Phillips Edison Reports Strong Q2 Performance with Raised Guidance
Phillips Edison & Company, Inc. (NASDAQ:PECO) reported robust second-quarter results driven by record occupancy levels and strong leasing spreads at its grocery-anchored shopping centers. The company achieved year-over-year growth in NAREIT FFO per share of 8.1%, Core FFO per share of 7.8%, and same-center NOI growth of 3.8%. Management attributed the performance to sustained demand for retail space, particularly within necessity-based sectors like health, wellness, and quick-service restaurants. The company raised its full-year guidance across key metrics including NAREIT FFO per share, Core FFO per share, and same-center NOI growth. Phillips Edison also increased its 2026 acquisition target to $500 million-$600 million while continuing capital recycling through dispositions and development projects with attractive yields. Portfolio occupancy reached record levels across in-line and anchor tenants, supported by strong tenant retention rates and low bad debt expectations for the year. The company remains optimistic about future growth potential as it aims to further increase occupancy and maintain healthy credit trends among its retail tenants.
Topics: leasing_activity occupancy_growth real_estate retail_reit