EastGroup Properties Reports Strong Q2 Earnings and Raises Full-Year Guidance
EastGroup Properties (NYSE:EGP) reported second-quarter funds from operations (FFO) of $2.36 per share, exceeding expectations by $0.02 and rising 6.8% year-over-year. The company raised its full-year FFO guidance to $9.59 per share due to stronger-than-expected same-property net operating income and higher occupancy rates. Leasing activity reached record levels in Q2 with 3.9 million square feet of signed leases, while development and first-generation leasing hit nearly 1.1 million square feet. The portfolio ended the quarter at 96.8% leased and 95.6% occupied, supported by GAAP leasing spreads of 34%. Management also expressed optimism about future growth in same-property NOI, occupancy, and acquisitions. EastGroup’s balance sheet remains strong with $675 million in available credit facility capacity and no borrowings drawn. CEO Marshall Loeb attributed the results to a resilient industrial portfolio and long-term tenant demand despite macroeconomic uncertainty.
Topics: guidance_update leasing_activity real_estate reit_performance