(Exact Name of Registrant as Specified in Its Charter) |
(State or Other Jurisdiction of Incorporation or Organization) | (Commission File Number) | (I.R.S. Employer Identification No.) |
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act: | ||||||||||||||
Title of Class | Trading Symbol(s) | Name of Each Exchange on Which Registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). | |||||||||||
Emerging growth company | |||||||||||
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. | ☐ |
Exhibit No. | Description | |||||||
Press Release dated February 24, 2022 | ||||||||
Supplemental Financial Disclosure Presentation for the quarter ended December 31, 2021 | ||||||||
Earnings Presentation dated February 24, 2022 | ||||||||
Corporate Presentation dated February 24, 2022 | ||||||||
104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
Date: | February 24, 2022 | DIGITALBRIDGE GROUP, INC. | |||||||||
By: | /s/ Jacky Wu | ||||||||||
Jacky Wu | |||||||||||
Executive Vice President, Chief Financial Officer and Treasurer |
December 31, 2021 | December 31, 2020 | |||||||||||||
(unaudited) | ||||||||||||||
Assets | ||||||||||||||
Cash and cash equivalents | $ | 1,602,102 | $ | 703,544 | ||||||||||
Restricted cash | 99,121 | 67,772 | ||||||||||||
Real estate, net | 4,972,284 | 4,451,864 | ||||||||||||
Loans receivable | 173,921 | 36,798 | ||||||||||||
Equity and debt investments | 935,153 | 792,996 | ||||||||||||
Goodwill | 761,368 | 761,368 | ||||||||||||
Deferred leasing costs and intangible assets, net | 1,187,627 | 1,340,760 | ||||||||||||
Assets held for disposition | 3,676,615 | 11,237,319 | ||||||||||||
Other assets | 740,395 | 784,912 | ||||||||||||
Due from affiliates | 49,230 | 23,227 | ||||||||||||
Total assets | $ | 14,197,816 | $ | 20,200,560 | ||||||||||
Liabilities | ||||||||||||||
Debt, net | $ | 4,860,402 | $ | 3,930,989 | ||||||||||
Accrued and other liabilities | 928,042 | 1,034,883 | ||||||||||||
Intangible liabilities, net | 33,301 | 39,788 | ||||||||||||
Liabilities related to assets held for disposition | 3,088,699 | 7,886,516 | ||||||||||||
Dividends and distributions payable | 15,759 | 18,516 | ||||||||||||
Total liabilities | 8,926,203 | 12,910,692 | ||||||||||||
Commitments and contingencies | ||||||||||||||
Redeemable noncontrolling interests | 359,223 | 305,278 | ||||||||||||
Equity | ||||||||||||||
Stockholders’ equity: | ||||||||||||||
Preferred stock, $0.01 par value per share; $883,500 and $1,033,750 liquidation preference; 250,000 shares authorized; 35,340 and 41,350 shares issued and outstanding | 854,232 | 999,490 | ||||||||||||
Common stock, $0.01 par value per share | ||||||||||||||
Class A, 949,000 shares authorized; 568,577 and 483,406 shares issued and outstanding | 5,685 | 4,834 | ||||||||||||
Class B, 1,000 shares authorized; 666 and 734 shares issued and outstanding | 7 | 7 | ||||||||||||
Additional paid-in capital | 7,820,807 | 7,570,473 | ||||||||||||
Accumulated deficit | (6,576,180) | (6,195,456) | ||||||||||||
Accumulated other comprehensive income | 42,383 | 122,123 | ||||||||||||
Total stockholders’ equity | 2,146,934 | 2,501,471 | ||||||||||||
Noncontrolling interests in investment entities | 2,653,173 | 4,327,372 | ||||||||||||
Noncontrolling interests in Operating Company | 112,283 | 155,747 | ||||||||||||
Total equity | 4,912,390 | 6,984,590 | ||||||||||||
Total liabilities, redeemable noncontrolling interests and equity | $ | 14,197,816 | $ | 20,200,560 |
Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||||
(unaudited) | (unaudited) | (unaudited) | ||||||||||||||||||||||||
Revenues | ||||||||||||||||||||||||||
Property operating income | $ | 189,909 | $ | 127,240 | $ | 762,750 | $ | 312,928 | ||||||||||||||||||
Interest income | 3,532 | 2,042 | 8,791 | 7,206 | ||||||||||||||||||||||
Fee income | 56,000 | 24,190 | 180,826 | 83,355 | ||||||||||||||||||||||
Other income | 6,416 | 1,918 | 13,432 | 12,941 | ||||||||||||||||||||||
Total revenues | 255,857 | 155,390 | 965,799 | 416,430 | ||||||||||||||||||||||
Expenses | ||||||||||||||||||||||||||
Property operating expense | 78,950 | 47,329 | 316,178 | 119,834 | ||||||||||||||||||||||
Interest expense | 69,336 | 50,894 | 186,949 | 120,829 | ||||||||||||||||||||||
Investment expense | 8,230 | 4,323 | 28,257 | 13,551 | ||||||||||||||||||||||
Transaction-related costs | 3,163 | 1,290 | 5,781 | 5,282 | ||||||||||||||||||||||
Depreciation and amortization | 132,855 | 85,633 | 539,695 | 241,020 | ||||||||||||||||||||||
Impairment loss | — | 8,950 | — | 25,079 | ||||||||||||||||||||||
Compensation expense | ||||||||||||||||||||||||||
Cash and equity-based compensation | 53,067 | 57,068 | 235,985 | 176,152 | ||||||||||||||||||||||
Carried interest and incentive fee compensation | 25,921 | 994 | 65,890 | 1,906 | ||||||||||||||||||||||
Administrative expenses | 34,256 | 21,637 | 109,490 | 78,766 | ||||||||||||||||||||||
Settlement loss | — | — | — | 5,090 | ||||||||||||||||||||||
Total expenses | 405,778 | 278,118 | 1,488,225 | 787,509 | ||||||||||||||||||||||
Other income (loss) | ||||||||||||||||||||||||||
Other gain (loss), net | 10,322 | (5,861) | (21,412) | (6,493) | ||||||||||||||||||||||
Equity method earnings (losses) | 85,219 | 36,287 | 127,270 | (273,288) | ||||||||||||||||||||||
Equity method earnings (losses) - carried interest | 29,878 | 6,627 | 99,207 | 12,709 | ||||||||||||||||||||||
Income (loss) before income taxes | (24,502) | (85,675) | (317,361) | (638,151) | ||||||||||||||||||||||
Income tax benefit (expense) | (8,870) | 18,703 | 100,538 | 47,063 | ||||||||||||||||||||||
Income (loss) from continuing operations | (33,372) | (66,972) | (216,823) | (591,088) | ||||||||||||||||||||||
Income (loss) from discontinued operations | (9,493) | (239,158) | (600,088) | (3,199,322) | ||||||||||||||||||||||
Net income (loss) | (42,865) | (306,130) | (816,911) | (3,790,410) | ||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interests: | ||||||||||||||||||||||||||
Redeemable noncontrolling interests | 18,934 | 2,932 | 34,677 | 616 | ||||||||||||||||||||||
Investment entities | (57,433) | (171,592) | (500,980) | (812,547) | ||||||||||||||||||||||
Operating Company | (1,946) | (15,412) | (40,511) | (302,720) | ||||||||||||||||||||||
Net income (loss) attributable to DigitalBridge Group, Inc. | (2,420) | (122,058) | (310,097) | (2,675,759) | ||||||||||||||||||||||
Preferred stock redemption | 2,127 | — | 4,992 | — | ||||||||||||||||||||||
Preferred stock dividends | 16,139 | 18,516 | 70,627 | 75,023 | ||||||||||||||||||||||
Net income (loss) attributable to common stockholders | $ | (20,686) | $ | (140,574) | $ | (385,716) | $ | (2,750,782) | ||||||||||||||||||
Loss per share—basic | ||||||||||||||||||||||||||
Loss from continuing operations per share—basic | $ | (0.01) | $ | (0.09) | $ | (0.30) | $ | (1.08) | ||||||||||||||||||
Net loss attributable to common stockholders per share—basic | $ | (0.04) | $ | (0.30) | $ | (0.78) | $ | (5.81) | ||||||||||||||||||
Loss per share—diluted | ||||||||||||||||||||||||||
