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false000145586300014558632023-02-162023-02-16

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) February 16, 2023
 
Americold Realty Trust, Inc.
(Exact name of registrant as specified in its charter)
 
Maryland
001-34723
93-0295215
(State or other jurisdiction
of incorporation)
(Commission File Number)
(IRS Employer
Identification No.)
 
10 Glenlake Parkway, South Tower, Suite 600

Atlanta, Georgia 30328
(Address of principal executive offices)
(Zip Code)
(678) 441-1400
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
 
☐ 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))
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.   ☐
Securities registered pursuant to Section 12(b) of the Act:
Title of each class
Trading
Symbol(s)
Name of each exchange
on which registered
Common Stock, $0.01 par value per share COLD New York Stock Exchange


Item 2.02 — Results of Operations and Financial Condition.
On February 16, 2023, Americold Realty Trust, Inc. (the “Company”) issued a press release announcing the Company’s financial results for the fourth quarter and year ended December 31, 2022. A copy of the press release as well as a copy of the supplemental information referred to in the press release are available on the Company’s website and are attached hereto as Exhibits 99.1 and 99.2 and incorporated herein by reference.     
The foregoing information is furnished pursuant to Item 2.02, “Results of Operations and Financial Condition”. The information in Item 2.02 of this Current Report on Form 8-K and the exhibits furnished therewith shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be or be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.

Item 7.01 — Regulation FD Disclosure.

The information set forth in Item 2.02 is incorporated by reference into this Item 7.01. The information in Items 2.20 and 7.01 of this Current Report on Form 8-K and the exhibits furnished therewith shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”) or otherwise subject to the liabilities of that Section, and shall not be or be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.

Item 9.01 — Financial Statements and Exhibits.
(d) Exhibits
Exhibit No. Description
Press Release dated February 16, 2023 for the fourth quarter and year ended December 31, 2022.
Supplemental Information Package for the fourth quarter and year ended December 31, 2022.
104 Cover Page Interactive Data File (embedded within the Inline XBRL document)




SIGNATURES
    Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
Date: February 16, 2023
AMERICOLD REALTY TRUST, INC.
By:
/s/ Marc J. Smernoff
Name: Marc J. Smernoff
Title: Chief Financial Officer and Executive Vice President


EX-99.1 2 q42022-pressrelease.htm EX-99.1 Document

Exhibit 99.1

AMERICOLD REALTY TRUST, INC. ANNOUNCES FOURTH QUARTER 2022 RESULTS
Atlanta, GA, February 16, 2023 - Americold Realty Trust, Inc. (NYSE: COLD) (the “Company”), the world’s largest publicly traded REIT focused on the ownership, operation, acquisition and development of temperature-controlled warehouses, today announced financial and operating results for the fourth quarter ended December 31, 2022.
Fourth Quarter 2022 Highlights
•Total revenue increased 0.7% to $721.5 million.
•Total NOI increased 16.6% to $188.2 million.
•Core EBITDA increased 10.6% to $136.8 million, and increased 13.6% on a constant currency basis.
•Net income of $3.0 million, or $0.01 per diluted common share.
•Core FFO of $70.2 million, or $0.26 per diluted common share.
•AFFO of $78.2 million, or $0.29 per diluted common share.
•Global Warehouse segment revenue increased 8.0% to $598.7 million.
•Global Warehouse segment NOI increased 14.2% to $172.3 million.
•Global Warehouse segment same store revenue increased 8.3%, or 10.9% on a constant currency basis, Global Warehouse segment same store NOI increased by 13.1%, or 15.4% on a constant currency basis.
•Completed the Barcelona expansion for approximately €13.0 million.
•Completed the strategic exit of a significant component of our lower margin Third-party managed segment.
•On November 1, we prepaid at par the remaining $264.1 million indebtedness on our 2013 CMBS thereby transitioning all real estate debt to unsecured.
Year to Date 2022 Highlights
•Total revenue increased 7.4% to $2.9 billion.
•Total NOI increased 10.5% to $696.0 million.
•Core EBITDA increased 5.3% to $499.8 million, or 7.3% on a constant currency basis.
•Net loss of $19.5 million, or $0.07 loss per diluted common share.
•Core FFO of $249.0 million, or $0.92 per diluted common share.
•AFFO of $300.3 million, or $1.11 per diluted common share.
•Global Warehouse segment revenue increased 10.4% to $2.3 billion.
•Global Warehouse segment NOI increased 8.5% to $636.2 million.
•Global Warehouse segment same store revenue increased 6.4%, or 8.5% on a constant currency basis, Global Warehouse segment same store NOI increased 5.1%, or 6.7% on a constant currency basis.
Fourth Quarter 2022 Total Company Financial Results
Total revenue for the fourth quarter of 2022 was $721.5 million, a 0.7% increase from the same quarter of the prior year. This growth was driven by our core warehouse business which benefited from our pricing initiatives and rate escalations, higher economic occupancy, incremental revenue from acquisitions and recently completed expansion and development projects, partially offset by lower throughput volume in our same store portfolio. These increases exceeded the decrease in revenue from our Third-party managed segment as a result of our strategic exit of a significant component of this business. Additionally, total revenue was impacted by unfavorable foreign currency translation as the USD strengthened against the currencies of our foreign operations.


Total NOI for the fourth quarter of 2022 was $188.2 million, an increase of 16.6% from the same quarter of the prior year. This increase is a result of the same factors driving the increase in revenue mentioned above, the increase in profitability of our Transportation segment, partially offset by inflationary pressure on operating costs, labor and operational inefficiencies and a slight decline in contribution from our Third-party managed segment.
Core EBITDA was $136.8 million for the fourth quarter of 2022, compared to $123.7 million for the same quarter of the prior year. This reflects a 10.6% increase over prior year on an actual basis, and 13.6% on a constant currency basis. The increase is due to the same factors driving the increase in NOI mentioned above, partially offset by an increase in selling, general and administrative costs.
For the fourth quarter of 2022, the Company reported net income of $3.0 million, or $0.01 per diluted share, compared to net loss of $8.0 million, or $0.03 loss per diluted share, for the same quarter of the prior year.
For the fourth quarter of both 2022 and 2021, Core FFO was $70.2 million, or $0.26 per diluted share.
For the fourth quarter of 2022, AFFO was $78.2 million, or $0.29 per diluted share, compared to $82.2 million, or $0.31 per diluted share, for the same quarter of the prior year.
Please see the Company’s supplemental financial information for the definitions and reconciliations of non-GAAP financial measures to the most comparable GAAP financial measures.
Fourth Quarter 2022 Global Warehouse Segment Results
For the fourth quarter of 2022, Global Warehouse segment revenue was $598.7 million, an increase of $44.5 million, or 8.0%, compared to $554.2 million for the fourth quarter of 2021. This growth was principally driven by growth in our same store pool resulting from our pricing initiative and rate escalations and higher economic occupancy as compared to 2021, paired with increases in our non-same store pool from incremental revenue from acquisitions and recently completed development projects. This was partially offset by the unfavorable impact of foreign currency translation and lower throughput in our same store pool.
Global Warehouse segment NOI was $172.3 million for the fourth quarter of 2022 as compared to $150.9 million for the fourth quarter of 2021. Global Warehouse segment NOI increased due to the drivers of warehouse revenue increase mentioned above, offset by the impact of inflationary pressures, start-up costs for our developments, labor and operational inefficiencies and the unfavorable impact of foreign currency translation. Global Warehouse segment margin was 28.8% for the fourth quarter of 2022, a 156 basis point increase compared to the same quarter of the prior year.
We had 208 same store warehouses for the three months ended December 31, 2022. The following table presents revenues, cost of operations, contribution (NOI) and margins for our same store and non-same store warehouses with a reconciliation to the total financial metrics of our warehouse segment for the three months ended December 31, 2022. Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.



Three Months Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
TOTAL WAREHOUSE SEGMENT
Number of total warehouses 237 241 n/a n/a
Global Warehouse revenue:
Rent and storage $ 267,031  $ 273,754  $ 233,367  14.4  % 17.3  %
Warehouse services 331,659  340,155  320,788  3.4  % 6.0  %
Total revenue $ 598,690  $ 613,909  $ 554,155  8.0  % 10.8  %
Global Warehouse contribution (NOI) $ 172,328  $ 176,481  $ 150,884  14.2  % 17.0  %
Global Warehouse margin 28.8  % 28.7  % 27.2  % 156 bps 152 bps
Global Warehouse rent and storage metrics:
Average economic occupied pallets 4,537  n/a 4,207  7.9  % n/a
Average physical occupied pallets 4,229  n/a 3,861  9.5  % n/a
Average physical pallet positions 5,415  n/a 5,409  0.1  % n/a
Economic occupancy percentage 83.8  % n/a 77.8  % 601 bps n/a
Physical occupancy percentage 78.1  % n/a 71.4  % 671 bps n/a
Total rent and storage revenue per economic occupied pallet $ 58.86  $ 60.34  $ 55.48  6.1  % 8.8  %
Total rent and storage revenue per physical occupied pallet $ 63.14  $ 64.73  $ 60.43  4.5  % 7.1  %
Global Warehouse services metrics:
Throughput pallets 9,963  n/a 10,346  (3.7) % n/a
Total warehouse services revenue per throughput pallet $ 33.29  $ 34.14  $ 31.01  7.4  % 10.1  %
SAME STORE WAREHOUSE
Number of same store warehouses 208 208 n/a n/a
Global Warehouse same store revenue:
Rent and storage $ 230,785  $ 235,947  $ 201,750  14.4  % 17.0  %
Warehouse services 295,365  302,612  284,044  4.0  % 6.5  %
Total same store revenue $ 526,150  $ 538,559  $ 485,794  8.3  % 10.9  %
Global Warehouse same store contribution (NOI) $ 163,096  $ 166,414  $ 144,196  13.1  % 15.4  %
Global Warehouse same store margin 31.0  % 30.9  % 29.7  % 132 bps 122 bps
Global Warehouse same store rent and storage metrics:
Average economic occupied pallets 4,082  n/a 3,802  7.4  % n/a
Average physical occupied pallets 3,827  n/a 3,481  10.0  % n/a
Average physical pallet positions 4,802  n/a 4,833  (0.6) % n/a
Economic occupancy percentage 85.0  % n/a 78.7  % 634 bps n/a
Physical occupancy percentage 79.7  % n/a 72.0  % 768 bps n/a
Same store rent and storage revenue per economic occupied pallet $ 56.54  $ 57.80  $ 53.07  6.5  % 8.9  %
Same store rent and storage revenue per physical occupied pallet $ 60.30  $ 61.65  $ 57.96  4.0  % 6.4  %
Global Warehouse same store services metrics:
Throughput pallets 8,882  n/a 9,157  (3.0) % n/a
Same store warehouse services revenue per throughput pallet $ 33.26  $ 34.07  $ 31.02  7.2  % 9.8  %


Three Months Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
NON-SAME STORE WAREHOUSE
Number of non-same store warehouses(2)
 29 33 n/a n/a
Global Warehouse non-same store revenue:
Rent and storage $ 36,246  $ 37,807  $ 31,617  n/r n/r
Warehouse services 36,294  37,543  36,744  n/r n/r
Total non-same store revenue $ 72,540  $ 75,350  $ 68,361  n/r n/r
Global Warehouse non-same store contribution (NOI) $ 9,232  $ 10,067  $ 6,688  n/r n/r
Global Warehouse non-same store margin 12.7  % 13.4  % 9.8  % n/r n/r
Global Warehouse non-same store rent and storage metrics:
Average economic occupied pallets 455  n/a 405  n/r n/a
Average physical occupied pallets 402  n/a 381  n/r n/a
Average physical pallet positions 614  n/a 576  n/r n/a
Economic occupancy percentage 74.1  % n/a 70.2  % n/r n/a
Physical occupancy percentage 65.5  % n/a 66.0  % n/r n/a
Non-same store rent and storage revenue per economic occupied pallet $ 79.68  $ 83.11  $ 78.13  n/r n/r
Non-same store rent and storage revenue per physical occupied pallet $ 90.16  $ 94.04  $ 83.05  n/r n/r
Global Warehouse non-same store services metrics:
Throughput pallets 1,081  n/a 1,188  n/r n/a
Non-same store warehouse services revenue per throughput pallet $ 33.57  $ 34.72  $ 30.92  n/r n/r
(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.
(n/a = not applicable)
(n/r = not relevant)



Year Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
TOTAL WAREHOUSE SEGMENT
Number of total warehouses 237 241 n/a n/a
Global Warehouse revenue:
Rent and storage $ 999,388  $ 1,019,787  $ 876,153  14.1  % 16.4  %
Warehouse services 1,303,583  1,332,867  1,209,234  7.8  % 10.2  %
Total revenue $ 2,302,971  $ 2,352,654  $ 2,085,387  10.4  % 12.8  %
Global Warehouse contribution (NOI) $ 636,232  $ 647,885  $ 586,436  8.5  % 10.5  %
Global Warehouse margin 27.6  % 27.5  % 28.1  % -49 bps -58 bps
Global Warehouse rent and storage metrics:
Average economic occupied pallets 4,318  n/a 4,047  6.7  % n/a
Average physical occupied pallets 3,991  n/a 3,701  7.8  % n/a
Average physical pallet positions 5,431  n/a 5,290  2.7  % n/a
Economic occupancy percentage 79.5  % n/a 76.5  % 300 bps n/a
Physical occupancy percentage 73.5  % n/a 70.0  % 352 bps n/a
Total rent and storage revenue per economic occupied pallet $ 231.44  $ 236.16  $ 216.48  6.9  % 9.1  %
Total rent and storage revenue per physical occupied pallet $ 250.40  $ 255.51  $ 236.72  5.8  % 7.9  %
Global Warehouse services metrics:
Throughput pallets 40,093  n/a 39,939  0.4  % n/a
Total warehouse services revenue per throughput pallet $ 32.51  $ 33.24  $ 30.28  7.4  % 9.8  %
SAME STORE WAREHOUSE
Number of same store warehouses 208 208 n/a n/a
Global Warehouse same store revenue:
Rent and storage $ 862,268  $ 877,817  $ 783,256  10.1  % 12.1  %
Warehouse services 1,151,824  1,177,011  1,109,896  3.8  % 6.0  %
Total same store revenue $ 2,014,092  $ 2,054,828  $ 1,893,152  6.4  % 8.5  %
Global Warehouse same store contribution (NOI) $ 599,745  $ 609,324  $ 570,831  5.1  % 6.7  %
Global Warehouse same store margin 29.8  % 29.7  % 30.2  % -37 bps -50 bps
Global Warehouse same store rent and storage metrics:
Average economic occupied pallets 3,879  n/a 3,714  4.4  % n/a
Average physical occupied pallets 3,592  n/a 3,394  5.8  % n/a
Average physical pallet positions 4,821  n/a 4,823  —  % n/a
Economic occupancy percentage 80.5  % n/a 77.0  % 345 bps n/a
Physical occupancy percentage 74.5  % n/a 70.4  % 413 bps n/a
Same store rent and storage revenue per economic occupied pallet $ 222.27  $ 226.28  $ 210.88  5.4  % 7.3  %
Same store rent and storage revenue per physical occupied pallet $ 240.07  $ 244.40  $ 230.81  4.0  % 5.9  %
Global Warehouse same store services metrics:
Throughput pallets 35,733  n/a 36,281  (1.5) % n/a
Same store warehouse services revenue per throughput pallet $ 32.23  $ 32.94  $ 30.59  5.4  % 7.7  %


Year Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
NON-SAME STORE WAREHOUSE
Number of non-same store warehouses(2)
 29 33 n/a n/a
Global Warehouse non-same store revenue:
Rent and storage $ 137,119  $ 141,970  $ 92,897  n/r n/r
Warehouse services 151,760  155,855  99,338  n/r n/r
Total non-same store revenue $ 288,879  $ 297,825  $ 192,235  n/r n/r
Global Warehouse non-same store contribution (NOI) $ 36,487  $ 38,559  $ 15,605  n/r n/r
Global Warehouse non-same store margin 12.6  % 12.9  % 8.1  % n/r n/r
Global Warehouse non-same store rent and storage metrics:
Average economic occupied pallets 439  n/a 333  n/r n/a
Average physical occupied pallets 399  n/a 308  n/r n/a
Average physical pallet positions 610  n/a 467  n/r n/a
Economic occupancy percentage 71.9  % n/a 71.3  % n/r n/a
Physical occupancy percentage 65.5  % n/a 65.8  % n/r n/a
Non-same store rent and storage revenue per economic occupied pallet $ 312.48  $ 323.53  $ 278.91  n/r n/r
Non-same store rent and storage revenue per physical occupied pallet $ 343.36  $ 355.51  $ 301.95  n/r n/r
Global Warehouse non-same store services metrics:
Throughput pallets 4,360  n/a 3,658  n/r n/a
Non-same store warehouse services revenue per throughput pallet $ 34.81  $ 35.75  $ 27.16  n/r n/r

(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.
(n/a = not applicable)

Fixed Commitment Rent and Storage Revenue
As of December 31, 2022, $419.5 million of the Company’s annualized rent and storage revenue were derived from customers with fixed commitment storage contracts. This compares to $396.4 million at the end of the third quarter of 2022 and $356.5 million at the end of the fourth quarter of 2021. We continue to make progress on commercializing business under this type of arrangement. On a combined pro forma basis, assuming a full twelve months of acquisitions revenue, 41.9% of rent and storage revenue was generated from fixed commitment storage contracts.

Economic and Physical Occupancy
Contracts that contain fixed commitments are designed to ensure the Company’s customers have space available when needed. For the fourth quarter of 2022, economic occupancy for the total warehouse segment was 83.8% and warehouse segment same store pool was 85.0%, representing a 568 basis point and 531 basis point increase above physical occupancy, respectively. Economic occupancy for the total warehouse segment increased 601 basis points, and the warehouse segment same store pool increased 634 basis points as compared to the fourth quarter of 2021. The growth in occupancy reflects our customers’ increased food production levels throughout 2022.



Real Estate Portfolio
As of December 31, 2022, the Company’s portfolio consists of 242 facilities. The Company ended the fourth quarter of 2022 with 237 facilities in its Global Warehouse segment portfolio and five facilities in its Third-party managed segment. The same store population consists of 208 facilities for the quarter ended December 31, 2022. The remaining 29 non-same store population includes the 11 facilities that were acquired in connection with the Bowman Stores, Brighton, ColdCo, De Bruyn Cold Storage, KMT Brrr!, Lago Cold Stores, Liberty Freezers and Newark acquisitions, 13 facilities in expansion or redevelopment, a temporarily leased facility in Australia, two facilities we previously leased and purchased during 2022, a facility in which we ceased operations during the first quarter of 2022 in order to prepare for leasing to a third-party, and a leased facility in which we ceased operations during the fourth quarter of 2022 in anticipation of the upcoming lease maturity.

Balance Sheet Activity and Liquidity
As of December 31, 2022, the Company had total liquidity of approximately $681.6 million, including cash and capacity on its revolving credit facility. Total debt outstanding was $3.3 billion (inclusive of $248.7 million of financing leases/sale lease-backs and exclusive of unamortized deferred financing fees), of which 93% was in an unsecured structure. At quarter end, net debt to pro forma Core EBITDA was approximately 6.6x. The Company’s total debt outstanding includes $3.1 billion of real estate debt, which excludes sale-leaseback and capitalized lease obligations. The Company’s real estate debt has a remaining weighted average term of 5.7 years and carries a weighted average contractual interest rate of 3.57%. As of December 31, 2022, 85% of the Company’s total debt outstanding was at a fixed rate, inclusive of hedged variable-rate for fixed-rate debt. The Company has no material debt maturities until 2026, inclusive of extension options.

Dividend
On December 6, 2022, the Company’s Board of Directors declared a dividend of $0.22 per share for the fourth quarter of 2022, which was paid on January 13, 2022 to common stockholders of record as of December 31, 2022.

2023 Outlook
The Company announced its 2023 annual AFFO per share guidance to be within the range of $1.14 - $1.24. Refer to page 42 of our financial supplement for the details of our annual guidance. The Company’s guidance is provided for informational purposes based on current plans and assumptions and is subject to change. The ranges for these metrics do not include the impact of acquisitions, dispositions, or capital markets activity beyond that which has been previously announced.

Investor Webcast and Conference Call
The Company will hold a webcast and conference call on Thursday, February 16, 2023 at 5:00 p.m. Eastern Time to discuss its fourth quarter 2022 results. A live webcast of the call will be available via the Investors section of Americold Realty Trust’s website at www.americold.com. To listen to the live webcast, please go to the site at least five minutes prior to the scheduled start time in order to register, download and install any necessary audio software. Shortly after the call, a replay of the webcast will be available for 90 days on the Company’s website.
The conference call can also be accessed by dialing 1-877-407-3982 or 1-201-493-6780. The telephone replay can be accessed by dialing 1-844-512-2921 or 1-412-317-6671 and providing the conference ID# 13734551. The telephone replay will be available starting shortly after the call until March 2, 2023.


The Company’s supplemental package will be available prior to the conference call in the Investors section of the Company’s website at http://ir.americold.com.

About the Company
Americold is the world’s largest publicly traded REIT focused on the ownership, operation, acquisition and development of temperature-controlled warehouses. Based in Atlanta, Georgia, Americold owns and operates 242 temperature-controlled warehouses, with approximately 1.4 billion refrigerated cubic feet of storage, in North America, Europe, Asia-Pacific, and South America. Americold’s facilities are an integral component of the supply chain connecting food producers, processors, distributors and retailers to consumers.

