Financial Data and Key Metrics Changes - Comparable FFO for 2025 was $2.32 per share, slightly higher than 2024 and better than anticipated [26] - Fourth quarter comparable FFO was $0.55 per share, down from $0.61 per share in Q4 2024, primarily due to higher net interest expense [26] - Same-store GAAP NOI increased by 5% for the quarter, while same-store cash NOI decreased by 8.3% [27] Business Line Data and Key Metrics Changes - In 2025, the company leased 4.6 million sq ft of office space, with 3.7 million sq ft in Manhattan, marking the highest leasing volume in over a decade [6] - Average starting rents in Manhattan were $98 per sq ft, with mark-to-markets of +10.4% GAAP and +7.8% cash [7] - Office occupancy rose from 88.8% to 91.2% in 2025, driven by significant leasing activity [12][28] Market Data and Key Metrics Changes - The New York office market is experiencing a tightening landlord's market, with robust tenant demand from finance and tech sectors [4] - The financing markets for Class A assets are strong, with CMBS spreads at their tightest since 2021 [29] - The company has a liquidity of $2.39 billion, including cash balances of $978 million and undrawn credit lines of $1.41 billion [22] Company Strategy and Development Direction - The company is focused on its Manhattan-centric office strategy, with significant developments planned, including 350 Park Avenue and 623 Fifth Avenue [5][15] - The company aims to capitalize on the shortage of large blocks in better buildings by bringing prime space to market [14] - The management team is committed to maintaining a highly liquid, cash-heavy balance sheet while exploring stock buybacks [22][24] Management's Comments on Operating Environment and Future Outlook - Management believes the current fundamentals in Manhattan are the best in 20 years, with expectations for continued tightening in the landlord's market [4] - The company anticipates significant earnings growth in 2027 as the positive impact from PENN 1 and PENN 2 lease-up takes effect [28] - Management acknowledges the disconnect between stock price and asset value, viewing current stock buybacks as an attractive investment opportunity [24][25] Other Important Information - The company has extended maturities on nearly $3.5 billion of debt through 2031 and has been active in refinancing to bolster liquidity [23][30] - The acquisition of 623 Fifth Avenue is viewed as a strategic move, with plans to create a high-quality boutique office space [15][16] - The company is also developing a 475-unit rental residential building on 34th Street, expected to break ground in the fall [19] Q&A Session Summary Question: Changes in the structure of 350 Park Avenue - Management confirmed that there were amendments related to the overall deal, providing flexibility in equity percentage [35] Question: Overall leasing pipeline and tenant conversations - The leasing pipeline remains strong, with over half of the activity from new tenants and significant expansion from financial services and law firms [40] Question: Cash and GAAP same-store NOI difference - Management expects to see cash NOI turn positive in the second half of 2026 as free rent periods end [45] Question: Retail market conditions on Upper Fifth Avenue - The retail market is improving but still struggling to meet top-tick rents from four or five years ago [48] Question: Difference between GAAP occupancy and leased occupancy - The $200 million difference is not annualized and will be recognized as tenants build out their spaces [51]

Core Insights - Vornado reported revenue of $453.71 million for the quarter ended December 2025, a year-over-year decline of 0.9%, with an EPS of $0.55 compared to $0.01 a year ago, indicating a significant improvement in earnings despite the revenue drop [1] - The revenue exceeded the Zacks Consensus Estimate of $434.77 million by 4.36%, while the EPS fell short of the consensus estimate of $0.57 by 3.05% [1] Financial Performance Metrics - Vornado's shares have returned -9.4% over the past month, underperforming the Zacks S&P 500 composite's -0.2% change, and currently holds a Zacks Rank 4 (Sell) [3] - Occupancy rates in New York were reported at 90%, surpassing the average estimate of 88.5% by four analysts [4] - Total property square footage in New York was 20,907.00 Ksq ft, slightly below the three-analyst average estimate of 21,036.00 Ksq ft [4] - New York retail occupancy was 79.4%, slightly below the average estimate of 80.1% [4] - New York office occupancy was reported at 91.2%, exceeding the average estimate of 89.8% [4] Revenue Breakdown - Total revenues from New York amounted to $374.81 million, compared to the estimated $348.51 million, reflecting a -2.3% change year-over-year [4] - Total rental revenues were $382.14 million, slightly below the average estimate of $382.95 million, representing a -4.1% year-over-year change [4] - Fee and other income from management and leasing fees was $2.61 million, below the average estimate of $2.85 million, with a year-over-year change of +3.6% [4] - Tenant expense reimbursements totaled $38.37 million, significantly lower than the estimated $42.7 million, reflecting a -15.2% change year-over-year [4] - Other income was reported at $27.71 million, exceeding the average estimate of $18.33 million, with a year-over-year change of +41.4% [4] - BMS cleaning fees amounted to $41.25 million, surpassing the average estimate of $36.98 million, with a year-over-year change of +10.9% [4] - Amortization of acquired below-market leases, net, was reported at $0.1 million, below the estimated $0.15 million, reflecting a -48.7% change year-over-year [4]

