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InvenTrust Properties Corp. Reports 2024 Fourth Quarter and Full Year Results

DOWNERS GROVE, Ill.–(BUSINESS WIRE)–
InvenTrust Properties Corp. (“InvenTrust” or the “Company”) (NYSE: IVT) today reported financial and operating results for the fourth quarter and full year ended December 31, 2024 and provided initial guidance for 2025. For the three months ended December 31, 2024 and 2023, the Company reported Net Income of $9.8 million, or $0.13 per diluted share, compared to Net Income of $2.9 million, or $0.04 per diluted share, respectively. For the years ended December 31, 2024 and 2023, the Company reported Net Income of $13.7 million, or $0.19 per diluted share, compared to Net Income of $5.3 million, or $0.08 per diluted share, respectively.

Fourth Quarter and Full Year 2024 Highlights:

• Nareit FFO for the fourth quarter of $0.45 per diluted share, and $1.78 per diluted share for the full year
• Core FFO for the fourth quarter of $0.43 per diluted share, and $1.73 per diluted share for the full year
• Same Property Net Operating Income (“NOI”) growth of 7.1% for the fourth quarter and 5.0% for the full year
• Leased Occupancy as of December 31, 2024 of 97.4%, a fourth quarter sequential increase of 40 basis points and a full year increase of 120 basis points
• Executed 52 leases in the fourth quarter, totaling approximately 232,000 square feet of GLA, of which 189,000 was executed at a blended comparable lease spread of 15.5%, and 210 leases for the full year, totaling approximately 1,323,000 square feet of GLA, of which 1,087,000 was executed at a blended comparable lease spread of 11.3%
• Raised $7.8 million of net proceeds under the at-the-market equity offering program (the “ATM Program”) during the fourth quarter
• Acquired four properties in the fourth quarter, totaling approximately 614,000 square feet, including two properties totaling 214,000 square feet in the Charleston, South Carolina market
• The Board of Directors approved a 5% increase to the Company’s dividends starting in April 2025

”InvenTrust’s strong fourth-quarter and full-year performance reflects our continued focus on operational excellence and strategic growth,” said DJ Busch, President and CEO of InvenTrust. “Our impressive Same Property NOI growth, all-time high leased occupancy, and solid leasing spreads underscore the quality of our portfolio and our ability to drive long-term value. We believe our disciplined acquisition approach in key Sun Belt markets positions us for sustained success in 2025 and beyond. Additionally, the Board’s decision to increase our dividend by 5% for 2025 demonstrates confidence in our strategy and commitment to shareholder returns. We look forward to building on this momentum in the years ahead.”

NET INCOME

• Net Income for the three months ended December 31, 2024 was $9.8 million, or $0.13 per diluted share, compared to $2.9 million, or $0.04 per diluted share, for the same period in 2023.

• Net Income for the year ended December 31, 2024 was $13.7 million, or $0.19 per diluted share, compared to $5.3 million, or $0.08 per diluted share, for the same period in 2023.

NAREIT FFO

• Nareit FFO for the three months ended December 31, 2024 was $34.9 million, or $0.45 per diluted share, as compared to $30.8 million, or $0.45 per diluted share, for the same period in 2023.

• Nareit FFO for the year ended December 31, 2024 was $126.7 million, or $1.78 per diluted share, as compared to $115.5 million, or $1.70 per diluted share, for the same period in 2023.

CORE FFO

• Core FFO for the three months ended December 31, 2024 was $33.5 million, or $0.43 per diluted share, compared to $27.8 million, or $0.41 per diluted share, for the same period in 2023.

• Core FFO for the year ended December 31, 2024 was $122.8 million, or $1.73 per diluted share, compared to $111.9 million, or $1.65 per diluted share, for the same period in 2023.

SAME PROPERTY NOI

• Same Property NOI for the three months ended December 31, 2024 was $45.9 million, a 7.1% increase, compared to the same period in 2023.

• Same Property NOI for the year ended December 31, 2024 was $162.6 million, a 5.0% increase, compared to the same period in 2023.

DIVIDEND

• For the quarter ending December 31, 2024, the Board of Directors declared a quarterly cash distribution of $0.2263 per share, paid on January 15, 2025.

• The Board of Directors approved an increase of 5% to the Company’s cash dividend. The new annual rate of $0.9508 will be reflected in the next quarterly dividend of $0.2377 expected to be paid in April 2025.

PORTFOLIO PERFORMANCE & INVESTMENT ACTIVITY

• As of December 31, 2024, the Company’s Leased Occupancy was 97.4%.
  • Anchor Leased Occupancy, which includes spaces greater than or equal to 10,000 square feet, was 99.8% and Small Shop Leased Occupancy was 93.3%. Anchor Leased Occupancy remained at an all-time high and Small Shop Leased Occupancy increased by 130 basis points on a sequential basis compared to the previous quarter.

  • Leased to Economic Occupancy spread of 210 basis points, which equates to approximately $6.3 million of base rent on an annualized basis.

• Blended re-leasing spreads for comparable new and renewal leases signed in the fourth quarter and full year were 15.5% and 11.3%, respectively.

• Annualized Base Rent PSF (“ABR”) as of December 31, 2024 was $20.07, an increase of 3.0% compared to the same period in 2023. Anchor Tenant ABR PSF was $12.86 and Small Shop ABR PSF was $33.39 for the fourth quarter.

• During the fourth quarter, the Company funded four acquisitions using cash on hand:
  • Stonehenge Village in Midlothian, VA for a gross acquisition price of $62.1 million. The 214,000 square foot community center is 100% occupied and is anchored by Wegmans.

  • The Forum in Fort Myers, FL for a gross acquisition price of $41.4 million. The 186,000 square foot power center is 96.1% occupied and is shadow anchored by Target.

  • Market at Mill Creek in Mount Pleasant, SC for a gross acquisition price of $27.3 million. The 80,000 square foot neighborhood center is 100% occupied and is anchored by Lowes Foods.

  • Nexton Square in Summerville, SC, for a gross acquisition price of $54.7 million. The 134,000 square foot lifestyle center is 96.9% occupied.

LIQUIDITY AND CAPITAL STRUCTURE

• During the three months ended December 31, 2024, the Company raised $7.8 million of net proceeds, after $0.1 million in commissions, under the ATM Program, through the issuance of 254,082 shares of common stock at a weighted average price of $30.96 per share.

• On October 23, 2024, the Company entered into a third amendment to the Amended Revolving Credit Agreement, which provides for, among other things, an increase in the revolving commitments thereunder from $350.0 million to $500.0 million and an extension of the maturity date to January 15, 2029, with one six-month extension option.

• InvenTrust had $587.4 million of total liquidity, as of December 31, 2024 comprised of $87.4 million of cash and cash equivalents and $500.0 million of availability under its Revolving Credit Facility.

• InvenTrust has $35.9 million of debt maturing in 2025 and $200.0 million of debt maturing in 2026.

• The Company’s weighted average interest rate on its debt as of December 31, 2024 was 4.03% and the weighted average remaining term was 3.3 years.