Non-GAAP Financial Measures
This press release contains non-GAAP financial measures, including FFO, core FFO, AFFO, EBITDAre, Core EBITDA; same store segment revenue and contribution (NOI); real estate debt and maintenance capital expenditures. Definitions of these non-GAAP metrics are included beginning on page 43 of our financial supplement, and reconciliations of these non-GAAP measures to their most comparable GAAP metrics are included herein. Each of the non-GAAP measures included in this report has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of the Company’s results calculated in accordance with GAAP. In addition, because not all companies use identical calculations, the Company’s presentation of non-GAAP measures in this report may not be comparable to similarly titled measures disclosed by other companies, including other REITs.

Forward-Looking Statements
This document contains statements about future events and expectations that constitute forward-looking statements. Forward-looking statements are based on our beliefs, assumptions and expectations of our future financial and operating performance and growth plans, taking into account the information currently available to us. These statements are not statements of historical fact. Forward-looking statements involve risks and uncertainties that may cause our actual results to differ materially from the expectations of future results we express or imply in any forward-looking statements, and you should not place undue reliance on such statements.


Factors that could contribute to these differences include the following: the impact of supply chain disruptions, including, among others, the impact on labor availability, raw material availability, manufacturing and food production; construction materials and transportation; uncertainties and risks related to public health crises, including the ongoing COVID-19 pandemic; adverse economic or real estate developments in our geographic markets or the temperature-controlled warehouse industry; rising interest rates and inflation in operating costs, including as a result of the COVID-19 pandemic; general economic conditions; labor and power costs; labor shortages; risks associated with the ownership of real estate generally and temperature-controlled warehouses in particular; acquisition risks, including the failure to identify or complete attractive acquisitions or the failure of acquisitions to perform in accordance with projections and to realize anticipated cost savings and revenue improvements; our failure to realize the intended benefits from our recent acquisitions, and including synergies, or disruptions to our plans and operations or unknown or contingent liabilities related to our recent acquisitions; risks related to expansions of existing properties and developments of new properties, including failure to meet targeted completion dates and budgeted or stabilized returns within expected time frames, or at all, in respect thereof; risks related to our joint ventures; a failure of our information technology systems, systems conversions and integrations, cybersecurity attacks or a breach of our information security systems, networks or processes could cause business disruptions or loss of confidential information; risks related to privacy and data security concerns, and data collection and transfer restrictions and related foreign regulations; defaults or non-renewals of significant customer contracts, including as a result of the ongoing COVID-19 pandemic; uncertainty of revenues, given the nature of our customer contracts; our failure to obtain necessary outside financing; risks related to, or restrictions contained in, our debt financings; decreased storage rates or increased vacancy rates; risks related to current and potential international operations and properties; difficulties in expanding our operations into new markets, including international markets; risks related to the partial ownership of properties, including as a result of our lack of control over such investments and the failure of such entities to perform in accordance with projections; our failure to maintain our status as a REIT; possible environmental liabilities, including costs, fines or penalties that may be incurred due to necessary remediation of contamination of properties presently or previously owned by us; financial market fluctuations; actions by our competitors and their increasing ability to compete with us; changes in applicable governmental regulations and tax legislation, including in the international markets; geopolitical conflicts, such as the ongoing conflict between Russia and Ukraine; additional risks with respect to the addition of European operations and properties; changes in real estate and zoning laws and increases in real property tax rates; our relationship with our associates, including the occurrence of any work stoppages or any disputes under our collective bargaining agreements and employment related litigation; liabilities as a result of our participation in multi-employer pension plans; uninsured losses or losses in excess of our insurance coverage; the potential liabilities, costs and regulatory impacts associated with our in-house trucking services and the potential disruptions associated with our use of third-party trucking service providers to provide transportation services to our customers; the cost and time requirements as a result of our operation as a publicly traded REIT; changes in foreign currency exchange rates; the impact of anti-takeover provisions in our constituent documents and under Maryland law, which could make an acquisition of us more difficult, limit attempts by our stockholders to replace our directors and affect the price of our common stock, $0.01 par value per share, of our common stock; and the potential dilutive effect of our common stock offerings.
Words such as “anticipates,” “believes,” “continues,” “estimates,” “expects,” “goal,” “objectives,” “intends,” “may,” “opportunity,” “plans,” “potential,” “near-term,” “long-term,” “projections,” “assumptions,” “projects,” “guidance,” “forecasts,” “outlook,” “target,” “trends,” “should,” “could,” “would,” “will” and similar expressions are intended to identify such forward-looking statements. Examples of forward-looking statements included in this document include, among others, statements about our expected acquisition and expected expansion and development pipeline and our targeted return on invested capital on expansion and development opportunities. We qualify any forward-looking statements entirely by these cautionary factors. Other risks, uncertainties and factors, including those discussed under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2021 and in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, could cause our actual results to differ materially from those projected in any forward-looking statements we make. We assume no obligation to update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Contacts:
Americold Realty Trust, Inc.
Investor Relations
Telephone: 678-459-1959
Email: investor.relations@americold.com



Americold Realty Trust, Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except shares and per share amounts)
December 31, December 31,
2022 2021
Assets
 Property, buildings and equipment:
Land $ 786,975  $ 807,495 
Buildings and improvements 4,245,607  4,152,763 
Machinery and equipment 1,407,874  1,352,399 
Assets under construction 526,811  450,153 
6,967,267  6,762,810 
Accumulated depreciation (1,901,450) (1,634,909)
Property, buildings and equipment – net 5,065,817  5,127,901 
Operating lease right-of-use assets 352,553  377,536 
Accumulated depreciation – operating leases (76,334) (57,483)
Operating leases – net 276,219  320,053 
 Financing leases:
Buildings and improvements 13,546  13,552 
Machinery and equipment 127,009  146,341 
140,555  159,893 
Accumulated depreciation – financing leases (57,626) (58,165)
Financing leases – net 82,929  101,728 
 Cash, cash equivalents and restricted cash 53,063  82,958 
 Accounts receivable – net of allowance of $15,951 and $18,755 at December 31, 2022 and 2021, respectively
 430,042  380,014 
 Identifiable intangible assets – net 925,223  980,966 
 Goodwill 1,033,637  1,072,980 
 Investments in partially owned entities 78,926  37,458 
 Other assets 158,705  112,139 
 Total assets $ 8,104,561  $ 8,216,197 
 Liabilities and equity
 Liabilities:
Borrowings under revolving line of credit $ 500,052  $ 399,314 
Accounts payable and accrued expenses 557,540  559,412 
Mortgage notes, senior unsecured notes and term loans – net of deferred financing costs of $13,044 and $11,050 in the aggregate, at December 31, 2022 and 2021, respectively
 2,569,281  2,443,806 
Sale-leaseback financing obligations 171,089  178,817 
Financing lease obligations 77,561  97,633 
Operating lease obligations 264,634  301,765 
Unearned revenue 32,046  26,143 
Pension and postretirement benefits 1,531  2,843 
Deferred tax liability – net 135,098  169,209 
Multiemployer pension plan withdrawal liability 7,851  8,179 
Total liabilities 4,316,683  4,187,121 
Equity
 Stockholders’ equity:
Common stock, $0.01 par value – 500,000,000 authorized shares; 269,814,956 and 268,282,592 issued and outstanding at December 31, 2022 and 2021, respectively
 2,698  2,683 
Paid-in capital 5,191,969  5,171,690 
Accumulated deficit and distributions in excess of net earnings (1,415,198) (1,157,888)
Accumulated other comprehensive (loss) income (6,050) 4,522 
Total stockholders’ equity 3,773,419  4,021,007 
Noncontrolling interests:
Noncontrolling interests in operating partnership 14,459  8,069 
Total equity 3,787,878  4,029,076 
Total liabilities and equity $ 8,104,561  $ 8,216,197 




Americold Realty Trust, Inc. and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share amounts)
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
Revenues:
Rent, storage and warehouse services $ 598,690  $ 554,155  $ 2,302,971  $ 2,085,387 
Transportation services 76,190  78,041  313,358  312,092 
Third-party managed services 46,624  84,284  298,406  317,311 
Total revenues 721,504  716,480  2,914,735  2,714,790 
Operating expenses:
Rent, storage and warehouse services cost of operations 426,363  403,271  1,666,739  1,498,951 
Transportation services cost of operations 61,738  70,869  265,956  282,716 
Third-party managed services cost of operations 45,177  80,946  286,077  303,347 
Depreciation and amortization 82,467  87,601  331,446  319,840 
Selling, general and administrative 60,073  49,004  231,067  182,076 
Acquisition, litigation and other, net 11,899  20,567  32,511  51,578 
Impairment of indefinite and long-lived assets 764  —  7,380  3,312 
(Gain) loss from sale of real estate (21) —  5,689  — 
Total operating expenses 688,460  712,258  2,826,865  2,641,820 
Operating income 33,044  4,222  87,870  72,970 
Other (expense) income:
Interest expense (33,407) (21,339) (116,127) (99,177)
Loss on debt extinguishment, modifications and termination of derivative instruments (933) (638) (3,217) (5,689)
Interest income 657  91  1,633  841 
Foreign currency exchange gain (loss), net 2,477  (294) (975) (610)
Other income, net 527  1,203  1,806  1,791 
Loss from investments in partially owned entities (2,101) (753) (9,300) (2,004)
Income (loss) before income taxes 264  (17,508) (38,310) (31,878)
Income tax benefit
Current (721) (625) (3,725) (7,578)
Deferred 3,412  10,151  22,561  9,147 
Total income tax benefit 2,691  9,526  18,836  1,569 
Net income (loss) $ 2,955  $ (7,982) $ (19,474) $ (30,309)
Net income (loss) attributable to noncontrolling interests 11  (18) (34) 146 
Net income (loss) attributable to Americold Realty Trust $ 2,944  $ (7,964) $ (19,440) $ (30,455)
Weighted average common stock outstanding – basic 269,826  267,499  269,565  259,056 
Weighted average common stock outstanding – diluted 270,770  268,179  269,565  259,056 
Net income (loss) per common share - basic $ 0.01  $ (0.03) $ (0.07) $ (0.12)
Net income (loss) per common share - diluted $ 0.01  $ (0.03) $ (0.07) $ (0.12)






Reconciliation of Net Income (Loss) to NAREIT FFO, Core FFO, and AFFO
(In thousands, except per share amounts)
  Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
Net income (loss) $ 2,955  $ (8,937) $ 3,953  $ (17,445) $ (7,982) $ (19,474) $ (30,309)
Adjustments:
Real estate related depreciation 53,094  53,139  51,738  52,200  54,816  210,171  200,184 
(Gain) loss on sale of real estate (21) 5,710  —  —  —  5,689  — 
Net loss on asset disposals 175  893  4  63  65  1,135  12 
Impairment charges on real estate assets —  3,407  —  —  —  3,407  1,752 
Our share of reconciling items related to partially owned entities 1,209  822  1,346  1,033  822  4,410  2,412 
Funds from operations $ 57,412  $ 55,034  $ 57,041  $ 35,851  $ 47,721  $ 205,338  $ 174,051 
Adjustments:
Net loss (gain) on sale of non-real estate assets 2,274  310  72  (235) 861  2,421  267 
Acquisition, litigation and other, net 11,899  4,874  5,663  10,075  20,567  32,511  51,578 
Goodwill impairment —  3,209  —  —  —  3,209  — 
Share-based compensation expense, IPO grants —  —  —  —  —  —  163 
Loss on debt extinguishment, modifications and termination of derivative instruments 933  1,040  628  616  638  3,217  5,689 
Foreign currency exchange (gain) loss (2,477) 2,487  1,290  (325) 294  975  610 
Gain on extinguishment of New Market Tax Credit Structure —  —  (3,410) —  —  (3,410) — 
Loss on deconsolidation of subsidiary contributed to LATAM joint venture —  —  4,148  —  —  4,148  — 
Our share of reconciling items related to partially owned entities 127  136  (36) 347  74  574  439 
Core FFO $ 70,168  $ 67,090  $ 65,396  $ 46,329  $ 70,155  $ 248,983  $ 232,797 
Adjustments:
Amortization of deferred financing costs and pension withdrawal liability 1,305  1,222  1,160  1,146  1,104  4,833  4,425 
Amortization of below/above market leases 534  540  549  508  843  2,131  2,261 
Non-real estate asset impairment 764  —  —  —  —  764  1,560 
Straight-line net rent 333  133  77  204  (302) 747  (216)
Deferred income tax benefit (3,412) (4,374) (12,886) (1,889) (10,151) (22,561) (9,147)
Share-based compensation expense, excluding IPO grants 5,036  6,720  7,032  8,349  9,112  27,137  23,737 
Non-real estate depreciation and amortization 29,373  30,530  30,952  30,420  32,785  121,275  119,656 
Maintenance capital expenditures(a)
 (26,701) (22,586) (20,118) (16,106) (20,808) (85,511) (75,965)
Our share of reconciling items related to partially owned entities 819  57  1,713  (107) (502) 2,482  387 
Adjusted FFO $ 78,219  $ 79,332  $ 73,875  $ 68,854  $ 82,236  $ 300,280  $ 299,495 




Reconciliation of Net Income (Loss) to NAREIT FFO, Core FFO, and AFFO (continued)
(In thousands except per share amounts)
Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
NAREIT Funds from operations $ 57,412  $ 55,034  $ 57,041  $ 35,851  $ 47,721  $ 205,338  $ 174,051 
Core FFO $ 70,168  $ 67,091  $ 65,396  $ 46,329  $ 70,155  $ 248,984  $ 232,797 
Adjusted FFO $ 78,219  $ 79,333  $ 73,875  $ 68,854  $ 82,236  $ 300,281  $ 299,495 
Reconciliation of weighted average shares:
Weighted average basic shares for net income calculation 269,826  269,586  269,497  269,164  267,499  269,565  259,056 
Dilutive stock options, unvested restricted stock units, equity forward contracts 944  1,105  887  835  680  1,041  2,070 
Weighted average dilutive shares 270,770  270,691  270,384  269,999  268,179  270,606  261,126 
NAREIT FFO - basic per share $ 0.21  $ 0.20  $ 0.21  $ 0.13  $ 0.18  $ 0.76 $ 0.67
NAREIT FFO - diluted per share $ 0.21  $ 0.20  $ 0.21  $ 0.13  $ 0.18  $ 0.76 $ 0.67
Core FFO - basic per share $ 0.26  $ 0.25  $ 0.24  $ 0.17  $ 0.26  $ 0.92 $ 0.90
Core FFO - diluted per share $ 0.26  $ 0.25  $ 0.24  $ 0.17  $ 0.26  $ 0.92 $ 0.89
Adjusted FFO - basic per share $ 0.29  $ 0.29  $ 0.27  $ 0.26  $ 0.31  $ 1.11 $ 1.16
Adjusted FFO - diluted per share $ 0.29  $ 0.29  $ 0.27  $ 0.26  $ 0.31  $ 1.11 $ 1.15
(a) Maintenance capital expenditures include capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology.

















Reconciliation of Net Income (Loss) to EBITDA, NAREIT EBITDAre, and Core EBITDA
(In thousands)
  Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
Net income (loss) $ 2,955  $ (8,937) $ 3,953  $ (17,445) $ (7,982) $ (19,474) $ (30,309)
Adjustments:
Depreciation and amortization 82,467  83,669  82,690  82,620  87,601  331,446  319,840 
Interest expense 33,407  30,402  26,545  25,773  21,339  116,127  99,177 
Income tax benefit (2,691) (3,368) (12,069) (708) (9,526) (18,836) (1,569)
EBITDA $ 116,138  $ 101,766  $ 101,119  $ 90,240  $ 91,432  $ 409,263  $ 387,139 
Adjustments:
(Gain) loss on sale of real estate (21) 5,710  —  —  —  5,689  — 
Adjustment to reflect share of EBITDAre of partially owned entities 5,019  3,383  6,215  3,198  4,625  17,815  8,966 
NAREIT EBITDAre $ 121,136  $ 110,859  $ 107,334  $ 93,438  $ 96,057  $ 432,767  $ 396,105 
Adjustments:
Acquisition, litigation and other, net 11,899  4,874  5,663  10,075  20,567  32,511  51,578 
Loss from investments in partially owned entities 2,101  1,440  3,647  2,112  753  9,300  2,004 
Impairment of indefinite and long-lived assets 764  6,616  —  —  —  7,380  3,312 
Foreign currency exchange (gain) loss (2,477) 2,487  1,290  (325) 294  975  610 
Share-based compensation expense 5,036  6,720  7,032  8,349  9,112  27,137  23,900 
Loss on debt extinguishment, modifications and termination of derivative instruments 933  1,040  628  616  638  3,217  5,689 
Loss (gain) on real estate and other asset disposals 2,449  1,203  76  (172) 926  3,556  279 
Gain on extinguishment of New Market Tax Credit Structure —  —  (3,410) —  —  (3,410) — 
Loss on deconsolidation of subsidiary contributed to LATAM joint venture —  —  4,148  —  —  4,148  — 
Reduction in EBITDAre from partially owned entities (5,019) (3,383) (6,215) (3,198) (4,625) (17,815) (8,966)
Core EBITDA $ 136,822  $ 131,856  $ 120,193  $ 110,895  $ 123,722  $ 499,766  $ 474,511 
























Revenue and Contribution (NOI) by Segment
(in thousands)
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
Segment revenues:
Warehouse $ 598,690  $ 554,155  $ 2,302,971  $ 2,085,387 
Transportation 76,190  78,041  313,358  312,092 
Third-party managed 46,624  84,284  298,406  317,311 
Total revenues 721,504  716,480  2,914,735  2,714,790 
Segment contribution (NOI):
Warehouse 172,327  150,884  636,232  586,436 
Transportation 14,452  7,172  47,402  29,376 
Third-party managed 1,447  3,338  12,329  13,964 
Total segment contribution (NOI) 188,226  161,394  695,963  629,776 
Reconciling items:
Depreciation and amortization (82,467) (87,601) (331,446) (319,840)
Selling, general and administrative (60,073) (49,004) (231,067) (182,076)
Acquisition, litigation and other, net (11,899) (20,567) (32,511) (51,578)
Impairment of indefinite and long-lived assets (764) —  (7,380) (3,312)
Gain (loss) from sale of real estate 21  —  (5,689) — 
Interest expense (33,407) (21,339) (116,127) (99,177)
Interest income 657  91  1,633  841 
Loss on debt extinguishment, modifications and termination of derivative instruments (933) (638) (3,217) (5,689)
Foreign currency exchange gain (loss), net 2,477  (294) (975) (610)
Other income, net 527  1,203  1,806  1,791 
Loss from investments in partially owned entities (2,101) (753) (9,300) (2,004)
Income (loss) before income taxes $ 264  $ (17,508) $ (38,310) $ (31,878)
We view and manage our business through three primary business segments—warehouse, transportation, third-party managed. Our core business is our warehouse segment, where we provide temperature-controlled warehouse storage and related handling and other warehouse services. In our warehouse segment, we collect rent and storage fees from customers to store their frozen and perishable food and other products within our real estate portfolio. We also provide our customers with handling and other warehouse services related to the products stored in our buildings that are designed to optimize their movement through the cold chain, such as the placement of food products for storage and preservation, the retrieval of products from storage upon customer request,case-picking, blast freezing, produce grading and bagging, ripening, kitting, protein boxing, repackaging, e-commerce fulfillment, and other recurring handling services.
In our transportation segment, we broker and manage transportation of frozen and perishable food and other products for our customers. Our transportation services include consolidation services (i.e., consolidating a customer’s products with those of other customers for more efficient shipment), freight under management services (i.e., arranging for and overseeing transportation of customer inventory) and dedicated transportation services, each designed to improve efficiency and reduce transportation and logistics costs to our customers. We provide these transportation services at cost plus a service fee or, in the case of our consolidation or dedicated services, we may charge a fixed fee. We supplemented our regional, national and truckload consolidation services with the transportation operations from various warehouse acquisitions. We also provide multi-modal global freight forwarding services to support our customers’ needs in certain markets.
Under our third-party managed segment, we manage warehouses on behalf of third parties and provide warehouse management services to leading food manufacturers and retailers in their owned facilities. We believe using our third-party management services allows our customers to increase efficiency, reduce costs, reduce supply-chain risks and focus on their core businesses. We also believe that providing third-party management services allows us to offer a complete and integrated suite of services across the cold chain.











