Office Properties Income Trust (OPI) 2025 Q1 法說會逐字稿

Good morning and welcome to the Office Properties Income Trust first quarter 2025 earnings conference call. (Operator Instructions)

早安，歡迎參加 Office Properties Income Trust 2025 年第一季財報電話會議。（操作員指示）

Please note this event is being recorded. I would now like to turn the call over to Kevin Barry, Senior Director of Investor Relations. Please go ahead.

請注意，此事件正在被記錄。現在我想將電話轉給投資者關係高級總監凱文·巴里 (Kevin Barry)。請繼續。

Good morning and thank you for joining us today. With me on the call are OPI's President and Chief Operating Officer Yael Duffy; and Chief Financial Officer and Treasurer Brian Donly. In just a moment, they will provide details about our business and our performance for the first quarter of 2025.

早安，感謝您今天加入我們。與我一起參加電話會議的還有 OPI 總裁兼營運長 Yael Duffy 和財務長兼財務主管 Brian Donly。他們馬上就會提供有關我們的業務和 2025 年第一季業績的詳細資訊。

I would like to note that the recording and re-transmission of today's conference call is prohibited without the prior written consent of the company. Also note that today's conference call contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws.

我想指出的是，未經公司事先書面同意，禁止錄製和重新播放今天的電話會議。另外請注意，今天的電話會議包含《1995 年私人證券訴訟改革法案》和其他證券法所定義的前瞻性陳述。

These forward-looking statements are based on OPI's beliefs and expectations as of today, Thursday, May 1, 2025, and actual results may differ materially from those that we project. The company undertakes no obligation to revise or publicly release the results of any revision to the form of the statements made in today's conference call.

這些前瞻性聲明是基於 OPI 截至今天（2025 年 5 月 1 日星期四）的信念和預期，實際結果可能與我們的預測有重大差異。本公司不承擔對今天電話會議中所作聲明的形式進行修改或公開發布任何修改結果的義務。

Additional information concerning factors that could cause those differences is contained in our filings with the Securities and Exchange Commission, which can be accessed from our website, opireit.com. Investors are cautioned not to place undue reliance upon any forward-looking statements.

有關可能導致這些差異的因素的更多信息，請參閱我們提交給美國證券交易委員會的文件，該文件可透過我們的網站 opireit.com 取得。敬請投資人不要過度依賴任何前瞻性陳述。

In addition, we will be discussing non-GAAP numbers during this call, including normalized FFO and cash basis net operating income, or cash basis NOI. A reconciliation of these non-GAAP figures to net income are available in OPI's earnings release presentation that we issued last night, which can be found on our website.

此外，我們將在本次電話會議中討論非 GAAP 數據，包括標準化 FFO 和現金基礎淨營業收入或現金基礎 NOI。這些非 GAAP 數據與淨收入的對帳表可在我們昨晚發布的 OPI 收益報告中找到，該報告可在我們的網站上找到。

And finally, we will be providing guidance on this call, including normalized FFO and cash basis NOI. We are not providing a reconciliation of these non-GAAP measures as part of our guidance because certain information required for such reconciliation is not available without unreasonable efforts or at all, such as gains and losses or impairment charges related to the disposition of real estate.

最後，我們將為本次電話會議提供指導，包括標準化的 FFO 和現金基礎 NOI。我們沒有提供這些非公認會計準則指標的對帳作為我們指導的一部分，因為此類對帳所需的某些資訊如果不付出不合理的努力就無法獲得，或者根本無法獲得，例如與房地產處置相關的損益或減值費用。

I will now turn the call over to Yael.

現在我將把電話轉給 Yael。

Thank you, Kevin, and good morning. On today's call, I will provide an overview of our portfolio and review trends we are seeing in the office market before outlining OPI's first quarter leasing and disposition activity. From there, I will turn the call over to Brian to discuss our financial results.

謝謝你，凱文，早安。在今天的電話會議上，我將概述我們的投資組合並回顧我們在辦公市場看到的趨勢，然後概述 OPI 第一季的租賃和處置活動。然後，我將把電話轉給布萊恩，討論我們的財務結果。

As of March 31, 2025, OPI's portfolio consisted of 125 properties, totaling 17.3 million square feet with a weighted average remaining lease term of seven years.