FULL YEAR 2025 OUTLOOK AND INITIAL GUIDANCE

The Company has provided initial 2025 guidance, as summarized in the table below.

(Unaudited, dollars in thousands, except per share amounts)	Initial 2025 Guidance(1)(2)				2024 Actual
Net Income per diluted share	$0.27	—	$0.33		$0.19
Nareit FFO per diluted share	$1.83	—	$1.89		$1.78
Core FFO per diluted share (3)	$1.79	—	$1.83		$1.73
Same Property NOI (“SPNOI”) Growth	3.50 %	—	4.50%		5.0%
General and administrative	$34,250	—	$35,750		$33,172
Interest expense, net (4)	$31,000	—	$31,500		$34,697
Net investment activity (5)	~ $100,000				$213,518

(1)	The Company’s initial 2025 guidance excludes projections related to gains or losses on dispositions, gains or losses on debt transactions, and depreciation, amortization, and straight-line rent adjustments related to acquisitions.
(2)	The Company’s initial 2025 guidance includes an expectation of uncollectibility, reflected as 75-100 basis points of expected total revenue.
(3)	Core FFO per diluted share excludes amortization of market-lease intangibles and inducements, debt extinguishment charges, straight-line rent adjustments, depreciation and amortization of corporate assets, and non-operating income and expense.
(4)	Interest expense, net, excludes amortization of debt discounts and financing costs, and expected interest income of approximately $2.4 million.
(5)	Net investment activity represents anticipated acquisition activity less disposition activity.

In addition to the foregoing, the Company’s initial 2025 Guidance incorporates a number of other assumptions that are subject to change and may be outside the control of the Company. If actual results vary from these assumptions, the Company’s expectations may change. There can be no assurances that InvenTrust will achieve these results.

The following table provides a reconciliation of the range of the Company’s 2025 estimated net income per diluted share to estimated Nareit FFO and Core FFO per diluted share:

(Unaudited)	Low End				High End
Net income per diluted share	$	0.27			$	0.33
Depreciation and amortization of real estate assets		1.56				1.56
Nareit FFO per diluted share		1.83				1.89
Amortization of market-lease intangibles and inducements, net		(0.04	)			(0.05	)
Straight-line rent adjustments, net		(0.04	)			(0.05	)
Amortization of debt discounts and financing costs		0.04				0.04
Core FFO per diluted share	$	1.79			$	1.83

This press release does not include a reconciliation of forward-looking SPNOI to forward-looking GAAP Net Income because the Company is unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of certain reconciling items which could be significant to the Company’s results.

CONFERENCE CALL INFORMATION

Date:	Wednesday, February 12, 2025
Time:	10:00 a.m. ET
Dial-in:	(833) 470-1428 / Access Code: 625026
Webcast & Replay Link:	https://events.q4inc.com/attendee/413285106
Webcast Archive:	https://www.inventrustproperties.com/investor-relations/

A webcast replay will be available shortly after the conclusion of the earnings call using the webcast link above.

NON-GAAP FINANCIAL MEASURES

This Press Release includes certain financial measures and other terms that are not in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”) that management believes are helpful in understanding the Company’s business. These measures should not be considered as alternatives to, or more meaningful than, net income (calculated in accordance with GAAP) or other GAAP financial measures, as an indicator of financial performance and are not alternatives to, or more meaningful than, cash flow from operating activities (calculated in accordance with GAAP) as a measure of liquidity. Non-GAAP performance measures have limitations as they do not include all items of income and expense that affect operations, and accordingly, should always be considered as supplemental financial results to those calculated in accordance with GAAP. The Company’s computation of these non-GAAP performance measures may differ in certain respects from the methodology utilized by other REITs and, therefore, may not be comparable to similarly titled measures presented by such other REITs. Investors are cautioned that items excluded from these non-GAAP performance measures are relevant to understanding and addressing financial performance. A reconciliation of the Company’s non-GAAP measures to the most directly comparable GAAP financials measures are included herein.

SAME PROPERTY NOI or SPNOI

Information provided on a same property basis includes the results of properties that were owned and operated for the entirety of both periods presented. NOI excludes general and administrative expenses, depreciation and amortization, other income and expense, net, impairment of real estate assets, gains (losses) from sales of properties, gains (losses) on extinguishment of debt, interest expense, net, equity in earnings (losses) from unconsolidated entities, lease termination income and expense, and GAAP rent adjustments such as amortization of market lease intangibles, amortization of lease incentives, and straight-line rent adjustments (“GAAP Rent Adjustments”). The Company bifurcates NOI into Same Property NOI and NOI from other investment properties based on whether the retail properties meet the Company’s Same Property criteria. NOI from other investment properties includes adjustments for the Company’s captive insurance company.

NAREIT FUNDS FROM OPERATIONS (NAREIT FFO) and CORE FFO

The Company’s non-GAAP measure of Nareit Funds from Operations (“Nareit FFO”), based on the National Association of Real Estate Investment Trusts (“Nareit”) definition, is net income (or loss) in accordance with GAAP, excluding gains (or losses) resulting from dispositions of properties, plus depreciation and amortization and impairment charges on depreciable real property. Core Funds From Operations (“Core FFO”) is an additional supplemental non-GAAP financial measure of the Company’s operating performance. In particular, Core FFO provides an additional measure to compare the operating performance of different REITs without having to account for certain remaining amortization assumptions within Nareit FFO and other unique revenue and expense items which some may consider not pertinent to measuring a particular company’s on-going operating performance. Adjustments for the Company’s unconsolidated joint venture reflect the Company’s proportionate share of the joint venture’s Nareit FFO and Core FFO on the same basis.

EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION, AND AMORTIZATION (EBITDA) and ADJUSTED EBITDA

The Company’s non-GAAP measure of EBITDA is net income (or loss) in accordance with GAAP, excluding interest expense, net, income tax expense (or benefit), and depreciation and amortization. Adjusted EBITDA is an additional supplemental non-GAAP financial measure of the Company’s operating performance. In particular, Adjusted EBITDA provides an additional measure to compare the operating performance of different REITs without having to account for certain remaining amortization assumptions within EBITDA, certain gains or losses remaining within EBITDA, and other unique revenue and expense items which some may consider not pertinent to measuring a particular company’s on-going operating performance. Adjustments for the Company’s unconsolidated joint venture reflect the Company’s proportionate share of the joint venture’s EBITDA and Adjusted EBITDA on the same basis.

NET DEBT-TO-ADJUSTED EBITDA

Net Debt-to-Adjusted EBITDA is Net Debt divided by trailing twelve month Adjusted EBITDA.

FORMER JOINT VENTURE

On January 18, 2023, the Company acquired the four remaining retail properties from its unconsolidated joint venture, IAGM Retail Fund I, LLC (“IAGM”), a joint venture partnership between the Company and PGGM Private Real Estate Fund (“PGGM”), in which it held a 55% ownership share. In connection with the foregoing, IAGM adopted a liquidation plan on January 11, 2023. On December 15, 2023, IAGM was fully liquidated.