Loss from continuing operations per share—diluted | $ | (0.01) | $ | (0.09) | $ | (0.30) | $ | (1.08) | ||||||||||||||||||
Net loss attributable to common stockholders per share—diluted | $ | (0.04) | $ | (0.30) | $ | (0.78) | $ | (5.81) | ||||||||||||||||||
Weighted average number of shares | ||||||||||||||||||||||||||
Basic | 524,963 | 472,155 | 491,456 | 473,558 | ||||||||||||||||||||||
Diluted | 524,963 | 472,155 | 491,456 | 473,558 |
Three Months Ended | Year Ended | ||||||||||||||||||||||
December 31, 2021 | December 31, 2020 | December 31, 2021 | December 31, 2020 | ||||||||||||||||||||
Net loss attributable to common stockholders | $ | (20,686) | $ | (140,575) | $ | (385,716) | $ | (2,750,782) | |||||||||||||||
Adjustments for FFO attributable to common interests in Operating Company and common stockholders: | |||||||||||||||||||||||
Net loss attributable to noncontrolling common interests in Operating Company | (1,946) | (15,411) | (40,511) | (302,720) | |||||||||||||||||||
Real estate depreciation and amortization | 133,813 | 136,245 | 595,527 | 561,195 | |||||||||||||||||||
Impairment of real estate | (40,732) | 31,365 | 300,038 | 1,956,662 | |||||||||||||||||||
Loss (gain) from sales of real estate | (197) | (26,566) | (41,782) | (41,912) | |||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | (89,727) | (79,874) | (535,756) | (638,709) | |||||||||||||||||||
FFO attributable to common interests in Operating Company and common stockholders | (19,475) | (94,816) | (108,200) | (1,216,266) | |||||||||||||||||||
Additional adjustments for Core FFO attributable to common interests in Operating Company and common stockholders: | |||||||||||||||||||||||
Adjustment to BRSP cash dividend | (28,243) | (22,999) | (3,282) | 200,803 | |||||||||||||||||||
Equity-based compensation expense | 19,416 | 8,288 | 59,395 | 35,051 | |||||||||||||||||||
Straight-line rent revenue and expense | (1,986) | (6,403) | 11,005 | (19,949) | |||||||||||||||||||
Amortization of acquired above- and below-market lease values, net | (333) | (1,229) | 4,002 | (6,719) | |||||||||||||||||||
Debt prepayment penalties and amortization of deferred financing costs and debt premiums and discounts | 36,685 | 25,034 | 100,159 | 54,459 | |||||||||||||||||||
Non-real estate fixed asset depreciation, amortization and impairment | 13,324 | 4,885 | 67,499 | 44,282 | |||||||||||||||||||
Restructuring and transaction-related charges(1) | 29,977 | 21,887 | 89,134 | 59,363 | |||||||||||||||||||
Non-real estate (gains) losses, excluding realized gains or losses of digital assets within the Corporate and Other segment | (52,611) | 193,948 | 74,747 | 1,104,105 | |||||||||||||||||||
Net unrealized carried interest | (7,375) | (5,734) | (41,624) | (873) | |||||||||||||||||||
Preferred share redemption loss | 2,127 | — | 4,992 | — | |||||||||||||||||||
Deferred taxes and tax effect on certain of the foregoing adjustments | 8,195 | (8,764) | (50,335) | (25,835) | |||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | (15,423) | (143,262) | (74,626) | (360,894) | |||||||||||||||||||
Less: Core FFO from discontinued operations | 11,467 | 4,025 | (149,873) | 15,694 | |||||||||||||||||||
Core FFO attributable to common interests in Operating Company and common stockholders | $ | (4,255) | $ | (25,140) | $ | (17,007) | $ | (116,779) | |||||||||||||||
Additional adjustments for AFFO attributable to common interests in Operating Company and common stockholders: | |||||||||||||||||||||||
Less: recurring capital expenditures | (1,097) | (233) | (3,436) | (1,028) | |||||||||||||||||||
AFFO attributable to common interests in Operating Company and common stockholders | $ | (5,352) | $ | (25,373) | $ | (20,443) | $ | (117,807) | |||||||||||||||
Core FFO per common share / common OP unit(2) | $ | (0.01) | $ | (0.05) | $ | (0.03) | $ | (0.22) | |||||||||||||||
Core FFO per common share / common OP unit—diluted(2)(3) | $ | (0.01) | $ | (0.05) | $ | (0.03) | $ | (0.22) | |||||||||||||||
AFFO per common share / common OP unit(2) | $ | (0.01) | $ | (0.05) | $ | (0.04) | $ | (0.22) | |||||||||||||||
AFFO per common share / common OP unit—diluted(2)(3) | $ | (0.01) | $ | (0.05) | $ | (0.04) | $ | (0.22) | |||||||||||||||
Weighted average number of common OP units outstanding used for Core FFO per common share and OP unit(2) | 546,677 | 536,694 | 541,603 | 537,393 | |||||||||||||||||||
Weighted average number of common OP units outstanding used for Core FFO per common share and OP unit—diluted (2)(3) | 546,677 | 536,694 | 541,603 | 537,393 |
Cautionary Statement Regarding Forward-Looking Statements | ||
DigitalBridge | Supplemental Financial Report |
Important Note Regarding Non-GAAP Financial Measures | ||
DigitalBridge | Supplemental Financial Report |
Important Note Regarding Non-GAAP Financial Measures | ||
DigitalBridge | Supplemental Financial Report |
Note Regarding DBRG Reportable Segments / Consolidated and OP Share of Consolidated Amounts | ||
DigitalBridge | Supplemental Financial Report |
Table of Contents | ||
Page | |||||||||||
I. | Financial Overview | ||||||||||
a. | 6 | ||||||||||
II. | Financial Results | ||||||||||
a. | Balance Sheet Consolidated & Noncontrolling Interests’ Share | 7 | |||||||||
b. | 8 | ||||||||||
c. | 9 | ||||||||||
d. | 10-11 | ||||||||||
III. | Capitalization | ||||||||||
a. | Debt Summary | 12 | |||||||||
b. | Secured Fund Fee Revenue Notes and Variable Funding Notes | 13 | |||||||||
c. | Convertible/Exchangeable Notes & Perpetual Preferred Stock | 14 | |||||||||
d. | Organization Structure | 15 | |||||||||
IV. | Assets Under Management | 16 | |||||||||
V. | Digital Investment Management | 17 | |||||||||
VI. | Digital Operating | 18-20 | |||||||||
VII. | Corporate and Other | 21 | |||||||||
Appendices | |||||||||||
Reconciliations of Digital IM FRE/Adjusted EBITDA and Digital Operating Adjusted EBITDA to Net Income (Loss) | 23 | ||||||||||
Reconciliations of Core FFO, AFFO and Adjusted EBITDA to Net Income (Loss) | 24-25 | ||||||||||
Definitions | 26 |
DigitalBridge | Supplemental Financial Report | 5 |
Ia. Summary Financial Metrics | ||
($ and shares in thousands, except per share data and as noted) (Unaudited) | ||||||||||||||||||||||||||
12/31/2021 - 4Q21 | 9/30/2021 - 3Q21 | 6/30/2021 - 2Q21 | 3/31/2021 - 1Q21 | 12/31/2020 - 4Q20 | 9/30/2020- 3Q20 | 6/30/2020 - 2Q20 | 3/31/2020 - 1Q20 | |||||||||||||||||||
Financial Data | ||||||||||||||||||||||||||
Net income (loss) attributable to common stockholders | $ | (20,686) | $ | 41,036 | $ | (141,260) | $ | (264,806) | $ | (140,575) | $ | (205,784) | $ | (2,042,790) | $ | (361,633) | ||||||||||
Net income (loss) attributable to common stockholders per basic share | (0.04) | 0.08 | (0.29) | (0.56) | (0.30) | (0.44) | (4.33) | (0.76) | ||||||||||||||||||
Core FFO | (4,255) | 2,049 | (4,814) | (9,987) | (25,140) | (30,710) | (29,250) | (31,679) | ||||||||||||||||||
Core FFO per basic share | (0.01) | — | (0.01) | (0.02) | (0.05) | (0.06) | (0.05) | (0.06) | ||||||||||||||||||