Notes and Definitions
We calculate funds from operations, or FFO, in accordance with the standards established by the Board of Governors of the National Association of Real Estate Investment Trusts, or NAREIT. NAREIT defines FFO as net income or loss determined in accordance with U.S. GAAP, excluding extraordinary items as defined under U.S. GAAP and gains or losses from sales of previously depreciated operating real estate assets, plus specified non-cash items, such as real estate asset depreciation and amortization, real estate asset impairment and our share of reconciling items for partially owned entities. We believe that FFO is helpful to investors as a supplemental performance measure because it excludes the effect of depreciation, amortization and gains or losses from sales of real estate, all of which are based on historical costs, which implicitly assumes that the value of real estate diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, FFO can facilitate comparisons of operating performance between periods and among other equity REITs.
We calculate core funds from operations, or Core FFO, as FFO adjusted for the effects of gain or loss on the sale of non-real estate assets, acquisition, litigation and other, net, goodwill impairment, share-based compensation expense for the IPO retention grants, loss on debt extinguishment, modifications and termination of derivative instruments, and foreign currency exchange loss. We also adjust for the impact of Core FFO attributable to gain on extinguishment of New Market Tax Structure, loss on deconsolidation of subsidiary contributed to the LATAM joint venture and our share of reconciling items related to partially owned entities. We believe that Core FFO is helpful to investors as a supplemental performance measure because it excludes the effects of certain items which can create significant earnings volatility, but which do not directly relate to our core business operations. We believe Core FFO can facilitate comparisons of operating performance between periods, while also providing a more meaningful predictor of future earnings potential.
However, because FFO and Core FFO add back real estate depreciation and amortization and do not capture the level of maintenance capital expenditures necessary to maintain the operating performance of our properties, both of which have material economic impacts on our results from operations, we believe the utility of FFO and Core FFO as a measure of our performance may be limited.
We calculate adjusted funds from operations, or Adjusted FFO, as Core FFO adjusted for the effects of amortization of deferred financing costs and pension withdrawal liability, non-real estate asset impairment, amortization of above or below market leases, straight-line net rent, provision or benefit from deferred income taxes, share-based compensation expense from grants under our equity incentive plans, excluding IPO grants, non-real estate depreciation and amortization, non-real estate depreciation and amortization from foreign joint ventures and maintenance capital expenditures. We also adjust for AFFO attributable to our share of reconciling items of partially owned entities. We believe that Adjusted FFO is helpful to investors as a meaningful supplemental comparative performance measure of our ability to make incremental capital investments in our business and to assess our ability to fund distribution requirements from our operating activities.
FFO, Core FFO and Adjusted FFO are used by management, investors and industry analysts as supplemental measures of operating performance of equity REITs. FFO, Core FFO and Adjusted FFO should be evaluated along with U.S. GAAP net income and net income per diluted share (the most directly comparable U.S. GAAP measures) in evaluating our operating performance. FFO, Core FFO and Adjusted FFO do not represent net income or cash flows from operating activities in accordance with U.S. GAAP and are not indicative of our results of operations or cash flows from operating activities as disclosed in our consolidated statements of operations included in our quarterly and annual reports. FFO, Core FFO and Adjusted FFO should be considered as supplements, but not alternatives, to our net income or cash flows from operating activities as indicators of our operating performance. Moreover, other REITs may not calculate FFO in accordance with the NAREIT definition or may interpret the NAREIT definition differently than we do. Accordingly, our FFO may not be comparable to FFO as calculated by other REITs. In addition, there is no industry definition of Core FFO or Adjusted FFO and, as a result, other REITs may also calculate Core FFO or Adjusted FFO, or other similarly-captioned metrics, in a manner different than we do. The table above reconciles FFO, Core FFO and Adjusted FFO to net (loss) income, which is the most directly comparable financial measure calculated in accordance with U.S. GAAP.
We calculate EBITDA for Real Estate, or EBITDAre, in accordance with the standards established by the Board of Governors of NAREIT, defined as, earnings before interest expense, taxes, depreciation and amortization, net gain on sale of real estate, net of withholding taxes, and adjustment to reflect share of EBITDAre of partially owned entities. EBITDAre is a measure commonly used in our industry, and we present EBITDAre to enhance investor understanding of our operating performance. We believe that EBITDAre provides investors and analysts with a measure of operating results unaffected by differences in capital structures, capital investment cycles and useful life of related assets among otherwise comparable companies.
We also calculate our Core EBITDA as EBITDAre further adjusted for acquisition, litigation and other, net, loss on partially owned entities, impairment of indefinite and long-lived assets, foreign currency exchange gain or loss, share-based compensation expense, loss on debt extinguishment, modifications and termination of derivative instruments, gain on extinguishment of New Market Tax Credit structure, loss on deconsolidation of subsidiary contributed to joint venture, net loss on other asset disposals, and reduction in EBITDAre from partially owned entities. We believe that the presentation of Core EBITDA provides a measurement of our operations that is meaningful to investors because it excludes the effects of certain items that are otherwise included in EBITDAre but which we do not believe are indicative of our core business operations. EBITDAre and Core EBITDA are not measurements of financial performance under U.S. GAAP, and our EBITDAre and Core EBITDA may not be comparable to similarly titled measures of other companies. You should not consider our EBITDAre and Core EBITDA as alternatives to net income or cash flows from operating activities determined in accordance with U.S. GAAP. Our calculations of EBITDAre and Core EBITDA have limitations as analytical tools, including:
•these measures do not reflect our historical or future cash requirements for maintenance capital expenditures or growth and expansion capital expenditures;
•these measures do not reflect changes in, or cash requirements for, our working capital needs;
•these measures do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on our indebtedness;
•these measures do not reflect our tax expense or the cash requirements to pay our taxes; and
•although depreciation and amortization are non-cash charges, the assets being depreciated will often have to be replaced in the future and these measures do not reflect any cash requirements for such replacements.


We use Core EBITDA and EBITDAre as measures of our operating performance and not as measures of liquidity. The table on page 20 of our financial supplement reconciles EBITDA, EBITDAre and Core EBITDA to net income, which is the most directly comparable financial measure calculated in accordance with U.S. GAAP.
Net debt to proforma Core EBITDA is calculated using total debt, plus capital lease obligations, less cash and cash equivalents, divided by pro-forma Core EBITDA. We calculate pro-forma Core EBITDA as Core EBITDA further adjusted for acquisitions, dispositions and for rent expense associated with lease buy-outs and lease exits. The pro-forma adjustment for acquisitions reflects the Core EBITDA for the period of time prior to acquisition. The pro-forma adjustment for leased facilities exited or purchased reflects the add-back for the related lease expense from the last year. The pro-forma adjustment for dispositions reduces Core EBITDA for the earnings of facilities disposed of or exited during the year, including the strategic exit of certain third-party managed business.
We define our “same store” population once a year at the beginning of the current calendar year. Our same store population includes properties that were owned or leased for the entirety of two comparable periods and that have reported at least twelve months of consecutive normalized operations prior to January 1 of the prior calendar year. We define “normalized operations” as properties that have been open for operation or lease after development or significant modification, including the expansion of a warehouse footprint or a warehouse rehabilitation subsequent to an event, such as a natural disaster or similar event causing disruption to operations. In addition, our definition of “normalized operations” takes into account changes in the ownership structure (e.g., purchase of acquired properties will be included in the “same store” population if owned by us as of the first business day of each year, of the prior calendar year and still owned by us as of the end of the current reporting period, unless the property is under development). The “same store” pool is also adjusted to remove properties that were sold or entering development subsequent to the beginning of the current calendar year. As such, the “same store” population for the period ended December 31, 2022 includes all properties that we owned at January 2, which had both been owned and had reached “normalized operations” by January 2, 2022.
We calculate “same store revenue” as revenues for the same store population. We calculate “same store contribution (NOI)” as revenues for the same store population less its cost of operations (excluding any depreciation and amortization, impairment charges, corporate-level selling, general and administrative expenses, corporate-level acquisition, litigation and other, net and gain or loss on sale of real estate). In order to derive an appropriate measure of period-to-period operating performance, we also calculate our same store contribution (NOI) on a constant currency basis to remove the effects of foreign currency exchange rate movements by using the comparable prior period exchange rate to translate from local currency into U.S. dollars for both periods. We evaluate the performance of the warehouses we own or lease using a “same store” analysis, and we believe that same store contribution (NOI) is helpful to investors as a supplemental performance measure because it includes the operating performance from the population of properties that is consistent from period to period and also on a constant currency basis, thereby eliminating the effects of changes in the composition of our warehouse portfolio and currency fluctuations on performance measures. Same store contribution (NOI) is not a measurement of financial performance under U.S. GAAP. In addition, other companies providing temperature-controlled warehouse storage and handling and other warehouse services may not define same store or calculate same store contribution (NOI) in a manner consistent with our definition or calculation. Same store contribution (NOI) should be considered as a supplement, but not as an alternative, to our results calculated in accordance with U.S. GAAP. The tables beginning on page 32 of our financial supplement provide reconciliations for same store revenues and same store contribution (NOI).
We define “maintenance capital expenditures” as capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology. Maintenance capital expenditures include capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology. Maintenance capital expenditures do not include acquisition costs contemplated when underwriting the purchase of a building or costs which are incurred to bring a building up to Americold’s operating standards. See the tables on page 29 of our financial supplement for additional information regarding our maintenance capital expenditures.
We define “total real estate debt” as the aggregate of the following: mortgage notes, senior unsecured notes, term loans and borrowings under our revolving line of credit. We define “total debt outstanding” as the aggregate of the following: total real estate debt, sale-leaseback financing obligations and financing lease obligations. See the tables on page 22 of our financial supplement for additional information regarding our indebtedness.
All quarterly amounts and non-GAAP disclosures within this filing shall be deemed unaudited.

EX-99.2 3 q42022-quarterlysupplement.htm EX-99.2 Document

Exhibit 99.2
fs_c2-q3fy22earningscover.jpg

    
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Financial Supplement
Fourth Quarter 2022
                                        

Table of Contents
Overview PAGE
Corporate Profile
Earnings Release
Selected Quarterly Financial Data
Financial Information
Consolidated Balance Sheets
Consolidated Statements of Operations
Reconciliation of Net (Loss) Income to NAREIT FFO, Core FFO and AFFO
Reconciliation of Net (Loss) Income to EBITDA, NAREIT EBITDAre, and Core EBITDA
Acquisition, Litigation and Other, net
Debt Detail and Maturities
Operations Overview
Revenue and Contribution (NOI) by Segment
Global Warehouse Economic and Physical Occupancy Trend
Global Warehouse Portfolio
Fixed Commitment and Lease Maturity Schedules
Maintenance Capital Expenditures, Repair and Maintenance Expenses and External Growth, Expansion and Development Capital Expenditures
Total Global Warehouse Segment Financial and Operating Performance
Global Warehouse Segment Financial Performance
Same-store Financial Performance
Same-store Key Operating Metrics
Same-store Historical Performance Trend
External Growth and Capital Deployment
Unconsolidated Joint Ventures (Investments in Partially Owned Entities)
2023 Guidance
Notes and Definitions









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Financial Supplement
Fourth Quarter 2022
                                        
Corporate Profile

We are the world’s largest publicly traded REIT focused on the ownership, operation, acquisition and development of temperature-controlled warehouses. We are organized as a self-administered and self-managed REIT with proven operating, development and acquisition expertise. As of December 31, 2022, we operated a global network of 242 temperature-controlled warehouses encompassing approximately 1.4 billion cubic feet, with 195 warehouses in North America, 27 in Europe, 18 warehouses in Asia-Pacific, and two warehouses in South America. In addition, we hold three minority interests in joint ventures, one with SuperFrio, which owns or operates 38 temperature-controlled warehouses in Brazil, one with Comfrio, which owns or operates 28 temperature-controlled warehouses in Brazil, and one with the LATAM JV, which owns one temperature-controlled warehouse in Chile.

Corporate Headquarters
10 Glenlake Parkway South Tower, Suite 600
Atlanta, Georgia 30328
Telephone: (678) 441-1400
Website: www.americold.com

Senior Management
George F. Chappelle Jr.: Chief Executive Officer and Director
Marc J. Smernoff: Chief Financial Officer and Executive Vice President
Robert S. Chambers: Chief Commercial Officer and Executive Vice President
James C. Snyder, Jr.: Chief Legal Officer and Executive Vice President
David C. Moore: Chief Operating Officer - North America and Executive Vice President
Richard C. Winnall: Chief Operating Officer - International and Executive Vice President
Samantha L. Charleston: Chief Human Resources Officer and Executive Vice President
Thomas C. Novosel: Chief Accounting Officer and Senior Vice President
Board of Directors
Mark R. Patterson: Chairman of the Board of Directors
George J. Alburger, Jr.: Director
Kelly H. Barrett: Director
Robert L. Bass: Director
George F. Chappelle Jr.: Chief Executive Officer and Director
Antonio F. Fernandez: Director
Pamela K. Kohn: Director
David J. Neithercut: Director
Andrew P. Power: Director

Investor Relations
To request more information or to be added to our e-mail distribution list, please visit our website: www.americold.com
(Please proceed to the Investors section)

Investor Relations
Telephone: 678-459-1959
Email: investor.relations@americold.com


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Financial Supplement
Fourth Quarter 2022
                                        
Analyst Coverage
Firm Analyst Name Contact Email
Baird Equity Research David B. Rodgers 216-737-7341 drodgers@rwbaird.com
Bank of America Merrill Lynch Joshua Dennerlein 646-855-1681 joshua.dennerlein@bofa.com
Barclays Anthony Powell 212-526-8768 anthony.powell@barclays.com
BNP Paribas Exane Research Nate Crossett 646-725-3716 nate.crossett@exanebnpparibas.com
Citi
Craig Mailman
 212-816-4471
craig.mailman@citi.com
Evercore ISI Samir Khanal /
Steve Sakwa		 212-888-3796 / 212-446-9462 samir.khanal@evercoreisi.com / steve.sakwa@evercoreisi.com
Green Street Advisors Vince Tibone 949-640-8780 vtibone@greenstreet.com
J.P. Morgan Michael W. Mueller 212-622-6689 michael.w.mueller@jpmorgan.com
KeyBanc Todd Thomas 917-368-2286 tthomas@key.com
MorningStar Research Services Suryansh Sharma 314-585-6793 suryansh.sharma@morningstar.com
Raymond James William A. Crow 727-567-2594 bill.crow@raymondjames.com
RBC Michael Carroll 440-715-2649 michael.carroll@rbccm.com
Truist Ki Bin Kim 212-303-4124 kibin.kim@truist.com
Wolfe Research Andrew Rosivach 646-582-9250 arosivach@wolferesearch.com

Stock Listing Information
The shares of Americold Realty Trust, Inc. are traded on the New York Stock Exchange under the symbol “COLD”.

Credit Ratings
DBRS Morningstar
Credit Rating: BBB (Stable Trend)
Fitch
Issuer Default Rating: BBB (Negative Outlook)
Moody’s
Issuer Rating: Baa3 (Stable Outlook)

These credit ratings may not reflect the potential impact of risks relating to the structure or trading of the Company’s securities and are provided solely for informational purposes. Credit ratings are not recommendations to buy, hold or sell any security, and may be revised or withdrawn at any time by the issuing rating agency at its sole discretion. The Company does not undertake any obligation to maintain the ratings or to advise of any change in ratings. Each agency’s rating should be evaluated independently of any other agency’s rating. An explanation of the significance of the ratings may be obtained from each of the rating agencies.
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Financial Supplement
Fourth Quarter 2022
AMERICOLD REALTY TRUST, INC. ANNOUNCES FOURTH QUARTER 2022 RESULTS
Atlanta, GA, February 16, 2023 - Americold Realty Trust, Inc. (NYSE: COLD) (the “Company”), the world’s largest publicly traded REIT focused on the ownership, operation, acquisition and development of temperature-controlled warehouses, today announced financial and operating results for the fourth quarter ended December 31, 2022.
Fourth Quarter 2022 Highlights
•Total revenue increased 0.7% to $721.5 million.
•Total NOI increased 16.6% to $188.2 million.
•Core EBITDA increased 10.6% to $136.8 million, and increased 13.6% on a constant currency basis.
•Net income of $3.0 million, or $0.01 per diluted common share.
•Core FFO of $70.2 million, or $0.26 per diluted common share.
•AFFO of $78.2 million, or $0.29 per diluted common share.
•Global Warehouse segment revenue increased 8.0% to $598.7 million.
•Global Warehouse segment NOI increased 14.2% to $172.3 million.
•Global Warehouse segment same store revenue increased 8.3%, or 10.9% on a constant currency basis, Global Warehouse segment same store NOI increased by 13.1%, or 15.4% on a constant currency basis.
•Completed the Barcelona expansion for approximately €13.0 million.
•Completed the strategic exit of a significant component of our lower margin Third-party managed segment.
•On November 1, we prepaid at par the remaining $264.1 million indebtedness on our 2013 CMBS thereby transitioning all real estate debt to unsecured.
Year to Date 2022 Highlights
•Total revenue increased 7.4% to $2.9 billion.
•Total NOI increased 10.5% to $696.0 million.
•Core EBITDA increased 5.3% to $499.8 million, or 7.3% on a constant currency basis.
•Net loss of $19.5 million, or $0.07 loss per diluted common share.
•Core FFO of $249.0 million, or $0.92 per diluted common share.
•AFFO of $300.3 million, or $1.11 per diluted common share.
•Global Warehouse segment revenue increased 10.4% to $2.3 billion.
•Global Warehouse segment NOI increased 8.5% to $636.2 million.
•Global Warehouse segment same store revenue increased 6.4%, or 8.5% on a constant currency basis, Global Warehouse segment same store NOI increased 5.1%, or 6.7% on a constant currency basis.
Fourth Quarter 2022 Total Company Financial Results
Total revenue for the fourth quarter of 2022 was $721.5 million, a 0.7% increase from the same quarter of the prior year. This growth was driven by our core warehouse business which benefited from our pricing initiatives and rate escalations, higher economic occupancy, incremental revenue from acquisitions and recently completed expansion and development projects, partially offset by lower throughput volume in our same store portfolio. These increases exceeded the decrease in revenue from our Third-party managed segment as a result of our strategic exit of a significant component of this business.
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Financial Supplement
Fourth Quarter 2022
Additionally, total revenue was impacted by unfavorable foreign currency translation as the USD strengthened against the currencies of our foreign operations.
Total NOI for the fourth quarter of 2022 was $188.2 million, an increase of 16.6% from the same quarter of the prior year. This increase is a result of the same factors driving the increase in revenue mentioned above, the increase in profitability of our Transportation segment, partially offset by inflationary pressure on operating costs, labor and operational inefficiencies and a slight decline in contribution from our Third-party managed segment.
Core EBITDA was $136.8 million for the fourth quarter of 2022, compared to $123.7 million for the same quarter of the prior year. This reflects a 10.6% increase over prior year on an actual basis, and 13.6% on a constant currency basis. The increase is due to the same factors driving the increase in NOI mentioned above, partially offset by an increase in selling, general and administrative costs.
For the fourth quarter of 2022, the Company reported net income of $3.0 million, or $0.01 per diluted share, compared to net loss of $8.0 million, or $0.03 loss per diluted share, for the same quarter of the prior year.
For the fourth quarter of both 2022 and 2021, Core FFO was $70.2 million, or $0.26 per diluted share.
For the fourth quarter of 2022, AFFO was $78.2 million, or $0.29 per diluted share, compared to $82.2 million, or $0.31 per diluted share, for the same quarter of the prior year.
Please see the Company’s supplemental financial information for the definitions and reconciliations of non-GAAP financial measures to the most comparable GAAP financial measures.
Fourth Quarter 2022 Global Warehouse Segment Results
For the fourth quarter of 2022, Global Warehouse segment revenue was $598.7 million, an increase of $44.5 million, or 8.0%, compared to $554.2 million for the fourth quarter of 2021. This growth was principally driven by growth in our same store pool resulting from our pricing initiative and rate escalations and higher economic occupancy as compared to 2021, paired with increases in our non-same store pool from incremental revenue from acquisitions and recently completed development projects. This was partially offset by the unfavorable impact of foreign currency translation and lower throughput in our same store pool.
Global Warehouse segment NOI was $172.3 million for the fourth quarter of 2022 as compared to $150.9 million for the fourth quarter of 2021. Global Warehouse segment NOI increased due to the drivers of warehouse revenue increase mentioned above, offset by the impact of inflationary pressures, start-up costs for our developments, labor and operational inefficiencies and the unfavorable impact of foreign currency translation. Global Warehouse segment margin was 28.8% for the fourth quarter of 2022, a 156 basis point increase compared to the same quarter of the prior year.
We had 208 same store warehouses for the three months ended December 31, 2022. The following table presents revenues, cost of operations, contribution (NOI) and margins for our same store and non-same store warehouses with a reconciliation to the total financial metrics of our warehouse segment for the three months ended December 31, 2022. Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.

