Recent DBRG transcripts
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Severin White | Managing Director-Investor Relations |
Jacky Wu | Chief Financial Officer |
Marc Ganzi | President and Chief Executive Officer |
Randy Binner | B. Riley FBR |
Jade Rahmani | KBW |
Greetings and welcome to the Colony Capital’s Second Quarter 2020 Earnings Conference Call. At this time all participants are in a listen-only mode. A question and answer session will follow the formal presentation. Please note that the Company has posted a presentation to accompany today's remarks and is available on the Investor Relations section of the company website or via the webcast. [Operator Instructions] As a reminder, this conference is being recorded. pleasure Head your of my Managing Severin now and Director Public is to host, introduce White, It Investor Relations. you. Thank
begin. may You
Good to earnings welcome morning, second everyone, XXXX quarter Colony Conference Capital’s call. and
President Officer. call today Jacky company Ganzi, Officer Speaking on and Chief from Executive Financial the Chief our is the Marc our Wu, and
Safe Before I to over call them, I’ll Harbor. hand the quickly cover the
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high As quality deliver in continue put at to on quality currently $XXX capital surveying the the at assets million high more to growth our the assets $XXX next will is today recycled to We million Balance digital over into legacy to that. as grow to we come. constantly you to past, we've million and and $XX three will Sheet and XXx a new looking sheet, balance years. telegraphed Digital like Vantage, we are anticipate Databank FFO,
page please. Next
under put data And corners The Colony? sectors small to you we'll peers, and between digital million. does Well, where about pure per profile invest XX% $XXX you quite so greater favorably. six to believe and When on down about And play come than roadmap? billion from revenue XXXX, the assets our by is which of $XXX growth think of EBITDA REIT. Total XX% and the annum, will centers, formerly and a from business active our for now that XX% earnings cells, this will of where think towers, in one, you of our Digital be is we million annum, FFO simple. greater XX% core will do that, Colony Digital digital, be Operating. very that our IM, compares believe we earnings opportunities come will in growth the ultimately fit XXXX. by to four have we And and business $XX end profile continue investing management of evolve fiber of than number per
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spent I our building I than that can you and by have half term long year, to a of shareholders. best bar, we're got you move industry's reducing second importantly, assets. on focus Thank most the us the going assets, a year. we're the growth our trust. costs. appreciate The end, end growth. balance continued targeting to got keep great quality that is with day. attracting moving. to story the we've today. a I focus we've appreciate continued And deliver to to we about high This I believe the legacy Colony monetizing listening you on continuously And XX% add We're more for We're continue of time and the to committed and simplify business, to sheet appreciate FEEUM a story. talent, sharp value FEEUM going to your your
[Operator Instructions] Thank you.
the B. Our with question. Binner line first your with FBR. Randy Riley question comes of from Please proceed
you. good question number XX of clarification slide I the start Thank morning. with kind Hey, and first the a in which liquidity, deck. just on was on to wanted
out also about blue in XXX If liquidity, million. categories that XXX not digital some think quantified, I lay monetization is there. and I They're box if investments each where You green it, of think have size I respectively. and then and to those we
before XXX of of the So hundred wanted I bond. clarify million to or XXXX convertible year at just end the that? that? XXX so on wondering the is the kind quantify And to if you us remaining then help can kind also
to of Randy. flight, Yes. $XXX I say foremost, are in million processes had active execute So, Good and in and are morning, million to And strong around this couple of conviction year we around dialogue first monetization pretty first half a monetize active have ability you? assets. legacy we When have monetization, we legacy. flight. we How the to in situations. a there's and projects $XXX like Those of on couple incremental believe currently our
to I around put think trying So, million. some $XXX million $XXX if that put you're brackets I to
On the expansion the balance of sheet. digital
We million million telegraph of seeing I earnings. term tremendous build now and when about and to and the opportunities. sustainable ability to incremental said, I'm Like we've to of the sort think continue balance end year. balance something really $XXX the deploy some you deployment always targeting interesting of between $XXX the are we sheet discussions we in long for digital of And those reasonably sheet capital to diligence. got we're feel to our strong midst we've
Understand.
remaining exchange? at after it why lands on XXX. would whatever's before recent to be that's to debt the lower or I confirm bit the a wanted the that little So XXX paydown just January convert that
We've XXX Jacky. is $XXX this included that Randy, that included XXX. million in to
So the that's broad range.