AFFO | (5,352) | 700 | (5,578) | (10,213) | (25,373) | (31,010) | (29,470) | (31,954) | ||||||||||||||||||
AFFO per basic share | (0.01) | — | (0.01) | (0.02) | (0.05) | (0.06) | (0.05) | (0.06) | ||||||||||||||||||
Adjusted EBITDA | 20,957 | 17,622 | 15,377 | 12,538 | (2,444) | (5,519) | (5,236) | (14,588) | ||||||||||||||||||
Balance Sheet, Capitalization and Trading Statistics | ||||||||||||||||||||||||||
Total consolidated assets | $ | 14,197,816 | $ | 15,442,981 | $ | 15,921,346 | $ | 16,625,250 | $ | 20,200,560 | $ | 19,043,050 | $ | 16,183,534 | $ | 19,160,062 | ||||||||||
DBRG OP share of consolidated assets | 6,233,158 | 6,086,259 | 6,929,390 | 7,324,784 | 10,119,834 | 10,087,808 | 10,622,322 | 13,149,318 | ||||||||||||||||||
Total consolidated debt(1) | 4,922,722 | 4,621,240 | 3,919,255 | 7,023,226 | 7,931,458 | 7,165,859 | 9,612,525 | 9,862,223 | ||||||||||||||||||
DBRG OP share of consolidated debt(1) | 1,366,528 | 1,391,943 | 1,073,609 | 3,392,620 | 3,853,642 | 3,683,660 | 7,147,356 | 7,365,939 | ||||||||||||||||||
Basic shares and OP units outstanding(2) | 620,553 | 547,162 | 545,815 | 538,908 | 535,217 | 535,473 | 535,201 | 534,113 | ||||||||||||||||||
Liquidation preference of perpetual preferred equity | 883,500 | 947,500 | 1,033,750 | 1,033,750 | 1,033,750 | 1,033,750 | 1,033,750 | 1,033,750 | ||||||||||||||||||
Insider ownership of shares and OP units | 3.5% | 4.0% | 4.0% | 9.4% | 9.4% | 10.0% | 9.9% | 9.6% | ||||||||||||||||||
Digital Assets Under Management ("AUM") (in billions) | $ | 45.3 | $ | 37.8 | $ | 34.9 | $ | 32.0 | $ | 30.0 | $ | 23.3 | $ | 21.6 | $ | 20.6 | ||||||||||
Digital Fee Earning Equity Under Management ("FEEUM") (in billions) | $ | 18.3 | $ | 16.5 | $ | 14.5 | $ | 12.9 | $ | 12.8 | $ | 8.6 | $ | 7.7 | $ | 7.7 | ||||||||||
DigitalBridge | Supplemental Financial Report | 6 |
IIa. Financial Results - Balance Sheet | ||
($ in thousands, except per share data) (unaudited) | As of December 31, 2021 | |||||||||||||
Consolidated | Non Controlling Interests' Share | |||||||||||||
Assets | ||||||||||||||
Cash and cash equivalents | $ | 1,602,102 | $ | 386,585 | ||||||||||
Restricted cash | 99,121 | 78,585 | ||||||||||||
Real estate, net | 4,972,284 | 4,190,239 | ||||||||||||
Loans receivable | 173,921 | 3,458 | ||||||||||||
Equity and debt investments | 935,153 | 278,301 | ||||||||||||
Goodwill | 761,368 | 456,477 | ||||||||||||
Deferred leasing costs and intangible assets, net | 1,187,627 | 1,020,358 | ||||||||||||
Assets held for disposition | 3,676,615 | 1,012,933 | ||||||||||||
Other assets | 740,395 | 524,837 | ||||||||||||
Due from affiliates | 49,230 | 12,885 | ||||||||||||
Total assets | $ | 14,197,816 | $ | 7,964,658 | ||||||||||
Liabilities | ||||||||||||||
Debt, net | $ | 4,860,402 | $ | 3,516,134 | ||||||||||
Accrued and other liabilities | 928,042 | 598,863 | ||||||||||||
Intangible liabilities, net | 33,301 | 28,292 | ||||||||||||
Liabilities related to assets held for disposition | 3,088,699 | 808,973 | ||||||||||||
Dividends and distributions payable | 15,759 | — | ||||||||||||
Total liabilities | 8,926,203 | 4,952,262 | ||||||||||||
Commitments and contingencies | ||||||||||||||
Redeemable noncontrolling interests | 359,223 | 359,223 | ||||||||||||
Equity | ||||||||||||||
Stockholders’ equity: | ||||||||||||||
Preferred stock, $0.01 par value per share; $883,500 liquidation preference; 250,000 shares authorized; 35,340 shares issued and outstanding | 854,232 | — | ||||||||||||
Common stock, $0.01 par value per share | ||||||||||||||
Class A, 949,000 shares authorized; 568,577 shares issued and outstanding | 5,685 | — | ||||||||||||
Class B, 1,000 shares authorized; 666 shares issued and outstanding | 7 | — | ||||||||||||
Additional paid-in capital | 7,820,807 | — | ||||||||||||
Accumulated deficit | (6,576,180) | — | ||||||||||||
Accumulated other comprehensive income | 42,383 | — | ||||||||||||
Total stockholders’ equity | 2,146,934 | — | ||||||||||||
Noncontrolling interests in investment entities | 2,653,173 | 2,653,173 | ||||||||||||
Noncontrolling interests in Operating Company | 112,283 | — | ||||||||||||
Total equity | 4,912,390 | 2,653,173 | ||||||||||||
Total liabilities, redeemable noncontrolling interests and equity | $ | 14,197,816 | $ | 7,964,658 |
DigitalBridge | Supplemental Financial Report | 7 |
IIb. Financial Results - Consolidated Segment Operating Results | ||
Three Months Ended December 31, 2021 | |||||||||||||||||||||||||||||
($ in thousands) (unaudited) | Digital Investment Management | Digital Operating | Corporate and Other | Discontinued Operations | Total | ||||||||||||||||||||||||
Revenues | |||||||||||||||||||||||||||||
Property operating income | $ | — | $ | 189,909 | $ | — | $ | — | $ | 189,909 | |||||||||||||||||||
Interest income | 3 | 29 | 3,500 | — | 3,532 | ||||||||||||||||||||||||
Fee income | 57,652 | — | (1,652) | — | 56,000 | ||||||||||||||||||||||||
Other income | 2,238 | — | 4,178 | — | 6,416 | ||||||||||||||||||||||||
Total revenues | 59,893 | 189,938 | 6,026 | — | 255,857 | ||||||||||||||||||||||||
Expenses | |||||||||||||||||||||||||||||
Property operating expense | — | 78,950 | — | — | 78,950 | ||||||||||||||||||||||||
Interest expense | 2,516 | 35,144 | 31,676 | — | 69,336 | ||||||||||||||||||||||||
Investment expense | 1,953 | 5,141 | 1,136 | — | 8,230 | ||||||||||||||||||||||||
Transaction-related costs | — | 12 | 3,151 | — | 3,163 | ||||||||||||||||||||||||
Depreciation and amortization | 5,928 | 126,436 | 491 | — | 132,855 | ||||||||||||||||||||||||
Compensation expense | |||||||||||||||||||||||||||||
Cash and equity-based compensation | 20,802 | 20,181 | 12,084 | — | 53,067 | ||||||||||||||||||||||||
Carried interest and incentive fee compensation | 25,921 | — | — | — | 25,921 | ||||||||||||||||||||||||
Administrative expenses | 4,387 | 8,698 | 21,171 | — | 34,256 | ||||||||||||||||||||||||
Total expenses | 61,507 | 274,562 | 69,709 | — | 405,778 | ||||||||||||||||||||||||
Other income (loss) | |||||||||||||||||||||||||||||
Other gain (loss), net | 52 | (1,226) | 11,496 | — | 10,322 | ||||||||||||||||||||||||
Equity method earnings (loss) | 1,730 | — | 83,489 | — | 85,219 | ||||||||||||||||||||||||
Equity method earnings (loss) - carried interest | 29,878 | — | — | — | 29,878 | ||||||||||||||||||||||||
Income (loss) before income taxes | 30,046 | (85,850) | 31,302 | — | (24,502) | ||||||||||||||||||||||||
Income tax benefit (expense) | (1,852) | 1,941 | (8,959) | — | (8,870) | ||||||||||||||||||||||||
Income (loss) from continuing operations | 28,194 | (83,909) | 22,343 | — | (33,372) | ||||||||||||||||||||||||
Income (loss) from discontinued operations | — | — | — | (9,493) | (9,493) | ||||||||||||||||||||||||
Net income (loss) | 28,194 | (83,909) | 22,343 | (9,493) | (42,865) | ||||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interests: | |||||||||||||||||||||||||||||
Redeemable noncontrolling interests | 10,585 | — | 8,349 | — | 18,934 | ||||||||||||||||||||||||
Investment entities | 372 | (68,480) | 2,155 | 8,520 | (57,433) | ||||||||||||||||||||||||