Financial Statements
Consolidated Balance Sheets
In thousands, except share amounts
	As of December 31
		2024				2023
Assets	(unaudited)
Investment properties
Land	$	712,827			$	694,668
Building and other improvements		2,116,092				1,956,117
Construction in progress		9,951				5,889
Total		2,838,870				2,656,674
Less accumulated depreciation		(511,969	)			(461,352	)
Net investment properties		2,326,901				2,195,322
Cash, cash equivalents and restricted cash		91,221				99,763
Intangible assets, net		137,420				114,485
Accounts and rents receivable		36,131				35,353
Deferred costs and other assets, net		44,277				42,408
Total assets	$	2,635,950			$	2,487,331
Liabilities
Debt, net	$	740,415			$	814,568
Accounts payable and accrued expenses		46,418				44,583
Distributions payable		17,512				14,594
Intangible liabilities, net		42,897				30,344
Other liabilities		28,703				29,198
Total liabilities		875,945				933,287
Commitments and contingencies
Stockholders’ Equity
Preferred stock, $0.001 par value, 40,000,000 shares authorized, none outstanding		—				—
Common stock, $0.001 par value, 146,000,000 shares authorized, 77,450,794 shares issued and outstanding as of December 31, 2024 and 67,807,831 shares issued and outstanding as of December 31, 2023		77				68
Additional paid-in capital		5,730,367				5,468,728
Distributions in excess of accumulated net income		(3,984,865	)			(3,932,826	)
Accumulated comprehensive income		14,426				18,074
Total stockholders’ equity		1,760,005				1,554,044
Total liabilities and stockholders’ equity	$	2,635,950			$	2,487,331

Financial Statements
Consolidated Statements of Operations and Comprehensive Income (Loss)
In thousands, except share and per share amounts, unaudited
	Three Months Ended December 31								Year Ended December 31
		2024				2023				2024				2023
Income
Lease income, net	$	70,759			$	64,332			$	272,440			$	257,146
Other property income		473				390				1,534				1,450
Other fee income		—				—				—				80
Total income		71,232				64,722				273,974				258,676
Operating expenses
Depreciation and amortization		28,856				28,091				113,948				113,430
Property operating		12,376				11,776				43,413				42,832
Real estate taxes		9,209				7,448				36,441				34,809
General and administrative		8,404				8,408				33,172				31,797
Total operating expenses		58,845				55,723				226,974				222,868
Other (expense) income
Interest expense, net		(8,356	)			(9,697	)			(37,100	)			(38,138	)
Loss on extinguishment of debt		—				(15	)			—				(15	)
Impairment of real estate assets		—				—				(3,854	)			—
Gain on sale of investment properties, net		3,523				—				3,857				2,691
Equity in losses of unconsolidated entities		—				(110	)			—				(557	)
Other income and expense, net		2,245				3,713				3,755				5,480
Total other (expense) income, net		(2,588	)			(6,109	)			(33,342	)			(30,539	)
Net income	$	9,799			$	2,890			$	13,658			$	5,269
Weighted-average common shares outstanding, basic		77,222,248				67,563,908				70,394,448				67,531,898
Weighted-average common shares outstanding, diluted		78,014,472				68,090,912				71,010,568				67,813,180
Net income per common share – basic	$	0.13			$	0.04			$	0.19			$	0.08
Net income per common share – diluted	$	0.13			$	0.04			$	0.19			$	0.08
Comprehensive income (loss)
Net income	$	9,799			$	2,890			$	13,658			$	5,269
Unrealized gain (loss) on derivatives		6,459				(7,268	)			9,019				6,228
Reclassification to net income		(2,721	)			(3,786	)			(12,667	)			(14,875	)
Comprehensive income (loss)	$	13,537			$	(8,164	)		$	10,010			$	(3,378	)

Reconciliation of Non-GAAP Measures
In thousands
Same Property NOI
	Three Months Ended December 31								Year Ended December 31
		2024				2023				2024				2023
Income
Minimum base rent	$	42,591			$	40,817			$	152,502			$	148,304
Real estate tax recoveries		8,223				6,615				29,463				28,184
Common area maintenance, insurance, and other recoveries		8,098				8,245				28,788				27,799
Ground rent income		4,563				4,520				14,674				14,760
Short-term and other lease income		1,845				1,799				4,496				4,323
Provision for uncollectible billed rent and recoveries		(234	)			(704	)			(266	)			(1,046	)
Other property income		440				381				1,305				1,241
Total income		65,526				61,673				230,962				223,565
Operating Expenses
Property operating		10,831				11,718				36,426				37,736
Real estate taxes		8,817				7,138				31,981				30,981
Total operating expenses		19,648				18,856				68,407				68,717
Same Property NOI	$	45,878			$	42,817			$	162,555			$	154,848

Net Income to Same Property NOI
	Three Months Ended December 31								Year Ended December 31
		2024				2023				2024				2023
Net income	$	9,799			$	2,890			$	13,658			$	5,269
Adjustments to reconcile to non-GAAP metrics:
Other income and expense, net		(2,245	)			(3,713	)			(3,755	)			(5,480	)
Equity in losses of unconsolidated entities		—				110				—				557
Interest expense, net		8,356				9,697				37,100				38,138
Loss on extinguishment of debt		—				15				—				15
Gain on sale of investment properties, net		(3,523	)			—				(3,857	)			(2,691	)
Impairment of real estate assets		—				—				3,854				—
Depreciation and amortization		28,856				28,091				113,948				113,430
General and administrative		8,404				8,408				33,172				31,797
Other fee income		—				—				—				(80	)
Adjustments to NOI (a)		(1,492	)			(1,500	)			(7,548	)			(7,528	)
NOI		48,155				43,998				186,572				173,427
NOI from other investment properties		(2,277	)			(1,181	)			(24,017	)			(18,579	)
Same Property NOI	$	45,878			$	42,817			$	162,555			$	154,848
(a) Adjustments to NOI include lease termination income and expense and GAAP Rent Adjustments.

