrative expense 7,954 6,681 Noncontrolling interest in PNOI of consolidated joint ventures(15)(16)PROPERTY NET OPERATING INCOME (“PNOI”)126,178 111,363 PNOI from 2024 acquisitions(7,030)(699)PNOI from 2024 and 2025 development and value-add properties(5,188)(2,511)PNOI from 2024 operating property dispositions— (177)Other PNOI258 81 SAME PNOI114,218 108,057 Lease termination fee income from same properties(579)(147)SAME PNOI EXCLUDING INCOME FROM LEASE TERMINATIONS$113,639 107,910 

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PNOI was calculated as follows for the three months ended March 31, 2025 and 2024.

 Three Months EndedMarch 31,