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Financial Supplement
Fourth Quarter 2022
Three Months Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
TOTAL WAREHOUSE SEGMENT
Number of total warehouses 237 241 n/a n/a
Global Warehouse revenue:
Rent and storage $ 267,031  $ 273,754  $ 233,367  14.4  % 17.3  %
Warehouse services 331,659  340,155  320,788  3.4  % 6.0  %
Total revenue $ 598,690  $ 613,909  $ 554,155  8.0  % 10.8  %
Global Warehouse contribution (NOI) $ 172,328  $ 176,481  $ 150,884  14.2  % 17.0  %
Global Warehouse margin 28.8  % 28.7  % 27.2  % 156 bps 152 bps
Global Warehouse rent and storage metrics:
Average economic occupied pallets 4,537  n/a 4,207  7.9  % n/a
Average physical occupied pallets 4,229  n/a 3,861  9.5  % n/a
Average physical pallet positions 5,415  n/a 5,409  0.1  % n/a
Economic occupancy percentage 83.8  % n/a 77.8  % 601 bps n/a
Physical occupancy percentage 78.1  % n/a 71.4  % 671 bps n/a
Total rent and storage revenue per economic occupied pallet $ 58.86  $ 60.34  $ 55.48  6.1  % 8.8  %
Total rent and storage revenue per physical occupied pallet $ 63.14  $ 64.73  $ 60.43  4.5  % 7.1  %
Global Warehouse services metrics:
Throughput pallets 9,963  n/a 10,346  (3.7) % n/a
Total warehouse services revenue per throughput pallet $ 33.29  $ 34.14  $ 31.01  7.4  % 10.1  %
SAME STORE WAREHOUSE
Number of same store warehouses 208 208 n/a n/a
Global Warehouse same store revenue:
Rent and storage $ 230,785  $ 235,947  $ 201,750  14.4  % 17.0  %
Warehouse services 295,365  302,612  284,044  4.0  % 6.5  %
Total same store revenue $ 526,150  $ 538,559  $ 485,794  8.3  % 10.9  %
Global Warehouse same store contribution (NOI) $ 163,096  $ 166,414  $ 144,196  13.1  % 15.4  %
Global Warehouse same store margin 31.0  % 30.9  % 29.7  % 132 bps 122 bps
Global Warehouse same store rent and storage metrics:
Average economic occupied pallets 4,082  n/a 3,802  7.4  % n/a
Average physical occupied pallets 3,827  n/a 3,481  10.0  % n/a
Average physical pallet positions 4,802  n/a 4,833  (0.6) % n/a
Economic occupancy percentage 85.0  % n/a 78.7  % 634 bps n/a
Physical occupancy percentage 79.7  % n/a 72.0  % 768 bps n/a
Same store rent and storage revenue per economic occupied pallet $ 56.54  $ 57.80  $ 53.07  6.5  % 8.9  %
Same store rent and storage revenue per physical occupied pallet $ 60.30  $ 61.65  $ 57.96  4.0  % 6.4  %
Global Warehouse same store services metrics:
Throughput pallets 8,882  n/a 9,157  (3.0) % n/a
Same store warehouse services revenue per throughput pallet $ 33.26  $ 34.07  $ 31.02  7.2  % 9.8  %
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Financial Supplement
Fourth Quarter 2022
Three Months Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
NON-SAME STORE WAREHOUSE
Number of non-same store warehouses(2)
 29 33 n/a n/a
Global Warehouse non-same store revenue:
Rent and storage $ 36,246  $ 37,807  $ 31,617  n/r n/r
Warehouse services 36,294  37,543  36,744  n/r n/r
Total non-same store revenue $ 72,540  $ 75,350  $ 68,361  n/r n/r
Global Warehouse non-same store contribution (NOI) $ 9,232  $ 10,067  $ 6,688  n/r n/r
Global Warehouse non-same store margin 12.7  % 13.4  % 9.8  % n/r n/r
Global Warehouse non-same store rent and storage metrics:
Average economic occupied pallets 455  n/a 405  n/r n/a
Average physical occupied pallets 402  n/a 381  n/r n/a
Average physical pallet positions 614  n/a 576  n/r n/a
Economic occupancy percentage 74.1  % n/a 70.2  % n/r n/a
Physical occupancy percentage 65.5  % n/a 66.0  % n/r n/a
Non-same store rent and storage revenue per economic occupied pallet $ 79.68  $ 83.11  $ 78.13  n/r n/r
Non-same store rent and storage revenue per physical occupied pallet $ 90.16  $ 94.04  $ 83.05  n/r n/r
Global Warehouse non-same store services metrics:
Throughput pallets 1,081  n/a 1,188  n/r n/a
Non-same store warehouse services revenue per throughput pallet $ 33.57  $ 34.72  $ 30.92  n/r n/r
(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.
(n/a = not applicable)
(n/r = not relevant)

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Financial Supplement
Fourth Quarter 2022
Year Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
TOTAL WAREHOUSE SEGMENT
Number of total warehouses 237 241 n/a n/a
Global Warehouse revenue:
Rent and storage $ 999,388  $ 1,019,787  $ 876,153  14.1  % 16.4  %
Warehouse services 1,303,583  1,332,867  1,209,234  7.8  % 10.2  %
Total revenue $ 2,302,971  $ 2,352,654  $ 2,085,387  10.4  % 12.8  %
Global Warehouse contribution (NOI) $ 636,232  $ 647,885  $ 586,436  8.5  % 10.5  %
Global Warehouse margin 27.6  % 27.5  % 28.1  % -49 bps -58 bps
Global Warehouse rent and storage metrics:
Average economic occupied pallets 4,318  n/a 4,047  6.7  % n/a
Average physical occupied pallets 3,991  n/a 3,701  7.8  % n/a
Average physical pallet positions 5,431  n/a 5,290  2.7  % n/a
Economic occupancy percentage 79.5  % n/a 76.5  % 300 bps n/a
Physical occupancy percentage 73.5  % n/a 70.0  % 352 bps n/a
Total rent and storage revenue per economic occupied pallet $ 231.44  $ 236.16  $ 216.48  6.9  % 9.1  %
Total rent and storage revenue per physical occupied pallet $ 250.40  $ 255.51  $ 236.72  5.8  % 7.9  %
Global Warehouse services metrics:
Throughput pallets 40,093  n/a 39,939  0.4  % n/a
Total warehouse services revenue per throughput pallet $ 32.51  $ 33.24  $ 30.28  7.4  % 9.8  %
SAME STORE WAREHOUSE
Number of same store warehouses 208 208 n/a n/a
Global Warehouse same store revenue:
Rent and storage $ 862,268  $ 877,817  $ 783,256  10.1  % 12.1  %
Warehouse services 1,151,824  1,177,011  1,109,896  3.8  % 6.0  %
Total same store revenue $ 2,014,092  $ 2,054,828  $ 1,893,152  6.4  % 8.5  %
Global Warehouse same store contribution (NOI) $ 599,745  $ 609,324  $ 570,831  5.1  % 6.7  %
Global Warehouse same store margin 29.8  % 29.7  % 30.2  % -37 bps -50 bps
Global Warehouse same store rent and storage metrics:
Average economic occupied pallets 3,879  n/a 3,714  4.4  % n/a
Average physical occupied pallets 3,592  n/a 3,394  5.8  % n/a
Average physical pallet positions 4,821  n/a 4,823  —  % n/a
Economic occupancy percentage 80.5  % n/a 77.0  % 345 bps n/a
Physical occupancy percentage 74.5  % n/a 70.4  % 413 bps n/a
Same store rent and storage revenue per economic occupied pallet $ 222.27  $ 226.28  $ 210.88  5.4  % 7.3  %
Same store rent and storage revenue per physical occupied pallet $ 240.07  $ 244.40  $ 230.81  4.0  % 5.9  %
Global Warehouse same store services metrics:
Throughput pallets 35,733  n/a 36,281  (1.5) % n/a
Same store warehouse services revenue per throughput pallet $ 32.23  $ 32.94  $ 30.59  5.4  % 7.7  %
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Financial Supplement
Fourth Quarter 2022
Year Ended December 31, Change
Dollars and units in thousands, except per pallet data 2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
NON-SAME STORE WAREHOUSE
Number of non-same store warehouses(2)
 29 33 n/a n/a
Global Warehouse non-same store revenue:
Rent and storage $ 137,119  $ 141,970  $ 92,897  n/r n/r
Warehouse services 151,760  155,855  99,338  n/r n/r
Total non-same store revenue $ 288,879  $ 297,825  $ 192,235  n/r n/r
Global Warehouse non-same store contribution (NOI) $ 36,487  $ 38,559  $ 15,605  n/r n/r
Global Warehouse non-same store margin 12.6  % 12.9  % 8.1  % n/r n/r
Global Warehouse non-same store rent and storage metrics:
Average economic occupied pallets 439  n/a 333  n/r n/a
Average physical occupied pallets 399  n/a 308  n/r n/a
Average physical pallet positions 610  n/a 467  n/r n/a
Economic occupancy percentage 71.9  % n/a 71.3  % n/r n/a
Physical occupancy percentage 65.5  % n/a 65.8  % n/r n/a
Non-same store rent and storage revenue per economic occupied pallet $ 312.48  $ 323.53  $ 278.91  n/r n/r
Non-same store rent and storage revenue per physical occupied pallet $ 343.36  $ 355.51  $ 301.95  n/r n/r
Global Warehouse non-same store services metrics:
Throughput pallets 4,360  n/a 3,658  n/r n/a
Non-same store warehouse services revenue per throughput pallet $ 34.81  $ 35.75  $ 27.16  n/r n/r

(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Refer to our “Real Estate Portfolio” section below for the composition of our non-same store pool.
(n/a = not applicable)

Fixed Commitment Rent and Storage Revenue
As of December 31, 2022, $419.5 million of the Company’s annualized rent and storage revenue were derived from customers with fixed commitment storage contracts. This compares to $396.4 million at the end of the third quarter of 2022 and $356.5 million at the end of the fourth quarter of 2021. We continue to make progress on commercializing business under this type of arrangement. On a combined pro forma basis, assuming a full twelve months of acquisitions revenue, 41.9% of rent and storage revenue was generated from fixed commitment storage contracts.

Economic and Physical Occupancy
Contracts that contain fixed commitments are designed to ensure the Company’s customers have space available when needed. For the fourth quarter of 2022, economic occupancy for the total warehouse segment was 83.8% and warehouse segment same store pool was 85.0%, representing a 568 basis point and 531 basis point increase above physical occupancy, respectively. Economic occupancy for the total warehouse segment increased 601 basis points, and the warehouse segment same store pool increased 634 basis points as compared to the fourth quarter of 2021. The growth in occupancy reflects our customers’ increased food production levels throughout 2022.

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Financial Supplement
Fourth Quarter 2022
Real Estate Portfolio
As of December 31, 2022, the Company’s portfolio consists of 242 facilities. The Company ended the fourth quarter of 2022 with 237 facilities in its Global Warehouse segment portfolio and five facilities in its Third-party managed segment. The same store population consists of 208 facilities for the quarter ended December 31, 2022. The remaining 29 non-same store population includes the 11 facilities that were acquired in connection with the Bowman Stores, Brighton, ColdCo, De Bruyn Cold Storage, KMT Brrr!, Lago Cold Stores, Liberty Freezers and Newark acquisitions, 13 facilities in expansion or redevelopment, a temporarily leased facility in Australia, two facilities we previously leased and purchased during 2022, a facility in which we ceased operations during the first quarter of 2022 in order to prepare for leasing to a third-party, and a leased facility in which we ceased operations during the fourth quarter of 2022 in anticipation of the upcoming lease maturity.

Balance Sheet Activity and Liquidity
As of December 31, 2022, the Company had total liquidity of approximately $681.6 million, including cash and capacity on its revolving credit facility. Total debt outstanding was $3.3 billion (inclusive of $248.7 million of financing leases/sale lease-backs and exclusive of unamortized deferred financing fees), of which 93% was in an unsecured structure. At quarter end, net debt to pro forma Core EBITDA was approximately 6.6x. The Company’s total debt outstanding includes $3.1 billion of real estate debt, which excludes sale-leaseback and capitalized lease obligations. The Company’s real estate debt has a remaining weighted average term of 5.7 years and carries a weighted average contractual interest rate of 3.57%. As of December 31, 2022, 85% of the Company’s total debt outstanding was at a fixed rate, inclusive of hedged variable-rate for fixed-rate debt. The Company has no material debt maturities until 2026, inclusive of extension options.

Dividend
On December 6, 2022, the Company’s Board of Directors declared a dividend of $0.22 per share for the fourth quarter of 2022, which was paid on January 13, 2022 to common stockholders of record as of December 31, 2022.

2023 Outlook
The Company announced its 2023 annual AFFO per share guidance to be within the range of $1.14 - $1.24. Refer to page 42 of this Financial Supplement for the details of our annual guidance. The Company’s guidance is provided for informational purposes based on current plans and assumptions and is subject to change. The ranges for these metrics do not include the impact of acquisitions, dispositions, or capital markets activity beyond that which has been previously announced.

Investor Webcast and Conference Call
The Company will hold a webcast and conference call on Thursday, February 16, 2023 at 5:00 p.m. Eastern Time to discuss its fourth quarter 2022 results. A live webcast of the call will be available via the Investors section of Americold Realty Trust’s website at www.americold.com. To listen to the live webcast, please go to the site at least five minutes prior to the scheduled start time in order to register, download and install any necessary audio software. Shortly after the call, a replay of the webcast will be available for 90 days on the Company’s website.
The conference call can also be accessed by dialing 1-877-407-3982 or 1-201-493-6780. The telephone replay can be accessed by dialing 1-844-512-2921 or 1-412-317-6671 and providing the conference ID# 13734551. The telephone replay will be available starting shortly after the call until March 2, 2023.
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Financial Supplement
Fourth Quarter 2022
The Company’s supplemental package will be available prior to the conference call in the Investors section of the Company’s website at http://ir.americold.com.

About the Company
Americold is the world’s largest publicly traded REIT focused on the ownership, operation, acquisition and development of temperature-controlled warehouses. Based in Atlanta, Georgia, Americold owns and operates 242 temperature-controlled warehouses, with approximately 1.4 billion refrigerated cubic feet of storage, in North America, Europe, Asia-Pacific, and South America. Americold’s facilities are an integral component of the supply chain connecting food producers, processors, distributors and retailers to consumers.

Non-GAAP Financial Measures
This press release contains non-GAAP financial measures, including FFO, core FFO, AFFO, EBITDAre, Core EBITDA; same store segment revenue and contribution (NOI); real estate debt and maintenance capital expenditures. Definitions of these non-GAAP metrics are included beginning on page 43, and reconciliations of these non-GAAP measures to their most comparable GAAP metrics are included herein. Each of the non-GAAP measures included in this report has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of the Company’s results calculated in accordance with GAAP. In addition, because not all companies use identical calculations, the Company’s presentation of non-GAAP measures in this report may not be comparable to similarly titled measures disclosed by other companies, including other REITs.

Forward-Looking Statements
This document contains statements about future events and expectations that constitute forward-looking statements. Forward-looking statements are based on our beliefs, assumptions and expectations of our future financial and operating performance and growth plans, taking into account the information currently available to us. These statements are not statements of historical fact. Forward-looking statements involve risks and uncertainties that may cause our actual results to differ materially from the expectations of future results we express or imply in any forward-looking statements, and you should not place undue reliance on such statements.
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Fourth Quarter 2022
Factors that could contribute to these differences include the following: the impact of supply chain disruptions, including, among others, the impact on labor availability, raw material availability, manufacturing and food production; construction materials and transportation; uncertainties and risks related to public health crises, including the ongoing COVID-19 pandemic; adverse economic or real estate developments in our geographic markets or the temperature-controlled warehouse industry; rising interest rates and inflation in operating costs, including as a result of the COVID-19 pandemic; general economic conditions; labor and power costs; labor shortages; risks associated with the ownership of real estate generally and temperature-controlled warehouses in particular; acquisition risks, including the failure to identify or complete attractive acquisitions or the failure of acquisitions to perform in accordance with projections and to realize anticipated cost savings and revenue improvements; our failure to realize the intended benefits from our recent acquisitions, and including synergies, or disruptions to our plans and operations or unknown or contingent liabilities related to our recent acquisitions; risks related to expansions of existing properties and developments of new properties, including failure to meet targeted completion dates and budgeted or stabilized returns within expected time frames, or at all, in respect thereof; risks related to our joint ventures; a failure of our information technology systems, systems conversions and integrations, cybersecurity attacks or a breach of our information security systems, networks or processes could cause business disruptions or loss of confidential information; risks related to privacy and data security concerns, and data collection and transfer restrictions and related foreign regulations; defaults or non-renewals of significant customer contracts, including as a result of the ongoing COVID-19 pandemic; uncertainty of revenues, given the nature of our customer contracts; our failure to obtain necessary outside financing; risks related to, or restrictions contained in, our debt financings; decreased storage rates or increased vacancy rates; risks related to current and potential international operations and properties; difficulties in expanding our operations into new markets, including international markets; risks related to the partial ownership of properties, including as a result of our lack of control over such investments and the failure of such entities to perform in accordance with projections; our failure to maintain our status as a REIT; possible environmental liabilities, including costs, fines or penalties that may be incurred due to necessary remediation of contamination of properties presently or previously owned by us; financial market fluctuations; actions by our competitors and their increasing ability to compete with us; changes in applicable governmental regulations and tax legislation, including in the international markets; geopolitical conflicts, such as the ongoing conflict between Russia and Ukraine; additional risks with respect to the addition of European operations and properties; changes in real estate and zoning laws and increases in real property tax rates; our relationship with our associates, including the occurrence of any work stoppages or any disputes under our collective bargaining agreements and employment related litigation; liabilities as a result of our participation in multi-employer pension plans; uninsured losses or losses in excess of our insurance coverage; the potential liabilities, costs and regulatory impacts associated with our in-house trucking services and the potential disruptions associated with our use of third-party trucking service providers to provide transportation services to our customers; the cost and time requirements as a result of our operation as a publicly traded REIT; changes in foreign currency exchange rates; the impact of anti-takeover provisions in our constituent documents and under Maryland law, which could make an acquisition of us more difficult, limit attempts by our stockholders to replace our directors and affect the price of our common stock, $0.01 par value per share, of our common stock; and the potential dilutive effect of our common stock offerings.
Words such as “anticipates,” “believes,” “continues,” “estimates,” “expects,” “goal,” “objectives,” “intends,” “may,” “opportunity,” “plans,” “potential,” “near-term,” “long-term,” “projections,” “assumptions,” “projects,” “guidance,” “forecasts,” “outlook,” “target,” “trends,” “should,” “could,” “would,” “will” and similar expressions are intended to identify such forward-looking statements. Examples of forward-looking statements included in this document include, among others, statements about our expected acquisition and expected expansion and development pipeline and our targeted return on invested capital on expansion and development opportunities. We qualify any forward-looking statements entirely by these cautionary factors. Other risks, uncertainties and factors, including those discussed under “Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2021 and in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, could cause our actual results to differ materially from those projected in any forward-looking statements we make. We assume no obligation to update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Contacts:
Americold Realty Trust, Inc.
Investor Relations
Telephone: 678-459-1959
Email: investor.relations@americold.com
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Financial Supplement
Fourth Quarter 2022
                                        
Selected Quarterly Financial Data
In thousands, except per share amounts As of
Capitalization: Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
Fully diluted common stock outstanding at quarter end(1)
 271,702 271,748 271,736 271,801 271,044
Common stock share price at quarter end $28.31 $24.60 $30.04 $27.88 $32.79
Market value of common equity $7,691,884 $6,685,001 $8,162,949 $7,577,812 $8,887,533
Gross debt (2)
 $3,331,027 $3,230,012 $3,223,017 $3,215,627 $3,130,620
Less: cash and cash equivalents 53,063 45,693 74,616 50,965 82,958
Net debt $3,277,964 $3,184,319 $3,148,401 $3,164,662 $3,047,662
Total enterprise value $10,969,848 $9,869,320 $11,311,350 $10,742,474 $11,935,195
Net debt / total enterprise value 29.9  % 32.3  % 27.8  % 29.5  % 25.5  %
Net debt to pro forma Core EBITDA(2)
 6.61x 6.49x 6.60x 6.55x 6.10x
Three Months Ended
Selected Operational Data: Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
Warehouse segment revenue $598,690 $598,977 $564,379 $540,925 $554,155
Total revenue 721,504 757,780 729,756 705,695 716,480
Operating income 33,044 23,170 23,665 7,991 4,195
Net income (loss) 2,955 (8,937) 3,953 (17,445) (7,982)
Total warehouse segment contribution (NOI) (3)
 172,327 166,662 150,985 146,258 150,884
Total segment contribution (NOI) (3)
 188,226 181,158 168,291 158,288 161,394
Selected Other Data:
Core EBITDA (4)
 $136,822 $131,857 $120,192 $110,895 $123,722
Core funds from operations (1)
 70,168 67,090 65,396 46,329 70,155
Adjusted funds from operations (1)
 78,219 79,332 73,875 68,854 82,236
Earnings Measurements:
Net income (loss) per share - basic $0.01 $(0.03) $0.01 $(0.06) $(0.03)
Net income (loss) per share - diluted $0.01 $(0.03) $0.01 $(0.06) $(0.03)
Core FFO per diluted share (4)
 $0.26 $0.25 $0.24 $0.17 $0.26
AFFO per diluted share (4)
 $0.29 $0.29 $0.27 $0.26 $0.31
Dividend distributions declared per common share (5)
 $0.22 $0.22 $0.22 $0.22 $0.22
Diluted AFFO payout ratio (6)
 75.9  % 75.9  % 81.5  % 84.6  % 71.0  %
Portfolio Statistics:
Total global warehouses 242 249 249 249 250
Average economic occupancy 83.8  % 80.1  % 77.4  % 76.8  % 77.8  %
Average physical occupancy 78.1  % 74.3  % 71.5  % 70.0  % 71.4  %
Total global same-store warehouses 208 212 213 215 160

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Fourth Quarter 2022
                                        
(1) Assumes the exercise of all outstanding stock options using the treasury stock method, conversion of all outstanding restricted stock and OP units, and incorporates forward contracts using the treasury stock method
As of
(2) Net Debt to Core EBITDA Computation 12/31/2022 12/31/2021
Total debt $ 3,317,983  $ 3,119,570 
Deferred financing costs 13,044 11,050 
Gross debt $3,331,027 $3,130,620
Adjustments:
Less: cash, cash equivalents and restricted cash 53,063  82,958 
Net debt $ 3,277,964  $ 3,047,662 
Core EBITDA - last twelve months $499,766 $474,511
Net Core EBITDA from acquisitions, dispositions and lease exits (a) (3,588) 25,190 
Pro forma Core EBITDA - last twelve months $496,178 $499,701
Net debt to pro forma Core EBITDA 6.61x 6.10x
(a) As of December 31, 2022, amount includes the reduction for the strategic exit of certain third-party managed EBITDA, the loss of EBITDA from the sale of the Cherokee facility and deconsolidation of Chile upon contribution to the LATAM JV, partially offset by the add back for six months of Core EBITDA from the De Bruyn Cold Storage prior to Americold’s ownership of the respective acquired entities, the facility lease expense for sites that it previously incurred operating lease expense for but was subsequently purchased, including the Gdynia and New Zealand facilities and the lease expense for leased facilities which we exited during the year.
(3) Reconciliation of segment contribution (NOI)
Three Months Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
Warehouse segment contribution (NOI) $172,327 $166,662 $150,985 $146,258 $150,884
Transportation segment contribution (NOI) 14,452  10,836  13,585  8,529  7,172 
Third-party managed segment contribution (NOI) 1,447  3,660  3,721  3,501  3,338 
Total segment contribution (NOI) $188,226 $181,158 $168,291 $158,288 $161,394
Depreciation and amortization (82,467) (83,669) (82,690) (82,620) (87,601)
Selling, general and administrative (60,073) (57,119) (56,273) (57,602) (49,004)
Acquisition, litigation and other, net (11,899) (4,874) (5,663) (10,075) (20,567)
Gain (loss) from sale of real estate 21  (5,710) —  —  — 
Impairment of indefinite and long-lived assets (764) (6,616) —  —  — 
U.S. GAAP operating income $33,044 $23,170 $23,665 $7,991 $4,222
(4) See “Reconciliation of Net Income (Loss) to NAREIT FFO, Core FFO, and AFFO” and “Reconciliation of Net Income (Loss) to EBITDA, EBITDAre, and Core EBITDA” pages 18-20
(5) Distributions per common share Three Months Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
Distributions declared on common stock during the quarter $59,751 $59,763 $59,759 $59,760 $59,440
Common stock outstanding at quarter end 269,815  269,396  275,045  268,672  268,283 
Distributions declared per common share $0.22 $0.22 $0.22 $0.22 $0.22
(6) Calculated as distributions declared on common stock divided by AFFO per weighted average diluted share
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Financial Supplement
Fourth Quarter 2022
                                        