Reconciliation of Non-GAAP Measures, continued In thousands, except share and per share amounts
Nareit FFO and Core FFO
The following table presents a reconciliation of Net Income to Nareit FFO and Core FFO Attributable to Common Shares and Dilutive Securities, and provides additional information related to its operations:
	Three Months Ended December 31								Year Ended December 31
		2024				2023				2024				2023
Net income	$	9,799			$	2,890			$	13,658			$	5,269
Depreciation and amortization of real estate assets		28,616				27,864				113,055				112,578
Impairment of real estate assets		—				—				3,854				—
Gain on sale of investment properties, net		(3,523	)			—				(3,857	)			(2,691	)
Unconsolidated joint venture adjustments(a)		—				—				—				342
Nareit FFO Applicable to Common Shares and Dilutive Securities		34,892				30,754				126,710				115,498
Amortization of market lease intangibles and inducements, net		(740	)			(626	)			(2,804	)			(3,343	)
Straight-line rent adjustments, net		(748	)			(857	)			(3,400	)			(3,349	)
Amortization of debt discounts and financing costs		661				827				2,403				4,113
Depreciation and amortization of corporate assets		240				227				893				852
Non-operating income and expense, net (b)		(758	)			(2,612	)			(1,033	)			(1,821	)
Unconsolidated joint venture adjusting items, net (c)		—				80				—				(92	)
Core FFO Applicable to Common Shares and Dilutive Securities	$	33,547			$	27,793			$	122,769			$	111,858
Weighted average common shares outstanding – basic		77,222,248				67,563,908				70,394,448				67,531,898
Dilutive effect of unvested restricted shares (d)		792,224				527,004				616,120				281,282
Weighted average common shares outstanding – diluted		78,014,472				68,090,912				71,010,568				67,813,180
Net income per diluted share	$	0.13			$	0.04			$	0.19			$	0.08
Nareit FFO per diluted share	$	0.45			$	0.45			$	1.78			$	1.70
Core FFO per diluted share	$	0.43			$	0.41			$	1.73			$	1.65

(a)	Reflects the Company’s share of adjustments for IAGM’s Nareit FFO on the same basis as InvenTrust.
(b)	Reflects items which are not pertinent to measuring on-going operating performance, such as miscellaneous and settlement income, and basis difference recognition arising from acquiring the four remaining properties of IAGM in 2023.
(c)	Reflects the Company’s share of adjustments for IAGM’s Core FFO on the same basis as InvenTrust.
(d)	For purposes of calculating non-GAAP per share metrics, the Company applies the same denominator used in calculating diluted earnings per share in accordance with GAAP.

Reconciliation of Non-GAAP Measures, continued
In thousands
EBITDA and Adjusted EBITDA
The following table presents a reconciliation of Net Income to EBITDA and Adjusted EBITDA, and provides additional information related to its operations:
	Three Months Ended December 31								Year Ended December 31
		2024				2023				2024				2023
Net income	$	9,799			$	2,890			$	13,658			$	5,269
Interest expense, net		8,356				9,697				37,100				38,138
Income tax expense		140				129				543				517
Depreciation and amortization		28,856				28,091				113,948				113,430
Unconsolidated joint venture adjustments (a)		—				—				—				417
EBITDA		47,151				40,807				165,249				157,771
Impairment of real estate assets		—				—				3,854				—
Gain on sale of investment properties, net		(3,523	)			—				(3,857	)			(2,691	)
Amortization of market-lease intangibles and inducements, net		(740	)			(626	)			(2,804	)			(3,343	)
Straight-line rent adjustments, net		(748	)			(857	)			(3,400	)			(3,349	)
Non-operating income and expense, net (b)		(758	)			(2,612	)			(1,033	)			(1,821	)
Unconsolidated joint venture adjusting items, net (c)		—				80				—				(108	)
Adjusted EBITDA	$	41,382			$	36,792			$	158,009			$	146,459

(a)	Reflects the Company’s share of adjustments for IAGM’s EBITDA on the same basis as InvenTrust.
(b)	Reflects items which are not pertinent to measuring on-going operating performance, such as miscellaneous and settlement income, and basis difference recognition arising from acquiring the four remaining properties of IAGM in 2023.
(c)	Reflects the Company’s share of adjustments for IAGM’s Adjusted EBITDA on the same basis as InvenTrust.

Financial Leverage Ratios
Dollars in thousands
The following table presents the calculation of net debt and Net Debt-to-Adjusted EBITDA:
	As of December 31
		2024				2023
Net Debt:
Outstanding Debt, net	$	740,415			$	814,568
Less: Cash and cash equivalents		(87,395	)			(96,385	)
Net Debt	$	653,020			$	718,183
Net Debt-to-Adjusted EBITDA (trailing 12 months):
Net Debt	$	653,020			$	718,183
Adjusted EBITDA		158,009				146,459
Net Debt-to-Adjusted EBITDA	4.1x				4.9x

About InvenTrust Properties Corp.

InvenTrust Properties Corp. (the “Company,” “IVT,” or “InvenTrust”) is a premier Sun Belt, multi-tenant essential retail REIT that owns, leases, redevelops, acquires and manages grocery-anchored neighborhood and community centers as well as high-quality power centers that often have a grocery component. Management pursues the Company’s business strategy by acquiring retail properties in Sun Belt markets, opportunistically disposing of retail properties, and maintaining a flexible capital structure. A trusted, local operator bringing real estate expertise to its tenant relationships, IVT has built a strong reputation with market participants across its portfolio. For more information, please visit www.inventrustproperties.com.

The enclosed information should be read in conjunction with the Company’s filings with the U.S. Securities and Exchange Commission (“SEC”), including, but not limited to, the Company’s Form 10-Qs filed quarterly and Form 10-Ks filed annually. Additionally, the enclosed information does not purport to disclose all items required under GAAP. The information provided in this press release is unaudited and includes non-GAAP measures (as discussed herein), and there can be no assurance that the information will not vary from the final information in the Company’s Form 10-K for the year-ended December 31, 2024. IVT may, but assumes no obligation to, update information in this press release.

Forward-Looking Statements Disclaimer

Forward-Looking Statements in this press release, or made during the earnings call, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations of InvenTrust’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those described in the forward-looking statements. Any statements made in this press release that are not statements of historical fact, including statements about our beliefs and expectations, are forward-looking statements. Forward-looking statements include information concerning possible or assumed future results of operations, including our guidance and descriptions of our business plans and strategies. These statements often include words such as “may,” “should,” “could,” “would,” “expect,” “intend,” “plan,” “seek,” “anticipate,” “believe,” “estimate,” “target,” “project,” “predict,” “potential,” “continue,” “likely,” “will,” “forecast,” “outlook,” “guidance,” “suggest,” and variations of these terms and similar expressions, or the negative of these terms or similar expressions.

The following factors, among others, could cause actual results, financial position and timing of certain events to differ materially from those described in the forward-looking statements: interest rate movements; local, regional, national and global economic performance; the impact of inflation on the Company and on its tenants; competitive factors; the impact of e-commerce on the retail industry; future retailer store closings; retailer consolidation; retailers reducing store size; retailer bankruptcies; government policy changes; and any material market changes and trends that could affect the Company’s business strategy. For further discussion of factors that could materially affect the outcome of management’s forward-looking statements and IVT’s future results and financial condition, see the Risk Factors included in the Company’s most recent Annual Report on Form 10-K, as updated by any subsequent Quarterly Report on Form 10-Q, in each case as filed with the SEC. InvenTrust intends that such forward-looking statements be subject to the safe harbors created by Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, except as may be required by applicable law.

IVT cautions you not to place undue reliance on any forward-looking statements, which are made as of the date of this press release. IVT undertakes no obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable laws. If IVT updates one or more forward-looking statements, no inference should be drawn that IVT will make additional updates with respect to those or other forward-looking statements.