Operating Company | 1,555 | (1,357) | (553) | (1,591) | (1,946) | ||||||||||||||||||||||||
Net income (loss) attributable to DigitalBridge Group, Inc. | 15,682 | (14,072) | 12,392 | (16,422) | (2,420) | ||||||||||||||||||||||||
Preferred stock redemption | — | — | 2,127 | — | 2,127 | ||||||||||||||||||||||||
Preferred stock dividends | — | — | 16,139 | — | 16,139 | ||||||||||||||||||||||||
Net income (loss) attributable to common stockholders | $ | 15,682 | $ | (14,072) | $ | (5,874) | $ | (16,422) | $ | (20,686) |
DigitalBridge | Supplemental Financial Report | 8 |
IIc. Financial Results - Noncontrolling Interests’ Share Segment Operating Results | ||
Three Months Ended December 31, 2021 | |||||||||||||||||||||||||||||
($ in thousands) (unaudited) | Digital Investment Management | Digital Operating | Corporate and Other | Discontinued Operations | Total | ||||||||||||||||||||||||
Revenues | |||||||||||||||||||||||||||||
Property operating income | $ | — | $ | 157,451 | $ | — | $ | — | $ | 157,451 | |||||||||||||||||||
Interest income | — | 23 | 16 | — | 39 | ||||||||||||||||||||||||
Fee income | 19,256 | — | — | — | 19,256 | ||||||||||||||||||||||||
Other income | 700 | — | 529 | — | 1,229 | ||||||||||||||||||||||||
Total revenues | 19,956 | 157,474 | 545 | — | 177,975 | ||||||||||||||||||||||||
Expenses | |||||||||||||||||||||||||||||
Property operating expense | — | 65,199 | — | — | 65,199 | ||||||||||||||||||||||||
Interest expense | — | 28,608 | 74 | — | 28,682 | ||||||||||||||||||||||||
Investment expense | 615 | 4,405 | 6 | — | 5,026 | ||||||||||||||||||||||||
Depreciation and amortization | 1,864 | 105,177 | — | — | 107,041 | ||||||||||||||||||||||||
Compensation expense | |||||||||||||||||||||||||||||
Cash and equity-based compensation | 4,942 | 16,144 | — | — | 21,086 | ||||||||||||||||||||||||
Carried interest and incentive fee compensation | 8,533 | — | — | — | 8,533 | ||||||||||||||||||||||||
Administrative expenses | 1,076 | 6,912 | 377 | — | 8,365 | ||||||||||||||||||||||||
Total expenses | 17,030 | 226,445 | 457 | — | 243,932 | ||||||||||||||||||||||||
Other income (loss) | |||||||||||||||||||||||||||||
Other gain (loss), net | 2 | (988) | 8,260 | — | 7,274 | ||||||||||||||||||||||||
Equity method earnings (loss) | 643 | — | 2,156 | — | 2,799 | ||||||||||||||||||||||||
Equity method earnings (loss) - carried interest | 13,024 | — | — | — | 13,024 | ||||||||||||||||||||||||
Income (loss) before income taxes | 16,595 | (69,959) | 10,504 | — | (42,860) | ||||||||||||||||||||||||
Income tax benefit (expense) | (43) | 1,552 | — | — | 1,509 | ||||||||||||||||||||||||
Net income (loss) | 16,552 | (68,407) | 10,504 | — | (41,351) | ||||||||||||||||||||||||
Income (loss) from discontinued operations | — | — | — | 8,520 | 8,520 | ||||||||||||||||||||||||
Non-pro rata allocation of income (loss) to NCI | (5,595) | (73) | — | — | (5,668) | ||||||||||||||||||||||||
Net income (loss) attributable to noncontrolling interests | $ | 10,957 | $ | (68,480) | $ | 10,504 | $ | 8,520 | $ | (38,499) |
DigitalBridge | Supplemental Financial Report | 9 |
IId. Financial Results - Segment Reconciliation of Net Income to FFO, Core FFO, AFFO and Adjusted EBITDA | ||
OP pro rata share by segment | Amounts attributable to noncontrolling interests | DBRG consolidated as reported | |||||||||||||||||||||||||||||||||||||||
($ in thousands; for the three months ended December 31, 2021; and unaudited) | Digital IM | Digital Operating | Corporate and Other | Discontinued Operations | Total OP pro rata share | ||||||||||||||||||||||||||||||||||||
Net income (loss) attributable to common stockholders | $ | 15,682 | $ | (14,072) | $ | (5,874) | $ | (16,422) | $ | (20,686) | $ | — | $ | (20,686) | |||||||||||||||||||||||||||
Net income (loss) attributable to noncontrolling common interests in Operating Company | 1,555 | (1,357) | (553) | (1,591) | (1,946) | — | (1,946) | ||||||||||||||||||||||||||||||||||
Net income (loss) attributable to common interests in Operating Company and common stockholders | 17,237 | (15,429) | (6,427) | (18,013) | (22,632) | — | (22,632) | ||||||||||||||||||||||||||||||||||
Adjustments for FFO: | |||||||||||||||||||||||||||||||||||||||||
Real estate depreciation and amortization | — | 20,216 | 2,106 | 8,225 | 30,547 | 103,266 | 133,813 | ||||||||||||||||||||||||||||||||||
Impairment of real estate | — | — | — | (27,193) | (27,193) | (13,539) | (40,732) | ||||||||||||||||||||||||||||||||||
Gain from sales of real estate | — | — | — | (197) | (197) | — | (197) | ||||||||||||||||||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | — | — | — | — | — | (89,727) | (89,727) | ||||||||||||||||||||||||||||||||||
FFO | $ | 17,237 | $ | 4,787 | $ | (4,321) | $ | (37,178) | $ | (19,475) | $ | — | $ | (19,475) | |||||||||||||||||||||||||||
Additional adjustments for Core FFO: | |||||||||||||||||||||||||||||||||||||||||
Adjustment to BRSP cash dividend | — | — | (26,422) | (1,821) | (28,243) | — | (28,243) | ||||||||||||||||||||||||||||||||||
Equity-based compensation expense | 1,596 | 384 | 3,837 | 11,651 | 17,468 | 1,948 | 19,416 | ||||||||||||||||||||||||||||||||||
Straight-line rent revenue and expense | 51 | 158 | (1,195) | (359) | (1,345) | (641) | (1,986) | ||||||||||||||||||||||||||||||||||
Amortization of acquired above- and below-market lease values, net | — | 60 | — | (566) | (506) | 173 | (333) | ||||||||||||||||||||||||||||||||||
Debt prepayment penalties and amortization of deferred financing costs and debt premiums and discounts | 309 | 1,030 | 25,652 | 4,016 | 31,007 | 5,678 | 36,685 | ||||||||||||||||||||||||||||||||||
Non-real estate fixed asset depreciation, amortization and impairment | 40 | 1,043 | 491 | 1,630 | 3,204 | 10,120 | 13,324 | ||||||||||||||||||||||||||||||||||
Restructuring and transaction-related charges(1) | 2,354 | 16 | 17,379 | 10,069 | 29,818 | 159 | 29,977 | ||||||||||||||||||||||||||||||||||
Non-real estate (gains) losses, excluding realized gains or losses of digital assets within the Corporate and Other segment | (1,119) | 238 | (57,032) | 1,091 | (56,822) | 4,211 | (52,611) | ||||||||||||||||||||||||||||||||||
Net unrealized carried interest | (2,702) | — | — | — | (2,702) | (4,673) | (7,375) | ||||||||||||||||||||||||||||||||||
Preferred share redemption loss | — | — | 2,127 | — | 2,127 | — | 2,127 | ||||||||||||||||||||||||||||||||||
Deferred taxes and tax effect on certain of the foregoing adjustments | (259) | (389) | 10,395 | — | 9,747 | (1,552) | 8,195 | ||||||||||||||||||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | — | — | — | — | — | (15,423) | (15,423) | ||||||||||||||||||||||||||||||||||
Less: Core FFO from discontinued operations | — | — | — | 11,467 | 11,467 | — | 11,467 | ||||||||||||||||||||||||||||||||||
Core FFO | $ | 17,507 | $ | 7,327 | $ | (29,089) | $ | — | $ | (4,255) | $ | — | $ | (4,255) | |||||||||||||||||||||||||||
Additional adjustments for AFFO: | |||||||||||||||||||||||||||||||||||||||||
