Analyst Note| Suryansh Sharma |
No-moat-rated Vornado Realty Trust's first-quarter results were largely in line with our expectations. The firm reported adjusted funds from operations of $0.79 per share compared with $0.65 per share in the first quarter of 2021. The year-over-year increase in FFO was primarily on the back of rent commencement on new office and retail leases and the continued recovery of the variable businesses. Meanwhile, overall same-store cash net operating income was down 1.4% on a sequential basis and up 5.8% year over year. Retail same-store cash NOI was up 32% compared with the previous year, primarily because of the rent commencement of new leases.