Federal Realty Investment Trust (FRT) investor relations material

Executive summary

• FFO per share reached $1.88, up 10.6% year-over-year, exceeding guidance and prompting a guidance raise for the year.

• Net income attributable to common shareholders surged 149.5% to $159.1 million, primarily due to a $92.7 million gain on sale of real estate.

• Record leasing activity with over 100 leases and 649,000 sq ft, including 13 anchor deals and 13% cash rent growth, driving strong cash rollover rates.

• Portfolio 96.1% leased and 93.8% occupied, with robust demand in both established and new markets.

• The company continues to focus on growth through acquisitions, redevelopments, and maintaining high occupancy and rental rates despite macroeconomic headwinds.

Financial highlights

• Total property revenue rose 10.3% year-over-year to $341.1 million, driven by acquisitions and higher rental rates.

• Comparable POI growth was 4.7% GAAP and 5.1% cash basis for the quarter.

• Asset sales of $159 million closed at a blended mid-4% cap rate; $66 million more in process at mid to upper 5% cap rates.

• Net income available for common shareholders was $157.1 million, up from $61.8 million in Q1 2025.

• Cash and cash equivalents stood at $115.6 million at quarter-end, with $369.1 million drawn on the $1.25 billion revolving credit facility.

Outlook and guidance

• Raised NAREIT and core FFO guidance to $7.46–$7.55 per share, representing 6.3% growth over 2025 at the midpoint.

• 2026 EPS guidance raised to $3.94–$4.03 per diluted share.

• Comparable POI growth outlook improved to 3.125%–3.625%.

• Occupancy expected to rise from mid-upper 93% to mid-upper 94% by year-end, driven by signed leases.

• Several development and redevelopment projects are underway, including Santana West and a 258-unit residential project at Santana Row.