Executive Summary

Q1 2024 results were solid: same-center NOI rose 3.6% YoY to $108.8M, while “FFO, as adjusted” per diluted share was $1.50 versus $1.56 in Q1 2023, and diluted GAAP EPS was $(0.01) versus $0.06 in Q1 2023 .
Management reiterated full-year 2024 guidance for same-center NOI ($428–$442M) and raised per-share FFO guidance midpoint due to share repurchases ($6.24–$6.69 vs prior $6.19–$6.63) .
Operational KPIs were constructive: comparable leasing spreads +10.2%, tenant sales per square foot improved modestly in the quarter (R12 $417 vs $433 prior period), portfolio occupancy 89.4% (down 50bps YoY) .
Balance sheet/capital allocation: unrestricted cash and marketable securities $295.3M; $9.1M repurchases YTD; dividend declared $0.40 per share for Q2 2024 .
Catalysts: sustained leasing momentum and reiterated guidance; watch for impacts from Express/rue21 bankruptcies and financing market volatility, which management is actively managing via maturity laddering and potential asset sales .

What Went Well and What Went Wrong

What Went Well

Same-center NOI growth of 3.6% YoY driven by real estate tax refunds/assessments, lower third-party contract expense, and timing benefits on maintenance and repairs .
Robust leasing: 1.1M+ square feet executed; comparable leases (~775k sq ft) signed at +10.2% average rent vs prior leases; notable new tenants (Barnes & Noble in-line concept, MINISO, Five Below, Popeye’s) .
Quote: “We are pleased with the strong 3.6% growth in same-center NOI…reflects the improving fundamentals and overall quality of the CBL portfolio” – CEO Stephen D. Lebovitz .

What Went Wrong

Occupancy dipped modestly: portfolio 89.4% vs 89.9% YoY; same-center malls/lifestyle/outlets 87.7% vs 88.2% YoY .
Tenant sales R12 still below prior: $417 vs $433 (down 3.7%), though Q1 trend improved modestly; percentage rents declined $0.3M .
Credit costs and collections: estimate for uncollectible revenues negatively impacted the quarter by ~$2.2M; management anticipates pressure on leasing spreads from certain national tenants with higher occupancy costs .

Financial Results

YoY comparison (Q1 2023 → Q1 2024)

Metric	Q1 2023	Q1 2024
Total Revenues ($USD Millions)	$136.359	$129.117
Diluted EPS ($USD)	$0.06	$(0.01)
FFO per diluted share ($USD)	$1.86	$1.21
FFO, as adjusted per diluted share ($USD)	$1.56	$1.50
Same-center NOI ($USD Millions)	$105.011	$108.812
Portfolio Occupancy (%)	89.9%	89.4%
Tenant Sales per Sq Ft (R12, $USD)	$433	$417

Sequential comparison (Q4 2023 → Q1 2024)

Metric	Q4 2023	Q1 2024
Total Revenues ($USD Millions)	$139.709	$129.117
Diluted EPS ($USD)	$0.37	$(0.01)
Same-center NOI ($USD Millions)	$119.466	$108.812

Segment breakdown (Same-center NOI)

Segment	Q1 2023 ($USD Millions)	Q1 2024 ($USD Millions)	YoY Change
Malls	$71.810	$74.187	+3.3%
Outlet Centers	$5.114	$5.620	+9.9%
Lifestyle Centers	$8.967	$9.184	+2.4%
Open-Air Centers	$13.918	$14.694	+5.6%
Outparcels & Other	$5.202	$5.127	(1.4)%
Total	$105.011	$108.812	+3.6%

KPIs

KPI	Q1 2023	Q1 2024
Comparable leasing spread (avg rent PSF)	—	+10.2%
Portfolio Occupancy (%)	89.9%	89.4%
Same-center malls/lifestyle/outlets occupancy (%)	88.2%	87.7%
Tenant sales per Sq Ft (R12, $USD)	$433	$417
Unrestricted cash & marketable securities ($USD Millions)	—	$295.3
Share repurchases YTD ($USD Millions)	—	$9.1
Quarterly dividend ($USD/share)	$0.375 declared for Q1 2024	$0.40 declared for Q2 2024

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
FFO, as adjusted (per share)	FY 2024	$6.19–$6.63	$6.24–$6.69	Raised (per-share range adjusted for repurchases)
FFO, as adjusted (in $USD Millions)	FY 2024	$196.0–$210.0	$196.0–$210.0	Maintained
Weighted Avg Share Count (Millions)	FY 2024	31.7	31.4	Lower (repurchases)
Same-center NOI (in $USD Millions)	FY 2024	$428.0–$442.0	$428.0–$442.0	Maintained
Same-center NOI change (%)	FY 2024	(1.9)% to 1.3%	(1.9)% to 1.3%	Maintained
Estimated Capital Items (Total, $USD Millions)	FY 2024	$120–$150	$120–$150	Maintained
Quarterly dividend ($USD/share)	Current	$0.40 for Q1 2024 (declared Feb 8, 2024)	$0.40 for Q2 2024 (declared May 8, 2024)	Maintained sequentially

Earnings Call Themes & Trends

Note: A Q1 2024 earnings call transcript was not available in the document catalog. Themes below reflect management commentary in Q1 2024, Q4 2023, and Q3 2023 earnings releases.

