Kilroy Realty Corp's Q4 2025 Financial Highlights

By Chris Stiles • Tuesday, February 10 03:12 • Permanent Link

Kilroy Realty Corporation has reported its financial results for the fourth quarter and full year ended December 31, 2025. Here are the key figures:

Fourth Quarter Highlights: Revenues were $272.2 million for Q4 2025, compared to $286.4 million for Q4 2024. Net income available to common stockholders was $12.4 million, or $0.10 per diluted share, for Q4 2025, compared to $59.5 million, or $0.50 per diluted share, for Q4 2024. * Funds from operations (FFO) were $117.2 million, or $0.97 per diluted share, for Q4 2025, compared to $144.9 million, or $1.20 per diluted share, for Q4 2024.

Leasing and Occupancy: Stabilized portfolio was 81.6% occupied and 83.8% leased at December 31, 2025. During the quarter, approximately 827,000 square feet of leases were signed, the company’s strongest fourth-quarter leasing performance in six years. * GAAP and cash rents on leases signed during the quarter decreased 16.8% and 27.1%, respectively, from prior levels on second generation leasing, excluding short-term leasing.

Capital Recycling Activity: Completed the sale of Sunset Media Center in the Hollywood submarket of Los Angeles for gross sales proceeds of $61.0 million. Entered into an agreement to sell Kilroy Sabre Springs in the I-15 corridor submarket of San Diego, and classified the campus as held for sale. The sale closed in January for gross sales proceeds of $124.5 million.

Full Year Highlights: Revenues were $1,112.7 million for the year ended December 31, 2025, compared to $1,135.6 million for the year ended December 31, 2024. Net income available to common stockholders was $276.1 million, or $2.32 per diluted share, for the year ended December 31, 2025, compared to $211.0 million, or $1.77 per diluted share, for the year ended December 31, 2024. * Funds from operations (FFO) were $505.9 million, or $4.20 per diluted share, for the year ended December 31, 2025, compared to $551.6 million, or $4.59 per diluted share, for the year ended December 31, 2024.

Development / Redevelopment: Added 4690 Executive Drive, an approximately 52,000-square-foot redevelopment project in the University Towne Center submarket of San Diego, to the stabilized portfolio. The property is 47% leased. Added 4400 Bohannon Drive, an approximately 48,000-square-foot redevelopment project in the Other Peninsula submarket of the San Francisco Bay Area, to the stabilized portfolio. The property is 0% leased.

The company's guidance estimates for the full year 2026, and the reconciliation of net income available to common stockholders per share * diluted and FFO per share and unit * diluted included within this press release, reflect management’s views on current and future market conditions.

The company's management will discuss fourth-quarter results and the current business environment during the company’s February 10, 2026, earnings conference call. Today the company's shares have moved -1.36% to a price of $37.70. Check out the company's full 8-K submission here.

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