part Randy. that's paydown, of Yes, that
didn't I just know. Yes,
Okay. Understood a it. It thing. was timing
capital from with distracting can I you mean, you And of good. can strategic clearly, make of you can there us I you think And can But you That's de-emphasize Okay. are of how And about that talked a any on kind or in? forum, it moves, lot. situation? you're in involve I hospitality kind moves on kind hospitality, -- know it big you the story. putting digital it's there this working I it. share this guess what do then, to strategically? guess -- Would
this Yes. had the the for the of tremendous Look, value of I've hold couple for quarters. amount discussion don't of you day net portfolio. the We last think I end lodging a at as and positive
contribution. We've good today positive situations. we bad hold into careful it $XX to money put little not net been think very a in million over I
once telegraphed we've a think, I again, be we've QX we on QX. the made results. All preservation again, from Little by certainly to play that a said, in ton and results. again call perspective and August. encouraged cash said being That of made Very a an the less of as seven seen today, in I preservation equity pickup the But early we've encouraged once portfolios from continue flow July in progress. here perspective. June part by
I and game And are the to calls have there's FFO, just assets. situation. plan salvaged, on is, like relates have we're our it. once value every it as my feels those regain hotels. every assets to to We portfolios every salvageable we of core tell what in we footing lot a get a So keep for our wanting would our these perspective, a day people But from eye buy about of going you one portfolio, to
game and can of what in continue will of most for through then say resolved out fully value foremost, the discussions be not with following the always single said, QX, I'll portfolio. seen have game but a one, one to we discussions. those work And there's equity think first that plans positive been in in those believe last months, and I've Two, plan is least, portfolios what we've the the headlines; I recovery back not every of So in if we're coming in end we we you share QX. NO. flight six And now three to
funds flow real world easiest the lot now, portfolio. in gather opportunistic know, the the the assets of is friend. There's get Limited cash And real the back with lot funds out hotels in inquiries a have of a to that you there are of trying lot way estate online. about see awash Randy, service We assets. value to a my right this as They fastest represent bring sector. distressed the to liquidity, estate there's
remain so that. this in about value. has And committed to clear portfolio. recovering Can't be will more value And the the portfolio we
got anything Okay, but you people I share about you of know if don't can this great. Brazil, that? Can There this, situation, is on number this, those comment reports? can I've there with comment Oi. Is on telecom number, a about a questions you
of years working Yes. Look, Brazil. in country. own own to very lineage Deutsche I a like say we're invest called And an We We Brazil. the my I digital apologize. center is, actually. My the investing we're successfully Brazil. I second in under Telecom we're very Brazil operator in Digital and agreement. in continue days We're one Brazil for in What nondisclosure dates active in of fastest our Scala in many owner I at largest the in to, would growing tower data to investments Bank incredibly And the going Highline. infrastructure country. back can't committed like Media. companies to setup. I the
the to can read wish. you as you that subtext So
with to of invest when good we We own do in want to the underwriting. assets locations, growth we at our that we're rates. digit want part in contracts. I today corners our infrastructure. Now, long we're assets want can to have We mean is, situations. us we to invest in that not Brazil, by and our What We grow And to down a going organic break have going great double term that are rules of of world want growing think four organically.
country. continue assets to our importantly, of like there. in keep to in going a we So most going I the the And we have for in us. economy. opportunity. the see a dislocated we dislocation we continue economy Brazil perfect is We're customers. the We of We very, underpins And have we're that see invest very that. But lot said, a digital to situation with today. investing lot pleased to strong see currency. We're a growth see very
Italia and have Claro one, down one. one We at strong Highline and of Scala. is Oi Telecom them. very, relationships Vivo there one, is very is customer
four all down we've going in invest So four on we're customers. to mobile got really there good And to customers the continue side.
