2024 Q4 Form 10-Q Financial Statement

#000102537824000142 Filed on October 30, 2024

View on sec.gov

Income Statement

Concept 2024 Q4 2024 Q3
Revenue $397.4M
YoY Change -11.41%
Cost Of Revenue $42.10M
YoY Change 43296.91%
Gross Profit $355.3M
YoY Change -20.78%
Gross Profit Margin 89.41%
Selling, General & Admin $36.15M
YoY Change 11.88%
% of Gross Profit 10.17%
Research & Development
YoY Change
% of Gross Profit
Depreciation & Amortization $120.7M
YoY Change -19.46%
% of Gross Profit 33.97%
Operating Expenses $151.9M
YoY Change -14.25%
Operating Profit $203.4M
YoY Change -25.04%
Interest Expense -$51.86M
YoY Change -167.37%
% of Operating Profit -25.49%
Other Income/Expense, Net -$82.46M
YoY Change 33.27%
Pretax Income $120.7M
YoY Change -7.22%
Income Tax $9.044M
% Of Pretax Income 7.49%
Net Earnings $111.7M
YoY Change -10.67%
Net Earnings / Revenue 28.11%
Basic Earnings Per Share
Diluted Earnings Per Share $0.51
COMMON SHARES
Basic Shares Outstanding 218.8M shares 218.8M shares
Diluted Shares Outstanding 220.4M shares

Balance Sheet

Concept 2024 Q4 2024 Q3
SHORT-TERM ASSETS
Cash & Short-Term Investments $818.2M
YoY Change 499.68%
Cash & Equivalents $818.2M
Short-Term Investments
Other Short-Term Assets
YoY Change
Inventory $29.79M
Prepaid Expenses
Receivables
Other Receivables
Total Short-Term Assets $848.0M
YoY Change 255.62%
LONG-TERM ASSETS
Property, Plant & Equipment $12.18B
YoY Change -4.91%
Goodwill $979.3M
YoY Change -5.31%
Intangibles
YoY Change
Long-Term Investments $299.5M
YoY Change -14.81%
Other Assets $60.94M
YoY Change -21.36%
Total Long-Term Assets $16.78B
YoY Change -8.74%
TOTAL ASSETS
Total Short-Term Assets $848.0M
Total Long-Term Assets $16.78B
Total Assets $17.63B
YoY Change -5.36%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $590.3M
YoY Change -7.61%
Accrued Expenses
YoY Change
Deferred Revenue
YoY Change
Short-Term Debt $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $786.4M
YoY Change -9.85%
LONG-TERM LIABILITIES
Long-Term Debt $7.973B
YoY Change -3.8%
Other Long-Term Liabilities $125.9M
YoY Change -17.72%
Total Long-Term Liabilities $8.099B
YoY Change -4.05%
TOTAL LIABILITIES
Total Short-Term Liabilities $786.4M
Total Long-Term Liabilities $8.099B
Total Liabilities $9.046B
YoY Change -4.63%
SHAREHOLDERS EQUITY
Retained Earnings
YoY Change
Common Stock $219.0K
YoY Change 2.34%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $8.579B
YoY Change
Total Liabilities & Shareholders Equity $17.63B
YoY Change -5.36%

Cashflow Statement

Concept 2024 Q4 2024 Q3
OPERATING ACTIVITIES
Net Income $111.7M
YoY Change -10.67%
Depreciation, Depletion And Amortization $120.7M
YoY Change -19.46%
Cash From Operating Activities $280.2M
YoY Change -0.77%
INVESTING ACTIVITIES
Capital Expenditures $152.4M
YoY Change 269.54%
Acquisitions
YoY Change
Other Investing Activities $103.6M
YoY Change -32.89%
Cash From Investing Activities -$48.86M
YoY Change -143.2%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities -596.5M
YoY Change 28.29%
NET CHANGE
Cash From Operating Activities 280.2M
Cash From Investing Activities -48.86M
Cash From Financing Activities -596.5M
Net Change In Cash -365.2M
YoY Change 425.45%
FREE CASH FLOW
Cash From Operating Activities $280.2M
Capital Expenditures $152.4M
Free Cash Flow $127.7M
YoY Change -47.02%