Recurring capital expenditures | — | (1,097) | — | — | (1,097) | — | (1,097) | ||||||||||||||||||||||||||||||||||
AFFO | $ | 17,507 | $ | 6,230 | $ | (29,089) | $ | — | $ | (5,352) | $ | — | $ | (5,352) |
DigitalBridge | Supplemental Financial Report | 10 |
IId. Financial Results - Segment Reconciliation of Net Income to FFO, Core FFO, AFFO and Adjusted EBITDA | ||
OP pro rata share by segment | ||||||||||||||||||||||||||||||||
($ in thousands; for the three months ended December 31, 2021; and unaudited) | Digital IM | Digital Operating | Corporate and Other | Discontinued Operations | Total OP pro rata share | |||||||||||||||||||||||||||
Core FFO | $ | 17,507 | $ | 7,327 | $ | (29,089) | $ | — | $ | (4,255) | ||||||||||||||||||||||
Less: Earnings of equity method investments | (18) | — | (6,423) | — | (6,441) | |||||||||||||||||||||||||||
Plus: Preferred dividends | — | — | 16,139 | — | 16,139 | |||||||||||||||||||||||||||
Plus: Core interest expense(1) | 2,193 | 5,506 | 6,076 | — | 13,775 | |||||||||||||||||||||||||||
Plus: Core tax expense(1) | 2,068 | — | (1,437) | — | 631 | |||||||||||||||||||||||||||
Plus: Non pro-rata allocation of income (loss) to NCI | 231 | — | — | — | 231 | |||||||||||||||||||||||||||
Plus: Placement fees | 603 | — | — | — | 603 | |||||||||||||||||||||||||||
Less: Net realized carried interest, incentive fees, and other adjustments to Fee Related Earnings | (1,092) | — | — | — | (1,092) | |||||||||||||||||||||||||||
Plus: Digital Operating installation services, transaction, investment and servicing costs | — | 1,366 | — | — | 1,366 | |||||||||||||||||||||||||||
Adjusted EBITDA (DBRG OP Share) | $ | 21,492 | $ | 14,199 | $ | (14,734) | $ | — | $ | 20,957 |
DigitalBridge | Supplemental Financial Report | 11 |
IIIa. Capitalization - Debt Summary | ||
($ in thousands; as of December 31, 2021) | ||||||||||||||||||||||||||||||||||||||||||||
Consolidated debt | Payments due by period(1) | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | 2024 | 2025 | 2026 and after | Total | |||||||||||||||||||||||||||||||||||||||
Investment-level debt: | ||||||||||||||||||||||||||||||||||||||||||||
Digital Operating - Fixed | $ | 6,230 | $ | 219,793 | $ | 600,753 | $ | 700,000 | $ | 2,119,690 | $ | 3,646,466 | ||||||||||||||||||||||||||||||||
Digital Operating - Variable | — | 9,000 | 15,750 | 446,267 | 100,000 | $ | 571,017 | |||||||||||||||||||||||||||||||||||||
Total Digital Operating | 6,230 | 228,793 | 616,503 | 1,146,267 | 2,219,690 | 4,217,483 | ||||||||||||||||||||||||||||||||||||||
Corporate and Other debt: | ||||||||||||||||||||||||||||||||||||||||||||
2021-1, A-1 Variable Funding Notes | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
2021-1, Class A-2 Term Notes | — | — | — | — | 300,000 | 300,000 | ||||||||||||||||||||||||||||||||||||||
Other (2) | — | 66,500 | — | — | — | 66,500 | ||||||||||||||||||||||||||||||||||||||
Convertible/exchangeable senior notes | — | 200,000 | — | 138,739 | — | 338,739 | ||||||||||||||||||||||||||||||||||||||
Total consolidated debt (3) | $ | 6,230 | $ | 495,293 | $ | 616,503 | $ | 1,285,006 | $ | 2,519,690 | $ | 4,922,722 | ||||||||||||||||||||||||||||||||
Fixed/Variable | WA Interest Rate | WA Remaining Term | ||||||||||||||||||||||||||||||||||||||||||
DBRG OP share of debt | Payments due by period(1) | |||||||||||||||||||||||||||||||||||||||||||
2022 | 2023 | 2024 | 2025 | 2026 and after | Total | |||||||||||||||||||||||||||||||||||||||
Investment-level debt: | ||||||||||||||||||||||||||||||||||||||||||||
Digital Operating - Fixed | $ | 818 | $ | 28,859 | $ | 78,879 | $ | 91,910 | $ | 346,505 | $ | 546,971 | Fixed | 2.4% | 4.1 | |||||||||||||||||||||||||||||
Digital Operating - Variable | — | 1,802 | 3,153 | 89,343 | 20,020 | $ | 114,318 | Variable | 5.7% | 4.0 | ||||||||||||||||||||||||||||||||||
Total Digital Operating | 818 | 30,661 | 82,032 | 181,253 | 366,525 | 661,289 | 3.0% | 4.1 | ||||||||||||||||||||||||||||||||||||
Corporate and Other debt: | ||||||||||||||||||||||||||||||||||||||||||||
2021-1, A-1 Variable Funding Notes | — | — | — | — | — | — | Variable | N/A | 4.7 | |||||||||||||||||||||||||||||||||||
2021-1, Class A-2 Term Notes | — | — | — | — | 300,000 | 300,000 | Fixed | 3.9% | 4.7 | |||||||||||||||||||||||||||||||||||
Other (2) | — | 66,500 | — | — | — | 66,500 | Variable | 1.3% | 1.6 | |||||||||||||||||||||||||||||||||||
Convertible/exchangeable senior notes | — | 200,000 | — | 138,739 | — | 338,739 | Fixed | 5.3% | 2.2 | |||||||||||||||||||||||||||||||||||
Total DBRG share of debt (3) | $ | 818 | $ | 297,161 | $ | 82,032 | $ | 319,992 | $ | 666,525 | $ | 1,366,528 |
DigitalBridge | Supplemental Financial Report | 12 |
IIIb. Capitalization - DBRG Series 2021-1 | ||
($ in thousands, as of December 31, 2021) | ||||||||
Class A-2 Term Notes | ||||||||
Amount outstanding | $ | 300,000 | ||||||
Interest rate | 3.933 | % | ||||||
Anticipated Repayment Date (ARD) | September 25, 2026 | |||||||
Kroll Rating | BBB | |||||||
Class A-1 Variable Funding Notes | ||||||||
Maximum Available | $ | 200,000 | ||||||
Amount outstanding | $ | — | ||||||
Interest Rate | 3M LIBOR + 3.00% | |||||||
Fully extended Anticipated Repayment Date (ARD)(1) | September 25, 2026 | |||||||
Financial covenants: | Covenant level | |||||||
Debt Service Coverage Ratio(2) | Minimum 1.75x | |||||||
Loan to Value Ratio(3) | Less than 35.0% | |||||||
Investment Management Expense Ratio(4) | Less than 60.0% | |||||||
Company status: As of February 23, 2022, DBRG is meeting all required covenant threshold levels. |
DigitalBridge | Supplemental Financial Report | 13 |
IIIc. Capitalization - Convertible/Exchangeable Notes & Perpetual Preferred Stock | ||
($ in thousands; except per share data; as of December 31, 2021) | ||||||||||||||||||||||||||||||||||||||
Convertible/exchangeable debt | ||||||||||||||||||||||||||||||||||||||
Description | Outstanding principal | Final due date(1) | Interest rate | Conversion price (per share of common stock) | Conversion ratio | Conversion shares | ||||||||||||||||||||||||||||||||
5.75% Exchangeable senior notes | $ | 138,739 | July 15, 2025 | 5.75% fixed | $ | 2.30 | 434.7826 | 60,321 | ||||||||||||||||||||||||||||||
5.0% Convertible senior notes | 200,000 | April 15, 2023 | 5.00% fixed | 15.76 | 63.4700 | 12,694 | ||||||||||||||||||||||||||||||||
Total convertible debt | $ | 338,739 |
Perpetual preferred stock | ||||||||||||||||||||
Description | Liquidation preference | Shares outstanding (In thousands) | Callable period | |||||||||||||||||
Series H 7.125% cumulative redeemable perpetual preferred stock | 223,500 | 8,940 | Callable | |||||||||||||||||
Series I 7.15% cumulative redeemable perpetual preferred stock | 345,000 | 13,800 | On or after June 5, 2022 | |||||||||||||||||
Series J 7.125% cumulative redeemable perpetual preferred stock | 315,000 | 12,600 | On or after September 22, 2022 | |||||||||||||||||
Total preferred stock | $ | 883,500 | 35,340 |
DigitalBridge | Supplemental Financial Report | 14 |
IIId. Capitalization - Organization Structure | ||
DigitalBridge | Supplemental Financial Report | 15 |