I'll leave very you it there. much. Thank
Sure.
you. Thank
question next with comes from Our Rahmani Please was question. Jade proceed KBW. your
but as chance I you you'll any that wanted Thank question given you respond. ask Have you had be you, to the taking ask how we'd a I much. thought to to curious to Marc, haven't very How about immense company do and instead you transformation absorbing that and this cited this costs undertaking think that public and behind that? the being you all at the private scenes involves. the valuation are of burdens
Thanks, Jade, and me you've question. never that asked
job our I my you. my And a we of to all really with look, thank I'm assume the I what is the that legacy of now it. that comes what I'm some So was on working shareholders. issues July that right appreciate happy opportunity. I that is also, rectify having massive And burden for handed. with And where are. common comes that's X. seriousness, And highest priority. CEO chair with is the
done that's half the first made of has the think been And I tremendous. progress. work of been through lot we've a year this
game. quarter to I'd of quarter a room the Colony. football the of halftime we've calibrate transformation you sort playing the If sort of in game and say, at lock out the third come where and we're of four are had of we just about
definitely want be. So we more we're than think halfway to where to I
we now the private halfway from continues. whether public, we're so context, are more that whether we're done, than And transformation or that
I can't work. keep tenor of And our sort is And that. things believe it can't about We a just the I'm it's CEO. I we structure be my to public now one we stop do concerned for people an This doesn't I And Look, in can't really now The I down And one. whether the about is right is What methodology matter. making and most is done. in. or hard right whether work by team. execute. concerned we're execution is presentation saw structure a so We offers And Jade management day-to-day continuing knocking work. to private, our know today. as work from that winning. shareholders. tone has come that's company. the just my focused on think guy. common I really be you I'm And a
shareholders. So being, term that be the for work I'm going to long will time keep we my there and for our think rewarded focus
much. very you Thank
the Looking opportunity at a the entire OED manager legacy sheet there's funds that portfolio, with and opportunistic envision portfolio [ph], simplification the deployment could also along and liquidity ton sidelines. for you bolster accelerate an capital sell institutional that capital be OED through additional structure? bulk economy digital to you've in a Do third into asset to the the of Colony's liquidity, you for balance on to the party firepower mentioned further used allow add of
and portfolio. Cards the question for the great you're on a it's get issue. up, Look, calls right the all time we entire Yes.
phone equity timeline have letters and binding for are commitment different Now calls from that a offer fully letters execution.
there. extract, really manage year. this funds. is half assets much the about with of we we've how the portfolio our value think business. about of managers that to And and The second and I of always and continuing to good believe look, And fine. most what I'm credit alternative Grunzweig have for those we'll asset continuing sits were with And done think, surprised And And interest amazing amazing great we value of importantly, assets. private feel what assets. always to that's good Jonathan job his build look, in conversations done. an his fair we're understand an out four strong to listener. maximum those the is to OED three, is five assets team those continue Jade And embedded I series has our liquidity a CDCF
it's a or or or Starwood opportunistic $XXX that those been landmark whether like feel million understand have buy monetized individual organizations estate, or will year. asset GP whether like so continue like And that, calls dial or this that it's managers, Goldman Blackstone, stakes, people to Look, and conversations. those real
spectacular is we've day, great a flight Jade, far, So in our assets the But liquidity. about currently of you a job end for the enhancing said, We've its this beginning, the as that done monetization. are at got of at couple liquidity.
stack. As our presentation, you've seen we've through the capital shored up
XXXX. our with cash is liquidity the honestly, position, we being continue of like of, this as second our digital is patient. taken now to said, half pivot. game, good more can debt a great, football and our first I cash to other calendar mentioned, we our But I always now, be care is to the could get of in So by quarter use maturity at And side
$XXX team half and easier this E&D. and to would that year somebody if came year, big our of half lot going to elegant because positions. than we're the us be has down a right for is to the place months wind longer no this at a assets these XX accelerate E&D. $XXX half And the be said, priority continue time, fair back is million and pretty happy third ultimately positioned who along somebody million, methodical would doing. second perceived to that monetize home be this may pace. the continue lot We great this prices as year a in to look really see got same It of and at of We we've our value. And check as keep It that So fourth another for digital and here's sell market pivot. to attractive. in this at Jay, first almost capability for million. now We'd orderly high that's we're of existing to that's be patient That's a you'll incredibly have certainly that what less management at more a quarter. assets. to to $XXX find a say, But And the be go potentially we're
finish E&D So orderly XX will XX have here, a, to an within months.
where are. have I in the we to which runway be to with place liquidity So I I'm be. like. the good patient, pleased now It's And
I appreciate remaining. also assets top Okay. go And That's the I through that. and the additional you where disclosure the very appreciate also helpful.
