- Average physical occupancy was stable at 95.4%.
- Balance sheet strong with $1 billion in combined cash and borrowing capacity; debt-to-EBITDA at 4x with 94% fixed rate debt.
- Development pipeline active units at 2,648 with nearly $1 billion in cost; $92 million funded in Q2.
- Lease-up portfolio faced elevated supply pressure, impacting non-same-store NOI negatively.
- Net delinquency was low at 0.3% of billed rents.
- Renewal lease rates and acceptance exceeded expectations, contributing to blended lease pricing growth of 0.5%, a 100 basis point improvement from Q1.
- Same-store expenses were better than expected, primarily due to favorable real estate tax expense.
- Same-store revenue was in line with expectations, benefiting from strong collections.
- Second quarter core FFO was $2.15 per diluted share, $0.02 ahead of the midpoint of guidance.
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- Core funds from operations (FFO) for Q2 2025 were $187.6 million or $1.70 per share, $0.01 above the midpoint of prior guidance, driven by higher property tax refunds and lower interest expense.
- Full year core FFO guidance midpoint increased by $0.03 per share to $6.81, marking the second consecutive increase.
- Full year same-store expense midpoint was decreased from 3% to 2.5%, and same-store net operating income (NOI) midpoint increased from flat to positive 25 basis points.
- Net debt-to-EBITDA ratio stands at 4.2x with no significant debt maturities until Q4 2026 and no dilutive maturities until 2027.
- Property revenues were in line with expectations despite peak lease-up competition, with strong property expense management, especially in property taxes and insurance.
- Property taxes expected to increase less than 2%, down from prior 3% assumption, due to favorable settlements and lower Texas market values.
- Q3 core FFO per share guidance is $1.67 to $1.71, a slight sequential decline due to seasonal utility and maintenance expenses.
- AGNC reported a comprehensive loss of $0.13 per common share for Q2 2025.
- Asset portfolio grew to $82 billion, up $3.5 billion from prior quarter, with a focus on higher coupon specified pools.
- Average projected life CPR declined to 7.8% from 8.3%, while actual CPRs averaged 8.7%, up from 7% in prior quarter.
- Dividends declared were $0.36 per common share, with a $0.44 decline in tangible net book value per share.
- Economic return on tangible common equity was negative 1%.
- Liquidity position improved to $6.4 billion in cash and unencumbered Agency MBS, representing 65% of tangible equity.
- Net interest rate spread decreased 11 basis points to 201 basis points largely due to higher swap costs.
- Net spread and dollar roll income declined to $0.38 per common share due to slower capital deployment and higher swap costs.
- Quarter-end leverage increased slightly to 7.6x tangible equity from 7.5x in Q1.
- FFO decreased to $0.37 per share and AFFO decreased to $54.5 million.
- G&A expenses remain low at approximately 4.9% of revenue.
- Revenue increased by 2.7% compared to Q2 2024.
- Same-property cash NOI declined by 1.1%, impacted by a large property tax refund in the prior year; excluding refunds, NOI was slightly positive.
- Annual card fees approached $10 billion, growing double digits for 29 consecutive quarters.
- Cardmember spending accelerated to 9% (8% FX adjusted), driven by strong retail and travel spending.
- Credit performance remained excellent with delinquency rates below 2019 levels and write-offs declining.
- Earnings per share (EPS) rose 19% to $4.14 for the quarter.
- Provision expense was $1.3 billion, including a $125 million reserve build reflecting balanced growth.
- Return on equity (ROE) was strong at 36% for the quarter.
- Revenues increased 11% year-over-year to a record $18.4 billion in Q3 2025.
- Total cardmember receivables grew 7% year-over-year, broadly in line with billing growth.
- G&A expenses improved significantly to $13.5 million in Q2 2025 from $20.7 million in Q2 2024, reflecting ongoing cost reduction efforts.
- Same-store cash NOI was $87.1 million in Q2 2025, down from $104.1 million in Q2 2024, mainly due to lower office occupancy.
- Second quarter 2025 revenue was $190 million, down from $218 million year-over-year, primarily due to asset sales and lower office occupancy.
- Second quarter FFO excluding specified items was $8 million or $0.04 per diluted share, compared to $24.5 million or $0.17 per diluted share in the prior year.
- Specified items in Q2 2025 totaled $19.2 million or $0.09 per diluted share, including onetime expenses related to forfeited noncash compensation, debt repayment, and cost cutting.
- Studio revenue increased 3% quarter-over-quarter to $34.2 million, with studio NOI improving by $5.4 million due to cost reductions and higher occupancy.
Dafinchi