Financial Information
Americold Realty Trust, Inc. and Subsidiaries
Consolidated Balance Sheets
(In thousands, except shares and per share amounts)
December 31, December 31,
2022 2021
Assets
 Property, buildings and equipment:
Land $ 786,975  $ 807,495 
Buildings and improvements 4,245,607  4,152,763 
Machinery and equipment 1,407,874  1,352,399 
Assets under construction 526,811  450,153 
6,967,267  6,762,810 
Accumulated depreciation (1,901,450) (1,634,909)
Property, buildings and equipment – net 5,065,817  5,127,901 
Operating lease right-of-use assets 352,553  377,536 
Accumulated depreciation – operating leases (76,334) (57,483)
Operating leases – net 276,219  320,053 
 Financing leases:
Buildings and improvements 13,546  13,552 
Machinery and equipment 127,009  146,341 
140,555  159,893 
Accumulated depreciation – financing leases (57,626) (58,165)
Financing leases – net 82,929  101,728 
 Cash, cash equivalents and restricted cash 53,063  82,958 
 Accounts receivable – net of allowance of $15,951 and $18,755 at December 31, 2022 and 2021, respectively
 430,042  380,014 
 Identifiable intangible assets – net 925,223  980,966 
 Goodwill 1,033,637  1,072,980 
 Investments in partially owned entities 78,926  37,458 
 Other assets 158,705  112,139 
 Total assets $ 8,104,561  $ 8,216,197 
 Liabilities and equity
 Liabilities:
Borrowings under revolving line of credit $ 500,052  $ 399,314 
Accounts payable and accrued expenses 557,540  559,412 
Mortgage notes, senior unsecured notes and term loans – net of deferred financing costs of $13,044 and $11,050 in the aggregate, at December 31, 2022 and 2021, respectively
 2,569,281  2,443,806 
Sale-leaseback financing obligations 171,089  178,817 
Financing lease obligations 77,561  97,633 
Operating lease obligations 264,634  301,765 
Unearned revenue 32,046  26,143 
Pension and postretirement benefits 1,531  2,843 
Deferred tax liability – net 135,098  169,209 
Multiemployer pension plan withdrawal liability 7,851  8,179 
Total liabilities 4,316,683  4,187,121 
Equity
 Stockholders’ equity:
Common stock, $0.01 par value – 500,000,000 authorized shares; 269,814,956 and 268,282,592 issued and outstanding at December 31, 2022 and 2021, respectively
 2,698  2,683 
Paid-in capital 5,191,969  5,171,690 
Accumulated deficit and distributions in excess of net earnings (1,415,198) (1,157,888)
Accumulated other comprehensive (loss) income (6,050) 4,522 
Total stockholders’ equity 3,773,419  4,021,007 
Noncontrolling interests:
Noncontrolling interests in operating partnership 14,459  8,069 
Total equity 3,787,878  4,029,076 
Total liabilities and equity $ 8,104,561  $ 8,216,197 
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Financial Supplement
Fourth Quarter 2022
                                        
Americold Realty Trust, Inc. and Subsidiaries
Consolidated Statements of Operations
(In thousands, except per share amounts)
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
Revenues:
Rent, storage and warehouse services $ 598,690  $ 554,155  $ 2,302,971  $ 2,085,387 
Transportation services 76,190  78,041  313,358  312,092 
Third-party managed services 46,624  84,284  298,406  317,311 
Total revenues 721,504  716,480  2,914,735  2,714,790 
Operating expenses:
Rent, storage and warehouse services cost of operations 426,363  403,271  1,666,739  1,498,951 
Transportation services cost of operations 61,738  70,869  265,956  282,716 
Third-party managed services cost of operations 45,177  80,946  286,077  303,347 
Depreciation and amortization 82,467  87,601  331,446  319,840 
Selling, general and administrative 60,073  49,004  231,067  182,076 
Acquisition, litigation and other, net 11,899  20,567  32,511  51,578 
Impairment of indefinite and long-lived assets 764  —  7,380  3,312 
(Gain) loss from sale of real estate (21) —  5,689  — 
Total operating expenses 688,460  712,258  2,826,865  2,641,820 
Operating income 33,044  4,222  87,870  72,970 
Other (expense) income:
Interest expense (33,407) (21,339) (116,127) (99,177)
Loss on debt extinguishment, modifications and termination of derivative instruments (933) (638) (3,217) (5,689)
Interest income 657  91  1,633  841 
Foreign currency exchange gain (loss), net 2,477  (294) (975) (610)
Other income, net 527  1,203  1,806  1,791 
Loss from investments in partially owned entities (2,101) (753) (9,300) (2,004)
Income (loss) before income taxes 264  (17,508) (38,310) (31,878)
Income tax benefit
Current (721) (625) (3,725) (7,578)
Deferred 3,412  10,151  22,561  9,147 
Total income tax benefit 2,691  9,526  18,836  1,569 
Net income (loss) $ 2,955  $ (7,982) $ (19,474) $ (30,309)
Net income (loss) attributable to noncontrolling interests 11  (18) (34) 146 
Net income (loss) attributable to Americold Realty Trust $ 2,944  $ (7,964) $ (19,440) $ (30,455)
Weighted average common stock outstanding – basic 269,826  267,499  269,565  259,056 
Weighted average common stock outstanding – diluted 270,770  268,179  269,565  259,056 
Net income (loss) per common share - basic $ 0.01  $ (0.03) $ (0.07) $ (0.12)
Net income (loss) per common share - diluted $ 0.01  $ (0.03) $ (0.07) $ (0.12)
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Financial Supplement
Fourth Quarter 2022
                                        
Reconciliation of Net Income (Loss) to NAREIT FFO, Core FFO, and AFFO
(In thousands, except per share amounts)
  Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
Net income (loss) $ 2,955  $ (8,937) $ 3,953  $ (17,445) $ (7,982) $ (19,474) $ (30,309)
Adjustments:
Real estate related depreciation 53,094  53,139  51,738  52,200  54,816  210,171  200,184 
(Gain) loss on sale of real estate (21) 5,710  —  —  —  5,689  — 
Net loss on asset disposals 175  893  4  63  65  1,135  12 
Impairment charges on real estate assets —  3,407  —  —  —  3,407  1,752 
Our share of reconciling items related to partially owned entities 1,209  822  1,346  1,033  822  4,410  2,412 
Funds from operations $ 57,412  $ 55,034  $ 57,041  $ 35,851  $ 47,721  $ 205,338  $ 174,051 
Adjustments:
Net loss (gain) on sale of non-real estate assets 2,274  310  72  (235) 861  2,421  267 
Acquisition, litigation and other, net 11,899  4,874  5,663  10,075  20,567  32,511  51,578 
Goodwill impairment —  3,209  —  —  —  3,209  — 
Share-based compensation expense, IPO grants —  —  —  —  —  —  163 
Loss on debt extinguishment, modifications and termination of derivative instruments 933  1,040  628  616  638  3,217  5,689 
Foreign currency exchange (gain) loss (2,477) 2,487  1,290  (325) 294  975  610 
Gain on extinguishment of New Market Tax Credit Structure —  —  (3,410) —  —  (3,410) — 
Loss on deconsolidation of subsidiary contributed to LATAM joint venture —  —  4,148  —  —  4,148  — 
Our share of reconciling items related to partially owned entities 127  136  (36) 347  74  574  439 
Core FFO $ 70,168  $ 67,090  $ 65,396  $ 46,329  $ 70,155  $ 248,983  $ 232,797 
Adjustments:
Amortization of deferred financing costs and pension withdrawal liability 1,305  1,222  1,160  1,146  1,104  4,833  4,425 
Amortization of below/above market leases 534  540  549  508  843  2,131  2,261 
Non-real estate asset impairment 764  —  —  —  —  764  1,560 
Straight-line net rent 333  133  77  204  (302) 747  (216)
Deferred income tax benefit (3,412) (4,374) (12,886) (1,889) (10,151) (22,561) (9,147)
Share-based compensation expense, excluding IPO grants 5,036  6,720  7,032  8,349  9,112  27,137  23,737 
Non-real estate depreciation and amortization 29,373  30,530  30,952  30,420  32,785  121,275  119,656 
Maintenance capital expenditures(a)
 (26,701) (22,586) (20,118) (16,106) (20,808) (85,511) (75,965)
Our share of reconciling items related to partially owned entities 819  57  1,713  (107) (502) 2,482  387 
Adjusted FFO $ 78,219  $ 79,332  $ 73,875  $ 68,854  $ 82,236  $ 300,280  $ 299,495 





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Financial Supplement
Fourth Quarter 2022
                                        
Reconciliation of Net Income (Loss) to NAREIT FFO, Core FFO, and AFFO (continued)
(In thousands except per share amounts)
Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
NAREIT Funds from operations $ 57,412  $ 55,034  $ 57,041  $ 35,851  $ 47,721  $ 205,338  $ 174,051 
Core FFO $ 70,168  $ 67,091  $ 65,396  $ 46,329  $ 70,155  $ 248,984  $ 232,797 
Adjusted FFO $ 78,219  $ 79,333  $ 73,875  $ 68,854  $ 82,236  $ 300,281  $ 299,495 
Reconciliation of weighted average shares:
Weighted average basic shares for net income calculation 269,826  269,586  269,497  269,164  267,499  269,565  259,056 
Dilutive stock options, unvested restricted stock units, equity forward contracts 944  1,105  887  835  680  1,041  2,070 
Weighted average dilutive shares 270,770  270,691  270,384  269,999  268,179  270,606  261,126 
NAREIT FFO - basic per share $ 0.21  $ 0.20  $ 0.21  $ 0.13  $ 0.18  $ 0.76 $ 0.67
NAREIT FFO - diluted per share $ 0.21  $ 0.20  $ 0.21  $ 0.13  $ 0.18  $ 0.76 $ 0.67
Core FFO - basic per share $ 0.26  $ 0.25  $ 0.24  $ 0.17  $ 0.26  $ 0.92 $ 0.90
Core FFO - diluted per share $ 0.26  $ 0.25  $ 0.24  $ 0.17  $ 0.26  $ 0.92 $ 0.89
Adjusted FFO - basic per share $ 0.29  $ 0.29  $ 0.27  $ 0.26  $ 0.31  $ 1.11 $ 1.16
Adjusted FFO - diluted per share $ 0.29  $ 0.29  $ 0.27  $ 0.26  $ 0.31  $ 1.11 $ 1.15
(a) Maintenance capital expenditures include capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology.

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Financial Supplement
Fourth Quarter 2022
                                        
Reconciliation of Net Income (Loss) to EBITDA, NAREIT EBITDAre, and Core EBITDA
(In thousands)
  Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 2022 2021
Net income (loss) $ 2,955  $ (8,937) $ 3,953  $ (17,445) $ (7,982) $ (19,474) $ (30,309)
Adjustments:
Depreciation and amortization 82,467  83,669  82,690  82,620  87,601  331,446  319,840 
Interest expense 33,407  30,402  26,545  25,773  21,339  116,127  99,177 
Income tax benefit (2,691) (3,368) (12,069) (708) (9,526) (18,836) (1,569)
EBITDA $ 116,138  $ 101,766  $ 101,119  $ 90,240  $ 91,432  $ 409,263  $ 387,139 
Adjustments:
(Gain) loss on sale of real estate (21) 5,710  —  —  —  5,689  — 
Adjustment to reflect share of EBITDAre of partially owned entities 5,019  3,383  6,215  3,198  4,625  17,815  8,966 
NAREIT EBITDAre $ 121,136  $ 110,859  $ 107,334  $ 93,438  $ 96,057  $ 432,767  $ 396,105 
Adjustments:
Acquisition, litigation and other, net 11,899  4,874  5,663  10,075  20,567  32,511  51,578 
Loss from investments in partially owned entities 2,101  1,440  3,647  2,112  753  9,300  2,004 
Impairment of indefinite and long-lived assets 764  6,616  —  —  —  7,380  3,312 
Foreign currency exchange (gain) loss (2,477) 2,487  1,290  (325) 294  975  610 
Share-based compensation expense 5,036  6,720  7,032  8,349  9,112  27,137  23,900 
Loss on debt extinguishment, modifications and termination of derivative instruments 933  1,040  628  616  638  3,217  5,689 
Loss (gain) on real estate and other asset disposals 2,449  1,203  76  (172) 926  3,556  279 
Gain on extinguishment of New Market Tax Credit Structure —  —  (3,410) —  —  (3,410) — 
Loss on deconsolidation of subsidiary contributed to LATAM joint venture —  —  4,148  —  —  4,148  — 
Reduction in EBITDAre from partially owned entities (5,019) (3,383) (6,215) (3,198) (4,625) (17,815) (8,966)
Core EBITDA $ 136,822  $ 131,856  $ 120,193  $ 110,895  $ 123,722  $ 499,766  $ 474,511 
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Financial Supplement
Fourth Quarter 2022
                                        

Acquisition, Litigation and Other, net
Dollars in thousands

This caption represents certain corporate costs that are highly variable from period to period and will be further detailed in our Annual Report on Form 10-K.
Three Months Ended December 31, Year Ended December 31,
Acquisition, litigation and other, net 2022 2021 2022 2021
Acquisition and integration related costs $ 8,139  $ 16,414  $ 24,018  $ 39,265 
Litigation —  1,275  179  2,217 
Severance costs 1,470  6,058  6,530  8,908 
Terminated site operations costs 3,715  806  4,154  884 
Cyber incident related costs, net of insurance recoveries (1,425) (3,986) (2,210) (447)
Other, net —  —  (160) 751 
Total acquisition, litigation and other, net $ 11,899  $ 20,567  $ 32,511  $ 51,578 



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Financial Supplement
Fourth Quarter 2022
                                        
Debt Detail and Maturities
(In thousands)
As of December 31, 2022
Indebtedness:
 Carrying Value
Contractual Interest Rate(1)
Effective Interest Rate(2)
Stated
Maturity Date(3)
Unsecured Debt(4)
Senior Unsecured Revolving Credit Facility - C$50M(5)
 $ 36,890  CDOR+0.85% 6.00% 08/2027
Senior Unsecured Revolving Credit Facility - £77M(5)
 92,435  SONIA+0.85% 4.79% 08/2027
Senior Unsecured Revolving Credit Facility - USD(5)
 225,000  SOFR + 0.85% 5.73% 08/2027
Senior Unsecured Revolving Credit Facility - A$146M(5)
 99,470  BBSW+0.85% 4.39% 08/2027
Senior Unsecured Revolving Credit Facility - €36M(5)
 38,003  EURIBOR+0.85% 3.23% 08/2027
Senior Unsecured Revolving Credit Facility - NZD$13M(5)
 8,254  BKBM+0.85% 5.70% 08/2027
Senior Unsecured Term Loan A Facility Tranche A-1 - USD
 375,000  SOFR + 0.95% 4.90% 08/2027
Senior Unsecured Term Loan A Facility Tranche A-2 - C$250M
 184,450  CDOR+0.95% 4.78% 01/2028
Senior Unsecured Term Loan A Facility Tranche A-3 - USD 270,000  SOFR + 0.95% 4.27% 01/2028
Series A notes - USD
 200,000  4.68% 4.77% 01/2026
Series B notes - USD 400,000  4.86% 4.92% 01/2029
Series C notes - USD
 350,000  4.10% 4.15% 01/2030
Series D notes - €400M
 428,200  1.62% 1.67% 01/2031
Series E notes - €350M
 374,675  1.65% 1.70% 01/2033
Total Unsecured Real Estate Debt
 3,082,377  3.57% 3.95%
5.7 years
Sale-leaseback financing obligations
 171,089  10.99%
Financing lease obligations
 77,561  3.30%
Total Debt Outstanding
 $ 3,331,027  3.94%
Less: unamortized deferred financing costs
 (13,044)
Total Book Value of Debt
 $ 3,317,983 
Rate Type
 % of Total
Fixed
 $ 2,830,975  85%
Variable-unhedged
 500,052  15%
Total Debt Outstanding
 $ 3,331,027  100%
Debt Type
 % of Total
Unsecured
 $ 3,082,376  93%
Secured
 248,651  7%
Total Debt Outstanding
 $ 3,331,027  100%
(1)Interest rates as of December 31, 2022. At December 31, 2022, the Adjusted SOFR rate on our Senior Unsecured Revolving Credit Facility was 4.30%, the one-month CDOR rate was 4.67%, the one-month EURIBOR rate was 1.90%, the one-month SONIA rate was 3.43%, the one-month BBSW rate was 3.07%, the one-month BKBM rate was 4.37%. The entirety of our Senior Unsecured Term Loan Tranche A-1 is hedged at a weighted average rate of 4.6%. SOFR includes an adjustment of 0.10%, in addition to the margin. SONIA includes an adjustment of 0.03% in addition to our margin.
(2)The effective interest rates presented include the amortization of loan costs and are based on the hedged rate for the $375.0 million TLA Tranche A-1, the C$250.0 million TLA Tranche A-2, and the $270.0 million Tranche A-3. Subtotals of stated effective interest rates represent weighted average interest rates.
(3)Subtotals of stated maturity dates represent remaining weighted average life of the debt and assuming the exercise of extension options on the TLA Tranche A-1 and Revolving Credit Facility.
(4)Borrowing currency and value presented in caption unless USD denominated.
(5)Revolver maturity assumes two six-month extension options. The borrowing capacity as of December 31, 2022 is $1.15 billion less $21.4 million of outstanding letters of credit. The effective interest rate shown represents deferred financing fees allocated over the $1.15 billion committed.
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Financial Supplement
Fourth Quarter 2022
                                        
Operations Overview
Revenue and Contribution (NOI) by Segment
(in thousands)
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
Segment revenues:
Warehouse $ 598,690  $ 554,155  $ 2,302,971  $ 2,085,387 
Transportation 76,190  78,041  313,358  312,092 
Third-party managed 46,624  84,284  298,406  317,311 
Total revenues 721,504  716,480  2,914,735  2,714,790 
Segment contribution (NOI):
Warehouse 172,327  150,884  636,232  586,436 
Transportation 14,452  7,172  47,402  29,376 
Third-party managed 1,447  3,338  12,329  13,964 
Total segment contribution (NOI) 188,226  161,394  695,963  629,776 
Reconciling items:
Depreciation and amortization (82,467) (87,601) (331,446) (319,840)
Selling, general and administrative (60,073) (49,004) (231,067) (182,076)
Acquisition, litigation and other, net (11,899) (20,567) (32,511) (51,578)
Impairment of indefinite and long-lived assets (764) —  (7,380) (3,312)
Gain (loss) from sale of real estate 21  —  (5,689) — 
Interest expense (33,407) (21,339) (116,127) (99,177)
Interest income 657  91  1,633  841 
Loss on debt extinguishment, modifications and termination of derivative instruments (933) (638) (3,217) (5,689)
Foreign currency exchange gain (loss), net 2,477  (294) (975) (610)
Other income, net 527  1,203  1,806  1,791 
Loss from investments in partially owned entities (2,101) (753) (9,300) (2,004)
Income (loss) before income taxes $ 264  $ (17,508) $ (38,310) $ (31,878)
We view and manage our business through three primary business segments—warehouse, transportation, third-party managed. Our core business is our warehouse segment, where we provide temperature-controlled warehouse storage and related handling and other warehouse services. In our warehouse segment, we collect rent and storage fees from customers to store their frozen and perishable food and other products within our real estate portfolio. We also provide our customers with handling and other warehouse services related to the products stored in our buildings that are designed to optimize their movement through the cold chain, such as the placement of food products for storage and preservation, the retrieval of products from storage upon customer request,case-picking, blast freezing, produce grading and bagging, ripening, kitting, protein boxing, repackaging, e-commerce fulfillment, and other recurring handling services.
In our transportation segment, we broker and manage transportation of frozen and perishable food and other products for our customers. Our transportation services include consolidation services (i.e., consolidating a customer’s products with those of other customers for more efficient shipment), freight under management services (i.e., arranging for and overseeing transportation of customer inventory) and dedicated transportation services, each designed to improve efficiency and reduce transportation and logistics costs to our customers. We provide these transportation services at cost plus a service fee or, in the case of our consolidation or dedicated services, we may charge a fixed fee. We supplemented our regional, national and truckload consolidation services with the transportation operations from various warehouse acquisitions. We also provide multi-modal global freight forwarding services to support our customers’ needs in certain markets.
Under our third-party managed segment, we manage warehouses on behalf of third parties and provide warehouse management services to leading food manufacturers and retailers in their owned facilities. We believe using our third-party management services allows our customers to increase efficiency, reduce costs, reduce supply-chain risks and focus on their core businesses. We also believe that providing third-party management services allows us to offer a complete and integrated suite of services across the cold chain.
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Financial Supplement
Fourth Quarter 2022
                                        
Global Warehouse Economic and Physical Occupancy Trend
chart-6f7c1eef2b0b4f11a37.jpg
FY Q1 Q2 Q3 Q4

Note: Dotted lines represent incremental economic occupancy percentage.