Topic	Previous Mentions (Q-2: Q3’23)	Previous Mentions (Q-1: Q4’23)	Current Period (Q1’24)	Trend
Interest rates & financing	Eliminated term loan guaranty; extended maturities; new non-recourse loan for Outlet Shoppes at Atlanta	Successfully addressed 2023 maturities; eliminated corporate guarantee on term loan	Volatility remains a concern; well-laddered schedule, three major 2024 maturities in process; exploring asset sales to meet 2025 extension test	Stable, proactive risk management
Leasing momentum & spreads	High volume leasing; new lease spreads >25%; renewal spreads negative due to underperforming tenants	Record leasing in 2023; flat blended spreads; demand strong	>1.1M sq ft leased; comparable leasing spreads +10.2%	Positive
Occupancy	Portfolio 90.8%; same-center 89.7% (+60bps)	Portfolio 90.9%; same-center 89.8% (+20bps)	Portfolio 89.4%; same-center 87.7% (down 50bps YoY)	Slightly negative YoY
Tenant sales & percentage rents	Sales down; percentage rents down QoQ	Sales down 4.4% R12; percentage rents declined	R12 sales $417 vs $433 prior; percentage rents down $0.3M; modest improvement in-quarter	Mixed, cautious
Operating expenses	Savings from lower third-party contracts; timing benefits	Limited increases despite inflation; rising insurance costs expected	Lower maintenance/repair and third-party contracts; insurance up $0.3M	Managed costs

Management Commentary

“As demonstrated by first quarter results, CBL is off to a solid start in 2024…This growth reflects the improving fundamentals and overall quality of the CBL portfolio.” – Stephen D. Lebovitz, CEO .
“Interest rate volatility and its impact on the overall financing market remains a concern; however, we are benefiting from our well-laddered maturity schedule…We are also exploring various avenues…to meet our term loan extension test in 2025 while minimizing use of our corporate cash reserve.” – Stephen D. Lebovitz .
“Our focus through the remainder of the year is to build on the strong momentum generated in the first quarter while working to improve our debt maturity profile and grow our strong cash position.” – Stephen D. Lebovitz .

Q&A Highlights

A full Q1 2024 earnings call transcript was not available in the document catalog after targeted searches; therefore, specific Q&A highlights and guidance clarifications from the call could not be incorporated. We searched for “earnings-call-transcript” documents and public transcript repositories but found none for Q1 2024 [functions.ListDocuments output showing 0 for earnings-call-transcript; Seeking Alpha/MarketScreener landing pages did not provide accessible transcripts for Q1 2024: https://seekingalpha.com/symbol/CBL/earnings/transcripts] .

Estimates Context

Wall Street consensus estimates via S&P Global for Q1 2024 EPS and revenue were requested but unavailable due to SPGI daily request limit; as a result, direct beat/miss analysis versus consensus cannot be provided. Values retrieved from S&P Global were unavailable at time of request [GetEstimates error].
Management stated results were in-line with previously issued 2024 guidance ranges for same-center NOI and per-share FFO after adjusting for repurchases .

Key Takeaways for Investors

Same-center NOI growth (+3.6% YoY) shows operating improvement supported by tax refunds/assessments and lower contract costs; watch sustainability as tax appeal benefits are non-recurring and maintenance timing normalizes .
Leasing momentum and spreads (+10.2%) are constructive for rent growth; near-term pressure possible from national tenants with higher occupancy costs, per management .
Occupancy modestly lower YoY; focus on backfilling underperformers/new formats should be a medium-term driver for stabilization and growth .
Guidance reiterated with per-share FFO midpoint raised due to repurchases; capital allocation disciplined with $9.1M buybacks YTD and $0.40 quarterly dividend, supported by $295.3M unrestricted cash/securities .
Financing risk managed via maturity ladder and potential property sales; monitor execution on three major 2024 loan maturities and 2025 term loan extension test .
Without consensus benchmarks, trade the narrative: strength in leasing/NOI vs caution on occupancy/sales and credit cost headwinds; setup favors carry/FCF return while awaiting clearer sales and occupancy inflection .

Additional Context and Prior Quarters (for trend analysis)

Q4 2023: FFO, as adjusted per diluted share $1.94; same-center NOI down 1.2% YoY; portfolio occupancy 90.9%; initial 2024 guidance set (FFO as adjusted per share $6.19–$6.63; SC NOI $428–$442M) .
Q3 2023: FFO, as adjusted per diluted share $1.60; same-center NOI up 0.4% YoY; portfolio occupancy 90.8%; progress on financing and elimination of term loan guaranty .
No additional press releases specifically dated within Q1 2024 (Jan–Mar 2024) were found in the catalog; one relevant press release post-quarter on tenant mix enhancements at Mayfaire Town Center (June 13, 2024) underscores ongoing merchandising upgrades .

CBL & ASSOCIATES PROPERTIES INC (CBL)·Q1 2024 Earnings Summary