EX-12.1 2 amh06301710qexhibit121.htm EXHIBIT 12.1
Exhibit 12.1
AMERICAN HOMES 4 RENT
RATIO OF EARNINGS TO FIXED CHARGES

| Six Months Ended |  | Year ended December 31,
(Amounts in thousands) | June 30, 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013 (1) |  | 2012
Earnings: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Income (loss) from continuing operations | $ | 26,862 |  |  | $ | 10,446 |  |  | $ | (47,948 | ) |  | $ | (33,092 | ) |  | $ | (20,074 | ) |  | $ | (10,236 | )
Less: equity in earnings of joint ventures | (1,623 | ) |  | (860 | ) |  | — |  |  | — |  |  | — |  |  | — |
Add: fixed charges | 62,259 |  |  | 133,783 |  |  | 98,103 |  |  | 33,077 |  |  | 10,016 |  |  | — |
Less: capitalized interest | (1,638 | ) |  | (2,290 | ) |  | (8,690 | ) |  | (13,196 | ) |  | (9,646 | ) |  | — |
Less: gain on remeasurement of equity method investment | — |  |  | — |  |  | — |  |  | — |  |  | (10,945 | ) |  | — |
Less: gain on conversion of Series E units | — |  |  | (11,463 | ) |  | — |  |  | — |  |  | — |  |  | — |
Less: remeasurement of Series E units | — |  |  | — |  |  | (2,100 | ) |  | 5,119 |  |  | 2,057 |  |  | — |
Less: remeasurement of preferred shares | 7,050 |  |  | 7,020 |  |  | 4,830 |  |  | 6,158 |  |  | 1,810 |  |  | — |
Add: preferred distributions | 28,869 |  |  | 43,264 |  |  | 41,067 |  |  | 37,528 |  |  | 16,223 |  |  | — |
Total earnings | $ | 121,779 |  |  | $ | 179,900 |  |  | $ | 85,262 |  |  | $ | 35,594 |  |  | $ | (10,559 | ) |  | $ | (10,236 | )
Combined fixed charges and preferred distributions: |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expense (including amortization of loan costs) | $ | 60,281 |  |  | $ | 130,847 |  |  | $ | 89,413 |  |  | $ | 19,881 |  |  | $ | 370 |  |  | $ | — |
Capitalized interest | 1,638 |  |  | 2,290 |  |  | 8,690 |  |  | 13,196 |  |  | 9,646 |  |  | — |
Portion of rental expense which represents interest factor | 340 |  |  | 646 |  |  | — |  |  | — |  |  | — |  |  | — |
Fixed charges | $ | 62,259 |  |  | $ | 133,783 |  |  | $ | 98,103 |  |  | $ | 33,077 |  |  | $ | 10,016 |  |  | $ | — |
Preferred distributions (2) | 28,869 |  |  | 43,264 |  |  | 41,067 |  |  | 37,528 |  |  | 16,223 |  |  | — |
Combined fixed charges and preferred distributions | $ | 91,128 |  |  | $ | 177,047 |  |  | $ | 139,170 |  |  | $ | 70,605 |  |  | $ | 26,239 |  |  | $ | — |
Ratio of earnings to fixed charges | 1.96 |  |  | 1.34 |  |  | 0.87 |  |  | 1.08 |  |  | N/A |  |  | N/A |
Ratio of earnings to combined fixed charges and preferred distributions | 1.34 |  |  | 1.02 |  |  | 0.61 |  |  | 0.50 |  |  | N/A |  |  | N/A |
Surplus (deficiency) of earnings to fixed charges | $ | 59,520 |  |  | $ | 46,117 |  |  | $ | (12,841 | ) |  | $ | 2,517 |  |  | $ | (20,575 | ) |  | $ | (10,236 | )
Surplus (deficiency) of earnings to combined fixed charges and preferred distributions | $ | 30,651 |  |  | $ | 2,853 |  |  | $ | (53,908 | ) |  | $ | (35,011 | ) |  | $ | (36,798 | ) |  | $ | (10,236 | )

(1) | Excludes discontinued operations.

(2) | Includes distributions of $3.2 million on Series A participating preferred shares, $2.8 million on Series B participating preferred shares, $5.2 million on Series C participating preferred shares, $8.7 million on Series D perpetual preferred shares, $7.3 million on Series E perpetual preferred shares and $1.7 million on Series F perpetual preferred shares for the six months ended June 30, 2017. Includes distributions of $6.3 million on Series A participating preferred shares, $5.5 million on Series B participating preferred shares, $10.5 million on Series C participating preferred shares, $10.6 million on Series D perpetual preferred shares, $7.4 million on Series E perpetual preferred shares and $3.0 million on Series C convertible units for the year ended December 31, 2016. Includes distributions of $6.3 million on Series A participating preferred shares, $5.5 million on Series B participating preferred shares, $10.5 million on Series C participating preferred shares and $18.8 million on Series C convertible units for the year ended December 31, 2015. Includes distributions of $6.3 million on Series A participating preferred shares, $5.7 million on Series B participating preferred shares, $6.9 million on Series C participating preferred shares and $18.6 million on Series C convertible units for the year ended December 31, 2014. Includes distributions of $1.2 million on Series A participating preferred shares, $14.9 million on Series C convertible units and $0.2 million on 3.5% convertible perpetual preferred units for the year ended December 31, 2013.