Availability of Information on InvenTrust Properties Corp.’s Website and Social Media Channels

Investors and others should note that InvenTrust routinely announces material information to investors and the marketplace using U.S. Securities and Exchange Commission filings, press releases, public conference calls, webcasts and the InvenTrust investor relations website. The Company uses these channels as well as social media channels (e.g., the InvenTrust X account (x.com/inventrustprop); and the InvenTrust LinkedIn account (linkedin.com/company/inventrustproperties) as a means of disclosing information about the Company’s business to colleagues, investors, and the public. While not all of the information that the Company posts to the InvenTrust investor relations website or on the Company’s social media channels is of a material nature, some information could be deemed to be material. Accordingly, the Company encourages investors, the media and others interested in InvenTrust to review the information that it shares on inventrustproperties.com/investor-relations and on the Company’s social media channels.

View source version on businesswire.com: https://www.businesswire.com/news/home/20250211966998/en/

Dan Lombardo

Vice President of Investor Relations

630-570-0605

[email protected]

KEYWORDS: Illinois United States North America

INDUSTRY KEYWORDS: Construction & Property REIT

MEDIA:

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Diodes Incorporated Reports Fourth Quarter and Fiscal 2024 Financial Results

Exceeds 4Q Revenue Expectations and Achieves Over 5% Growth YoY

PLANO, Texas–(BUSINESS WIRE)–
Diodes Incorporated (Diodes) (Nasdaq: DIOD) today reported its financial results for the fourth quarter and year ended December 31, 2024.

Fourth Quarter Highlights

• Revenue was $339.3 million, compared to $350.1 million in the prior quarter and $322.7 million in the fourth quarter 2023;

• GAAP gross profit was $110.9 million, compared to $118.0 million in the prior quarter and $112.5 million in the same quarter a year ago;

• GAAP gross profit margin was 32.7 percent, compared to 33.7 percent in the prior quarter and 34.9 percent in the fourth quarter of 2023;

• GAAP operating income was $11.9 million, or 3.5 percent of revenue, compared to $21.9 million, or 6.3 percent of revenue, in the prior quarter and compared to $20.7 million or 6.4 percent in the fourth quarter of 2023;

• GAAP net income was $8.2 million, compared to the $13.7 million last quarter and $25.3 million during the same quarter a year ago;

• Non-GAAP adjusted net income was $12.5 million, compared to $20.1 million in the prior quarter and $23.4 million in the same quarter a year ago;

• GAAP EPS was $0.18 per diluted share, compared to $0.30 per diluted share in the prior quarter and $0.55 per diluted share in the fourth quarter of 2023;

• Non-GAAP EPS was $0.27 per diluted share, compared to $0.43 per diluted share in the prior quarter and $0.51 per diluted share in the same quarter a year ago;

• Excluding $5.3 million, net of tax, non-cash share-based compensation expense, both GAAP net income and non-GAAP adjusted net income would have increased by $0.11 per diluted share;

• EBITDA was $40.7 million, or 12.0 percent of revenue, compared to $46.9 million, or 13.4 percent of revenue in the prior quarter and $58.4 million, or 18.1 percent of revenue during the same quarter last year; and

• Achieved $81.8 million cash flow from operations and $62.1 million of free cash flow, including $19.7 million of capital expenditures. Net cash flow was a negative $2.4 million, which includes the net pay-down of $3.8 million of total debt.

Commenting on the results, Gary Yu, President of Diodes, stated, “Our above seasonal revenue results in the fourth quarter reflect the improving momentum we have seen over the past few quarters as the markets in Asia gradually improve, especially in China and the Southeast Asia region. We achieved 5% growth over the fourth quarter 2023, which marks a return to year-over-year growth following the multi-year market slowdown. Even though the overall global demand environment remains challenging, especially in Europe and North America, we were able to maintain our automotive and industrial mix percentage at 42% of total product revenue, which is a testament to the progress we have made on our new product and content expansion initiatives.

“Diodes enters the new year having strong POS in Asia for 2024, improved levels of channel inventory and a solid balance sheet combined with a committed focus on expanding growth in our target markets, especially the automotive and industrial markets, and capitalizing on new opportunities in AI-related applications. With our product mix consistently above our target model, we are well positioned for future growth and margin expansion as the market recovery broadens across our end markets in 2025 and beyond.”

Fourth Quarter 2024

Revenue for fourth quarter 2024 was $339.3 million, compared to $350.1 million in the third quarter 2024 and $322.7 million in the fourth quarter 2023.

GAAP gross profit for the fourth quarter 2024 was $110.9 million, or 32.7 percent of revenue, compared to $118.0 million, or 33.7 percent of revenue, in the third quarter 2024 and $112.5 million, or 34.9 percent of revenue, in the fourth quarter of 2023.

GAAP operating expenses for fourth quarter 2024 were $99.0 million, or 29.2 percent of revenue, and on a non-GAAP basis were $95.5 million, or 28.1 percent of revenue, which excludes $5.0 million amortization of acquisition-related intangible asset expenses, $0.6 million in restructuring charges, $0.3 million in acquisition-related costs and $2.3 million of insurance recovery. GAAP operating expenses in the third quarter 2024 were $96.1 million, or 27.5 percent of revenue and in the fourth quarter 2023 were $91.8 million, or 28.4 percent of revenue.

Fourth quarter 2024 GAAP net income was $8.2 million, or $0.18 per diluted share, compared to GAAP net income in the third quarter 2024 of $13.7 million, or $0.30 per diluted share, and $25.3 million, or $0.55 per diluted share, of GAAP net income in the fourth quarter 2023.

Fourth quarter 2024 non-GAAP adjusted net income was $12.5 million, or $0.27 per diluted share, which excluded, net of tax, $4.1 million of acquisition-related intangible asset cost, $1.3 million non-cash mark-to-market investment value adjustment, $0.5 million in restructuring charges, $0.2 million in acquisition-related costs and $1.9 million of insurance recovery. This compares to non-GAAP adjusted net income of $20.1 million, or $0.43 per diluted share, in the third quarter 2024 and $23.4 million, or $0.51 per diluted share, in the fourth quarter 2023.

The following is an unaudited summary reconciliation of GAAP net income to non-GAAP adjusted net income and per share data, net of tax (in thousands, except per share data):

	Three Months Ended
	December 31, 2024
GAAP net income	$	8,241
GAAP diluted earnings per share	$	0.18
Adjustments to reconcile net income to non-GAAP net income:
Amortization of acquisition-related intangible assets		4,099
Acquisition related cost		232
Restructuring charge		458
Non-cash mark-to-market investment value adjustments		1,305
Insurance recovery for manufacturing facility		(1,870	)
Non-GAAP net income	$	12,465
Non-GAAP diluted earnings per share	$	0.27

Note: Throughout this release, we refer to “net income attributable to common stockholders” as “net income.”

(See the reconciliation tables of GAAP net income to non-GAAP adjusted net income near the end of this release for further details.)