We define average economic occupancy as the aggregate number of physically occupied pallets and any additional pallets otherwise contractually committed for a given period, without duplication. We estimate the number of contractually committed pallet positions by taking into account actual pallet commitments specified in each customer’s contract, and subtracting the physical pallet positions.
We define average physical occupancy as the average number of occupied pallets divided by the estimated number of average physical pallet positions in our warehouses for the applicable period. We estimate the number of physical pallet positions by taking into account actual racked space and by estimating unracked space on an as-if racked basis. We base this estimate on the total cubic feet of each room within the warehouse that is unracked divided by the volume of an assumed rack space that is consistent with the characteristics of the relevant warehouse. On a warehouse by warehouse basis, rack space generally ranges from three to four feet depending upon the type of facility and the nature of the customer goods stored therein. The number of our pallet positions is reviewed and updated quarterly, taking into account changes in racking configurations and room utilization.
Historically, providers of temperature-controlled warehouse space have offered storage services to customers on an as-utilized, on-demand basis. We have entered into fixed storage commitments with certain customers which give us, among other things, additional clarity around the expected occupancy of our warehouses. As of December 31, 2022, we had entered into contracts featuring fixed storage commitments or leases with 183 of our customers in our warehouse segment. Customers with fixed storage provisions commit to occupy a certain number of pallets at a designated storage rate for the applicable portion of their contractual term, whether the customer elects to physically store goods in a warehouse or not. As a result, certain pallets in our warehouses may generate storage revenue pursuant to fixed storage commitments despite not being physically occupied. We refer to economic occupancy as the aggregate number of physically occupied pallets and any additional pallets otherwise contractually committed for a given period. To the extent that a customer with a fixed storage provision elects not to utilize all of its committed pallets in a particular warehouse, we have the flexibility to deploy those pallets to facilitate shorter-term customers that desire space on an as-utilized, on demand basis.
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Fourth Quarter 2022
Global Warehouse Portfolio

Country / Region
# of
warehouses
Cubic feet
(in millions)
   % of
total
cubic feet		 Pallet
positions
(in thousands)
Average economic occupancy (1)
Average
physical
occupancy (1)
Revenues (2)
(in millions)
Segment
contribution
(NOI) (2)(3)
(in millions)
Total
customers (4)
Warehouse Segment Portfolio (5)
United States
East 50  345.6  24  % 1,149  81  % 72  % $ 592.6  $ 157.1  1,271 
Southeast 49  295.6  21  % 956  79  % 73  % 426.6  88.7  797 
Central 41  268.2  19  % 1,107  80  % 74  % 434.1  150.6  818 
West 45  273.7  19  % 1,186  73  % 67  % 379.0  126.3  699 
Canada 6  33.7  2  % 129  83  % 83  % 45.7  17.9  105 
North America Total 191  1,216.8    85  % 4,527  78  % 72  % $ 1,878.0  $ 540.6  2,733 
Netherlands 7  36.7  3  % 121  78  % 78  % 70.0  10.4  442 
United Kingdom 6  40.1  3  % 258  85  % 85  % 50.8  13.9  168 
Spain 4  15.2  1  % 64  75  % 75  % 20.4  2.6  283 
Portugal 4  11.5  1  % 57  86  % 86  % 16.1  3.9  176 
Ireland 3  9.5  1  % 35  95  % 95  % 14.3  2.9  131 
Austria 1  4.2  —  % 44  84  % 84  % 23.9  6.6  161 
Poland 2  3.5  —  % 14  95  % 95  % 5.1  0.8  69 
Europe Total 27  120.7  8  % 593  83  % 83  % $ 200.6  $ 41.1  1,333 
Australia 10  57.9  4  % 195  88  % 76  % 172.7  36.7  127 
New Zealand 7  20.4  1  % 87  92  % 84  % 36.4  13.0  69 
Asia-Pacific Total 17  78.3  5  % 282  89  % 79  % $ 209.1  $ 49.7  192 
Argentina 2  9.7  1  % 23  77  % 77  % 11.4  3.0  56 
Chile(6)
 —  —  —  % 10  105  % 105  % 3.9  1.8  — 
South America Total 2  9.7  1  % 33  85  % 85  % $ 15.3  $ 4.8  56 
Warehouse Segment Total / Average 237  1,425.5    100  % 5,435  85  % 82  % $ 2,303.0  $ 636.2  4,296 
Third-Party Managed Portfolio
United States 3  14.9  74  % —  —  —  $ 273.6  $ 7.5  3 
Canada 1  5.3  26  % —  —  —  3.4  1.0  1 
North America Total / Average 4  20.2  100  % —  —  —  $ 277.0  $ 8.5  4 
Asia-Pacific 1  —  —  % —  —  —  21.4  3.8  1 
Third-Party Managed Total / Average 5  20.2  100  % —  —  —  $ 298.4  $ 12.3  5 
Portfolio Total / Average 242  1,445.7  100  % 5,435  80  % 73  % $ 2,601.4  $ 648.5  4,296 
(1)Refer to the preceding section Global Warehouse Economic and Physical Occupancy Trend for our definitions of economic occupancy and physical occupancy.
(2)Years ended December 31, 2022.
(3)We use the term “segment contribution (NOI)” to mean a segment’s revenues less its cost of operations (excluding any depreciation and amortization, impairment charges, corporate-level selling, general and administrative expenses and corporate-level acquisition, litigation and other, net). The applicable segment contribution (NOI) from our owned and leased warehouses and our third-party managed warehouses is included in our warehouse segment contribution (NOI) and third-party managed segment contribution (NOI), respectively.
(4)We serve some of our customers in multiple geographic regions and in multiple facilities within geographic regions. As a result, the total number of customers that we serve is less than the total number of customers reflected in the table above that we serve in each geographic region.
(5)As of December 31, 2022, we owned 154 of our North American warehouses and 39 of our international warehouses, and we leased 37 of our North American warehouses and seven of our international warehouses. As of December 31, 2022, fourteen of our owned facilities were located on land that we lease pursuant to long-term ground leases.
(6)On June 1, 2022, we contributed our Chilean operations to the LATAM JV, and have a 15% ownership stake in the JV. The information reflects the period of time we owned the facility during 2022, prior to contributing it to the LATAM JV.
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Financial Supplement
Fourth Quarter 2022
                                        
chart-a67212914cc4451aac0.jpgchart-1e4f1c910d2141e4ba6.jpg
chart-7cf29895853e4718a68.jpgchart-07db86c2e49946bbbfb.jpg
_______________________________________________
(1)Retail reflects a broad variety of product types from retail customers.
(2)Packaged foods reflects a broad variety of temperature-controlled meals and foodstuffs.
(3)Distributors reflects a broad variety of product types from distributor customers.
____________________
Note: December 31, 2022 LTM Revenue and NOI pro forma 2022 acquisitions.
December 31, 2022 warehouse segment cubic feet includes all 2022 acquisitions.
Totals may not foot due to rounding.
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Financial Supplement
Fourth Quarter 2022
                                        
Fixed Commitment and Lease Maturity Schedules

The following table sets forth a summary schedule of the expirations for any defined contracts featuring fixed storage commitments and leases in effect as of December 31, 2022. The information set forth in the table assumes no exercise of extension options under these contracts and leases.
Contract Expiration Year Number
of
Contracts		 Annualized
Committed Rent
& Storage
Revenue
(in thousands)
% of Total
Warehouse
Rent & Storage
Segment
Revenue for the
Years ended
December 31, 2022
Total Warehouse Segment Revenue Generated by Contracts with Fixed Commitments & Leases for the Years ended  December 31, 2022(1) (in thousands)
Annualized
Committed Rent
& Storage
Revenue at
Expiration(2)
(in thousands)
Month-to-Month 74  $ 77,604  7.7  % $ 208,387  $ 77,135 
2023 113  119,868  12.0  % 284,024  120,805 
2024 81  88,083  8.8  % 220,964  89,903 
2025 29  35,704  3.6  % 57,049  37,678 
2026 15  33,794  3.4  % 67,691  36,056 
2027 19  16,831  1.7  % 82,112  20,148 
2028 and thereafter 17  47,593  4.8  % 149,175  52,024 
Total 348  $ 419,477  41.9  % $ 1,069,402  $ 433,749 
____________________
Note: December 31, 2022 LTM total revenue and rent and storage revenue pro forma 2022 acquisitions.
(1)Represents monthly fixed storage commitments and lease rental payments under the relevant expiring defined contract and lease as of December 31, 2022, plus the weighted average monthly warehouse services revenues attributable to these contracts and leases for the last twelve months ended December 31, 2022, multiplied by 12.
(2)Represents annualized monthly revenues from fixed storage commitments and lease rental payments under the defined contracts and relevant expiring leases as of December 31, 2022 based upon the monthly revenues attributable thereto in the last month prior to expiration, multiplied by 12.



chart-4a11e49a72e14bb38b8.jpgchart-f482a2f599874de6862.jpg


The following table sets forth a summary schedule of the expirations of our facility leased warehouses and other leases pursuant to which we lease space to third parties in our warehouse portfolio, in each case, in place as of December 31, 2022. These leases had a weighted average remaining term of 51 months as of December 31, 2022.
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Fourth Quarter 2022
                                        
Lease Expiration Year No. of
Leases
Expiring
Annualized
Rent(1)
(in thousands)
% of Total
Warehouse Rent &
Storage Segment
Revenue for the
Years ended
December 31, 2022
 Leased
Square
Footage
(in thousands)		 % Leased
Square
Footage
Annualized
Rent at
Expiration(2)
(in thousands)
Month-to-Month 9  $ 1,349  0.1  % 182  5.6  % $ 881 
2023 22  5,444  0.5  % 274  8.4  % 5,445 
2024 18  6,879  0.7  % 980  30.1  % 7,626 
2025 13  6,244  0.6  % 472  14.5  % 6,569 
2026 6  3,990  0.4  % 372  11.4  % 4,343 
2027 6  5,101  0.5  % 342  10.5  % 7,057 
2028 and thereafter 7  6,947  0.7  % 630  19.4  % 7,780 
Total 81  $ 35,954  3.6  % 3,252  100  % $ 39,701 
____________________
Note: December 31, 2022 LTM rent and storage revenue pro forma 2022 acquisitions.
(1)Represents monthly rental payments under the relevant leases as of December 31, 2022, multiplied by 12.
(2)Represents monthly rental payments under the relevant leases in the calendar year of expiration, multiplied by 12.


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Financial Supplement
Fourth Quarter 2022
                                        
Maintenance Capital Expenditures, Repair and Maintenance Expenses and
External Growth, Expansion and Development Capital Expenditures
We utilize a strategic and preventative approach to maintenance capital expenditures and repair and maintenance expenses to maintain the high quality and operational efficiency of our warehouses and ensure that our warehouses meet the “mission-critical” role they serve in the cold chain.
Maintenance Capital Expenditures
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
(In thousands, except per cubic foot amounts)
Real estate $ 24,737  $ 17,279  $ 74,852  $ 62,677 
Personal property 444  1,387  4,232  5,828 
Information technology 1,520  2,142  6,427  7,460 
Maintenance capital expenditures(1)
 $ 26,701  $ 20,808  $ 85,511  $ 75,965 
Maintenance capital expenditures per cubic foot $ 0.018  $ 0.014  $ 0.059  $ 0.052 
(1) Excludes $18.4 million and $15.8 million of deferred acquisition maintenance capital expenditures incurred for the years ended December 31, 2022 and 2021, respectively.

Repair and Maintenance Expenses
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
(In thousands, except per cubic foot amounts)
Real estate $ 11,632  $ 10,852  $ 41,086  $ 31,612 
Personal property 19,303  12,274  61,822  53,006 
Repair and maintenance expenses $ 30,935  $ 23,126  $ 102,908  $ 84,618 
Repair and maintenance expenses per cubic foot $ 0.021  $ 0.016  $ 0.071  $ 0.058 

External Growth, Expansion and Development Capital Expenditures
Three Months Ended December 31, Year Ended December 31,
2022 2021 2022 2021
(In thousands)
Acquisitions, net of cash acquired and adjustments $ 601  $ 125,037  $ 15,829  $ 741,353 
Asset acquisitions —  53,641  14,581  53,641 
Expansion and development initiatives(2)
 46,251  81,427  190,718  324,499 
Information technology 3,512  2,376  6,910  7,630 
Growth and expansion capital expenditures $ 50,364  $ 262,481  $ 228,038  $ 1,127,123 

(2)We capitalized interest of $3.0 million and $3.2 million for the three months ended December 31, 2022 and 2021, respectively. During the years ended December 31, 2022 and 2021, we capitalized interest of $11.8 million and $11.6 million, respectively. During the three months ended December 31, 2022 and 2021, we capitalized amounts relating to insurance, property taxes, and compensation and travel expense of employees direct and incremental to development of properties of approximately $1.3 million and $1.0 million, respectively, and during the years ended December 31, 2022 and 2021, we capitalized $5.5 million and $3.5 million, respectively.
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Fourth Quarter 2022
                                        

Global Warehouse Segment Financial Performance
The following table presents the operating results of our warehouse segment for the three months ended December 31, 2022 and 2021.
Three Months Ended December 31, Change
2022 Actual
2022 Constant Currency(1)
2021 Actual
 Actual Constant Currency
(Dollars in thousands)
Rent and storage $ 267,031  $ 273,754  $ 233,367  14.4  % 17.3  %
Warehouse services 331,659  340,155  320,788  3.4  % 6.0  %
Total warehouse segment revenue $ 598,690  $ 613,909  $ 554,155  8.0  % 10.8  %
Power 37,963  39,458  32,220  17.8  % 22.5  %
Other facilities costs (2)
 58,906  60,191  53,029  11.1  % 13.5  %
Labor 255,180  261,629  250,308  1.9  % 4.5  %
Other services costs (3)
 74,313  76,150  67,714  9.7  % 12.5  %
Total warehouse segment cost of operations $ 426,362  $ 437,428  $ 403,271  5.7  % 8.5  %
Warehouse segment contribution (NOI) $ 172,328  $ 176,481  $ 150,884  14.2  % 17.0  %
Warehouse rent and storage contribution (NOI) (4)
 $ 170,162  $ 174,105  $ 148,118  14.9  % 17.5  %
Warehouse services contribution (NOI) (5)
 $ 2,166  $ 2,376  $ 2,766  (21.7) % (14.1) %
Total warehouse segment margin 28.8  % 28.7  % 27.2  % 156 bps 152 bps
Rent and storage margin(6)
 63.7  % 63.6  % 63.5  % 25 bps 13 bps
Warehouse services margin(7)
 0.7  % 0.7  % 0.9  % -21 bps -16 bps
(1)The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2)Includes real estate rent expense of $10.2 million and $11.1 million for the fourth quarter 2022 and 2021, respectively.
(3)Includes non-real estate rent expense (equipment lease and rentals) of $3.6 million and $3.0 million for the fourth quarter of 2022 and 2021, respectively.
(4)Calculated as rent and storage revenues less power and other facilities costs.
(5)Calculated as warehouse services revenues less labor and other services costs.
(6)Calculated as warehouse rent and storage contribution (NOI) divided by warehouse rent and storage revenues.
(7)Calculated as warehouse services contribution (NOI) divided by warehouse services revenues.






















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The following table presents the operating results of our warehouse segment for the Years ended ended December 31, 2022 and 2021.
Year Ended December 31, Change
2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
(Dollars in thousands)
Rent and storage $ 999,388  $ 1,019,787  $ 876,153  14.1  % 16.4  %
Warehouse services 1,303,583  1,332,867  1,209,234  7.8  % 10.2  %
Total warehouse segment revenues 2,302,971  2,352,654  2,085,387  10.4  % 12.8  %
Power 155,661  161,000  129,535  20.2  % 24.3  %
Other facilities costs (2)
 231,944  236,436  208,172  11.4  % 13.6  %
Labor 1,006,862  1,028,375  934,782  7.7  % 10.0  %
Other services costs (3)
 272,272  278,958  226,462  20.2  % 23.2  %
Total warehouse segment cost of operations $ 1,666,739  $ 1,704,769  $ 1,498,951  11.2  % 13.7  %
Warehouse segment contribution (NOI) $ 636,232  $ 647,885  $ 586,436  8.5  % 10.5  %
Warehouse rent and storage contribution (NOI) (4)
 $ 611,783  $ 622,351  $ 538,446  13.6  % 15.6  %
Warehouse services contribution (NOI) (5)
 $ 24,449  $ 25,534  $ 47,990  (49.1) % (46.8) %
Total warehouse segment margin 27.6  % 27.5  % 28.1  % -49 bps -58 bps
Rent and storage margin(6)
 61.2  % 61.0  % 61.5  % -24 bps -43 bps
Warehouse services margin(7)
 1.9  % 1.9  % 4.0  % -209 bps -205 bps
(1)The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis are the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2)Includes real estate rent expense of $42.0 million and $41.8 million, on an actual basis, for the years ended December 31, 2022 and 2021, respectively.
(3)Includes non-real estate rent expense (equipment lease and rentals) of $12.9 million and $11.7 million, on an actual basis, for the years ended December 31, 2022 and 2021, respectively.
(4)Calculated as rent and storage revenues less power and other facilities costs.
(5)Calculated as warehouse services revenues less labor and other services costs.
(6)Calculated as warehouse rent and storage contribution (NOI) divided by warehouse rent and storage revenues.
(7)Calculated as warehouse services contribution (NOI) divided by warehouse services revenues.
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Financial Supplement
Fourth Quarter 2022
                                        
Same-store Financial Performance - The following table presents revenues, cost of operations, NOI and margins for our same stores and non-same stores with a reconciliation to the total financial metrics of our warehouse segment for the three months ended December 31, 2022 and 2021.
Three Months Ended December 31, Change
2022 Actual
2022 Constant Currency(1)
2021 Actual
 Actual Constant Currency
Number of same store warehouses 208 208 n/a n/a
Same store revenues: (Dollars in thousands)
Rent and storage $ 230,785  $ 235,947  $ 201,750  14.4  % 17.0  %
Warehouse services 295,365  302,612  284,044  4.0  % 6.5  %
Total same store revenues $ 526,150  $ 538,559  $ 485,794  8.3  % 10.9  %
Same store cost of operations:
Power 31,237  32,191  26,877  16.2  % 19.8  %
Other facilities costs 49,751  50,775  43,880  13.4  % 15.7  %
Labor 219,169  224,710  216,465  1.2  % 3.8  %
Other services costs 62,897  64,469  54,376  15.7  % 18.6  %
Total same store cost of operations $ 363,054  $ 372,145  $ 341,598  6.3  % 8.9  %
Same store contribution (NOI) $ 163,096  $ 166,414  $ 144,196  13.1  % 15.4  %
Same store rent and storage contribution (NOI)(2)
 $ 149,797  $ 152,981  $ 130,993  14.4  % 16.8  %
Same store services contribution (NOI)(3)
 $ 13,299  $ 13,433  $ 13,203  0.7  % 1.7  %
Total same store margin 31.0  % 30.9  % 29.7  % 132 bps 122 bps
Same store rent and storage margin(4)
 64.9  % 64.8  % 64.9  % -2 bps -9 bps
Same store services margin(5)
 4.5  % 4.4  % 4.6  % -15 bps -21 bps
Number of non-same store warehouses(6)
 29 33 n/a n/a
Non-same store revenues:
Rent and storage $ 36,246  $ 37,807  $ 31,617  n/r n/r
Warehouse services 36,294  37,543  36,744  n/r n/r
Total non-same store revenues $ 72,540  $ 75,350  $ 68,361  n/r n/r
Non-same store cost of operations:
Power 6,726  7,267  5,343  n/r n/r
Other facilities costs 9,155  9,416  9,149  n/r n/r
Labor 36,011  36,919  33,843  n/r n/r
Other services costs 11,416  11,681  13,338  n/r n/r
Total non-same store cost of operations $ 63,308  $ 65,283  $ 61,673  n/r n/r
Non-same store contribution (NOI) $ 9,232  $ 10,067  $ 6,688  n/r n/r
Non-same store rent and storage contribution (NOI)(2)
 $ 20,365  $ 21,124  $ 17,125  n/r n/r
Non-same store services contribution (NOI)(3)
 $ (11,133) $ (11,057) $ (10,437) n/r n/r
Total warehouse segment revenues $ 598,690  $ 613,909  $ 554,155  8.0  % 10.8  %
Total warehouse cost of operations $ 426,362  $ 437,428  $ 403,271  5.7  % 8.5  %
Total warehouse segment contribution (NOI) $ 172,328  $ 176,481  $ 150,884  14.2  % 17.0  %
(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis is the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Calculated as rent and storage revenues less power and other facilities costs.
(3) Calculated as warehouse services revenues less labor and other services costs.
(4) Calculated as same store rent and storage contribution (NOI) divided by same store rent and storage revenues.
(5) Calculated as same store warehouse services contribution (NOI) divided by same store warehouse services revenues.
(6)
Non-same store warehouse count of 29 includes one facility acquired through the De Bruyn Cold Storage acquisition on July 1, 2022, one recently leased warehouse in Australia, one recently constructed facility in Denver we purchased in November 2021, three facilities acquired through the Lago Cold Stores acquisition on November 15, 2021, one warehouse acquired through the Newark Facility Management acquisition on September 1, 2021, two facilities acquired through the ColdCo acquisition on August 2, 2021, one warehouse acquired through the Bowman stores acquisition on May 28, 2021, two warehouses acquired through the KMT Brrr! acquisition on May 5, 2021, four warehouses acquired through the Liberty Freezers acquisition on March 1, 2021, and 12 facilities under development or expansion, one of which was completed during the second quarter of 2022. During the third quarter of 2021, a leased facility from the Liberty Freezers acquisition was exited upon expiration of the lease. During the first quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we ceased operations within a facility that is being prepared for lease to a third-party. During the second quarter of 2022, we purchased a previously leased facility. During the third quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we purchased a previously leased facility in New Zealand. The results of the facilities exited are included in the results above, and the results of these acquisitions are reflected in the results above since date of ownership.
32

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Financial Supplement
Fourth Quarter 2022
                                        