Vornado (VNO) came out with quarterly funds from operations (FFO) of $0.55 per share, missing the Zacks Consensus Estimate of $0.57 per share. This compares to FFO of $0.61 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an FFO surprise of -3.05%. A quarter ago, it was expected that this real estate investment trust would post FFO of $0.55 per share when it actually produced FFO of $0.57, delivering a surprise of +3.64%.Over the last four quarters, t ...

Acquisitions and Sales - The company acquired 3 East 54th Street for $141,000,000, with a loan balance of $107,000,000 credited towards the purchase price[5] - The acquisition of 623 Fifth Avenue was completed for $218,000,000, with a redevelopment expected to be delivered to tenants in 2027[7] - A joint venture sold 512 West 22nd Street for $205,000,000, resulting in net proceeds of $37,900,000 and a net gain of $11,002,000[8] - The company recognized a financial statement net gain of $21,080,000 from the sale of three condominium units at 220 Central Park South[10] - The company sold eight residential and two retail condominium units at Canal Street for net proceeds of $32,613,000, resulting in a net gain of $14,211,000[11] Financing Activities - The company completed a $525,000,000 refinancing of One Park Avenue, with a new interest rate of SOFR plus 1.78%[14] - A public offering of $500,000,000 senior unsecured notes due February 1, 2033 was completed, yielding 5.78%[17] - The company upsized its revolving credit facility to $1.130 billion, with an interest rate of SOFR plus 1.05%[18] - Alexander's restructured a $300,000,000 mortgage loan, splitting it into a $132,500,000 senior A-Note and a $167,500,000 junior C-Note[22] - The refinancing of 7 West 34th Street was completed for $250,000,000, with a fixed interest rate of 5.79%[16] - The company completed a $450,000,000 refinancing of PENN 11, with a fixed interest rate of 6.35% and a maturity date in August 2030[27] - A joint venture completed a $675,000,000 refinancing of Independence Plaza, with a fixed interest rate of 5.84% and maturing in June 2030[28] Financial Performance - The company reported a net income attributable to common shareholders of $601,000 for Q4 2025, compared to $1,203,000 for Q4 2024, reflecting a decrease[41] - Funds from Operations (FFO) attributable to common shareholders, as adjusted, was $110,873,000 for Q4 2025, down from $122,212,000 in Q4 2024, representing a decrease of 9.2%[41] - The company declared a dividend of $0.74 per common share for 2025, maintaining the same dividend level as in 2024[41] - The market capitalization of the company was $17.2 billion as of December 31, 2025, down from $20.1 billion a year earlier[41] - Total revenues for the three months ended December 31, 2025, were $453,709,000, a decrease of 0.9% compared to $457,790,000 for the same period in 2024[51] - Net Operating Income (NOI) at share on a cash basis was $243,402,000 for Q4 2025, down from $276,588,000 in Q4 2024, representing a decline of 12%[51] - EBITDAre attributable to the Operating Partnership was $263,084,000 for Q4 2025, compared to $270,960,000 in Q4 2024, reflecting a decrease of 2.9%[51] - Funds From Operations (FFO) attributable to common shareholders plus assumed conversions was $112,927,000 for Q4 2025, down from $117,085,000 in Q4 2024, a decline of 3.7%[51] Liquidity and Capital Structure - The company has $2.397 billion in total liquidity, including $841 million in cash and cash equivalents[41] - Cash and cash equivalents increased to $840,850,000 as of December 31, 2025, up by $106,903,000 from $733,947,000 a year earlier[50] - Total assets decreased to $15,521,118,000 as of December 31, 2025, down by $477,490,000 from $15,998,608,000 in 2024[50] - Total liabilities decreased to $8,716,595,000 as of December 31, 2025, a reduction of $1,110,144,000 from $9,826,739,000 in 2024[50] - Shareholders' equity increased to $5,986,727,000 as of December 31, 2025, an increase of $828,485,000 from $5,158,242,000 in 2024[50] Debt and Interest Rates - The total debt as of December 31, 2025, was $9,693,001,000, with a weighted average interest rate of 4.98%[95] - The company's pro rata share of total debt decreased to $9,010,754,000 from $10,077,818,000 in 2024, indicating a reduction of 10.6%[95] - The net debt to EBITDAre, as adjusted, improved to 7.7x for the year ended December 31, 2025, compared to 8.6x in 2024[95] - The total outstanding debt to total assets ratio was 34% as of December 31, 2025, well below the required threshold of 60%[100] - The fixed charge coverage ratio was reported at 1.98, exceeding the required minimum of 1.40[100] - The company's unsecured debt to cap value of unencumbered assets ratio was 18%, significantly lower than the required maximum of 60%[100] - The total secured debt to total assets ratio stood at 25%, below the required limit of 50%[100] Operational Metrics - Same store NOI at share increased by 5.0% for the three months ended December 31, 2025, compared to the same period in 2024[61] - For the year ended December 31, 2025, same store NOI at share increased by 5.4% compared to 2024[61] - The initial rent for office space was $97.86 per square foot, reflecting a 7.8% increase compared to prior escalated rent[68] - The percentage of initial rent allocated to tenant improvements and leasing commissions was 13.4% for office space[68] - The cash basis initial rent for retail space was $186.34 per square foot, showing a decrease of 1.0% from prior escalated rent[68] - The weighted average lease term for office space was 11.3 years, indicating a stable leasing environment[68] Development and Future Projects - Active development projects include PENN 2 with a rentable area of 1,825,000 square feet and a projected cash yield of 11.6%[83] - The company has future opportunities totaling 4,457,000 square feet, including the Hotel Pennsylvania site with 2,052,000 square feet[83] - The company anticipates a projected leasing stabilization year for PENN 2 in 2026[83] Tenant and Occupancy Information - The company has a total of 30 tenants, with the top tenant, Meta Platforms, Inc., contributing $82,906,000, representing 4.5% of total annualized escalated rents[127] - The occupancy rate for New York segment increased to 90.0% as of December 31, 2025, up from 87.5% in September 2025[131] - Residential occupancy rate reached 95.5% as of December 31, 2025, with an average monthly rent of $5,051[132] - The total property occupancy in New York segment is 91.4% with a weighted average escalated annual rent of $92.18 PSF[143] Summary of Financial Results - Net income attributable to common shareholders for the year ended December 31, 2025, was $842.851 million, with a diluted earnings per share of $4.20[173] - Funds From Operations (FFO) attributable to common shareholders plus assumed conversions for the year ended December 31, 2025, was $486.826 million, representing an increase from $470.021 million in the previous year[175] - FFO per diluted share for the year ended December 31, 2025, was $2.42, compared to $2.37 for the year ended December 31, 2024[175]