Facts In Submission

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CY2023Q3 wpc Gain Loss On Change In Control Of Interests
GainLossOnChangeInControlOfInterests
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wpc Gain Loss On Change In Control Of Interests
GainLossOnChangeInControlOfInterests
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wpc Gain Loss On Change In Control Of Interests
GainLossOnChangeInControlOfInterests
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15534000 usd
CY2023Q3 us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
2401000 usd
us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
70342000 usd
us-gaap Gain Loss On Sale Of Properties
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IncomeLossFromEquityMethodInvestments
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us-gaap Income Loss From Equity Method Investments
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120696000 usd
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437529000 usd
us-gaap Income Loss From Continuing Operations Before Income Taxes Extraordinary Items Noncontrolling Interest
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CY2024Q3 us-gaap Income Tax Expense Benefit
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us-gaap Income Tax Expense Benefit
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28630000 usd
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24268000 usd
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6816000 usd
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us-gaap Other Comprehensive Income Loss Net Of Tax
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1708000 usd
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126351000 usd
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us-gaap Common Stock Dividends Per Share Declared
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us-gaap Dividends
Dividends
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0 usd
us-gaap Noncontrolling Interest Increase From Business Combination
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us-gaap Common Stock Dividends Per Share Declared
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us-gaap Dividends
Dividends
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ProfitLoss
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us-gaap Other Comprehensive Income Loss Foreign Currency Transaction And Translation Adjustment Net Of Tax
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CY2023Q3 us-gaap Stockholders Equity Including Portion Attributable To Noncontrolling Interest
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us-gaap Profit Loss
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413592000 usd
us-gaap Profit Loss
ProfitLoss
564020000 usd
us-gaap Depreciation Amortization And Accretion Net
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386343000 usd
us-gaap Depreciation Amortization And Accretion Net
DepreciationAmortizationAndAccretionNet
459830000 usd
us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
70342000 usd
us-gaap Gain Loss On Sale Of Properties
GainLossOnSaleOfProperties
181958000 usd
wpc Realized Gain Loss On Foreign Currency Transactions And Other
RealizedGainLossOnForeignCurrencyTransactionsAndOther
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wpc Realized Gain Loss On Foreign Currency Transactions And Other
RealizedGainLossOnForeignCurrencyTransactionsAndOther
1837000 usd
us-gaap Straight Line Rent Adjustments
StraightLineRentAdjustments
-57656000 usd
us-gaap Straight Line Rent Adjustments
StraightLineRentAdjustments
-55671000 usd
wpc Gain Loss On Change In Control Of Interests
GainLossOnChangeInControlOfInterests
31849000 usd
wpc Gain Loss On Change In Control Of Interests
GainLossOnChangeInControlOfInterests
0 usd
us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
31227000 usd
us-gaap Allocated Share Based Compensation Expense
AllocatedShareBasedCompensationExpense
25811000 usd
us-gaap Income Loss From Equity Method Investments
IncomeLossFromEquityMethodInvestments
17624000 usd
us-gaap Income Loss From Equity Method Investments
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14569000 usd
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EquityMethodInvestmentDividendsOrDistributions
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us-gaap Impairment Of Real Estate
ImpairmentOfRealEstate
15752000 usd
us-gaap Impairment Of Real Estate
ImpairmentOfRealEstate
15173000 usd
wpc Amortization Of Rent Related Intangibles And Deferred Rental Revenue
AmortizationOfRentRelatedIntangiblesAndDeferredRentalRevenue
14221000 usd
wpc Amortization Of Rent Related Intangibles And Deferred Rental Revenue
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27694000 usd
us-gaap Provision For Loan Lease And Other Losses
ProvisionForLoanLeaseAndOtherLosses
10798000 usd
us-gaap Provision For Loan Lease And Other Losses
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us-gaap Gains Losses On Extinguishment Of Debt
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10650000 usd
us-gaap Gains Losses On Extinguishment Of Debt
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0 usd
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
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us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
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wpc Proceeds From Sales Of Net Investments In Sales Type Leases Operating
ProceedsFromSalesOfNetInvestmentsInSalesTypeLeasesOperating
806981000 usd
wpc Proceeds From Sales Of Net Investments In Sales Type Leases Operating
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0 usd
us-gaap Increase Decrease In Other Operating Capital Net
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27200000 usd
us-gaap Increase Decrease In Other Operating Capital Net
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32094000 usd
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us-gaap Net Cash Provided By Used In Operating Activities
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us-gaap Payments To Acquire Real Estate
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576716000 usd
us-gaap Payments To Acquire Real Estate
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us-gaap Proceeds From Sale Of Real Estate Heldforinvestment
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187678000 usd
us-gaap Payments To Acquire Loans Receivable
PaymentsToAcquireLoansReceivable
83816000 usd
us-gaap Payments To Acquire Loans Receivable
PaymentsToAcquireLoansReceivable
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wpc Payments To Acquire Real Estate Under Construction
PaymentsToAcquireRealEstateUnderConstruction
71020000 usd
wpc Payments To Acquire Real Estate Under Construction
