Simon Property Q3 FFO Beats Estimates on Higher Revenues & Occupancy

Simon Property Group, Inc.’sSPG third-quarter 2025 real estate funds from operations (FFO) per share of $3.22 surpassed the Zacks Consensus Estimate of $3.09. This compares favorably with the real estate FFO of $3.05 in the prior-year period.

Results reflect an increase in revenues, backed by a rise in the base minimum rent per square foot and occupancy levels. SPG raised its guidance for 2025 real estate FFO per share and its quarterly dividend.

Simon Property generated revenues of $1.60 billion in the quarter, which outpaced the Zacks Consensus Estimate of $1.53 billion. Moreover, the reported figure increased 8.2% year over year.

According to David Simon, the chairman, CEO and president of Simon Property Group, “Healthy demand was seen across all our platforms and is reflected in our results. Occupancy gains continued, retailer sales accelerated, and cash flow increased.”

On Oct. 31, 2025, Simon Property acquired the remainder 12% interest in the Taubman Realty Group. The high-quality asset buyout will be value accretive, yielding future growth for the company.

SPG’s Third Quarter in Detail

SPG reported revenues from lease income of $1.45 billion, 8.4% higher than the prior-year period’s figure. Our estimate was pegged at $1.39 billion.

As of Sept. 30, 2025, the occupancy for the U.S. Malls and Premium Outlets portfolio came in at 96.4%, up 20 basis points from 96.2% as of Sept. 30, 2024. We projected the metric to be 96.3%.

The base minimum rent per square foot for the U.S. Malls and Premium Outlets portfolio was $59.14 as of Sept. 30, 2025, rising from $57.71 as of Sept. 30, 2024. This reflected an increase of 2.5%.

Domestic property net operating income (NOI) increased 5.1% year over year, and portfolio NOI rose 5.2%.

Balance Sheet Position of SPG

Simon Property exited the third quarter of 2025 with $9.5 billion of liquidity. This comprised $2.1 billion of cash on hand, including its share of joint venture cash and $7.4 billion of available capacity under the company’s revolving credit facilities.

SPG’s Outlook for 2025

Simon Property has raised its outlook for 2025 real estate FFO per share. The company now expects the same to be between $12.60 and $12.70, up from the earlier guided range of $12.45-12.65, raising the midpoint to $12.65. The Zacks Consensus Estimate of $12.51 is below the guided range.

SPG’s Dividend Update

Concurrent with its third-quarter earnings release, Simon Property announced a quarterly common stock dividend of $2.20 for the fourth quarter of 2025. This marks an increase of 4.8% year over year. The dividend will be paid out on Dec. 31 to shareholders of record as of Dec. 10, 2025.

SPG’s Zacks Rank

Currently, SPG carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Simon Property Group, Inc. Price, Consensus and EPS Surprise

Simon Property Group, Inc. price-consensus-eps-surprise-chart | Simon Property Group, Inc. Quote

Performance of Other Retail REITs

Regency Centers Corporation REG reported third-quarter 2025 NAREIT FFO per share of $1.15, in line with the Zacks Consensus Estimate. The figure increased 7.5% from the prior-year quarter.

REG's results reflected healthy leasing activity. It witnessed a year-over-year improvement in the same-property NOI and base rents during the quarter. The company increased its 2025 NAREIT FFO per share outlook.

Kimco Realty Corp. KIM reported third-quarter 2025 FFO per share of 44 cents, beating the Zacks Consensus Estimate of 43 cents. The metric rose 2.3% from the year-ago quarter.

Results reflected higher same-property NOI due to a rise in minimum rents. Higher interest expenses acted as a dampener. This retail REIT raised its quarterly dividend and 2025 FFO per share guidance range.

Note: Anything related to earnings presented in this write-up represents FFO, a widely used metric to gauge the performance of REITs.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research