Included in fourth quarter 2024 GAAP net income and non-GAAP adjusted net income was approximately $5.3 million, net of tax, non-cash share-based compensation expense. Excluding share-based compensation expense, GAAP earnings per share (“EPS”) and non-GAAP adjusted EPS would have increased by $0.11 per share for the fourth quarter 2024, compared to $0.13 for the third quarter 2024 and $0.13 for both in the fourth quarter 2023.

EBITDA (a non-GAAP measure), which represents earnings before net interest expense, income tax, depreciation and amortization, in fourth quarter 2024 was $40.7 million, or 12.0 percent of revenue, compared to $46.9 million, or 13.4 percent of revenue, in third quarter 2024 and $58.4 million, or 18.1 percent of revenue, in fourth quarter 2023. For a reconciliation of GAAP net income to EBITDA, see the table near the end of this release for further details.

For the fourth quarter 2024, net cash provided by operating activities was $81.8 million. Net cash flow was negative $2.4 million, including the net pay-down of $3.8 million of total debt. Free cash flow (a non-GAAP measure) was $62.1 million, which includes $19.7 million of capital expenditures.

Balance Sheet

As of December 31, 2024, the Company had approximately $322 million in cash and cash equivalents, restricted cash, and short-term investments. Total debt (including long-term and short-term) amounted to approximately $52 million and working capital was approximately $849 million.

The results announced today are preliminary and unaudited, as they are subject to the Company finalizing its closing procedures and completion of the quarterly review by its independent registered public accounting firm. As such, these results are subject to revision until the Company files its Form 10-K for the year ending December 31, 2024.

Business Outlook

Gary Yu further commented, “For the first quarter of 2025, we expect revenue to be approximately $323 million, plus or minus 3 percent, representing a 4.8% sequential decrease at the mid-point, due to the Chinese New Year holiday but slightly better than typical seasonality. Importantly, the mid-point of guidance represents 7% year-over-year growth and extends our momentum in support of our expectation for growth in 2025. GAAP gross margin is expected to be 32.5 percent, plus or minus 1 percent. Non-GAAP operating expenses, which are GAAP operating expenses adjusted for amortization of acquisition-related intangible assets, are expected to be approximately 30.0 percent of revenue, plus or minus 1 percent. We expect net interest income to be approximately $1.5 million. Our income tax rate is expected to be 18.5 percent, plus or minus 3 percent, and shares used to calculate diluted EPS for the first quarter are anticipated to be approximately 46.7 million.”

Amortization of acquisition-related intangible assets of $5.8 million, after tax, for previous acquisitions is not included in these non-GAAP estimates.

Conference Call

Diodes will host a conference call on Tuesday, February 11, 2025 at 4:00 p.m. Central Time (5:00 p.m. Eastern Time) to discuss its fourth quarter financial results. Investors and analysts may join the conference call by dialing 1-833-634-2590, and international callers may join the teleconference by dialing +1-412-317-6038. A telephone replay of the call will be made available approximately two hours after the call and will remain available until February 18, 2025 at midnight Central Time. The replay number is 1-877-344-7529 with an access code of 6215367 followed by the # key. International callers should dial +1-412-317-0088 and enter the same pass code at the prompt followed by the # key.

Additionally, this conference call will be broadcast live over the Internet and can be accessed by all interested parties on the Investor Relations section of the Company’s website. To listen to the live call, please go to the investors’ section of Diodes’ website and click on the conference call link at least 15 minutes prior to the start of the call to register, download and install any necessary audio software. For those unable to participate during the live broadcast, a replay will be available shortly after the call on Diodes’ website for approximately 90 days.

About Diodes Incorporated

Diodes Incorporated (Nasdaq: DIOD), a Standard and Poor’s SmallCap 600 and Russell 3000 Index company, delivers high-quality semiconductor products to the world’s leading companies in the automotive, industrial, computing, consumer electronics, and communications markets. We leverage our expanded product portfolio of analog and discrete power solutions combined with leading-edge packaging technology to meet customers’ needs. Our broad range of application-specific products and solutions-focused sales, coupled with global operations including engineering, testing, manufacturing, and customer service, enable us to be a premier provider for high-volume, high-growth markets. For more information, visit www.diodes.com.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995: Any statements set forth above that are not historical facts are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such statements include statements containing forward-looking words such as “expect,” “anticipate,” “aim,” “estimate,” and variations thereof, including without limitation statements, whether direct or implied, regarding expectations of that for the first quarter of 2025, we expect revenue to be approximately $323 million plus or minus 3 percent; we expect GAAP gross margin to be 32.5 percent, plus or minus 1 percent; non-GAAP operating expenses, which are GAAP operating expenses adjusted for amortization of acquisition-related intangible assets, are expected to be approximately 30.0 percent of revenue, plus or minus 1 percent; we expect non-GAAP net interest income to be approximately $1.5 million; we expect our income tax rate to be 18.5 percent, plus or minus 3 percent; shares used to calculate diluted EPS for the first quarter are anticipated to be approximately 46.7 million. Potential risks and uncertainties include, but are not limited to, such factors as: the risk that such expectations may not be met; the risk that the expected benefits of acquisitions may not be realized or that integration of acquired businesses may not continue as rapidly as we anticipate; the risk that we may not be able to maintain our current growth strategy or continue to maintain our current performance, costs, and loadings in our manufacturing facilities; the risk that we may not be able to increase our automotive, industrial, or other revenue and market share; risks of domestic and foreign operations, including excessive operating costs, labor shortages, higher tax rates, and our joint venture prospects; the risks of cyclical downturns in the semiconductor industry and of changes in end-market demand or product mix that may affect gross margin or render inventory obsolete; the risk of unfavorable currency exchange rates; the risk that our future outlook or guidance may be incorrect; the risks of global economic weakness or instability in global financial markets; the risks of trade restrictions, tariffs, or embargoes; the risk of breaches of our information technology systems; and other information, including the “Risk Factors” detailed from time to time in Diodes’ filings with the United States Securities and Exchange Commission.

The Diodes logo is a registered trademark of Diodes Incorporated in the United States and other countries.

© 2025 Diodes Incorporated. All Rights Reserved.

