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Jun 30
Macerich Q2 2025 Earnings Report
Macerich reported Q2 2025 results with $249.8M in revenue and EPS of -$0.16.
Key Takeaways
Revenue grew to $249.8M while the company posted a net loss of $40.9M (EPS -$0.16). Go-Forward Portfolio NOI rose 2.4% YoY (ex-terminations), leasing momentum was strong at 1.7M sq ft signed, but portfolio occupancy dipped to 92.0% due largely to Forever 21 closures.
Total revenues for the quarter were $249.8M.
Net loss attributable to the Company was $40.9M; EPS was -$0.16.
Go-Forward Portfolio NOI increased 2.4% YoY excluding lease termination income.
Signed leases covered 1.7M sq ft in Q2; portfolio occupancy ended at 92.0%.
Macerich
Macerich
Forward Guidance
Management highlighted strong leasing pipelines, steady NOI growth in the Go-Forward portfolio, ample liquidity, and the addition of Crabtree Mall, while noting near-term occupancy pressure from select tenant closures and a higher interest expense environment.
Positive Outlook
- Go-Forward Portfolio NOI up 2.4% YoY excluding terminations.
- Robust leasing pipeline with 1.7M sq ft signed in Q2 and expected ~$87M incremental revenue over 2024 from new store leases over 2024–2028.
- Acquisition of Crabtree Mall adds a Class A, market-dominant center.
- Liquidity of about $915M including full $650M revolver capacity as of filing.
- Dividend of $0.17 per share declared for the quarter.
Challenges Ahead
- Portfolio occupancy fell to 92.0% due mainly to Forever 21 closures.
- Interest expense elevated versus prior year, pressuring earnings.
- Some non-core asset sales and loan give-backs reflect ongoing portfolio reshaping.
- Select centers face redevelopment and transition periods that may temporarily weigh on occupancy/rent collections.
- Floating-rate exposure and upcoming maturities require active refinancing management.