IV. Assets Under Management | ||
($ in millions) | DBRG OP Share | ||||||||||||||||||||||||||||
Segment | 12/31/21 | 9/30/21 | 6/30/21 | 3/31/21 | 12/31/20 | 9/30/20 | 6/30/20 | 3/31/20 | |||||||||||||||||||||
Digital Investment Management | $ | 43,619 | $ | 36,337 | $ | 33,551 | $ | 30,711 | $ | 28,577 | $ | 22,237 | $ | 21,015 | $ | 20,107 | |||||||||||||
Digital Operating | 1,233 | 1,157 | 1,093 | 1,073 | 1,087 | 724 | 300 | 290 | |||||||||||||||||||||
Corporate and Other Assets(1) | 6,427 | 11,880 | 13,790 | 14,397 | 22,300 | 23,853 | 24,392 | 27,715 | |||||||||||||||||||||
Total AUM | $ | 51,279 | $ | 49,374 | $ | 48,434 | $ | 46,181 | $ | 51,964 | $ | 46,814 | $ | 45,707 | $ | 48,112 | |||||||||||||
DigitalBridge | Supplemental Financial Report | 16 |
V. Digital Investment Management | ||
($ in millions) | |||||||||||||||||||||||||||||
AUM DBRG OP Share | 12/31/21 | 9/30/21 | 6/30/21 | 3/31/21 | 12/31/20 | 9/30/20 | 6/30/20 | 3/31/20 | |||||||||||||||||||||
DigitalBridge Partners I | $ | 6,180 | $ | 6,180 | $ | 6,003 | $ | 5,931 | $ | 6,089 | $ | 5,686 | $ | 5,665 | $ | 5,526 | |||||||||||||
DigitalBridge Partners II | 10,430 | 8,005 | 6,431 | 4,775 | 3,241 | — | — | — | |||||||||||||||||||||
Separately Capitalized Portfolio Companies | 6,882 | 10,147 | 10,254 | 9,893 | 8,947 | 8,273 | 9,556 | 8,990 | |||||||||||||||||||||
Co-Investment (Sidecar) Capital | 19,311 | 11,417 | 10,273 | 9,591 | 9,857 | 8,181 | 5,692 | 5,477 | |||||||||||||||||||||
Liquid Strategies | 816 | 588 | 590 | 521 | 443 | 97 | 102 | 114 | |||||||||||||||||||||
Digital IM AUM | $ | 43,619 | $ | 36,337 | $ | 33,551 | $ | 30,711 | $ | 28,577 | $ | 22,237 | $ | 21,015 | $ | 20,107 | |||||||||||||
FEEUM DBRG OP Share | 12/31/21 | 9/30/21 | 6/30/21 | 3/31/21 | 12/31/20 | 9/30/20 | 6/30/20 | 3/31/20 | |||||||||||||||||||||
DigitalBridge Partners I | $ | 3,215 | $ | 3,040 | $ | 3,081 | $ | 3,179 | $ | 3,756 | $ | 3,756 | $ | 3,756 | $ | 3,756 | |||||||||||||
DigitalBridge Partners II | 8,001 | 7,146 | 5,519 | 3,964 | 3,217 | — | — | — | |||||||||||||||||||||
Separately Capitalized Portfolio Companies | 2,148 | 2,576 | 2,576 | 2,534 | 2,777 | 2,603 | 3,019 | 3,017 | |||||||||||||||||||||
Co-Investment (Sidecar) Capital | 4,105 | 3,184 | 2,817 | 2,744 | 2,655 | 2,042 | 841 | 841 | |||||||||||||||||||||
Liquid Strategies | 786 | 510 | 512 | 432 | 437 | 153 | 127 | 128 | |||||||||||||||||||||
Digital IM FEEUM (12/31/21 Annual IM Fee Rate = 0.96%) | $ | 18,255 | $ | 16,456 | $ | 14,505 | $ | 12,853 | $ | 12,842 | $ | 8,554 | $ | 7,743 | $ | 7,742 | |||||||||||||
($ in thousands) | |||||||||||||||||||||||||||||
Digital IM FRE / Adjusted EBITDA | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Fee income | $ | 43,145 | $ | 37,751 | $ | 33,304 | $ | 28,917 | $ | 24,191 | $ | 19,172 | $ | 18,987 | $ | 18,068 | |||||||||||||
Fee income, other (1) | 8,787 | 12,809 | 8,996 | 2,148 | 862 | 876 | 1,306 | 876 | |||||||||||||||||||||
Other income | 273 | 483 | 84 | 54 | 183 | 87 | 552 | 197 | |||||||||||||||||||||
Compensation expense—cash | (16,275) | (16,933) | (14,426) | (10,852) | (18,353) | (9,414) | (9,208) | (6,964) | |||||||||||||||||||||
Administrative expenses | (3,446) | (2,675) | (2,337) | (2,067) | (2,310) | (1,832) | (2,330) | (2,127) | |||||||||||||||||||||
Digital IM FRE / Adjusted EBITDA (2) | $ | 32,484 | $ | 31,435 | $ | 25,621 | $ | 18,200 | $ | 4,573 | $ | 8,889 | $ | 9,307 | $ | 10,050 | |||||||||||||
DBRG OP share of Digital IM FRE / Adjusted EBITDA(3) | $ | 21,492 | $ | 20,736 | $ | 17,449 | $ | 11,645 | $ | 2,051 | $ | 6,306 | $ | 9,307 | $ | 10,050 |
DigitalBridge | Supplemental Financial Report | 17 |
VI. Digital Operating | ||
($ in millions, unless otherwise noted) | |||||||||||||||||||||||||||||
Portfolio Overview | 12/31/21 | 9/30/21 | 6/30/21 | 3/31/21 | 12/31/20 | 9/30/20 | 6/30/20 | 3/31/20 | |||||||||||||||||||||
Consolidated amount | |||||||||||||||||||||||||||||
Asset(1) | $ | 7,624 | $ | 7,211 | $ | 6,736 | $ | 6,633 | $ | 6,248 | $ | 4,925 | $ | 1,496 | $ | 1,448 | |||||||||||||
Debt(2)(3) | (4,217) | (3,817) | (3,374) | (3,369) | (3,227) | (2,546) | (515) | (516) | |||||||||||||||||||||
Net Carrying Value - Consolidated | $ | 3,407 | $ | 3,394 | $ | 3,362 | $ | 3,264 | $ | 3,021 | $ | 2,379 | $ | 981 | $ | 932 | |||||||||||||
DBRG OP share of consolidated amount | |||||||||||||||||||||||||||||
Asset(1) | $ | 1,233 | $ | 1,157 | $ | 1,093 | $ | 1,073 | $ | 1,087 | $ | 724 | $ | 300 | $ | 290 | |||||||||||||
Debt(2)(3) | (661) | (588) | (529) | (528) | (536) | (355) | (103) | (103) | |||||||||||||||||||||
Net Carrying Value - DBRG OP share | $ | 572 | $ | 569 | $ | 564 | $ | 545 | $ | 551 | $ | 369 | $ | 197 | $ | 187 | |||||||||||||
DBRG net carrying value % interest | 17 | % | 17 | % | 17 | % | 17 | % | 18 | % | 16 | % | 20 | % | 20 | % | |||||||||||||
($ in millions, unless otherwise noted) | |||||||||||||||||||||||||||||
Operating Metrics (4) | 12/31/2021 - 4Q21 | 9/30/2021 - 3Q21 | 6/30/2021 - 2Q21 | 3/31/2021 - 1Q21 | 12/31/2020 - 4Q20 | 9/30/2020- 3Q20 | 6/30/2020 - 2Q20 | 3/31/2020 - 1Q20 | |||||||||||||||||||||
Number of Data Centers | 78 | 76 | 76 | 76 | 32 | 32 | 20 | 19 | |||||||||||||||||||||
Max Critical I.T. Square Feet | 1,949,144 | 1,819,946 | 1,809,943 | 1,791,781 | 1,138,048 | 1,137,866 | 456,649 | 410,974 | |||||||||||||||||||||
Leased Square Feet | 1,552,517 | 1,467,420 | 1,439,291 | 1,423,322 | 967,879 | 945,640 | 316,697 | 301,791 | |||||||||||||||||||||
% Utilization Rate | 79.7% | 80.6% | 79.5% | 79.4% | 85.0% | 83.1% | 69.4% | 73.4% | |||||||||||||||||||||
MRR (Annualized) | $ | 790.4 | $ | 773.1 | $ | 750.2 | $ | 743.0 | $ | 442.0 | $ | 374.0 | $ | 171.4 | $ | 171.2 | |||||||||||||
Bookings (Annualized) | $ | 15.3 | $ | 16.6 | $ | 16.4 | $ | 23.0 | $ | 6.0 | $ | 9.4 | $ | 6.6 | $ | 7.4 | |||||||||||||
Quarterly Churn (% of Prior Quarter MRR) | 1.9% | 1.3% | 1.3% | 1.3% | .8% | .8% | 1.7% | 2.7% |
DigitalBridge | Supplemental Financial Report | 18 |
VI. Digital Operating | ||
($ in thousands) | |||||||||||||||||||||||||||||
Digital Operating Adjusted EBITDA | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Consolidated amount | |||||||||||||||||||||||||||||
Total revenues | $ | 189,938 | $ | 194,966 | $ | 189,093 | $ | 189,202 | $ | 127,546 | $ | 98,549 | $ | 42,021 | $ | 45,167 | |||||||||||||
Property operating expenses | (78,950) | (80,226) | (77,140) | (79,862) | (47,224) | (37,544) | (18,055) | (16,906) | |||||||||||||||||||||
Compensation and administrative expenses | (28,879) | (29,766) | (28,488) | (25,947) | (16,982) | (11,863) | (10,464) | (12,656) | |||||||||||||||||||||
Investment, servicing and commission expenses | (5,153) | (4,862) | (5,255) | (6,565) | (3,329) | (2,362) | (696) | (317) | |||||||||||||||||||||
Other gain/loss, net | (1,226) | 285 | (349) | (3) | (200) | (45) | — | — | |||||||||||||||||||||
EBITDAre: | $ | 75,730 | $ | 80,397 | $ | 77,861 | $ | 76,825 | $ | 59,811 | $ | 46,735 | $ | 12,806 | $ | 15,288 | |||||||||||||
