Prologis beats quarterly revenue estimates as warehouse demand holds firm

Jan 21 (Reuters) - Warehouse-focused real estate investment trust Prologis PLD.N beat Wall Street estimates for fourth-quarter revenue on Wednesday, helped by resilient demand for its storage facilities.

The world's largest industrial property developer reported revenue of $2.25 billion for the quarter ended December 31, above analysts' estimates of $2.15 billion, according to data compiled by LSEG.

Prologis, which develops and manages warehouses, distribution facilities and fulfillment centers across 20 countries, has benefited from strong demand among retailers and manufacturers for warehouse space to support e-commerce and more efficient inventory management.

"Customers are making long-term decisions with greater conviction," said CEO Daniel Letter.

The San Francisco, California-based company counts Amazon AMZN.O, Home Depot HD.N, FedEx FDX.N and UPS UPS.N among its major customers and owns and operates about 1.3 billion square feet of logistics real estate across nearly 5,900 facilities globally.

Shares were up about 1% in premarket trading.

The company's core funds from operations stood at $1.44 per share for the quarter, in line with analysts' estimates, and it expects full-year core FFO to be between $6 and $6.20 per share, the midpoint of which is marginally below analysts' estimates of $6.13 per share.

"As we look ahead, embedded growth, disciplined investment activity and unmatched global capital access give us confidence in our earnings growth outlook for 2026 and beyond," CFO Timothy Arndt said.

Prologis also expanded its data center power pipeline to 5.7 gigawatts during the quarter and surpassed its target for 1 gigawatt of installed solar and battery storage.