Easterly Government Properties Q1 Revenue Up 16% to $91.5M, FFO Guidance Raised
Easterly Government Properties reported Q1 revenue of $91.5 million, up 16% year-over-year, and EBITDA grew 12% to $57.3 million, while FFO per share rose 7% to $0.76. Occupancy held at 97% across leases averaging 9.4 years and full-year FFO guidance was revised to $3.06–$3.12 per share.
1. Q1 Financial Results
Easterly reported total revenue of $91.5 million for Q1, marking a 16% increase over the prior year. EBITDA rose 12% to $57.3 million, net income per share was $0.03, FFO per share climbed to $0.76 from $0.71, and core FFO per share reached $0.77.
2. Portfolio Metrics and Leverage
The portfolio maintained a 97% occupancy rate with a weighted average lease term of 9.4 years, underpinned by creditworthy federal and defense tenants. Adjusted net debt to annualized EBITDA stood at 7.3x, reflecting moderate leverage in support of growth.
3. Guidance and Strategic Initiatives
The company raised the low end of its full-year FFO guidance to a range of $3.06–$3.12 per share. Management also deployed a $7 million mezzanine loan to a VA outpatient clinic at a 12% yield and plans to invest about $30 million into similar VA projects over the next several years.