Straight-line rent expenses and amortization of above- and below-market lease intangibles | 370 | 482 | (98) | (399) | (2,607) | (2,106) | 1,837 | (338) | |||||||||||||||||||||
Compensation expense—equity-based | 1,918 | 308 | 308 | 308 | 728 | 148 | 296 | — | |||||||||||||||||||||
Installation services | 2,097 | (4,058) | 576 | 880 | 429 | (65) | 493 | 289 | |||||||||||||||||||||
Transaction, restructuring & integration costs | 3,188 | 4,042 | 2,999 | 4,670 | 1,155 | 420 | 1,021 | 748 | |||||||||||||||||||||
Other gain/loss, net | 1,226 | (285) | 349 | — | 200 | 46 | — | — | |||||||||||||||||||||
Digital Operating Adjusted EBITDA - Consolidated (1) | $ | 84,529 | $ | 80,886 | $ | 81,995 | $ | 82,284 | $ | 59,716 | $ | 45,178 | $ | 16,453 | $ | 15,987 | |||||||||||||
DBRG OP share of consolidated amount | |||||||||||||||||||||||||||||
Total revenues | $ | 32,464 | $ | 33,771 | $ | 32,624 | $ | 32,741 | $ | 21,013 | $ | 15,600 | $ | 8,413 | $ | 9,042 | |||||||||||||
Property operating expenses | (13,740) | (14,115) | (13,690) | (14,165) | (7,911) | (6,026) | (3,615) | (3,385) | |||||||||||||||||||||
Compensation and administrative expenses | (5,457) | (5,615) | (5,350) | (4,888) | (3,276) | (2,310) | (2,095) | (2,534) | |||||||||||||||||||||
Investment, servicing and commission expenses | (732) | (709) | (819) | (1,090) | (433) | (290) | (139) | (63) | |||||||||||||||||||||
Other gain/loss, net | (238) | 61 | (69) | (26) | (6) | — | — | ||||||||||||||||||||||
EBITDAre: | $ | 12,297 | $ | 13,393 | $ | 12,696 | $ | 12,598 | $ | 9,367 | $ | 6,968 | $ | 2,564 | $ | 3,060 | |||||||||||||
Straight-line rent expenses and amortization of above- and below-market lease intangibles | 244 | 295 | 247 | 192 | (250) | (154) | 368 | (68) | |||||||||||||||||||||
Compensation expense—equity-based | 384 | 62 | 62 | 62 | 146 | 30 | 59 | — | |||||||||||||||||||||
Installation services | 419 | (812) | 115 | 176 | 86 | (13) | 99 | 58 | |||||||||||||||||||||
Transaction, restructuring & integration costs | 618 | 759 | 587 | 920 | 245 | 77 | 204 | 150 | |||||||||||||||||||||
Other gain/loss, net | 237 | (60) | 69 | 26 | 6 | — | — | ||||||||||||||||||||||
Digital Operating Adjusted EBITDA - DBRG OP share | $ | 14,199 | $ | 13,637 | $ | 13,776 | $ | 13,948 | $ | 9,620 | $ | 6,914 | $ | 3,294 | $ | 3,200 |
DigitalBridge | Supplemental Financial Report | 19 |
VI. Digital Operating | ||
Capital Expenditures | |||||||||||||||||||||||||||||
Consolidated amount | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Recurring capital expenditures | $ | 6,410 | $ | 7,387 | $ | 4,423 | $ | 1,220 | $ | 1,416 | $ | 1,551 | $ | 1,101 | $ | 1,375 | |||||||||||||
Non-recurring capital expenditures | 94,018 | 42,841 | 40,460 | 34,652 | 37,534 | 20,423 | 19,738 | 13,254 | |||||||||||||||||||||
Total capital expenditures | $ | 100,428 | $ | 50,228 | $ | 44,883 | $ | 35,872 | $ | 38,950 | $ | 21,974 | $ | 20,839 | $ | 14,629 | |||||||||||||
Leasing Commissions | $ | 1,535 | $ | 1,233 | $ | 5,024 | $ | 775 | $ | 545 | $ | 539 | $ | 1,831 | $ | 475 | |||||||||||||
DBRG OP share of consolidated amount | |||||||||||||||||||||||||||||
Recurring capital expenditures | $ | 1,097 | $ | 1,349 | $ | 764 | $ | 226 | $ | 233 | $ | 300 | $ | 220 | $ | 275 | |||||||||||||
Non-recurring capital expenditures | 18,090 | 8,315 | 7,538 | 6,532 | 6,770 | 3,702 | 3,952 | 2,654 | |||||||||||||||||||||
Total capital expenditures | $ | 19,187 | $ | 9,664 | $ | 8,302 | $ | 6,758 | $ | 7,003 | $ | 4,002 | $ | 4,172 | $ | 2,929 | |||||||||||||
Leasing Commissions | $ | 307 | $ | 213 | $ | 756 | $ | 155 | $ | 109 | $ | 108 | $ | 366 | $ | 95 |
DigitalBridge | Supplemental Financial Report | 20 |
VII. Corporate and Other | ||
($ in thousands, as of December 31, 2021) | Consolidated amount | DBRG OP share of consolidated amount | ||||||||||||
Other | ||||||||||||||
DBRG's GP Co-investment in DBP I and II Investments | $ | 242,856 | $ | 183,612 | ||||||||||
Equity interests in digital investment vehicles, seed investments and CLOs | 290,113 | 174,566 | ||||||||||||
Other - digital assets net carrying value | $ | 532,969 | $ | 358,178 | ||||||||||
Other - held for investment assets net equity carrying value (primarily BRSP shares)(1) | $ | 384,180 | $ | 384,180 | ||||||||||
Discontinued operations net carrying value(1)(2) | 3,576,328 | 2,582,288 | ||||||||||||
Investment-level non-recourse financing(3) | 2,668,326 | 1,913,764 | ||||||||||||
5.375% Exchangeable senior notes and TruPS | 293,722 | 293,722 | ||||||||||||
Other - discontinued operations assets net equity carrying value | $ | 614,280 | $ | 374,802 | ||||||||||
Corporate Net Assets | ||||||||||||||
Cash and cash equivalents, restricted cash and other assets | $ | 981,748 | $ | 981,748 | ||||||||||
Accrued and other liabilities and dividends payable | 112,509 | 112,509 | ||||||||||||
Net assets | $ | 869,239 | $ | 869,239 | ||||||||||
DigitalBridge | Supplemental Financial Report | 21 |
DigitalBridge | Supplemental Financial Report | 22 |
Reconciliations of Digital IM FRE/Adjusted EBITDA and Digital Operating Adjusted EBITDA to Net Income (Loss) | ||
($ in thousand) | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Digital IM net income (loss) | $ | 28,194 | $ | 39,272 | $ | 15,786 | $ | 7,663 | $ | 2,702 | $ | 3,799 | $ | 2,424 | $ | 2,529 | |||||||||||||
Adjustments: | |||||||||||||||||||||||||||||
Interest expense (income) | 2,499 | 2,250 | — | (1) | (1) | (2) | — | (30) | |||||||||||||||||||||
Investment and servicing expense (income) | (12) | — | — | 32 | 204 | — | — | — | |||||||||||||||||||||
Depreciation and amortization | 5,928 | 8,242 | 6,298 | 8,912 | 6,421 | 10,259 | 6,605 | 6,603 | |||||||||||||||||||||
Compensation expense—equity-based | 4,527 | 4,673 | 1,837 | 1,533 | 655 | 189 | 682 | 589 | |||||||||||||||||||||
Compensation expense—carried interest and incentive | 25,921 | 31,736 | 8,266 | (33) | 994 | 912 | — | — | |||||||||||||||||||||
Administrative expenses—straight-line rent | 75 | 74 | 50 | (2) | (1) | 14 | 16 | 16 | |||||||||||||||||||||
Administrative expenses—placement agent fee | 880 | 3,069 | 6,959 | 59 | 1,202 | — | — | — | |||||||||||||||||||||
Incentive/performance fee income | (5,720) | (1,313) | (4,489) | — | — | — | — | — | |||||||||||||||||||||
Equity method (earnings) losses | (31,608) | (59,196) | (11,203) | 195 | (6,744) | (6,394) | (277) | (3) | |||||||||||||||||||||
Other (gain) loss, net | (52) | (461) | (119) | (165) | (102) | (32) | 8 | (47) | |||||||||||||||||||||
Income tax (benefit) expense | 1,852 | 3,089 | 2,236 | 7 | (757) | 144 | (151) | 393 | |||||||||||||||||||||
Digital IM FRE / Adjusted EBITDA | $ | 32,484 | $ | 31,435 | $ | 25,621 | $ | 18,200 | $ | 4,573 | $ | 8,889 | $ | 9,307 | $ | 10,050 | |||||||||||||
4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | ||||||||||||||||||||||
Digital Operating net income (loss) from continuing operations | (83,909) | (71,822) | (10,850) | (64,260) | (53,591) | (38,795) | (21,262) | (18,415) | |||||||||||||||||||||
Adjustments: | |||||||||||||||||||||||||||||