PaymentsToAcquireRealEstateUnderConstruction
90149000 usd
wpc Value Added Taxes Paid In Connection With Acquisition Of Real Estate
ValueAddedTaxesPaidInConnectionWithAcquisitionOfRealEstate
36516000 usd
wpc Value Added Taxes Paid In Connection With Acquisition Of Real Estate
ValueAddedTaxesPaidInConnectionWithAcquisitionOfRealEstate
7108000 usd
us-gaap Proceeds From Collection Of Loans Receivable
ProceedsFromCollectionOfLoansReceivable
28000000 usd
wpc Payments To Acquire Refunded And Develop Real Estate
PaymentsToAcquireRefundedAndDevelopRealEstate
18270000 usd
wpc Payments To Acquire Refunded And Develop Real Estate
PaymentsToAcquireRefundedAndDevelopRealEstate
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us-gaap Payments For Proceeds From Other Investing Activities
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wpc Tenant Funded Escrow For Investing Activities
TenantFundedEscrowForInvestingActivities
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us-gaap Proceeds From Equity Method Investment Dividends Or Distributions Return Of Capital
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1027000 usd
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us-gaap Net Cash Provided By Used In Investing Activities
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us-gaap Repayments Of Lines Of Credit
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us-gaap Repayments Of Lines Of Credit
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us-gaap Proceeds From Unsecured Lines Of Credit
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us-gaap Proceeds From Unsecured Lines Of Credit
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2217896000 usd
us-gaap Proceeds From Issuance Of Senior Long Term Debt
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us-gaap Proceeds From Issuance Of Senior Long Term Debt
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us-gaap Repayments Of Senior Debt
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us-gaap Repayments Of Senior Debt
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us-gaap Repayments Of Secured Debt
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us-gaap Proceeds From Payments For Other Financing Activities
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us-gaap Payments Of Financing Costs
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us-gaap Payments Related To Tax Withholding For Share Based Compensation
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us-gaap Payments Related To Tax Withholding For Share Based Compensation
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us-gaap Proceeds From Minority Shareholders
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us-gaap Proceeds From Minority Shareholders
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us-gaap Payments Of Dividends Minority Interest
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us-gaap Payments Of Dividends Minority Interest
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us-gaap Proceeds From Issuance Of Unsecured Debt
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us-gaap Proceeds From Issuance Of Unsecured Debt
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us-gaap Proceeds From Issuance Of Common Stock
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us-gaap Net Cash Provided By Used In Financing Activities
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us-gaap Net Cash Provided By Used In Financing Activities
NetCashProvidedByUsedInFinancingActivities
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us-gaap Effect Of Exchange Rate On Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents Period Increase Decrease Including Exchange Rate Effect
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CY2023Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
691971000 usd
CY2022Q4 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
CashCashEquivalentsRestrictedCashAndRestrictedCashEquivalents
224141000 usd
CY2024Q3 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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CY2023Q3 us-gaap Cash Cash Equivalents Restricted Cash And Restricted Cash Equivalents
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213924000 usd
us-gaap Nature Of Operations
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Business and Organization<div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%"> </span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">W. P. Carey Inc. (“W. P. Carey”) is a REIT that, together with our consolidated subsidiaries, invests primarily in operationally-critical, single-tenant commercial real estate properties located in the United States and Northern and Western Europe that are leased on a long-term basis. We earn revenue principally by leasing the properties we own to companies on a triple-net lease basis, which generally requires each tenant to pay the costs associated with operating and maintaining the property.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Founded in 1973, our shares of common stock are listed on the New York Stock Exchange under the symbol “WPC.”</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">We elected to be taxed as a REIT under Section 856 through 860 of the Internal Revenue Code effective as of February 15, 2012. As a REIT, we are not subject to federal income taxes on income and gains that we distribute to our stockholders as long as we satisfy certain requirements, principally relating to the nature of our income and the level of our distributions, as well as other factors. We also own real property in jurisdictions outside the United States through foreign subsidiaries and are subject to income taxes on our pre-tax income earned from properties in such countries.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">In September 2023, we announced a plan to exit the office assets within our portfolio by (i) spinning off 59 office properties into Net Lease Office Properties (“NLOP”), so that it became a separate publicly-traded real estate investment trust (the “Spin-Off”), and (ii) implementing an asset sale program to dispose of certain office properties retained by us (the “Office Sale Program”), which is substantially completed.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">On November 1, 2023, we completed the Spin-Off, contributing 59 office properties to NLOP. Following the closing of the Spin-Off, NLOP operates as a separate publicly-traded REIT, which we externally manage pursuant to certain advisory agreements. Through the date of this Report, we have disposed of 85 of the office properties subject to the Office Sale Program (</span><span style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline"><a href="#iae2c879f3c7848309316078530807044_76" style="color:#0000ff;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%;text-decoration:underline">Note 14</a></span><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">). The final property is under a binding contract for sale scheduled to close in December 2024, which will complete the Office Sale Program.