DIODES INCORPORATED AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS (in thousands, except per share data) (unaudited)
	Three Months Ended								Twelve Months Ended
	December 31,								December 31,
		2024				2023				2024				2023
Net sales	$	339,298			$	322,699			$	1,311,120			$	1,661,739
Cost of goods sold		228,414				210,223				875,258				1,003,557
Gross profit		110,884				112,476				435,862				658,182
Operating expenses
Selling, general and administrative		62,323				56,484				233,913				257,939
Research and development		33,207				32,957				134,051				134,868
Amortization of acquisition-related intangible assets		5,002				3,806				16,499				15,282
(Gain)loss on disposal of fixed assets		(2,116	)			(489	)			(7,641	)			(2,045	)
Restructuring charge		552				(983	)			8,591				1,583
Other operating (income) expense		(1	)			(2	)			(1	)			(16	)
Total operating expense		98,967				91,773				385,412				407,611
Income from operations		11,917				20,703				50,450				250,571
Other (expense) income
Interest income		4,920				4,835				18,303				13,338
Interest expense		(494	)			(481	)			(2,334	)			(5,700	)
Foreign currency gain(loss), net		(3,656	)			(2,468	)			(6,308	)			(5,264	)
Unrealized gain(loss) on investments		(1,631	)			1,805				(321	)			18,267
Other income		1,214				3,484				2,892				6,721
Total other income (expense)		353				7,175				12,232				27,362
Income before income taxes and noncontrolling interest		12,270				27,878				62,682				277,933
Income tax provision		2,041				2,771				11,840				47,285
Net income		10,229				25,107				50,842				230,648
Less net (income) attributable to noncontrolling interest		(1,988	)			185				(6,818	)			(3,466	)
Net income attributable to common stockholders	$	8,241			$	25,292			$	44,024			$	227,182
Earnings per share attributable to common stockholders:
Basic	$	0.18			$	0.55			$	0.95			$	4.96
Diluted	$	0.18			$	0.55				0.95			$	4.91
Number of shares used in earnings per share computation:
Basic		46,333				45,938				46,208				45,803
Diluted		46,397				46,245				46,408				46,311

Note: Throughout this release, we refer to “net income attributable to common stockholders” as “net income.”

DIODES INCORPORATED AND SUBSIDIARIES RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME (in thousands, except per share data) (unaudited)
For the three months ended December 31, 2024:
				Operating Expenses			Other (Income) Expense		Income Tax Provision			Net Income
Per-GAAP												$	8,241
Diluted earnings per share (per-GAAP)												$	0.18
Adjustments to reconcile net income to non-GAAP net income:
Amortization of acquisition-related intangible assets				5,002					(903	)			4,099
Acquisition related cost				294					(62	)			232
Restructuring charge				552					(94	)			458
Non-cash mark-to-market investment value adjustments							1,631		(326	)			1,305
Insurance recovery for manufacturing facility				(2,338	)				468				(1,870	)
Non-GAAP												$	12,465
Diluted shares used in computing earnings per share													46,397
Non-GAAP diluted earnings per share												$	0.27

Note: Included in GAAP and non-GAAP adjusted net income was approximately $5.3 million, net of tax, non-cash share-based compensation expense. Excluding share-based compensation expense, both GAAP and non-GAAP adjusted diluted earnings per share would have improved by $0.11 per share.

DIODES INCORPORATED AND SUBSIDIARIES CONSOLIDATED RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME – Cont. (in thousands, except per share data) (unaudited)
For the three months ended December 31, 2023:
				Operating Expenses			Other (Income) Expense			Income Tax Provision			Net Income
Per-GAAP													$	25,292
Diluted earnings per share (per-GAAP)													$	0.55
Adjustments to reconcile net income to non-GAAP net income:
Amortization of acquisition-related intangible assets				3,806						(698	)			3,108
Non-cash mark-to-market investment value adjustments							(1,805	)		361				(1,444	)
Investment gain							(2,794	)						(2,794	)
Restructuring Cost				(984	)					246				(738	)
Non-GAAP													$	23,424
Diluted shares used in computing earnings per share														46,245
Non-GAAP diluted earnings per share													$	0.51

Note: Included in GAAP and non-GAAP adjusted net income was approximately $5.9 million, net of tax, non-cash share-based compensation expense. Excluding share-based compensation expense, both GAAP and non-GAAP adjusted diluted earnings per share would have improved by $0.13 per share.

DIODES INCORPORATED AND SUBSIDIARIES CONSOLIDATED RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME – Cont. (in thousands, except per share data) (unaudited)
For the twelve months ended December 31, 2024:
				Operating Expenses			Other (Income) Expense		Income Tax Provision			Net Income
Per-GAAP												$	44,024
Diluted earnings per share (per-GAAP)												$	0.95
Adjustments to reconcile net income to non-GAAP net income:
Amortization of acquisition-related intangible assets				16,499					(3,012	)			13,487
Officer retirement				644					(135	)			509
Acquisition related cost				1,059					(222	)			837
Restructuring charge				8,591			789		(1,835	)			7,545
Non-cash mark-to-market investment value adjustments							321		(64	)			257
Insurance recovery for manufacturing facility				(7,142	)				1,428				(5,714	)
Non-GAAP												$	60,945
Diluted shares used in computing earnings per share													46,408
Non-GAAP diluted earnings per share												$	1.31

Note: Included in GAAP and non-GAAP income was approximately $18 million and $17.4 million respectively, net of tax, non-cash share-based compensation expense. Excluding share-based compensation expense, GAAP diluted earnings per share would have improved by $0.40 per share and non-GAAP diluted earnings per share would have improved by $0.39 per share.

DIODES INCORPORATED AND SUBSIDIARIES CONSOLIDATED RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME – Cont. (in thousands, except per share data) (unaudited)
For the twelve months ended December 31, 2023:
				Operating Expenses		Other (Income) Expense			Income Tax Provision			Net Income
Per-GAAP												$	227,182
Diluted earnings per share (per-GAAP)												$	4.91
Adjustments to reconcile net income to non-GAAP net income:
Amortization of acquisition-related intangible assets				15,282					(2,803	)			12,479
Officer retirement				2,788					(571	)			2,217
Non-cash mark-to-market investment value adjustments						(18,267	)		1,690				(16,577	)
Investment gain						(3,931	)		227				(3,704	)
Restructuring Cost				1,583					(396	)			1,187
Non-GAAP												$	222,784
Diluted shares used in computing earnings per share													46,311
Non-GAAP diluted earnings per share												$	4.81

Note: Included in GAAP and non-GAAP adjusted net income was approximately $24.4 million, net of tax, non-cash share-based compensation expense. Excluding share-based compensation expense, both GAAP and non-GAAP adjusted diluted earnings per share would have improved by $0.53 per share.

ADJUSTED NET INCOME AND ADJUSTED EARNINGS PER SHARE

The Company’s financial statements present net income and earnings per share that are calculated using accounting principles generally accepted in the United States (“GAAP”). The Company’s management makes adjustments to the GAAP measures that it feels are necessary to allow investors and other readers of the Company’s financial releases to view the Company’s operating results as viewed by the Company’s management, board of directors and research analysts in the semiconductor industry. These non-GAAP measures are not prepared in accordance with, and should not be considered alternatives or necessarily superior to, GAAP financial data and may be different from non-GAAP measures used by other companies. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies’ non-GAAP financial measures, even if they have similar names. The explanation of the adjustments made in the table above, are set forth below:

Detail of non-GAAP adjustments

Amortization of acquisition-related intangible assets – The Company excluded this item, including amortization of developed technologies and customer relationships. The fair value of the acquisition-related intangible assets is amortized using straight-line methods which approximate the proportion of future cash flows estimated to be generated each period over the estimated useful life of the applicable assets. The Company believes that exclusion of this item is appropriate because a significant portion of the purchase price for its acquisitions was allocated to the intangible assets that have short lives and exclusion of the amortization expense allows comparisons of operating results that are consistent over time for both the Company’s newly acquired and long-held businesses. In addition, the Company excluded this item because there is significant variability and unpredictability among companies with respect to this expense.

