The headline is straightforward but consequential: Prologis is producing sizable operating cash, yet its dividend policy is running ahead of earnings. Calculated from the FY2024 statutory results, the dividend-to-EPS ratio is ≈106.18% (dividend per share $3.94 divided by EPS $3.71), meaning distributions exceeded reported earnings in the year covered. That payout level, combined with a net-debt-to-EBITDA multiple of ≈4.01x (net debt $30.18B / EBITDA $7.53B, calculated from FY2024 figures), sets the parameters for near-term capital-allocation decisions and balance-sheet priorities going forward. These computations use Prologis' year-end income statement, balance sheet and cash-flow numbers Prologis Investor Relations.

How Prologis turned the operational engine this cycle#

Prologis’ income-statement trend shows stable revenue growth with expanding operating profitability. Revenue rose from $8.02B in FY2023 to $8.20B in FY2024 — a sequential YoY increase of +2.24% (calculation: (8.20-8.02)/8.02). The driver of materially stronger bottom-line performance was margin expansion. Gross profit held near prior levels at roughly 74.9%, while operating income expanded from $3.71B to $4.42B, lifting the operating-income margin from 46.21% to 53.84% — a gain of +7.63 percentage points (763 basis points). That lift produced higher EBITDA of $7.53B in FY2024 versus $6.57B in FY2023 (+14.56%).