截至 2025 年 3 月 31 日，OPI 的投資組合包括 125 處房產，總面積為 1,730 萬平方英尺，加權平均剩餘租賃期限為 7 年。

We ended the quarter with same property occupancy of 85.4%, approximately 60% of our revenues come from investment grade rated tenants or their subsidiaries. The US government is our largest tenant, representing 16.8% of our annualized revenue.

本季結束時，同一物業的入住率為 85.4%，約 60% 的收入來自投資等級租戶或其子公司。美國政府是我們最大的租戶，占我們年收入的16.8%。

The office sector continues to face headwinds associated with the impacts of work from home as well as macroeconomic and political uncertainty. Throughout the country, we face pressure in our releasing efforts with minimal tenants in the market to absorb large blocks of vacant space.

辦公部門繼續面臨與在家工作以及宏觀經濟和政治不確定性相關的阻力。在全國範圍內，我們在釋放空間方面面臨壓力，因為市場上幾乎沒有租戶來吸收大量空置空間。

In instances where activity exists, leasing demand has been concentrated towards trophy assets as tenants seek amenity-rich buildings that will entice employees back to the office.

在有活動的情況下，租賃需求集中在獎杯資產上，因為租戶尋求設施豐富的建築，以吸引員工重返辦公室。

Given OPI's portfolio is predominantly comprised of older properties, and the capital required to reposition assets is often cost prohibitive, new leasing interest has been minimal. Accordingly, we have experienced negative net absorption, declining asking rents, and heightened competition.

鑑於 OPI 的投資組合主要由較舊的房產組成，並且重新配置資產所需的資本通常成本過高，因此新的租賃興趣很小。因此，我們經歷了淨吸收量負成長、租金下降和競爭加劇。

In Washington DC, where OPI has its concentration, the market vacancy rate is over 23%, and conditions have worsened due to federal leasing uncertainty. Despite our leasing efforts, strategies to preserve cash flow, and manage our debt maturity schedule, OPI's financial performance has declined in this difficult operating environment.

在OPI集中的華盛頓特區，市場空置率超過23%，而且由於聯邦租賃的不確定性，情況更加惡化。儘管我們努力進行租賃，制定策略來保持現金流並管理債務到期計劃，但 OPI 的財務表現在這種困難的經營環境中仍然下滑。

Annualized revenue is down $93 million or 19% to $405 million compared to a year ago. Interest expense increased $17.9 million to $53.4 million, representing a 50% increase year over year.

與去年同期相比，年營收下降 9,300 萬美元，或 19%，至 4.05 億美元。利息支出增加 1,790 萬美元，達到 5,340 萬美元，年增 50%。

We have little room under our debt covenant which restricts us from refinancing or issuing new debt. $280 million in debt principal payments are due in 2026, and our liquidity is currently limited to $73 million of cash. In response to these challenges, we are exploring all options to address our financial commitments while simultaneously operating and leasing our properties.

我們的債務契約限制我們進行再融資或發行新債，我們幾乎沒有空間。 2.8 億美元的債務本金將於 2026 年到期，而我們目前的流動資金僅限於 7,300 萬美元的現金。為了應對這些挑戰，我們正在探索所有方案來解決我們的財務承諾，同時營運和租賃我們的房產。

Turning to our leasing results, in the first quarter, we executed 11 leases totaling 223,000 square feet at a weighted average lease term of 10.3 years and a 13.5% roll up in rent. Concessions and capital commitments of $4.62 per square foot per year, declined 22% quarter over quarter.

談到我們的租賃結果，在第一季度，我們執行了 11 份租約，總面積為 223,000 平方英尺，加權平均租賃期限為 10.3 年，租金上漲 13.5%。優惠和資本承諾為每年每平方英尺 4.62 美元，季減 22%。

Notable leasing activity included a new 11-year lease for 45,000 square feet in Omaha, Nebraska, a 12-year lease renewal for 101,000 square feet in Fremont, California, and an eight-year renewal for 100,000 square feet in Irving, Texas.

值得注意的租賃活動包括在內布拉斯加州奧馬哈簽訂了一份為期 11 年的 45,000 平方英尺租約、在加利福尼亞州弗里蒙特續簽了一份為期 12 年的 101,000 平方英尺租約、以及在德克薩斯州歐文續約了一份為期 8 年的 100,000 平方英尺租約。

We are closely monitoring the Department of Government Efficiencies measures to reduce the government's office square footage as part of its efforts to optimize its real estate. While the ultimate impact on OPI's portfolio remains uncertain, we have not yet received any lease termination notices related to these efficiency measures.