NEW YORK, Feb. 09, 2026 (GLOBE NEWSWIRE) -- Vornado Realty Trust (NYSE: VNO) reported today: Quarter Ended December 31, 2025 Financial Results NET INCOME attributable to common shareholders for the quarter ended December 31, 2025 was $601,000, or $0.00 per diluted share, compared to $1,203,000, or $0.01 per diluted share, for the prior year's quarter. FUNDS FROM OPERATIONS ("FFO") attributable to common shareholders plus assumed conversions (non-GAAP) for the quarter ended December 31, 2025 was $112,927,000 ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Fiscal Year Ended: December 31, 2025 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number: 001-11954 (Vornado Realty Trust) Commission File Number: 001-34482 (Vornado Realty L.P.) Vornado Realty Trust Vornado Realty L.P. (Exact name of r ...

Core Viewpoint - Vornado Realty Trust has successfully completed a $525 million refinancing of One Park Avenue, a significant Class A office building in Manhattan, with a substantial portion of the space leased to New York University [1][2]. Group 1: Refinancing Details - The new loan of $525 million carries an interest rate of SOFR plus 1.78% and is set to mature in February 2031 [1]. - This refinancing replaces a previous loan of the same amount that had an interest rate of SOFR plus 1.22% and was scheduled to mature in March 2026 [2]. Group 2: Property Information - One Park Avenue is a 945,000 square foot office building located in Manhattan [1]. - Approximately 74% of the space in One Park Avenue is leased to New York University, indicating a strong tenant presence [1]. Group 3: Company Overview - Vornado Realty Trust operates as a fully-integrated equity real estate investment trust (REIT), focusing on the ownership and management of commercial real estate [2].

