Business Context and Reporting Period
This Form 8-K Current Report was filed by Empire State Realty Trust, Inc. and Empire State Realty OP, L.P. on April 22, 2020. The filing serves to announce the Company's financial results for the first quarter of 2020. The report incorporates by reference a press release (Exhibit 99.1) and a supplemental report (Exhibit 99.2) containing detailed financial data.
Key Financial Metrics
The provided filing text does not contain specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. The document functions as a disclosure notice and defines the non-GAAP financial measures the Company utilizes to report performance, rather than presenting the raw financial data itself.
- Funds From Operations (FFO): Defined per NAREIT guidelines as net income excluding impairment writedowns, gains/losses from debt restructurings and property sales, plus real estate depreciation and amortization.
- Modified FFO: Adds back adjustments for above or below-market ground lease amortization to traditional FFO.
- Core FFO: Adds back acquisition expenses, deferred tax asset write-offs, and losses on early extinguishment of debt to Modified FFO to exclude non-recurring items.
- Core Funds Available for Distribution (Core FAD): Adjusts Core FFO by adding non-real estate depreciation and non-cash compensation, while deducting straight-line rent, leasing commissions, tenant improvements, and capital expenditures.
- Net Operating Income (NOI): A property-level measure excluding cost of funds, depreciation, amortization, and general administrative expenses.
- EBITDA: Calculated as net income plus interest expense, income taxes, and depreciation and amortization.
Material Changes
The filing text does not provide specific data regarding material changes in financial performance compared to the prior comparable period. It only confirms that the Company issued a press release announcing Q1 2020 results.
Guidance, Outlook, and Risks
The document does not contain forward-looking guidance, specific management commentary on future outlook, or a detailed discussion of risks and contingencies beyond the standard definitions of non-GAAP measures. The filing explicitly states that the information furnished in Items 2.02 and 7.01 is not deemed "filed" for purposes of Section 18 of the Exchange Act and shall not be incorporated by reference into other documents unless specifically stated.
Investor Verification Checklist
- Review the attached Press Release (Exhibit 99.1) for specific Q1 2020 revenue, net income, and FFO figures.
- Examine the Supplemental Report (Exhibit 99.2) for detailed reconciliations between GAAP net income and non-GAAP measures (FFO, Modified FFO, Core FFO, Core FAD).
- Verify the impact of the COVID-19 pandemic on occupancy rates and rental income, as the filing date (April 2020) coincides with the onset of significant economic disruption.
- Confirm the Company's liquidity position and debt maturity schedule in the full financial statements referenced in the exhibits.