我們正在密切關注政府效率部為優化房地產而採取的減少政府辦公室面積的措施。雖然對 OPI 投資組合的最終影響仍不確定，但我們尚未收到與這些效率措施相關的任何租約終止通知。

Today, the GSA represents 2.4 million square feet, or approximately $68 million of OPI's annualized revenue. Of this, approximately 432,000 square feet, or $14.9 million in annualized revenue, is within their soft terms, which gives the GSA a right to terminate the lease in whole or in part without penalty.

如今，GSA 佔地 240 萬平方英尺，約佔 OPI 年收入的 6,800 萬美元。其中約 432,000 平方英尺（或 1,490 萬美元的年收入）符合軟條款，這使得 GSA 有權全部或部分終止租約而不受處罰。

Turning to OPI's upcoming lease expiration, lease expirations through 2026 total 1.6 million square feet, representing $45 million or 11% of OPI's annualized rental income. As we have discussed on prior calls, single tenant properties will drive most of our explorations, and we expect 780,000 square feet, or $19.4 million of annualized revenue will not renew.

談到 OPI 即將到期的租約，到 2026 年到期的租約總計 160 萬平方英尺，相當於 4,500 萬美元或 OPI 年租金收入的 11%。正如我們在先前的電話會議上所討論的那樣，單一租戶物業將推動我們的大部分探索，我們預計 78 萬平方英尺或 1940 萬美元的年收入將不會續約。

Our current leasing pipeline totaled nearly 2 million square feet, of which 1/3 could result in positive net absorption.

我們目前的租賃管道總計近 200 萬平方英尺，其中 1/3 可產生正淨吸收量。

Turning to dispositions. During the quarter, we sold three properties, consisting of 249,000 square feet for $26.9 million. Additionally, we are under agreement to sell another three vacant properties, consisting of 376,000 square feet for a total sales price of $28.9 million.

轉向處置。本季度，我們出售了三處房產，總面積 249,000 平方英尺，售價 2,690 萬美元。此外，我們也同意出售另外三處空置房產，面積達 376,000 平方英尺，總售價為 2,890 萬美元。

We do not have any other properties being marketed for sale. However, we continue to evaluate disposition opportunities that will allow OPI to mitigate occupancy risk and carry costs associated with vacant properties.

我們沒有其他待售房產。然而，我們將繼續評估處置機會，以便 OPI 減輕入住風險並承擔與空置房產相關的成本。

As we consider future sales, we must balance the impact of potential dispositions on our liquidity, debt covenants, and operating metrics.

在考慮未來銷售時，我們必須平衡潛在處置對流動性、債務契約和營運指標的影響。

Before I turn the call over to Brian, I would like to highlight the recent publication of the AMAR Group's annual sustainability report, which offers a comprehensive overview of our managers' commitment and progress in addressing sustainability.

在我將電話轉給 Brian 之前，我想強調一下 AMAR 集團最近發布的年度永續發展報告，該報告全面概述了我們的管理人員在解決永續發展問題方面的承諾和進展。

As we continue to work through challenges in the office market, we remain committed to enhancing OPI's corporate sustainability practices and advancing initiatives that benefit our tenants and communities. Links to the report and the supplemental report specific to OPI's highlights are available on our website at opireit.com. Brian?

在我們繼續應對辦公市場挑戰的同時，我們仍然致力於加強 OPI 的企業永續發展實踐和推動有利於我們的租戶和社區的舉措。我們的網站 opireit.com 上提供了該報告以及 OPI 重點內容補充報告的連結。 Brian？

Thank you, Yael, and good morning. For the first quarter, we reported normalized FFO $4.4 million or $0.06 per share, which came in $0.02 below our guidance range as a result of non-cash amortization included in interest expense related to our debt exchanges. This compares to normalized FFO of $20.9 million or $0.36 per share for the fourth quarter of 2024.

謝謝你，Yael，早安。第一季度，我們報告的正常化 FFO 為 440 萬美元，即每股 0.06 美元，比我們的指導範圍低 0.02 美元，原因是與債務交換相關的利息費用中包含了非現金攤銷。相比之下，2024 年第四季的標準 FFO 為 2,090 萬美元或每股 0.36 美元。

The decrease on a sequential quarter basis was driven by lower NOI as a result of asset sales, tenant vacancies, and higher interest expense.