The following table presents revenues, cost of operations, NOI and margins for our same stores and non-same stores with a reconciliation to the total financial metrics of our warehouse segment for the years ended December 31, 2022 and 2021.
Year Ended December 31, Change
2022 Actual
2022 Constant Currency(1)
 2021 Actual Actual Constant Currency
Number of same store warehouses 208 208 n/a n/a
Same store revenues: (Dollars in thousands)
Rent and storage $ 862,268  $ 877,817  $ 783,256  10.1  % 12.1  %
Warehouse services 1,151,824  1,177,011  1,109,896  3.8  % 6.0  %
Total same store revenues 2,014,092  2,054,828  1,893,152  6.4  % 8.5  %
Same store cost of operations:
Power 128,408  131,993  113,073  13.6  % 16.7  %
Other facilities costs 193,831  197,053  178,077  8.8  % 10.7  %
Labor 865,949  884,576  837,137  3.4  % 5.7  %
Other services costs 226,159  231,882  194,034  16.6  % 19.5  %
Total same store cost of operations $ 1,414,347  $ 1,445,504  $ 1,322,321  7.0  % 9.3  %
Same store contribution (NOI) $ 599,745  $ 609,324  $ 570,831  5.1  % 6.7  %
Same store rent and storage contribution (NOI)(2)
 $ 540,029  $ 548,771  $ 492,106  9.7  % 11.5  %
Same store services contribution (NOI)(3)
 $ 59,716  $ 60,553  $ 78,725  (24.1) % (23.1) %
Total same store margin 29.8  % 29.7  % 30.2  % -37 bps -50 bps
Same store rent and storage margin(4)
 62.6  % 62.5  % 62.8  % -20 bps -31 bps
Same store services margin(5)
 5.2  % 5.1  % 7.1  % -191 bps -195 bps
Number of non-same store warehouses(6)
 29 33 n/a n/a
Non-same store revenues:
Rent and storage $ 137,119  $ 141,970  $ 92,897  n/r n/r
Warehouse services 151,760  155,855  99,338  n/r n/r
Total non-same store revenues 288,879  297,825  192,235  n/r n/r
Non-same store cost of operations:
Power 27,253  29,006  16,462  n/r n/r
Other facilities costs 38,113  39,384  30,095  n/r n/r
Labor 140,913  143,800  97,645  n/r n/r
Other services costs 46,113  47,076  32,428  n/r n/r
Total non-same store cost of operations $ 252,392  $ 259,266  $ 176,630  n/r n/r
Non-same store contribution (NOI) $ 36,487  $ 38,559  $ 15,605  n/r n/r
Non-same store rent and storage contribution (NOI)(2)
 $ 71,753  $ 73,580  $ 46,340  n/r n/r
Non-same store services contribution (NOI)(3)
 $ (35,266) $ (35,021) $ (30,735) n/r n/r
Total warehouse segment revenues $ 2,302,971  $ 2,352,654  $ 2,085,387  10.4  % 12.8  %
Total warehouse cost of operations $ 1,666,739  $ 1,704,769  $ 1,498,951  11.2  % 13.7  %
Total warehouse segment contribution (NOI) $ 636,232  $ 647,885  $ 586,436  8.5  % 10.5  %
(1) The adjustments from our U.S. GAAP operating results to calculate our operating results on a constant currency basis is the effect of changes in foreign currency exchange rates relative to the comparable prior period.
(2) Calculated as rent and storage revenues less power and other facilities costs.
(3) Calculated as warehouse services revenues less labor and other services costs.
(4) Calculated as same store rent and storage contribution (NOI) divided by same store rent and storage revenues.
(5) Calculated as same store warehouse services contribution (NOI) divided by same store warehouse services revenues.
(6)
Non-same store warehouse count of 29 includes one facility acquired through the De Bruyn Cold Storage acquisition on July 1, 2022, one recently leased warehouse in Australia, one recently constructed facility in Denver we purchased in November 2021, three facilities acquired through the Lago Cold Stores acquisition on November 15, 2021, one warehouse acquired through the Newark Facility Management acquisition on September 1, 2021, two facilities acquired through the ColdCo acquisition on August 2, 2021, one warehouse acquired through the Bowman stores acquisition on May 28, 2021, two warehouses acquired through the KMT Brrr! acquisition on May 5, 2021, four warehouses acquired through the Liberty Freezers acquisition on March 1, 2021, and 12 facilities under development or expansion, one of which was completed during the second quarter of 2022. During the third quarter of 2021, a leased facility from the Liberty Freezers acquisition was exited upon expiration of the lease. During the first quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we ceased operations within a facility that is being prepared for lease to a third-party. During the second quarter of 2022, we purchased a previously leased facility. During the third quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we purchased a previously leased facility in New Zealand. The results of the facilities exited are included in the results above, and the results of these acquisitions are reflected in the results above since date of ownership.
33

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Financial Supplement
Fourth Quarter 2022
                                        
Same-store Key Operating Metrics
The following table provides certain operating metrics to explain the drivers of our same store performance for the three months ended December 31, 2022 and 2021.
Three Months Ended December 31, Change
Units in thousands except per pallet and site data 2022 2021
Number of same store warehouses 208 208 n/a
Same store rent and storage:
Economic occupancy(1)
Average economic occupied pallets 4,082  3,802  7.4  %
Economic occupancy percentage 85.0  % 78.7  % 634 bps
Same store rent and storage revenues per economic occupied pallet $ 56.54  $ 53.07  6.5  %
Constant currency same store rent and storage revenue per economic occupied pallet $ 57.80  $ 53.07  8.9  %
Physical occupancy(2)
Average physical occupied pallets 3,827  3,481  10.0  %
Average physical pallet positions 4,802  4,833  (0.6) %
Physical occupancy percentage 79.7  % 72.0  % 768 bps
Same store rent and storage revenues per physical occupied pallet $ 60.30  $ 57.96  4.0  %
Constant currency same store rent and storage revenues per physical occupied pallet $ 61.65  $ 57.96  6.4  %
Same store warehouse services:
Throughput pallets 8,882  9,157  (3.0) %
Same store warehouse services revenues per throughput pallet $ 33.26  $ 31.02  7.2  %
Constant currency same store warehouse services revenues per throughput pallet $ 34.07  $ 31.02  9.8  %
Number of non-same store warehouses(3)
 29 33 n/a
Non-same store rent and storage:
Economic occupancy(1)
Average economic occupied pallets 455  405  n/r
Economic occupancy percentage 74.1  % 70.2  % n/r
Physical occupancy(2)
Average physical occupied pallets 402  381  n/r
Average physical pallet positions 614  576  n/r
Physical occupancy percentage 65.5  % 66.0  % n/r
Non-same store warehouse services:
Throughput pallets 1,081  1,188  n/r
(1)We define average economic occupancy as the aggregate number of physically occupied pallets and any additional pallets otherwise contractually committed for a given period, without duplication. We estimate the number of contractually committed pallet positions by taking into account actual pallet commitments specified in each customer’s contract, and subtracting the physical pallet positions.
(2)We define average physical occupancy as the average number of occupied pallets divided by the estimated number of average physical pallet positions in our warehouses for the applicable period. We estimate the number of physical pallet positions by taking into account actual racked space and by estimating unracked space on an as-if racked basis. We base this estimate on a formula utilizing the total cubic feet of each room within the warehouse that is unracked divided by the volume of an assumed rack space that is consistent with the characteristics of the relevant warehouse. On a warehouse by warehouse basis, rack space generally ranges from three to four feet depending upon the type of facility and the nature of the customer goods stored therein. The number of our pallet positions is reviewed and updated quarterly, taking into account changes in racking configurations and room utilization.
(3)Non-same store warehouse count of 29 includes one facility acquired through the De Bruyn Cold Storage acquisition on July 1, 2022, one recently leased warehouse in Australia, one recently constructed facility in Denver we purchased in November 2021, three facilities acquired through the Lago Cold Stores acquisition on November 15, 2021, one warehouse acquired through the Newark Facility Management acquisition on September 1, 2021, two facilities acquired through the ColdCo acquisition on August 2, 2021, one warehouse acquired through the Bowman stores acquisition on May 28, 2021, two warehouses acquired through the KMT Brrr! acquisition on May 5, 2021, four warehouses acquired through the Liberty Freezers acquisition on March 1, 2021, and 12 facilities under development or expansion, one of which was completed during the second quarter of 2022. During the third quarter of 2021, a leased facility from the Liberty Freezers acquisition was exited upon expiration of the lease. During the first quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we ceased operations within a facility that is being prepared for lease to a third-party. During the second quarter of 2022, we purchased a previously leased facility. During the third quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we purchased a previously leased facility in New Zealand. The results of the facilities exited are included in the results above, and the results of these acquisitions are reflected in the results above since date of ownership.
34

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Financial Supplement
Fourth Quarter 2022
                                        
The following table provides certain operating metrics to explain the drivers of our same store performance for the years ended December 31, 2022 and 2021.
Year Ended December 31,
Units in thousands except per pallet and site number data 2022 2021 Change
Number of same store sites 208  208  n/a
Same store rent and storage:
Economic occupancy(1)
Average occupied economic pallets 3,879  3,714  4.4  %
Economic occupancy percentage 80.5  % 77.0  % 345 bps
Same store rent and storage revenues per economic occupied pallet $ 222.27  $ 210.88  5.4  %
Constant currency same store rent and storage revenues per economic occupied pallet $ 226.28  $ 210.88  7.3  %
Physical occupancy(2)
Average physical occupied pallets 3,592  3,394  5.8  %
Average physical pallet positions 4,821  4,823  0.0  %
Physical occupancy percentage 74.5  % 70.4  % 413 bps
Same store rent and storage revenues per physical occupied pallet $ 240.07  $ 230.81  4.0  %
Constant currency same store rent and storage revenues per physical occupied pallet $ 244.40  $ 230.81  5.9  %
Same store warehouse services:
Throughput pallets (in thousands) 35,733  36,281  (1.5) %
Same store warehouse services revenues per throughput pallet $ 32.23  $ 30.59  5.4  %
Constant currency same store warehouse services revenues per throughput pallet $ 32.94  $ 30.59  7.7  %
Number of non-same store sites(3)
 29  33  n/a
Non-same store rent and storage:
Economic occupancy(1)
Average economic occupied pallets 439  333  n/r
Economic occupancy percentage 71.9  % 71.3  % n/r
Physical occupancy(2)
Average physical occupied pallets 399  308  n/r
Average physical pallet positions 610  467  n/r
Physical occupancy percentage 65.5  % 65.8  % n/r
Non-same store warehouse services:
Throughput pallets (in thousands) 4,360  3,658  n/r
(1)We define average economic occupancy as the aggregate number of physically occupied pallets and any additional pallets otherwise contractually committed for a given period, without duplication. We estimate the number of contractually committed pallet positions by taking into account actual pallet commitments specified in each customer’s contract, and subtracting the physical pallet positions.
(2)We define average physical occupancy as the average number of occupied pallets divided by the estimated number of average physical pallet positions in our warehouses for the applicable period. We estimate the number of physical pallet positions by taking into account actual racked space and by estimating unracked space on an as-if racked basis. We base this estimate on a formula utilizing the total cubic feet of each room within the warehouse that is unracked divided by the volume of an assumed rack space that is consistent with the characteristics of the relevant warehouse. On a warehouse by warehouse basis, rack space generally ranges from three to four feet depending upon the type of facility and the nature of the customer goods stored therein. The number of our pallet positions is reviewed and updated quarterly, taking into account changes in racking configurations and room utilization.
(3)Non-same store warehouse count of 29 includes one facility acquired through the De Bruyn Cold Storage acquisition on July 1, 2022, one recently leased warehouse in Australia, one recently constructed facility in Denver we purchased in November 2021, three facilities acquired through the Lago Cold Stores acquisition on November 15, 2021, one warehouse acquired through the Newark Facility Management acquisition on September 1, 2021, two facilities acquired through the ColdCo acquisition on August 2, 2021, one warehouse acquired through the Bowman stores acquisition on May 28, 2021, two warehouses acquired through the KMT Brrr! acquisition on May 5, 2021, four warehouses acquired through the Liberty Freezers acquisition on March 1, 2021, and 12 facilities under development or expansion, one of which was completed during the second quarter of 2022. During the third quarter of 2021, a leased facility from the Liberty Freezers acquisition was exited upon expiration of the lease. During the first quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we ceased operations within a facility that is being prepared for lease to a third-party. During the second quarter of 2022, we purchased a previously leased facility. During the third quarter of 2022, a leased facility from the Lago Cold Stores acquisition was exited upon expiration of the lease, and we purchased a previously leased facility in New Zealand. The results of the facilities exited are included in the results above, and the results of these acquisitions are reflected in the results above since date of ownership.
35

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Financial Supplement
Fourth Quarter 2022
                                        
2022 Same-store Historical Performance Trend - The following table reflects the actual results of our current same store pool, in USD, for the respective periods.
Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 Q3 21 Q2 21 Q1 21
Number of same store warehouses 208 208 208 208 208 208 208 208
Same store revenues:
Rent and storage $230,785 $222,859 $208,743 $199,881 $201,750 $199,140 $192,225 $190,142
Warehouse services 295,365 298,242 283,153 275,064 284,044 287,896 273,020 264,936
Total same store revenues $526,150 $521,101 $491,896 $474,945 $485,794 $487,036 $465,245 $455,078
Same store cost of operations:
Power 31,237 39,946 29,780 27,445 26,877 33,732 28,594 23,869
Other facilities costs 49,751 49,154 48,048 46,878 43,880 45,019 44,631 44,546
Labor 219,169 220,333 214,835 211,612 216,465 218,607 204,465 197,600
Other services costs 62,897 56,786 55,332 51,144 54,376 51,205 45,304 43,148
Total same store cost of operations $363,054 $366,219 $347,995 $337,079 $341,598 $348,563 $322,994 $309,163
Same store contribution (NOI) $163,096 $154,882 $143,901 $137,866 $144,196 $138,473 $142,251 $145,915
Same store rent and storage contribution (NOI)(1) $149,797 $133,759 $130,915 $125,558 $130,993 $120,389 $119,000 $121,727
Same store services contribution (NOI)(2) $13,299 $21,123 $12,986 $12,308 $13,203 $18,084 $23,251 $24,188
Total same store margin 31.0  % 29.7  % 29.3  % 29.0  % 29.7  % 28.4  % 30.6  % 32.1  %
Same store rent and storage margin(3) 64.9  % 60.0  % 62.7  % 62.8  % 64.9  % 60.5  % 61.9  % 64.0  %
Same store services margin(4) 4.5  % 7.1  % 4.6  % 4.5  % 4.6  % 6.3  % 8.5  % 9.1  %
Same store rent and storage:
Economic occupancy
Average economic occupied pallets 4,082 3,901 3,780 3,755 3,802 3,688 3,640 3,727
Economic occupancy percentage 85.0  % 80.9  % 78.3  % 77.7  % 78.7  % 76.5  % 75.5  % 77.5  %
Same store rent and storage revenues per economic occupied pallet $56.54 $57.13 $55.22 $53.24 $53.06 $54.00 $52.81 $51.02
Physical occupancy
Average physical occupied pallets 3,827 3,634 3,491 3,415 3,481 3,365 3,327 3,402
Average physical pallet positions 4,802 4,823 4,826 4,835 4,833 4,823 4,824 4,811
Physical occupancy percentage 79.7  % 75.4  % 72.3  % 70.6  % 72.0  % 69.8  % 69.0  % 70.7  %
Same store rent and storage revenues per physical occupied pallet $60.30 $61.32 $59.80 $58.54 $57.96 $59.19 $57.78 $55.89
Same store warehouse services:
Throughput pallets 8,882 9,113 8,970 8,768 9,157 9,204 9,098 8,821
Same store warehouse services revenues per throughput pallet $33.25 $32.73 $31.57 $31.37 $31.02 $31.28 $30.01 $30.03
Total non-same store results:
Non-same store warehouse revenue 72,540 77,876 72,483 65,980 68,361 55,011 38,489 30,374
Non-same store warehouse cost of operations 63,308 66,096 65,399 57,589 61,673 48,492 36,361 30,104
Non-same store warehouse NOI 9,232 11,780 7,084 8,391 6,688 6,519 2,128 270
Actual FX rates for the period Q4 22 Q3 22 Q2 22 Q1 22 Q4 21 Q3 21 Q2 21 Q1 21
1 ARS = 0.006 0.007 0.008 0.009 0.010 0.01 0.011 0.011
1 AUS = 0.658 0.683 0.715 0.724 0.729 0.735 0.769 0.773
1 BRL = 0.190 0.191 0.204 0.192 0.179 0.191 0.191 0.183
1 CAD = 0.737 0.766 0.784 0.789 0.794 0.794 0.811 0.79
1 CLP = 0.001 0.001 0.001 0.001 0.001 0.001 0.001 0.001
1 EUR = 1.022 1.007 1.065 1.122 1.144 1.179 1.208 1.205
1 GBP = 1.175 1.177 1.257 1.342 1.348 1.378 1.394 1.379
1 NZD = 0.604 0.613 0.651 0.676 0.695 0.701 0.716 0.719
1 PLN = 0.216 0.213 0.229 0.243 0.248 0.258 0.267 0.265
(1)Calculated as rent and storage revenues less power and other facilities costs.
(2)Calculated as warehouse services revenues less labor and other services costs.
(3)Calculated as warehouse rent and storage contribution (NOI) divided by warehouse rent and storage revenues.
(4)Calculated as warehouse services contribution (NOI) divided by warehouse services revenues.
36

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Financial Supplement
Fourth Quarter 2022
                                        
2023 Same-store Historical Performance Trend - The following table reflects the actual results of our 2023 same store pool, in USD, for the respective periods.
Three Months Ended Year Ended
Q4 22 Q3 22 Q2 22 Q1 22 2022
Number of same store warehouses 221 221 221 221 221
Same store revenues:
Rent and storage $255,426 $247,895 $231,040 $219,329 $953,690
Warehouse services 321,107 324,649 309,639 299,118 1,254,513
Total same store revenues $576,533 $572,544 $540,679 $518,447 $2,208,203
Same store cost of operations:
Power 35,279 44,597 32,934 30,244 143,054
Other facilities costs 54,403 53,778 52,133 51,673 211,987
Labor 241,816 243,319 238,310 232,970 956,415
Other services costs 70,399 63,475 63,744 57,300 254,918
Total same store cost of operations $401,897 $405,169 $387,121 $372,187 $1,566,374
Same store contribution (NOI) $174,636 $167,375 $153,558 $146,260 $641,829
Same store rent and storage contribution (NOI)(1) $165,744 $149,520 $145,973 $137,412 $598,649
Same store services contribution (NOI)(2) $8,892 $17,855 $7,585 $8,848 $43,180
Total same store margin 30.3  % 29.2  % 28.4  % 28.2  % 29.1  %
Same store rent and storage margin(3) 64.9  % 60.3  % 63.2  % 62.7  % 62.8  %
Same store services margin(4) 2.8  % 5.5  % 2.4  % 3.0  % 3.4  %
Same store rent and storage:
Economic occupancy
Average economic occupied pallets 4,350 4,176 4,044 4,012 4,146
Economic occupancy percentage 84.2  % 80.5  % 77.8  % 77.1  % 79.9  %
Same store rent and storage revenues per economic occupied pallet $58.72 $54.62 $57.13 $54.66 $230.05
Physical occupancy
Average physical occupied pallets 4,065 3,883 3,734 3,649 3,833
Average physical pallet positions 5,164 5,190 5,196 5,205 5,189
Physical occupancy percentage 78.7  % 74.8  % 71.9  % 70.1  % 73.9  %
Same store rent and storage revenues per physical occupied pallet $62.84 $63.85 $61.88 $60.11 $248.84
Same store warehouse services:
Throughput pallets 9,505 9,777 9,620 9,382 38,284
Same store warehouse services revenues per throughput pallet $33.78 $33.21 $32.19 $31.88 $32.77
Total non-same store results:
Non-same store warehouse revenue $22,157 $26,433 $23,701 $22,477 $94,768
Non-same store warehouse cost of operations $24,465 $27,145 $26,272 $22,483 $100,365
Non-same store warehouse NOI $(2,308) $(712) $(2,571) $(6) $(5,597)
(1)Calculated as rent and storage revenues less power and other facilities costs.
(2)Calculated as warehouse services revenues less labor and other services costs.
(3)Calculated as warehouse rent and storage contribution (NOI) divided by warehouse rent and storage revenues.
(4)Calculated as warehouse services contribution (NOI) divided by warehouse services revenues.
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Financial Supplement
Fourth Quarter 2022
External Growth and Capital Deployment
Recently Completed Expansion and Development Projects
Facility Opportunity Type Facility Type
 (A = Automated)
 (C = Conventional)		 Tenant Opportunity Cubic Feet
(in millions)		 Pallet Positions
(in thousands)
Estimated Total Cost
(in millions)(1)
 Expected
Stabilized
NOI ROIC		 Completion Date Expected Full Stabilized Quarter
Rochelle, IL Expansion Distribution (A) Multi-tenant 15.7  54  $109 7-9% Q2 2019 Q1 2023
Columbus, OH Expansion Public (C) Multi-tenant 1.5  5  $7 14-15% Q1 2020 Q2 2021
Savannah, GA(2)
 Development Distribution (C) Multi-tenant 14.8  37  $70 7-9% Q2 2020 Q3 2021
Atlanta, GA Expansion /Redevelopment Distribution (A) Multi-tenant 18.3  60  $136 10-12% Q2 2021 Q2 2023
Auckland, New Zealand Expansion Distribution (C) Multi-tenant 4.6  27  NZ$64 12-14% Q2 2021 Q3 2022
Lurgan, Northern Ireland Expansion Distribution (C) Multi-tenant 0.7  4  £7 10-12% Q2 2021 Q3 2022
Calgary, Canada Expansion Distribution (C) Multi-tenant 2.0  7  C$13 10-12% Q3 2021 Q1 2023
Dunkirk, NY Development Production Advantaged (C) Build-to-suit 7.0  25  $38 10-12% Q2 2022 Q3 2023
Dublin, Ireland Development Distribution (C) Multi-tenant 6.3  20  €34 10-12% Q3 2022 Q1 2024
Barcelona Expansion Distribution (C) Multi-tenant 3.3  12  €13 10-12% Q4 2022 Q3 2024
(1)Cost to date through December 31, 2022, projects are substantially complete. Additional spending may be incurred for residual cost and retainage.
(2)Cost includes $15.9 million of development land as part of the PortFresh Holdings, LLC acquisition completed during January 2019.