Interest expense | 35,144 | 29,839 | 29,272 | 31,133 | 41,815 | 18,589 | 8,170 | 9,402 | |||||||||||||||||||||
Income tax (benefit) expense | (1,941) | 1,922 | (66,788) | (12,268) | (6,967) | (6,091) | (2,673) | (5,730) | |||||||||||||||||||||
Depreciation and amortization | 126,436 | 120,458 | 126,227 | 122,220 | 78,554 | 73,032 | 28,571 | 30,031 | |||||||||||||||||||||
EBITDAre: | $ | 75,730 | $ | 80,397 | $ | 77,861 | $ | 76,825 | $ | 59,811 | $ | 46,735 | $ | 12,806 | $ | 15,288 | |||||||||||||
Straight-line rent expenses and amortization of above- and below-market lease intangibles | 370 | 482 | (98) | (399) | (2,607) | (2,106) | 1,837 | (338) | |||||||||||||||||||||
Compensation expense—equity-based | 1,918 | 308 | 308 | 308 | 728 | 148 | 296 | — | |||||||||||||||||||||
Installation services | 2,097 | (4,058) | 576 | 880 | 429 | (65) | 493 | 289 | |||||||||||||||||||||
Transaction, restructuring & integration costs | 3,188 | 4,042 | 2,999 | 4,670 | 1,155 | 420 | 1,021 | 748 | |||||||||||||||||||||
Other gain/loss, net | 1,226 | (285) | 349 | — | 200 | 46 | — | — | |||||||||||||||||||||
Digital Operating Adjusted EBITDA | $ | 84,529 | $ | 80,886 | $ | 81,995 | $ | 82,284 | $ | 59,716 | $ | 45,178 | $ | 16,453 | $ | 15,987 |
DigitalBridge | Supplemental Financial Report | 23 |
Reconciliations of Core FFO, AFFO and Adjusted EBITDA to Net Income (Loss) | ||
($ in thousands) | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Net income (loss) attributable to common stockholders | $ | (20,686) | $ | 41,036 | $ | (141,260) | $ | (264,806) | $ | (140,575) | $ | (205,784) | $ | (2,042,790) | $ | (361,633) | |||||||||||||
Net income (loss) attributable to noncontrolling common interests in Operating Company | (1,946) | 4,311 | (14,980) | (27,896) | (15,411) | (22,651) | (225,057) | (39,601) | |||||||||||||||||||||
Net income (loss) attributable to common interests in Operating Company and common stockholders | (22,632) | 45,347 | (156,240) | (292,702) | (155,986) | (228,435) | (2,267,847) | (401,234) | |||||||||||||||||||||
Adjustments for FFO: | |||||||||||||||||||||||||||||
Real estate depreciation and amortization | 133,813 | 126,494 | 150,458 | 184,762 | 136,245 | 162,705 | 131,722 | 130,523 | |||||||||||||||||||||
Impairment of real estate | (40,732) | (8,210) | 242,903 | 106,077 | 31,365 | 142,767 | 1,474,262 | 308,268 | |||||||||||||||||||||
Gain from sales of real estate | (197) | (514) | (2,969) | (38,102) | (26,566) | (12,332) | 4,919 | (7,933) | |||||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | (89,727) | (95,512) | (162,021) | (188,496) | (79,874) | (146,905) | (329,601) | (82,329) | |||||||||||||||||||||
FFO | $ | (19,475) | $ | 67,605 | $ | 72,131 | $ | (228,461) | $ | (94,816) | $ | (82,200) | $ | (986,545) | $ | (52,705) | |||||||||||||
Additional adjustments for Core FFO: | |||||||||||||||||||||||||||||
Adjustment to BRSP cash dividend | (28,243) | 9,478 | (40,165) | 55,648 | (22,999) | (18,207) | 328,222 | (86,213) | |||||||||||||||||||||
Equity-based compensation expense | 19,416 | 9,038 | 11,642 | 19,299 | 8,288 | 7,879 | 10,152 | 8,732 | |||||||||||||||||||||
Straight-line rent revenue and expense | (1,986) | (1,925) | (2,309) | 17,225 | (6,403) | (6,281) | (5,240) | (2,025) | |||||||||||||||||||||
Amortization of acquired above- and below-market lease values, net | (333) | (172) | (1,498) | 6,005 | (1,229) | (1,440) | (531) | (3,519) | |||||||||||||||||||||
Debt prepayment penalties and amortization of deferred financing costs and debt premiums and discounts | 36,685 | 7,651 | 10,196 | 45,627 | 25,034 | 4,296 | 10,080 | 15,049 | |||||||||||||||||||||
Non-real estate fixed asset depreciation, amortization and impairment | 13,324 | 13,616 | 19,996 | 20,563 | 4,885 | 12,754 | 13,390 | 13,253 | |||||||||||||||||||||
Restructuring and transaction-related charges | 29,977 | 19,501 | 5,174 | 34,482 | 21,887 | 13,044 | 8,864 | 15,568 | |||||||||||||||||||||
Non-real estate (gains) losses, excluding realized gains or losses of digital assets within the Corporate and Other segment | (52,611) | 11,319 | (151,773) | 267,812 | 193,948 | 84,995 | 740,038 | 85,124 | |||||||||||||||||||||
Net unrealized carried interest | (7,375) | (27,953) | (6,485) | 189 | (5,734) | (5,170) | 801 | 9,230 | |||||||||||||||||||||
Preferred share redemption (gain) loss | 2,127 | 2,865 | — | — | — | — | — | — | |||||||||||||||||||||
Deferred taxes and tax effect on certain of the foregoing adjustments | 8,195 | 1,663 | (42,536) | (17,657) | (8,764) | (7,917) | (3,092) | (6,062) | |||||||||||||||||||||
Less: Adjustments attributable to noncontrolling interests in investment entities | (15,423) | 12,438 | 146,687 | (218,328) | (143,262) | (38,042) | (182,607) | 3,017 | |||||||||||||||||||||
Less: Core FFO from discontinued operations | 11,467 | (123,075) | (25,874) | (12,391) | 4,025 | 5,579 | 37,218 | (31,128) | |||||||||||||||||||||
Core FFO | $ | (4,255) | $ | 2,049 | $ | (4,814) | $ | (9,987) | $ | (25,140) | $ | (30,710) | $ | (29,250) | $ | (31,679) | |||||||||||||
Recurring capital expenditures | $ | (1,097) | $ | (1,349) | $ | (764) | $ | (226) | $ | (233) | $ | (300) | $ | (220) | $ | (275) | |||||||||||||
AFFO | $ | (5,352) | $ | 700 | $ | (5,578) | $ | (10,213) | $ | (25,373) | $ | (31,010) | $ | (29,470) | $ | (31,954) |
DigitalBridge | Supplemental Financial Report | 24 |
Reconciliations of Core FFO, AFFO and Adjusted EBITDA to Net Income (Loss) | ||
($ in thousands) | 4Q21 | 3Q21 | 2Q21 | 1Q21 | 4Q20 | 3Q20 | 2Q20 | 1Q20 | |||||||||||||||||||||
Core FFO | $ | (4,255) | $ | 2,049 | $ | (4,814) | $ | (9,987) | $ | (25,140) | $ | (30,710) | $ | (29,250) | $ | (31,679) | |||||||||||||
Less: Earnings of equity method investments | (6,441) | (5,784) | (6,216) | (4,440) | — | — | — | (13,320) | |||||||||||||||||||||
Plus: Preferred dividends | 16,139 | 17,456 | 18,516 | 18,516 | 18,516 | 18,516 | 18,516 | 19,474 | |||||||||||||||||||||
Plus: Core interest expense(1) | 13,775 | 14,160 | 11,834 | 12,387 | 11,972 | 12,234 | 12,625 | 10,393 | |||||||||||||||||||||
Plus: Core tax expense(1) | 631 | (12,638) | (8,224) | (5,613) | (9,974) | (5,310) | (6,536) | 555 | |||||||||||||||||||||
Plus: Non pro-rata allocation of income (loss) to NCI | 231 | 231 | 223 | 201 | 201 | (751) | — | — | |||||||||||||||||||||
Plus: Placement fees | 603 | 2,102 | 4,767 | 40 | 823 | — | — | — | |||||||||||||||||||||
Less: Net realized carried interest, incentive fees, and other adjustments to Fee Related Earnings | (1,092) | (7) | (1,565) | 11 | 140 | 248 | (549) | (173) | |||||||||||||||||||||
Plus: Digital Operating installation services, transaction, investment and servicing costs | 1,366 | 53 | 856 | 1,423 | 1,018 | 254 | (42) | 162 | |||||||||||||||||||||
Adjusted EBITDA (DBRG OP Share) | $ | 20,957 | $ | 17,622 | $ | 15,377 | $ | 12,538 | $ | (2,444) | $ | (5,519) | $ | (5,236) | $ | (14,588) |
DigitalBridge | Supplemental Financial Report | 25 |
Definitions | ||
DigitalBridge | Supplemental Financial Report | 26 |
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