季度環比下降的原因是資產出售、租戶空置和利息支出增加導致淨營業利潤下降。

Turning to our outlook for the second quarter of 2025, we expect normalized FFO to be between $0.09 and $0.11 per share for Q2. The increase sequentially from Q1 is primarily driven by higher NOI as a result of lower seasonal operating expenses and the seasonally stronger performance expected from our hotel in Washington DC.

展望 2025 年第二季的展望，我們預計第二季的正常化 FFO 將在每股 0.09 美元至 0.11 美元之間。與第一季相比，這一成長主要是由於季節性營運費用降低導致的淨營業收入增加，以及我們位於華盛頓特區的酒店預期在季節性方面業績將更加強勁。

We project recurring G&A expense to be $5 million for Q2. Our current estimated quarterly interest expense run rate is $53 million, consisting of $41 million of cash interest expense and $12 million of non-cash amortization of financing costs.

我們預計第二季經常性 G&A 費用為 500 萬美元。我們目前估計的季度利息支出運作率為 5,300 萬美元，其中包括 4,100 萬美元的現金利息支出和 1,200 萬美元的非現金融資成本攤提。

We expect the same property cash basis NOI to decrease 10% to 12% as compared to the second quarter of 2024, driven by tenant vacancies and an increase of free rent from recent leasing activity. This NOI guidance does not include any potential changes to our same store portfolio.

我們預計，與 2024 年第二季相比，同一房地產現金基礎 NOI 將下降 10% 至 12%，這主要是由於租戶空置以及近期租賃活動帶來的免租金增加。本 NOI 指引不包括我們同店組合的任何潛在變化。

Turning to our investing activities, we spent $13.8 million on capital expenditures during the first quarter. We are reducing our 2025 full year CapEx guidance from a total projected spend of $80 million to approximately $75 million, comprised of $17 million of building capital and $58 million of leasing capital.

談到我們的投資活動，我們在第一季花費了 1,380 萬美元的資本支出。我們將 2025 年全年資本支出指引從預計總支出 8,000 萬美元下調至約 7,500 萬美元，其中包括 1,700 萬美元的建築資本和 5,800 萬美元的租賃資本。

During the first quarter, we sold three properties with 249,000 square feet for proceeds of $26.9 million. One of the properties sold was encumbered by our 2027 senior notes, and the proceeds of $5 million were used to pay down debt principal.

第一季度，我們出售了三處房產，總面積為 249,000 平方英尺，收益為 2,690 萬美元。出售的其中一處房產以我們的 2027 年優先票據作為抵押，所得款項 500 萬美元用於償還債務本金。

At quarter end, we had three properties with a carrying value of $10.4 million classified as hell for sale. As of today, we have three properties under agreement for sale for $29 million.

截至本季末，我們有三處房產的帳面價值為 1,040 萬美元，被歸類為待售房產。截至今天，我們已有三處房產已達成出售協議，售價為 2,900 萬美元。

Turning to the balance sheet. In mid-March, we completed the private debt exchange of $21 million of our outstanding senior unsecured notes due 2026, 2027, and 2031 with a weighted average interest rate of 3.1% for $14 million of new 8% senior priority guaranteed notes due to 2030.

轉向資產負債表。3 月中旬，我們完成了私人債務交換，將 2026 年、2027 年和 2031 年到期的 2,100 萬美元未償還優先無擔保票據（加權平均利率為 3.1%）轉換為 2030 年到期的 1,400 萬美元新的 8% 優先擔保票據。

Our total liquidity today is $73 million of cash. We are currently projecting cash from operations to be a use of $50 million to $55 million during the balance of 2025, including capital expenditures.

我們今天的總流動資金為 7300 萬美元現金。我們目前預計，2025 年剩餘的營運現金流（包括資本支出）將達到 5,000 萬至 5,500 萬美元。

OPI's upcoming maturities consist of approximately $120 million due in March 2026 under our senior secured notes due 2027 and $134 million of senior unsecured notes due June 2026.

OPI 即將到期的債券包括 2026 年 3 月到期的約 1.2 億美元 2027 年到期的優先擔保債券，以及 2026 年 6 月到期的 1.34 億美元優先無擔保債券。

Given our liquidity position, financial covenant constraints under our debt agreements, and debt principal repayments coming due in 2026, we continue to evaluate options to address these maturities with our financial advisor.

鑑於我們的流動性狀況、債務協議下的財務契約限制以及 2026 年到期的債務本金償還，我們將繼續與我們的財務顧問一起評估解決這些到期債務的方案。

Operator, that concludes our call.

接線員，我們的通話到此結束。

The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。