Market Overview - The S&P 500 rose approximately 0.5%, the Nasdaq increased by 1%, and the Dow Jones Industrial Average remained around the flatline above 50,000 [1] - Technology stocks rebounded from recent declines, with significant contributions from the portfolio's Magnificent Seven positions, excluding Apple and Amazon [1] Inflation Expectations - The New York Fed's 1-year inflation expectations decreased to 3.09% from 3.42% in December, below the consensus estimate of 3.38% [1] Capital Expenditure Insights - Bank of America reported a 14% quarter-over-quarter and 66% year-over-year increase in fourth-quarter global hyperscale capital expenditures, reaching $148 billion, which was $7 billion more than previously expected [1] - Looking ahead, Bank of America forecasts capital expenditures to be $748 billion in 2026 and $869 billion in 2027, reflecting year-over-year growth rates of 56% and 16% respectively, which are higher than previous estimates of 36% and 15% [1] Upcoming Earnings Reports - Earnings reports are expected from On Semiconductor and Vornado Realty Trust after the market closes, with additional reports from DuPont, Coca-Cola, Datadog, Fiserv, Spotify, AstraZeneca, Ferrari, Marriott International, BP, and Xylem before the market opens on Tuesday [1] Sector Performance - The AI capital expenditure beneficiary basket is performing well, with new highs in companies such as Corning, GE Vernova, Dover, Cisco, and Qnity Electronics, alongside solid gains in Eaton and strength in semiconductor stocks like Nvidia and Broadcom [1]

Core Viewpoint - Vornado Realty Trust is facing challenges in the real estate market, leading to a decline in analysts' price targets, while its commitment to sustainability remains a positive aspect for long-term growth [2][3][4]. Group 1: Company Overview - Vornado Realty Trust is a significant player in the real estate sector, with a strong presence in major cities like New York City, Chicago, and San Francisco [1]. - The company manages over 23 million square feet of LEED-certified buildings, highlighting its dedication to sustainability [1]. - Vornado received the Energy Star Partner of the Year Award for Sustained Excellence in 2019, recognizing its environmental efforts [1]. Group 2: Market Performance - Vornado's consensus price target has decreased from $41 to $39, and then to $36, indicating growing caution among analysts regarding its stock performance [2]. - Expectations for Q4 2025 earnings report suggest a decline in both revenue and funds from operations (FFO), attributed to challenges in the competitive office market [3]. Group 3: Strategic Initiatives - A recent leasing deal with Paramount at Sunset Pier 94 Studios, covering 70,000 square feet, reflects Vornado's strategic diversification efforts [4]. - This initiative is expected to enhance Vornado's long-term revenue prospects and attract environmentally-conscious investors and tenants [4]. Group 4: Upcoming Events - Investors should monitor Vornado's earnings announcement on February 9, 2026, and the subsequent conference call on February 10, 2026, as these events may influence analysts' price targets and investor sentiment [5].

Core Insights - Vornado Realty Trust (VNO) is expected to report a year-over-year decline in revenues and funds from operations (FFO) per share for Q4 2025 on February 9 [1][10]. Company Performance - In the last reported quarter, Vornado's FFO per share was 57 cents, exceeding the Zacks Consensus Estimate of 55 cents, with year-over-year growth in same-store net operating income (NOI) and occupancy [2]. - Over the past four quarters, Vornado's FFO per share has consistently surpassed the Zacks Consensus Estimate, with an average surprise of 12.5% [3]. Industry Trends - The U.S. office market saw a positive demand shift in the second half of 2025, with leasing activity strengthening and vacancy rates expected to peak later this year [3]. - Net absorption for the U.S. office market turned positive in Q4 2025, ending a 12-quarter decline, although full-year absorption remained negative at 6.7 million square feet [4]. - Class A office assets are in high demand, with absorption totaling 3.5 million square feet in Q4 2025 and 9.2 million square feet for the full year [5]. Supply Dynamics - Elevated construction costs and policy uncertainty have limited new developments, with the national vacancy rate at 20.5% in Q4, a slight increase of 30 basis points year-over-year [6]. - Sublease availability has decreased in about 60% of markets, while office conversions are tightening supply [6]. Competitive Landscape - High demand for quality offices has positively impacted Vornado's leasing activity, but competition from other developers and operators has pressured the company's ability to attract tenants at higher rents [8]. - To remain competitive, Vornado is offering rent concessions, which has negatively affected its revenue growth [8]. Financial Projections - Vornado's New York revenues are projected to decline by 9.2% to $348.5 million, while total quarterly revenues are expected to be $434.8 million, reflecting a 5% year-over-year decline [11]. - The consensus estimate for occupancy in Vornado's New York office portfolio is 89.8%, up from 88.8% a year ago [12]. - The Zacks Consensus Estimate for quarterly FFO per share remains at 57 cents, indicating a 6.6% increase from the previous year [12].