$XXX it Just basis, the what in on that Any might keep the and driven FFO also capital to of XX%, CapEx? scenario Sheet, that million sense of also, plan factoring there. a Core $XXX Digital in earnings which Investment AFFO million question since on Balance just G&A? structure for place, to And Management. do further is you the XXXX, the an out digital optimize XX% in translate current to model in put you
So components sort of question. three to your
going three there. with our First over those you years. you and community We're steps to the work to show the the ladder two to blocks next rest ultimate quarters we analyst building get core over next give the FFO get the you the and foremost and we and of how
XX back more more end, pays sheet you to XX term that patient, FFO at with carry one, architecture we've party because journey to end only that's for that's grade that fees the end and long done a for think our that enhances married strong right? day, you term FEEUM we've you the today Jade, think is good that's with day your the tenants. how we get XX you some years You has get on the third that's gives build long I have We examples great think investment term balance at vehicle where to earnings very earnings. an capital along assets, stabilized given then what long sheet only and a we've And playbook, the key get investment creates contracts we core which a and the creates on you good shareholders. look, of that of two balance on asset capital,
we seeing that a playbook. digital candidly are with. that details, to you deals sheet can't you earnings we a the we Those it's where as We FFO. think grow tell as to that other G&A plan the is is this So be but great And I the And that deliver writes itself good those extra, core our used doing And in seeing, said, that that that third at to which approach, architecture. more slightly party swim AMT, but specific global earnings replicating I great, that, are ability used piece investors simplify differentiated give top sheet we with business, capital. I big of it's approach, the good ability lanes you right. time, really next it to same And They're we're to think they're flight to I Because the four we marry will demonstrate over think the earnings two reveal sort you Those and want. DLR, earnings have very you'll quarters, formula. across cross It's happy which the to a on CCI ability balance Equinix. all capital the a with at SBA, and want. balance the the management Jade.
G&A legacy So continue assets we monetize as to assets. with go those
we once for done think and it right ready budget XXXX with and the thoughts of about G&A third We'll in and thing I have around middle company, you. as person, requires investments business. investments think to the The it quarter, the season I XX for easy, there's global more to our what Jacky, how digital getting So more a opportunity Databank transparent G&A it streamline for manages think budget. We're end fact, already we'll continue of start G&A, team the at unveiling that's makes future of the Vantage headcount at those us. now And in that are pretty great can be cuts. we assets. our is about no zero like G&A manage We the
incremental the you team. you of balance management investments already framework sheet investment investment that don't that G&A, is and have doing of have on synergy part you take because So
to for investment G&A, the in ultimately that. a advantage unveiling not We Digital and thing have to our be great was assets, to companies, And friends. then that up. transition if build real that a more time great group. the where don't sheet, third them our and unveiling Tower, those If digital grow have have don't the again, to through sheet, fourth us. Asia you different sense. It's extra spend XX once Realty, because another the a go REIT balance data the that, they're suggest assets my like our that decides And it'll to differentiated. companies. doing on traditional are we aren't we grow incredible REIT. area That's So American go and competitive to portfolio we're of different centers, peer companies. as build model what take quarter But And and They're a from we management it we'll another balance digital do got actually bit a makes than is differentiation. just little We today they with G&A capability
very questions. for you taking the Thank much
Thanks, Jay. Appreciate your support.
Jade. Thanks,
Thank you.
question of answer end the reached have We our session. and
additional floor comments. to over So pass for management any closing to I'd the like back
want listen, It's This our to want an we at Barrack. I an I Colony to thank been to our Capital. thank have first Chairman, I Once thank team Tom you. again, our the incredible Well, Board. incredible here thank is want team. of half year.
legacy focused today. going home we that think the our great of But happen continuing to assets, on right to doesn't without forward. a unveiled continue you for our I grow some team this and find to business
books, a history And continuing you we're forward looking slightly at in time back Have sector model, in all case buy the asked great the this encourage that, look Colony $X. And you made successful under is this great moment look were trading a team, why Thank much. our to we've to investing who've sort been you of today moments think forward today Colony. SBA career and my end think where Crown a you. in With the for to management I'd sort business about think I'd time $X. infrastructure. decades, seminal we're going. the about watched American of remember of and points who've two when weekend. all to XXXX. to of Those really trades about I guys close digital those to think all were interesting very very of dialogue with sub to your Tower, buy
Thank you.
at your for gentlemen, this and teleconference. We time. concludes Ladies participation disconnect you you today's lines your thank this may and
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