Capital markets activity included a Fitch upgrade to BBB+ and a $450 million senior unsecured bond issuance at 5.25% coupon.
Cash same-store NOI growth for the quarter was 8.7%, driven by rental rate increases and contractual rent bumps, partially offset by lower average occupancy.
Guidance for full-year 2025 NAREIT FFO remains at a midpoint of $2.92 per share with a narrowed range of $2.88 to $2.96.
In-service occupancy at quarter end was 94.2%, down 110 basis points due to a known move-out and two developments entering service.
NAREIT funds from operations (FFO) were $0.76 per fully diluted share in 2Q 2025, up from $0.66 in 2Q 2024.
Overall cash rental rate increase for new and renewal leasing was 33%, or 38% excluding a large fixed-rate renewal.
Adjusted operating expenses were $331 million, stable sequentially, with a decline in adjusted long-term incentives and an 8% increase in non-compensation expenses due to marketing, G&A, and acquisitions.
Adjusted revenue increased 2% sequentially and 9% year-over-year, driven by higher management fees on increased average AUM and improved mutual fund performance fees.
Assets under management (AUM) increased 23% to $457.3 billion, the highest quarterly AUM ever, driven by the Guardian partnership, market gains, and favorable currency adjustments.
Excluding Guardian, net flows remained positive despite market volatility, with 15 strategies including 4 ETFs each having at least $100 million of net inflows.
Investment performance improved meaningfully in the 1-year period, with at least two-thirds of assets beating benchmarks across 1-, 3-, 5-, and 10-year periods and over 70% of AUM in the top 2 Morningstar quartiles.
Janus Henderson delivered a solid second quarter 2025 with adjusted diluted EPS of $0.90, a 6% increase year-over-year.
Net inflows for the quarter were $46.7 billion, including $46.5 billion from Guardian's general account, marking the fifth consecutive quarter of positive net flows.
Net management fee margin was 47.5 basis points in Q2, down from the prior quarter due to mix shifts and one-time adjustments.
The adjusted operating margin was 33.5%, and the firm maintained a strong balance sheet with $900 million in cash and cash equivalents.
The company returned $202 million to shareholders in the first half of 2025 through dividends and share repurchases, reducing shares outstanding by over 22% since 2018.
AFG reported core net operating earnings of $2.14 per share for Q2 2025, down from $2.56 in the prior year quarter.
AFG returned over $100 million to shareholders in Q2 2025 through dividends and share repurchases.
Alternative investments returned 1.2% annualized in Q2 2025, down from 5.1% in the prior year quarter, negatively impacting overall investment income by about 5%.
Annualized core operating return on equity was 15.5%, despite lower returns from alternative investments.
Gross and net written premiums increased 10% and 7%, respectively, driven partly by earlier crop acreage reporting.
Net investment income excluding alternatives increased 10% year-over-year due to higher interest rates and asset balances.
Underwriting margins in Specialty Property & Casualty insurance were strong with a 93.1% combined ratio, up 2.6 points year-over-year.
Expenses were better than expected in the first half, with full year expenses forecasted around $506 million, slightly better than original expectations.
Net income increased over 23% compared to the prior quarter driven by higher net interest and noninterest income, good expense control, and lower provision expense.
Net interest income was $163.6 million, up $3.1 million from prior quarter, with NIM at 3.11%, up 3 basis points.
Noninterest income was $54 million, benefiting from a few favorable items, with recurring noninterest income expected around $51 million per quarter.
Provision for credit losses was $4.5 million, with allowance for credit losses increasing to $167.8 million, coverage flat at 1.17% of total loans and leases.
Total deposits increased slightly, with public deposits up $166 million, offsetting declines in commercial and retail deposits.
Total loans increased about $59 million or 0.4%, mainly from a $125 million increase in dealer floor plan balances, offset by payoffs in commercial real estate construction loans.
Allowance for credit losses totaled $142.2 million or 1.34% of total loans, with total loss absorption capacity of $250.6 million or 2.36% of loans.
Asset quality remained sound with nonperforming loans declining to 0.61% of total loans and net charge-offs at $2.5 million (9 basis points annualized).
Asset quality remained strong with nonperforming loans declining to 0.61% of total loans and net charge-offs at $2.5 million or 9 basis points annualized.
Capital ratios remain strong with Tier 1 capital at 14.6% and tangible common equity to tangible assets at 9.75%.
Capital ratios remain strong with Tier 1 capital ratio at 14.6% and tangible common equity to tangible assets at 9.75%, and tangible book value per share increased 12% year-over-year to $17.19.
Loan growth was strong at an annualized 6.4%, with production of $854 million and a robust pipeline of $921 million.
Net income increased 36% sequentially to $42.7 million or $0.50 per share, with adjusted net income up 39% to $44.5 million or $0.52 per share.
Net interest income grew 7% to $126.9 million, driven by loan growth and lower deposit costs.
Net interest income rose 7% to $126.9 million, driven by loan growth and lower deposit costs, with net interest margin expanding 10 basis points to 3.58%.
Net interest margin expanded 10 basis points to 3.58%, or 5 basis points excluding accretion on acquired loans.
Noninterest expense was $91.7 million, including $2.4 million in merger-related expenses, with an adjusted efficiency ratio improving to 55.4%.
Noninterest expense was $91.7 million, including $2.4 million merger-related expenses, with adjusted efficiency ratio improving from 59.5% to 55.4%.
Noninterest income increased 10% year-over-year to $24.5 million excluding securities activity, supported by treasury management, wealth, and insurance businesses.
Noninterest income increased 10% year-over-year to $24.5 million, supported by treasury management, wealth, and insurance businesses.
Return on assets improved to 1.08%, and return on tangible common equity rose to 12.8%.
Return on assets improved to 1.08%, return on tangible common equity to 12.8%, and the adjusted efficiency ratio improved to 55%.
Credit quality remained strong with nonperforming assets at 27 basis points of total assets and net charge-offs down about 25% quarter-over-quarter.
Customers Bancorp reported a strong Q2 2025 with core EPS of $1.80, core ROCE of 13.3%, and ROAA of 1.1%, exceeding consensus estimates.
Deposit growth was steady at $19 billion, with $300 million in new high-quality deposits from commercial banking teams and a $350 million reduction in brokered deposits.
Net interest margin expanded by 14 basis points quarter-over-quarter to 3.27%, with net interest income increasing about 6% to $176.7 million.
Noninterest expenses were $106.6 million, with a core efficiency ratio improving to 51.6%, well below industry average despite reinvestments.
Tangible book value per share reached $56.24, reflecting a 15% compound annual growth rate since Q4 2019, outperforming peers.
Dafinchi