CTO Realty Growth, Inc. reported fourth‑quarter 2025 results that surpassed expectations, delivering earnings per diluted share of $0.82 versus the consensus estimate of $0.50. Revenue for the quarter reached $38.34 million, a $0.13 million beat on the $38.21 million estimate. The company’s full‑year 2025 EPS of $0.08 also exceeded the $0.02–$0.05 consensus range, while full‑year revenue of $152.4 million outpaced the $152.0 million estimate.
The earnings beat was driven by a combination of strong leasing activity and pricing power. Cash base rent grew 24% in 2025, reflecting new leases and higher rents on existing tenants. The signed‑not‑open pipeline rose to $6.1 million, representing 5.8% of in‑place annual base rent, and the company signed leases for a record 671,000 sq ft during the year. These factors lifted operating income and helped offset the modest increase in operating expenses.
Comparing to the prior year, Q4 2024 saw a loss of $0.56 per diluted share and a full‑year loss of $0.35 per diluted share. Revenue in Q4 2024 was $36.5 million, so the 2025 quarter represents a 5.3% year‑over‑year increase. The company’s occupancy rate reached an all‑time high of 95.9% at year‑end, up from 94.2% in 2024, underscoring the effectiveness of its portfolio management strategy.
Management highlighted the 24% cash rent increase and the record leasing volume as key contributors to the earnings performance. CFO Philip Mays noted that the company’s guidance for 2026 Core FFO per diluted share of $1.98–$2.03 and AFFO per diluted share of $2.11–$2.16 signals confidence in continued growth, building on the 2025 Core FFO of $1.87 and AFFO of $1.97.
Investors responded positively to the results, citing the strong earnings beat, revenue upside, and record leasing activity as evidence of the company’s robust operating model and strategic focus on high‑growth Southeast and Southwest markets.
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