Expansion and Development Projects In Process and Announced
    Facility Type
 (A = Automated)
 (C = Conventional)		 Under
Construction		 Investment in Expansion / Development
(in millions)		 Expected
Stabilized
NOI ROIC		 Target
Complete
Date		 Expected Full Stabilized Quarter
Facility Opportunity Type Tenant Opportunity
Cubic Feet
(millions) (1)
Pallet
Positions
(thousands) (1)
Cost (2)
 Estimate to
Complete 		 Total Estimated
Cost
Lancaster, PA Development Distribution (A) Build-to-suit 11.4  28  $143
$15-$21
$158-$164
 10-12% Q1 2023 Q2 2024
Russellville, AR Expansion Production Advantaged (A) Build-to-suit 13.0  42  $73
$15-$22
$88-$95
 10-12% Q2 2023 Q3 2024
Atlanta 2, GA Expansion Distribution (A) Multi-tenant 6.3  24  $33
$5 - $7
$38 - $40
 10-12% Q2 2023 Q1 2025
Plainville, CT Development Distribution (A) Build-to-suit 12.1  31  $154
$16-$20
$170-$174
 10-12% Q3 2023 Q1 2025
Spearwood, Australia Expansion Distribution (A) Multi-tenant 3.3  20 
A$44
A$16-A$20
A$60-A$64
 10-12% Q3 2023 Q1 2025
(1)Cubic feet and pallet positions are estimates while the facilities are under construction.
(2)Cost as of December 31, 2022.

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Financial Supplement
Fourth Quarter 2022
Recent Acquisitions
Facility Metropolitan Area No. of Facilities Cubic Feet
(in millions)		 Pallet
Positions
(in thousands)
Acquisition Price (in millions)
Net Entry NOI Yield (1)
 Expected Three Year Stabilized
NOI ROIC		 Date Purchased Expected Full Stabilized Quarter
Liberty Freezers Canada 4 10.4  42  C$57.8 7.0  % 8-9% 3/1/2021 Q2 2024
KMT Brrr!(2)
 New Jersey 2 12.6  39  $71.1 9.0  % 10.0-10.5% 5/5/2021 Q3 2024
Bowman Stores England 1 9.5  23  £74.1 6.8  % 7.5-8.5% 5/28/2021 Q3 2024
ColdCo Logistics(3)
 St. Louis 2 2.8  12  $20.5 10.7  % 12-13% 8/2/2021 Q4 2024
Newark Facility Management(4)
 New Jersey 1 11.5  17  $376.5 6.1  % 6.5-7.5% 9/1/2021 Q4 2024
Brighton(5)
 Denver, CO 1 12.1  33  $59.3 5.5  % 7.5-8.5% 11/12/2021 Q1 2025
Lago Cold Stores Australia 3 6.8  30  A$106.4 6.2  % 7-8% 11/15/2021 Q1 2025
De Bruyn Cold Storage Australia 1 2.0  21  A$24.9 8.2  % 9-10% 7/1/2022 Q4 2025
(1)Inclusive of expenses required to integrate and reach stabilization.
(2)Net Entry NOI Yield metric is exclusive of SG&A expense.
(3)The net entry NOI yield of 10.7% excludes approximately $0.9 million of SG&A, resulting in a net entry EBITDA yield of 6.3%.
(4)The total acquisition price is $390.5 million. Excluding $2.6 million in annual tax credits valued at $14.0 million, the adjusted acquisition price is $376.5 million. The net entry NOI yield of 6.1% excludes approximately $1.7 million of SG&A, resulting in a net entry EBITDA yield of 5.6%. NOI and EBITDA exclude the $2.6 million in annual tax credits.
(5)Facility was approximately 50% occupied at time of acquisition, resulting in a lower net entry NOI yield.
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Financial Supplement
Fourth Quarter 2022
Unconsolidated Joint Ventures (Investment in Partially Owned Entities)

As of December 31, 2022, the Company owned a 14.99% equity share in the Brazil-based SuperFrio. The debt of our unconsolidated joint venture is non-recourse to us, except for customary exceptions pertaining to such matters as intentional misuse of funds, environmental conditions and material misrepresentations.

SuperFrio
As of
Summary Balance Sheet - at the JV’s 100% share in BRLs Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
($’s in thousands)
Net book value of property, buildings and equipment R$ 1,099,418  R$ 1,063,778  R$ 1,038,105  R$ 1,011,629  R$ 1,006,278 
Other assets 512,948  501,967  456,142  411,849  404,641 
Total assets 1,612,366  1,565,745  1,494,247  1,423,478  1,410,919 
Debt 679,304  625,015  602,520  584,718  533,397 
Other liabilities 461,286  461,636  428,600  419,416  432,137 
Equity 471,776  479,095  463,127  419,344  445,385 
Total liabilities and equity R$ 1,612,366  R$ 1,565,746  R$ 1,494,247  R$ 1,423,478  R$ 1,410,919 
Americold’s ownership percentage 15  % 15  % 15  % 15  % 15  %
BRL/USD quarter-end rate 0.1892 0.1848 0.1900 0.2108 0.1795
Americold’s pro rata share of debt at BRL/USD rate $ 19,279  $ 17,325  $ 17,172  $ 18,489  $ 14,362 
Three Months Ended
Summary Statement of Operations - at the JV’s 100% share in BRLs Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
($’s in thousands)
Revenues R$ 163,109  R$ 152,517  R$ 139,826  R$ 117,183  R$ 123,199 
Cost of operations 103,302  101,461  93,060  78,574  74,518 
Selling, general and administrative expense 13,732  9,704  11,887  12,883  13,982 
M&A expense 3,940  4,310  3,652  4,893  2,488 
Depreciation & amortization 20,672  18,221  20,014  19,617  20,669 
Total operating expenses 141,646  133,696  128,613  115,967  111,657 
Operating income 21,463  18,821  11,213  1,216  11,542 
Interest expense 28,588  21,374  33,163  24,518  15,865 
Other income (631) (659) (1,241) (905) (725)
Current income tax (benefit) expense 1,519  2,868  3,800  2,067  3,110 
Deferred income tax (benefit) expense (216) (4,546) (11,576) (10,420) 8,380 
Non-operating expenses 29,260  19,037  24,146  15,260  26,630 
Net (loss) income R$ (7,797) R$ (216) R$ (12,933) R$ (14,044) R$ (15,088)
Americold’s ownership percentage 15  % 15  % 15  % 15  % 15  %
BRL/USD average rate 0.1901 0.1907 0.2040 0.1916 0.1791
Americold’s pro rata share of NOI $ 1,705  $ 1,460  $ 1,431  $ 1,110  $ 1,308 
Americold’s pro rata share of Net (loss) income $ (222) $ (6) $ (396) $ (404) $ (405)
Americold’s pro rata share of Core FFO $ 163  $ 368  $ 41  $ 105  $ (61)
Americold’s pro rata share of AFFO $ 378  $ 500  $ (46) $ (40) $ 400 
    

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Financial Supplement
Fourth Quarter 2022
As of December 31, 2022, the Company owned a 22.12% equity share in the Brazil-based Comfrio. The debt of our unconsolidated joint venture is non-recourse to us, except for customary exceptions pertaining to such matters as intentional misuse of funds, environmental conditions and material misrepresentations.

Comfrio
As of
Summary Balance Sheet - at the JV’s 100% share in BRLs Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
($’s in thousands)
Net book value of property, buildings and equipment R$ 314,387  R$ 326,647  R$ 264,379  R$ 291,462  R$ 293,463 
Other assets 358,299  307,768  267,943  288,221  263,395 
Total assets 672,686  634,415  532,322  579,683  556,858 
Debt 381,706  316,730  326,207  314,227  287,422 
Other liabilities 452,651  433,575  361,367  349,460  316,844 
Equity (161,671) (115,890) (155,252) (84,004) (47,408)
Total liabilities and equity R$ 672,686  R$ 634,415  R$ 532,322  R$ 579,683  R$ 556,858 
Americold’s ownership percentage 22  % 22  % 22  % 22  % 22  %
BRL/USD quarter-end rate 0.1892 0.1848 0.1900 0.2108 0.1795
Americold’s pro rata share of debt at BRL/USD rate $ 15,888  $ 12,877  $ 13,635  $ 14,573  $ 11,350 
Three Months Ended
Summary Statement of Operations - at the JV’s 100% share in BRLs Q4 22 Q3 22 Q2 22 Q1 22 Q4 21
($’s in thousands)
Revenues R$ 123,698  R$ 113,862  R$ 99,938  R$ 85,017  R$ 95,910 
Cost of operations 80,327  72,822  65,612  61,387  65,158 
Selling, general and administrative expense 10,747  12,932  4,829  7,404  3,077 
Depreciation & amortization 26,759  19,390  27,679  21,084  17,976 
Operating expenses 117,833  105,144  98,120  89,875  86,211 
Operating income 5,865  8,718  1,818  (4,858) 9,699 
Interest expense 53,223  36,589  43,704  38,976  32,911 
Other (income) loss (1,808) 5,735  (4,566) (7,359) (6,435)
Current tax expense (benefit) —  —  —  —  (1,785)
Deferred income tax expense (benefit) 90  (2,976) 45,544  907  (3,298)
Non-operating expenses 51,505  39,348  84,682  32,524  21,393 
Net (loss) income R$ (45,640) R$ (30,630) R$ (82,864) R$ (37,382) R$ (11,694)
Americold’s ownership percentage 22  % 22  % 22  % 22  % 22  %
BRL/USD average rate 0.1901 0.1907 0.2040 0.1916 0.1791
Americold’s pro rata share of NOI $ 1,814  $ 1,722  $ 1,541  $ 996  $ 1,212 
Americold’s pro rata share of Net (loss) income $ (1,909) $ (1,285) $ (3,719) $ (1,576) $ (461)
Americold’s pro rata share of Core FFO $ (971) $ (898) $ (818) $ (867) $ 116 
Americold’s pro rata share of AFFO $ (423) $ (927) $ (361) $ (829) $ (753)


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Financial Supplement
Fourth Quarter 2022
                                        

2023 Guidance

The ranges for these metrics do not include the impact of acquisitions, dispositions, or capital markets activity beyond that which has been previously announced.
As of
February 16, 2023
Warehouse segment same store revenue growth (constant currency)
3.0% - 6.0%
Warehouse segment same store NOI growth (constant currency)
100 - 300 bps higher than associated revenue
Warehouse segment non-same store NOI $0M - $15M
Transportation and Managed segment NOI
$50M - $57M
Total selling, general and administrative expense (inclusive of share-based compensation expense of $24M - $25M )
$216M - $234M
Interest expense $134M - $140M
Current income tax expense
$5M - $9M
Deferred income tax benefit
$10M - $14M
Non real estate depreciation and amortization expense
$120M - $130M
Total maintenance capital expenditures
$80M - $90M
Development starts (1)
$100M - $200M
AFFO per share
$1.14 - $1.24
Assumed FX rates
1 ARS = 0.0061 USD
1 AUS = 0.6616 USD
1 BRL = 0.1900 USD
1 CAD = 0.7331 USD
1 CLP = 0.0011 USD
1 EUR = 1.0565 USD
1 GBP = 1.2320 USD
1 NZD = 0.6120 USD
1 PLN = 0.2274 USD
(1)Represents the aggregate invested capital for initiated development opportunities.

















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Financial Supplement
Fourth Quarter 2022
                                        
Notes and Definitions
We calculate funds from operations, or FFO, in accordance with the standards established by the Board of Governors of the National Association of Real Estate Investment Trusts, or NAREIT. NAREIT defines FFO as net income or loss determined in accordance with U.S. GAAP, excluding extraordinary items as defined under U.S. GAAP and gains or losses from sales of previously depreciated operating real estate assets, plus specified non-cash items, such as real estate asset depreciation and amortization, real estate asset impairment and our share of reconciling items for partially owned entities. We believe that FFO is helpful to investors as a supplemental performance measure because it excludes the effect of depreciation, amortization and gains or losses from sales of real estate, all of which are based on historical costs, which implicitly assumes that the value of real estate diminishes predictably over time. Since real estate values instead have historically risen or fallen with market conditions, FFO can facilitate comparisons of operating performance between periods and among other equity REITs.
We calculate core funds from operations, or Core FFO, as FFO adjusted for the effects of gain or loss on the sale of non-real estate assets, acquisition, litigation and other, net, goodwill impairment, share-based compensation expense for the IPO retention grants, loss on debt extinguishment, modifications and termination of derivative instruments, and foreign currency exchange loss. We also adjust for the impact of Core FFO attributable to gain on extinguishment of New Market Tax Structure, loss on deconsolidation of subsidiary contributed to the LATAM joint venture and our share of reconciling items related to partially owned entities. We believe that Core FFO is helpful to investors as a supplemental performance measure because it excludes the effects of certain items which can create significant earnings volatility, but which do not directly relate to our core business operations. We believe Core FFO can facilitate comparisons of operating performance between periods, while also providing a more meaningful predictor of future earnings potential.
However, because FFO and Core FFO add back real estate depreciation and amortization and do not capture the level of maintenance capital expenditures necessary to maintain the operating performance of our properties, both of which have material economic impacts on our results from operations, we believe the utility of FFO and Core FFO as a measure of our performance may be limited.
We calculate adjusted funds from operations, or Adjusted FFO, as Core FFO adjusted for the effects of amortization of deferred financing costs and pension withdrawal liability, non-real estate asset impairment, amortization of above or below market leases, straight-line net rent, provision or benefit from deferred income taxes, share-based compensation expense from grants under our equity incentive plans, excluding IPO grants, non-real estate depreciation and amortization, non-real estate depreciation and amortization from foreign joint ventures and maintenance capital expenditures. We also adjust for AFFO attributable to our share of reconciling items of partially owned entities. We believe that Adjusted FFO is helpful to investors as a meaningful supplemental comparative performance measure of our ability to make incremental capital investments in our business and to assess our ability to fund distribution requirements from our operating activities.
FFO, Core FFO and Adjusted FFO are used by management, investors and industry analysts as supplemental measures of operating performance of equity REITs. FFO, Core FFO and Adjusted FFO should be evaluated along with U.S. GAAP net income and net income per diluted share (the most directly comparable U.S. GAAP measures) in evaluating our operating performance. FFO, Core FFO and Adjusted FFO do not represent net income or cash flows from operating activities in accordance with U.S. GAAP and are not indicative of our results of operations or cash flows from operating activities as disclosed in our consolidated statements of operations included in our quarterly and annual reports. FFO, Core FFO and Adjusted FFO should be considered as supplements, but not alternatives, to our net income or cash flows from operating activities as indicators of our operating performance. Moreover, other REITs may not calculate FFO in accordance with the NAREIT definition or may interpret the NAREIT definition differently than we do. Accordingly, our FFO may not be comparable to FFO as calculated by other REITs. In addition, there is no industry definition of Core FFO or Adjusted FFO and, as a result, other REITs may also calculate Core FFO or Adjusted FFO, or other similarly-captioned metrics, in a manner different than we do. The table above reconciles FFO, Core FFO and Adjusted FFO to net (loss) income, which is the most directly comparable financial measure calculated in accordance with U.S. GAAP.
We calculate EBITDA for Real Estate, or EBITDAre, in accordance with the standards established by the Board of Governors of NAREIT, defined as, earnings before interest expense, taxes, depreciation and amortization, net gain on sale of real estate, net of withholding taxes, and adjustment to reflect share of EBITDAre of partially owned entities. EBITDAre is a measure commonly used in our industry, and we present EBITDAre to enhance investor understanding of our operating performance. We believe that EBITDAre provides investors and analysts with a measure of operating results unaffected by differences in capital structures, capital investment cycles and useful life of related assets among otherwise comparable companies.
We also calculate our Core EBITDA as EBITDAre further adjusted for acquisition, litigation and other, net, loss on partially owned entities, impairment of indefinite and long-lived assets, foreign currency exchange gain or loss, share-based compensation expense, loss on debt extinguishment, modifications and termination of derivative instruments, gain on extinguishment of New Market Tax Credit structure, loss on deconsolidation of subsidiary contributed to joint venture, net loss on other asset disposals, and reduction in EBITDAre from partially owned entities. We believe that the presentation of Core EBITDA provides a measurement of our operations that is meaningful to investors because it excludes the effects of certain items that are otherwise included in EBITDAre but which we do not believe are indicative of our core business operations. EBITDAre and Core EBITDA are not measurements of financial performance under U.S. GAAP, and our EBITDAre and Core EBITDA may not be comparable to similarly titled measures of other companies. You should not consider our EBITDAre and Core EBITDA as alternatives to net income or cash flows from operating activities determined in accordance with U.S. GAAP. Our calculations of EBITDAre and Core EBITDA have limitations as analytical tools, including:
•these measures do not reflect our historical or future cash requirements for maintenance capital expenditures or growth and expansion capital expenditures;
•these measures do not reflect changes in, or cash requirements for, our working capital needs;
•these measures do not reflect the interest expense, or the cash requirements necessary to service interest or principal payments, on our indebtedness;
•these measures do not reflect our tax expense or the cash requirements to pay our taxes; and
•although depreciation and amortization are non-cash charges, the assets being depreciated will often have to be replaced in the future and these measures do not reflect any cash requirements for such replacements.
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Financial Supplement
Fourth Quarter 2022
                                        
We use Core EBITDA and EBITDAre as measures of our operating performance and not as measures of liquidity. The table on page 20 reconciles EBITDA, EBITDAre and Core EBITDA to net income, which is the most directly comparable financial measure calculated in accordance with U.S. GAAP.
Net debt to proforma Core EBITDA is calculated using total debt, plus capital lease obligations, less cash and cash equivalents, divided by pro-forma Core EBITDA. We calculate pro-forma Core EBITDA as Core EBITDA further adjusted for acquisitions, dispositions and for rent expense associated with lease buy-outs and lease exits. The pro-forma adjustment for acquisitions reflects the Core EBITDA for the period of time prior to acquisition. The pro-forma adjustment for leased facilities exited or purchased reflects the add-back for the related lease expense from the last year. The pro-forma adjustment for dispositions reduces Core EBITDA for the earnings of facilities disposed of or exited during the year, including the strategic exit of certain third-party managed business.
We define our “same store” population once a year at the beginning of the current calendar year. Our same store population includes properties that were owned or leased for the entirety of two comparable periods and that have reported at least twelve months of consecutive normalized operations prior to January 1 of the prior calendar year. We define “normalized operations” as properties that have been open for operation or lease after development or significant modification, including the expansion of a warehouse footprint or a warehouse rehabilitation subsequent to an event, such as a natural disaster or similar event causing disruption to operations. In addition, our definition of “normalized operations” takes into account changes in the ownership structure (e.g., purchase of acquired properties will be included in the “same store” population if owned by us as of the first business day of each year, of the prior calendar year and still owned by us as of the end of the current reporting period, unless the property is under development). The “same store” pool is also adjusted to remove properties that were sold or entering development subsequent to the beginning of the current calendar year. As such, the “same store” population for the period ended December 31, 2022 includes all properties that we owned at January 2, which had both been owned and had reached “normalized operations” by January 2, 2022.
We calculate “same store revenue” as revenues for the same store population. We calculate “same store contribution (NOI)” as revenues for the same store population less its cost of operations (excluding any depreciation and amortization, impairment charges, corporate-level selling, general and administrative expenses, corporate-level acquisition, litigation and other, net and gain or loss on sale of real estate). In order to derive an appropriate measure of period-to-period operating performance, we also calculate our same store contribution (NOI) on a constant currency basis to remove the effects of foreign currency exchange rate movements by using the comparable prior period exchange rate to translate from local currency into U.S. dollars for both periods. We evaluate the performance of the warehouses we own or lease using a “same store” analysis, and we believe that same store contribution (NOI) is helpful to investors as a supplemental performance measure because it includes the operating performance from the population of properties that is consistent from period to period and also on a constant currency basis, thereby eliminating the effects of changes in the composition of our warehouse portfolio and currency fluctuations on performance measures. Same store contribution (NOI) is not a measurement of financial performance under U.S. GAAP. In addition, other companies providing temperature-controlled warehouse storage and handling and other warehouse services may not define same store or calculate same store contribution (NOI) in a manner consistent with our definition or calculation. Same store contribution (NOI) should be considered as a supplement, but not as an alternative, to our results calculated in accordance with U.S. GAAP. The tables beginning on page 32 provide reconciliations for same store revenues and same store contribution (NOI).
We define “maintenance capital expenditures” as capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology. Maintenance capital expenditures include capital expenditures made to extend the life of, and provide future economic benefit from, our existing temperature-controlled warehouse network and its existing supporting personal property and information technology. Maintenance capital expenditures do not include acquisition costs contemplated when underwriting the purchase of a building or costs which are incurred to bring a building up to Americold’s operating standards. See the tables on page 29 for additional information regarding our maintenance capital expenditures.
We define “total real estate debt” as the aggregate of the following: mortgage notes, senior unsecured notes, term loans and borrowings under our revolving line of credit. We define “total debt outstanding” as the aggregate of the following: total real estate debt, sale-leaseback financing obligations and financing lease obligations. See the tables on page 22 for additional information regarding our indebtedness.
All quarterly amounts and non-GAAP disclosures within this filing shall be deemed unaudited.
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