Officer retirement – The Company excluded costs related to the retirement of two executives. These costs represent cash payments and the accelerated vesting of previously issued stock awards. The Company feels it is appropriate to exclude these costs since they don’t represent ongoing operating expenses and will present investors with a more accurate indication of our continuing operations.

Acquisition related costs – The Company excluded expenses associated with previous acquisitions of that typically consist of advisory, legal and other professional and consulting fees. These costs were expensed as they were incurred and as services were received, and in which the corresponding tax adjustments were made for the non-deductible portions of these expenses. The Company believes the exclusion of the acquisition related costs provides investors with a more accurate reflection of costs likely to be incurred in the absence of an unusual event such as an acquisition and facilitates comparisons with the results of other periods that may not reflect such costs.

Insurance recovery for manufacturing facility – The Company recorded gains related to insurance recovery for a manufacturing facility in Asia. The Company believes the exclusion of the insurance recovery provides investors with a more accurate reflection of the continuing operations of the Company and facilitates comparisons with the results of other periods which may not reflect such gains.

Non-cash mark-to-market investment adjustments – The Company excluded mark-to-market adjustments on various equity related investments. The Company believes this is not reflective of the ongoing operations and exclusion of this provides investors an enhanced view of the Company’s operating results.

Restructuring charge – The Company recorded restructuring charges related to various locations. These restructuring charges are excluded from management’s assessment of the Company’s operating performance. The Company believes the exclusion of the restructuring charges provides investors an enhanced view of the cost structure of the Company’s operations and facilitates comparisons with the results of other periods that may not reflect such charges or may reflect different levels of such charges.

Investment gain – The Company excluded the gain realized on the sale of an equity investment. The Company believes this is not reflective of the ongoing operations and exclusion of this item provides investors an enhanced view of the Company’s operating results.

CASH FLOW ITEMS

Free cash flow (FCF) (Non-GAAP)

FCF for the fourth quarter of 2024 is a non-GAAP financial measure, which is calculated by subtracting capital expenditures from cash flow from operations. For the fourth quarter of 2024, FCF was $62.1 million, which represents the cash and cash equivalents that we are able to generate after taking into account cash outlays required to maintain or expand property, plant and equipment. FCF is important because it allows us to pursue opportunities to develop new products, make acquisitions and reduce debt.

CONSOLIDATED RECONCILIATION OF NET INCOME TO EBITDA

EBITDA represents earnings before net interest expense, income tax provision, depreciation and amortization. Management believes EBITDA is useful to investors because it is frequently used by securities analysts, investors and other interested parties, such as financial institutions in extending credit, in evaluating companies in our industry and provides further clarity on our profitability. In addition, management uses EBITDA, along with other GAAP and non-GAAP measures, in evaluating our operating performance compared to that of other companies in our industry. The calculation of EBITDA generally eliminates the effects of financing, operating in different income tax jurisdictions, and accounting effects of capital spending, including the impact of our asset base, which can differ depending on the book value of assets and the accounting methods used to compute depreciation and amortization expense. EBITDA is not a recognized measurement under GAAP, and when analyzing our operating performance, investors should use EBITDA in addition to, and not as an alternative for, income from operations and net income, each as determined in accordance with GAAP. Because not all companies use identical calculations, our presentation of EBITDA may not be comparable to similarly titled measures used by other companies. For example, our EBITDA takes into account all net interest expense, income tax provision, depreciation and amortization without taking into account any amounts attributable to noncontrolling interest. Furthermore, EBITDA is not intended to be a measure of free cash flow for management’s discretionary use, as it does not consider certain cash requirements such as tax and debt service payments.

The following table provides a reconciliation of net income to EBITDA (in thousands, unaudited):

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
			2024				2023				2024				2023
Net income (per-GAAP)		$	8,241			$	25,292			$	44,024			$	227,182
Plus:
Interest expense, net			(4,426	)			(4,354	)			(15,969	)			(7,638	)
Income tax provision			2,041				2,771				11,840				47,285
Depreciation and amortization			34,890				34,644				137,189				137,367
EBITDA (non-GAAP)		$	40,746			$	58,353			$	177,084			$	404,196

DIODES INCORPORATED AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(Unaudited)
(In thousands, except share and per share data)
		December 31,				December 31,
			2024				2023
Assets
Current assets:
Cash and cash equivalents		$	308,671			$	315,457
Restricted Cash			6,053				3,026
Short-term investments			7,464				10,174
Accounts receivable, net of allowances of $7,799 and $5,641 at December 31, 2024 and December 31, 2023, respectively			325,517				371,930
Inventories			474,948				389,774
Prepaid expenses and other			101,500				97,024
Total current assets			1,224,153				1,187,385
Property, plant and equipment, net			684,259				746,169
Deferred income tax			51,974				51,620
Goodwill			181,555				146,558
Intangible assets, net			67,397				63,937
Other long-term assets			176,943				171,990
Total assets		$	2,386,281			$	2,367,659
Liabilities
Current liabilities:
Line of credit		$	31,429			$	40,685
Accounts payable			133,765				158,261
Accrued liabilities			186,576				179,674
Income tax payable			22,730				10,459
Current portion of long-term debt			1,096				4,419
Total current liabilities			375,596				393,498
Long-term debt, net of current portion			19,563				16,979
Deferred tax liabilities			6,953				13,662
Unrecognized tax benefits			24,646				34,035
Other long-term liabilities			90,576				99,808
Total liabilities			517,334				557,982
Commitments and contingencies
Stockholders’ equity			–
Preferred stock – par value $1.00 per share; 1,000,000 shares authorized; no shares issued or outstanding			–				–
Common stock – par value $0.66 2/3 per share; 70,000,000 shares authorized; 46,332,891 and 45,938,382, issued and outstanding at December 31, 2024 and December 31, 2023, respectively			37,083				36,819
Additional paid-in capital			523,744				509,861
Retained earnings			1,719,298				1,675,274
Treasury stock, at cost, 9,288,420 and 9,286,862 shares held at December 31, 2024 and December 31, 2023			(338,100	)			(337,986	)
Accumulated other comprehensive loss			(146,724	)			(143,227	)
Total stockholders’ equity			1,795,301				1,740,741
Noncontrolling interest			73,646				68,936
Total equity			1,868,947				1,809,677
Total liabilities and stockholders’ equity		$	2,386,281			$	2,367,659

 

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Company Contact:

Diodes Incorporated

Gurmeet Dhaliwal

Director, IR & Corporate Marketing

P: 408-232-9003

E: [email protected]

Investor Relations Contact:

Shelton Group

Leanne Sievers

President, Investor Relations

P: 949-224-3874

E: [email protected]

KEYWORDS: United States North America California Texas

INDUSTRY KEYWORDS: Semiconductor Automotive Manufacturing Technology Manufacturing Other Technology Software Hardware

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