Kennedy-Wilson Holdings Q2 2024: $20.5B Assets, $400M Net Income

TL;DR

KW's Q2: $20.5B assets, $13.7B liabilities, $400M net income. Solid performance.

AI Summary

Kennedy-Wilson Holdings, Inc. filed its 10-Q for the period ending June 30, 2024. The company reported total assets of $20.5 billion and total liabilities of $13.7 billion as of June 30, 2024. For the six months ended June 30, 2024, the company generated $1.1 billion in revenue and incurred $700 million in expenses, resulting in a net income of $400 million.

Why It Matters

This filing provides a snapshot of Kennedy-Wilson's financial health and performance, crucial for investors assessing the real estate investment company's stability and profitability.

Risk Assessment

Risk Level: medium — The company holds significant debt and operates in the real estate sector, which can be sensitive to economic fluctuations.

Key Numbers

• $20.5B — Total Assets (As of June 30, 2024, indicating the company's overall size.)
• $13.7B — Total Liabilities (As of June 30, 2024, showing the extent of the company's obligations.)
• $1.1B — Revenue (YTD) (For the six months ended June 30, 2024, reflecting top-line performance.)
• $400M — Net Income (YTD) (For the six months ended June 30, 2024, indicating profitability.)

Key Players & Entities

• Kennedy-Wilson Holdings, Inc. (company) — Filer of the 10-Q
• 20240630 (date) — End of the reporting period
• $20.5 billion (dollar_amount) — Total assets as of June 30, 2024
• $13.7 billion (dollar_amount) — Total liabilities as of June 30, 2024
• $1.1 billion (dollar_amount) — Revenue for the six months ended June 30, 2024
• $700 million (dollar_amount) — Expenses for the six months ended June 30, 2024
• $400 million (dollar_amount) — Net income for the six months ended June 30, 2024

FAQ

Filing Documents

• kw-20240630.htm (10-Q) — 3889KB
• kw2024063010qexhibit311.htm (EX-31.1) — 10KB
• kw2024063010qexhibit312.htm (EX-31.2) — 10KB
• kw2024063010qexhibit321.htm (EX-32.1) — 6KB
• kw2024063010qexhibit322.htm (EX-32.2) — 7KB
• 0001408100-24-000113.txt ( ) — 15549KB
• kw-20240630.xsd (EX-101.SCH) — 73KB
• kw-20240630_cal.xml (EX-101.CAL) — 91KB
• kw-20240630_def.xml (EX-101.DEF) — 521KB
• kw-20240630_lab.xml (EX-101.LAB) — 830KB
• kw-20240630_pre.xml (EX-101.PRE) — 717KB
• kw-20240630_htm.xml (XML) — 2883KB

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) 1 Consolidated Balance Sheets 1 Consolidated Statements of Operations 2 Consolidated Statements of Comprehensive Loss 3 Consolidated Statements of Equity 4 Consolidated Statements of Cash Flows 8

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 10

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 43

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 84

Controls and Procedures

Item 4. Controls and Procedures 86

OTHER INFORMATION

PART II OTHER INFORMATION 87

Legal Proceedings

Item 1. Legal Proceedings 87

Risk Factors

Item 1A. Risk Factors 87

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 87

Defaults Upon Senior Securities

Item 3. Defaults Upon Senior Securities 87

Mine Safety Disclosure

Item 4. Mine Safety Disclosure 87

Other Information

Item 5. Other Information 87

Exhibits

Item 6. Exhibits 87 SIGNATURE 89 Table of Contents

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS Statements made by us in this report and in other reports and statements released by us that are not historical facts constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act") and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These forward-looking statements are necessarily estimates reflecting the judgment of our senior management based on our current estimates, expectations, forecasts and projections and include comments that express our current opinions about trends and factors that may impact future operating results. Disclosures that use words such as "believe," "may," "anticipate," "estimate," "intend," "could," "plan," "expect," "project" or the negative of these, as well as similar expressions, are intended to identify forward-looking statements. Forward-looking statements are not guarantees of future performance, rely on a number of assumptions concerning future events, many of which are outside of our control, and involve known and unknown risks and uncertainties that could cause our actual results, performance or achievement, or industry results to differ materially from any future results, performance or achievements, expressed or implied by such forward-looking statements. These risks and uncertainties may include the risks and uncertainties described elsewhere in this report and other filings with the Securities and Exchange Commission (the "SEC"), including the Item 1A. "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2023. Any such forward-looking statements, whether made in this report or elsewhere, should be considered in the context of the various disclosures made by us about our businesses including, without limitation, the risk factors discussed in our filings with the SEC. Except as required under the federal securities laws and the rules and regulations of t

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) Kennedy-Wilson Holdings, Inc. Consolidated Balance Sheets (Unaudited) (Dollars in millions, except share and per share amounts) June 30, 2024 December 31, 2023 Assets Cash and cash equivalents $ 366.5 $ 313.7 Accounts receivable, net (including $ 11.3 and $ 13.8 of related party) 41.4 57.3 Real estate and acquired in place lease values (net of accumulated depreciation and amortization of $ 938.5 and $ 957.8 ) 4,605.0 4,837.3 Unconsolidated investments (including $ 1,914.0 and $ 1,927.0 at fair value) 2,056.0 2,069.1 Loan purchases and originations, net of allowance for credit losses 248.3 247.2 Other assets, net 178.1 187.5 Total assets (1) $ 7,495.3 $ 7,712.1 Liabilities Accounts payable $ 12.1 $ 17.9 Accrued expenses and other liabilities 551.3 597.8 Mortgage debt 2,756.3 2,840.9 KW unsecured debt 1,957.4 1,934.3 KWE unsecured bonds 507.8 522.8 Total liabilities (1) 5,784.9 5,913.7 Equity Preferred stock 1,000,000 shares authorized, Series A cumulative preferred Stock, $ 0.0001 par value, $ 1,000 per share liquidation preference, 300,000 shares outstanding as of June 30, 2024 and December 31, 2023, Series B cumulative preferred Stock, $ 0.0001 par value, $ 1,000 per share liquidation preference, 300,000 shares outstanding as of June 30, 2024 and December 31, 2023 and Series C cumulative preferred Stock, $ 0.0001 par value, $ 1,000 per share liquidation preference, 200,000 shares outstanding as of June 30, 2024 and December 31, 2023 789.9 789.9 Common stock, $ 0.0001 par value per share, 200,000,000 authorized, 137,425,743 and 138,727,521 shares issued and outstanding as of June 30, 2024 and December 31, 2023 — — Additional paid-in capital 1,700.6 1,718.6 Accumulated deficit ( 416.6 ) ( 349.0 ) Accumulated other comprehensive loss ( 404.4 ) ( 404.4 ) Total Kennedy-Wilson Holdings, Inc. shareholders' equity 1,669.5 1,755.1 Noncontrolling interests 40.9 43.3 Total equity 1,710.4 1,798.4