- Blended cash leasing spreads in Q2 were 17%, the highest in 5 years, with non-option renewal spreads near 20% for the quarter and 16% over 12 months.
- Blended cash leasing spreads reached 17%, the highest in 5 years, with non-option renewals at nearly 20% for the quarter and 16% over the last 12 months.
- Kite Realty Group delivered strong Q2 2025 results with NAREIT FFO per share of $0.51 and core FFO per share of $0.50.
- Net debt-to-EBITDA stands at 5.1x, among the lowest in the peer set, after significant transactional activity and opportunistic bond issuance.
- Net debt-to-EBITDA stands at 5.1x, among the lowest in the peer set, following asset sales, joint ventures, and opportunistic bond issuance.
- New leasing volume more than doubled sequentially, driven by 11 new anchor leases including grocery tenants Whole Foods and Trader Joe's.
- Same-property NOI grew 3.3%, driven by higher minimum rents (+250 bps), improved net recoveries (+50 bps), and overage rent (+30 bps).
- Small shop lease rates increased 30 basis points sequentially and 80 basis points year-over-year, with embedded escalators at 3.4% for H1 2025.
- Small shop lease rates increased 30 basis points sequentially and 80 basis points year-over-year, with embedded escalators of 3.4% for the first half of 2025.
- The company sold 3 noncore assets and completed 2 joint ventures involving 4 assets totaling over $1 billion in gross transactional activity.
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- Fixed charge coverage ratio was strong at 8.2x.
- Net debt to annualized normalized EBITDA remained low at 2x, with net debt to enterprise value at 12.3%.
- Normalized FAD increased 53.9% to $83.1 million, with a 16.2% increase per share to $0.43.
- Normalized FFO increased 58.2% year-over-year to $83.1 million in Q2 2025.
- Normalized FFO per share rose 19.4% to $0.43 per share.
- Quarterly dividend increased by 15.5% year-over-year while maintaining a comfortable payout ratio.
- Total revenues grew 63.3% year-over-year in Q2 2025.
- Average deposits increased 3.1% year-over-year to $41.8 billion; average loans grew 7.2% to $21.1 billion.
- Commercial loans grew 4.9% year-over-year with CRE up 6.8%, energy loans up 22%, and C&I down about 1%.
- Consumer real estate loans grew 22% year-over-year to $3.3 billion, driven by second lien home equity and mortgage products.
- Cullen/Frost earned $155.3 million or $2.39 a share in Q2 2025, up from $143.8 million or $2.21 a share in Q2 2024.
- Expansion efforts contributed $2.76 billion in deposits, $2.03 billion in loans, and nearly 69,000 new households.
- New loan commitments totaled just under $2 billion in Q2, a 56% increase over Q1.
- Nonperforming assets declined to $64 million from $85 million at year-end; net charge-offs were $11.2 million, or 21 basis points annualized.
- Return on average assets and average common equity were 1.22% and 15.6%, compared to 1.18% and 17.08% in the prior year quarter.
- Total problem loans increased to $989 million, mainly due to multifamily loans, with expected resolutions in H2 2025.
- Book value per share increased over 12.6% to $25.14, driven by strong operating earnings and higher investment valuations.
- Favorable prior year loss reserve development continued, benefiting the consolidated loss ratio by 2.1 percentage points.
- Net investment income increased 2.4% due to higher bond yields despite a lower invested asset base after a $500 million special dividend.
- Net operating income was $209 million for the quarter, up from $202 million last year, with earnings per share increasing 9% to $0.83 from $0.76.
- Old Republic International produced $267.5 million of consolidated pretax operating income in Q2 2025, up from $253.8 million in Q2 2024.
- Regular cash dividends of $71 million were paid, with minimal share repurchases during the quarter.
- Specialty Insurance net premiums earned grew 14.6% with pretax operating income of $253.7 million, up from $202.5 million last year, and a combined ratio improvement to 90.7 from 92.4.
- The consolidated combined ratio was 93.6 compared to 93.5 in the prior year quarter.
- Title Insurance premiums and fees earned grew 5.2% to $698 million, but pretax operating income declined to $24.2 million from $46 million, with the combined ratio rising to 99 from 95.4.
- Comparable RevPAR growth in Q2 2025 was 0.1%, driven by a 1.1% increase in rate and an 80 basis point decline in occupancy.
- Corporate adjusted EBITDA was $90.5 million and adjusted FFO per share was $0.35.
- Food and beverage revenues increased 3.1%, with F&B profit growing over 6% and margins expanding by 105 basis points due to operational improvements.
- Free cash flow per share for the trailing 12 months increased approximately 4.5% to $0.63 per share.
- Group room revenue increased 0.8%, business transient revenue rose 4.2%, while leisure transient revenue declined 1.6%.
- Hotel EBITDA margins contracted 97 basis points overall but would have expanded 30 basis points excluding the Chicago tax increase.
- Operating expenses increased 0.7% excluding a large property tax increase in Chicago; wages and benefits rose 3.1%.
- Total RevPAR growth was 1.1%, boosted by a 4.2% increase in out-of-room revenues per occupied room, reaching a new quarterly high of $160 per occupied room.
- The company attributes the increase in transaction activity to improved market confidence, tenant growth needs, and strong relationship management.
- Year-to-date, Getty Realty has closed $95.5 million of investments at an initial cash yield of 8.1%.
- The pipeline includes over $90 million of investments, with a focus on accretive spreads and diversification across sectors.
- Quarterly loan growth reached 8% annualized, driven by strong new loan production in LIHTC and traditional banking segments.
- Growth impacted by runoff of M2 equipment finance loans, with a net effect of approximately 8%-10% gross loan growth for the second half of the year.
- Management remains optimistic about continued solid loan growth, with a focus on expanding in CRE and C&I sectors.
- Q2 leasing totaled 712,000 sq ft, the most since 2018, with over 1 million sq ft year-to-date.
- Approximately 2/3 of leasing activity involved new tenants, including full-floor deals.
- Leasing momentum has driven lease percentage up 140 basis points YoY to 88.7%, approaching the 89-90% target for year-end.
- Out-of-service portfolio (Minneapolis, Orlando) is performing well, with leasing approaching 60%, expected to stabilize by end of 2026.
- Rental rates for trophy offices and new construction hit record highs, with asking rents at $92/sq ft, up 27% YoY, driven by limited new supply and high construction costs.
- CMTG reported a GAAP net loss of $1.30 per share and a distributable loss of $0.77 per share for Q2 2025.
- Distributable earnings prior to realized losses were $0.10 per share, with REO investments contributing $0.01 per share net of financing costs.
- Held-for-investment loan portfolio decreased to $5 billion from $5.9 billion due to loan resolutions.
- Liquidity increased by $221 million since December 31, reaching $323 million as of August 5.
- Loan resolutions totaled $1.9 billion UPB year-to-date with an 88% blended recovery rate.
- Net debt-to-equity ratio improved from 2.4x to 2.2x in Q2 and further to 2.0x pro forma in Q3.
- Completed sale of 5 hotels for $83 million at an approximate 6% cap rate on 2024 NOI levels.
- GOP margin for the quarter was 46.3%, up 30 basis points from Q2 2024 despite flat RevPAR environment.
- Leverage reduced to 21%, with net debt to EBITDA at 3.5x as of June 30, 2025.
- Q2 2025 hotel EBITDA was $30.9 million, adjusted EBITDA was $28.5 million, and adjusted FFO was $0.36 per share.
- Repurchased approximately 20,000 shares at a weighted average price of $7.02 under a $25 million share buyback plan.
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