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Effective January 1, 2024, we no longer separately analyze our business between real estate operations and investment management operations, and instead view the business as one reportable segment, since our investment management operations have been determined to be both quantitatively and qualitatively insignificant to the Company’s business. Our business is characterized as investing in operationally-critical, single-tenant commercial real estate properties that are leased on a long-term basis. These economic characteristics are similar across various property types, geographic locations, and industries in which our tenants operate and therefore considered one operating segment. The operating results of both the real estate and investment management activities are regularly reviewed, in the aggregate, by our chief operating decision maker to evaluate performance and allocate resources. Accordingly, all operations have been considered to represent one reportable segment, which are reported on our consolidated statements of income and our consolidated balance sheets. As a result of this change, we have conformed prior period segment information to reflect how we currently view our business.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Lease revenues from our real estate investments generate the vast majority of our earnings. We invest primarily in commercial properties located in the United States and Northern and Western Europe, which are leased to companies on a triple-net lease basis. At September 30, 2024, our portfolio was comprised of our full or partial ownership interests in 1,430 properties, totaling approximately 172 million square feet, substantially all of which were net leased to 346 tenants, with a weighted-average lease term of 12.2 years and an occupancy rate of 98.8%. In addition, at September 30, 2024, our portfolio was comprised of full or partial ownership interests in 84 operating properties, including 78 self-storage properties, four hotels, and two student housing properties, totaling approximately 6.4 million square feet.</span></div>
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CY2023Q4 wpc Variable Interest Entities Count
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21 vie
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5 vie
CY2023Q4 wpc Variable Interest Entities Consolidated Count
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15 vie
CY2024Q3 wpc Variable Interest Entities Unconsolidated Count
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4 vie
CY2023Q4 wpc Variable Interest Entities Unconsolidated Count
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6 vie
us-gaap Prior Period Reclassification Adjustment Description
PriorPeriodReclassificationAdjustmentDescription
<div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Reclassifications</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Certain prior period amounts have been reclassified to conform to the current period presentation.</span></div><div><span><br/></span></div><div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-weight:400;line-height:120%">Reimbursable costs from affiliates (revenues) are now included within Other advisory income and reimbursements. Reimbursable affiliate costs (expenses) are now included within General and administrative expenses. Previously, such amounts were presented in their own financial statement line items on the consolidated statements of income.</span></div>
us-gaap Revenue Recognition Leases
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<div><span style="color:#000000;font-family:'Times New Roman',sans-serif;font-size:10pt;font-style:italic;font-weight:700;line-height:120%">Revenue Recognition</span></div>There have been no significant changes in our policies for revenue from contracts under Accounting Standards Codification (“ASC”) 606 from what was disclosed in the 2023 Annual Report. ASC 606 does not apply to our lease revenues, which constitute a majority of our revenues, but primarily applies to (i) revenues generated from our hotel operating properties and (ii) investment management revenues.
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413816000 usd
us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
413816000 usd
us-gaap Net Income Loss Available To Common Stockholders Basic
NetIncomeLossAvailableToCommonStockholdersBasic
564040000 usd
us-gaap Net Income Loss Available To Common Stockholders Diluted
NetIncomeLossAvailableToCommonStockholdersDiluted
564040000 usd
CY2024Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
220221366 shares
CY2023Q3 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
215097114 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
220149886 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
214052907 shares
CY2024Q3 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
182783 shares
CY2023Q3 us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
155855 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
275358 shares
us-gaap Weighted Average Number Diluted Shares Outstanding Adjustment
WeightedAverageNumberDilutedSharesOutstandingAdjustment
374518 shares
CY2024Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
220404149 shares
CY2023Q3 us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
215252969 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
220425244 shares
us-gaap Weighted Average Number Of Diluted Shares Outstanding
WeightedAverageNumberOfDilutedSharesOutstanding
214427425 shares
CY2024Q3 us-gaap Common Stock Dividends Per Share Declared
CommonStockDividendsPerShareDeclared
0.875
us-gaap Common Stock Dividends Per Share Declared
CommonStockDividendsPerShareDeclared
2.610
CY2024Q3 us-gaap Current Income Tax Expense Benefit
CurrentIncomeTaxExpenseBenefit
10600000 usd
CY2023Q3 us-gaap Current Income Tax Expense Benefit
CurrentIncomeTaxExpenseBenefit
9400000 usd
us-gaap Current Income Tax Expense Benefit
CurrentIncomeTaxExpenseBenefit
28300000 usd
us-gaap Current Income Tax Expense Benefit
CurrentIncomeTaxExpenseBenefit
33000000.0 usd
CY2024Q3 us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
-1600000 usd
CY2023Q3 us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
-4300000 usd
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
-4300000 usd
us-gaap Deferred Income Tax Expense Benefit
DeferredIncomeTaxExpenseBenefit
-2700000 usd

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