Cousins Properties (CUZ) Q2 2025 earnings summary

Executive summary

• Delivered Q2 2025 FFO of $0.70 per share, up from $0.68 in Q2 2024, with strong leasing and NOI growth; net income available to common stockholders was $14.5 million, up from $7.8 million.

• Completed 334,000 sq ft of leases in Q2 2025, over 80% new or expansion, with straight-line net rent per sq ft up 27.2% year-over-year.

• Acquired The Link, a 292,000 sq ft, 25-story office tower in Uptown Dallas for $218 million, 93.6% leased, with major tenants and immediate earnings accretion.

• Raised 2025 FFO guidance midpoint to $2.82 per share, representing 4.8% growth over 2024.

• Focus remains on Sun Belt markets, emphasizing lifestyle office properties and disciplined capital allocation.

Financial highlights

• Q2 2025 rental property revenues were $237.7 million, a 13% increase from Q2 2024.

• Same property NOI increased 1.2% on a cash basis and 3.2% on a GAAP basis year-over-year.

• Net debt to EBITDA remains at 5.1x, with strong liquidity and a well-laddered debt maturity schedule.

• Completed a $500 million investment grade bond offering at 5.25% yield; proceeds used for debt repayment and The Link acquisition.

• Sold 2.9 million shares under ATM program YTD at $30.44/share, none settled yet.

Outlook and guidance

• Full-year 2025 FFO guidance raised to $2.79–$2.85 per share, midpoint $2.82, up $0.13 from 2024.

• Guidance assumes no SOFR cuts in 2025 and includes accretion from The Link, higher parking income, and favorable bond execution.

• Occupancy expected to trough in Q3 due to large expirations, then improve into year-end and 2026.