Phillips Edison & Company Reports First Quarter 2025 Results and Affirms Full Year Earnings Guidance

Core Viewpoint - Phillips Edison & Company, Inc. (PECO) reported strong financial results for Q1 2025, with net income of $26.3 million, or$0.21 per diluted share, reflecting a significant increase from the previous year [1][4]. Financial Results - Net income attributable to stockholders for Q1 2025 was $26.3 million, up from$17.7 million in Q1 2024, representing a 48.6% increase [4]. - Nareit Funds from Operations (FFO) increased by 11.2% to $89.0 million, or$0.64 per diluted share, compared to $80.1 million, or$0.59 per diluted share, in Q1 2024 [5][7]. - Core FFO for Q1 2025 was $90.8 million, or$0.65 per diluted share, up from $81.7 million, or$0.60 per diluted share, in Q1 2024 [7]. Operational Highlights - Same-center Net Operating Income (NOI) increased by 3.9% to $115.1 million compared to$110.7 million in Q1 2024 [8]. - The company reported a strong leased portfolio occupancy of 97.1% and same-center leased portfolio occupancy of 97.2% as of March 31, 2025 [9]. - During Q1 2025, PECO executed 234 leases totaling approximately 1.5 million square feet, with new leases showing a rent spread of 28.1% and renewal leases at 20.8% [11][12]. Portfolio Activity - PECO acquired six shopping centers for a total of $146.4 million and sold one shopping center for$24.9 million during Q1 2025 [6][13]. - The company’s total portfolio consisted of 298 properties totaling approximately 33.5 million square feet as of March 31, 2025, compared to 284 properties totaling approximately 32.4 million square feet a year earlier [9]. Balance Sheet Highlights - As of March 31, 2025, PECO had approximately $760 million in total liquidity, including$7.9 million in cash and $751.8 million in borrowing capacity on its$1.0 billion revolving credit facility [17]. - The company’s net debt to annualized adjusted EBITDAre was 5.3x, compared to 5.0x at the end of 2024 [18]. 2025 Guidance - PECO affirmed its full-year 2025 earnings guidance, projecting Nareit FFO per share between $2.47 and$2.54, and Core FFO per share between $2.52 and$2.59 [21]. - The midpoint of full-year 2025 same-center NOI guidance represents a growth of 3.25% year-over-year [6].