Equity Residential suspends annual earnings outlook, quarterly FFO rises

• Same-store net operating income rose 1.4% in the second quarter of 2026, compared with the year-ago quarter, as revenue increased 1.9% on strong physical occupancy and better-than-expected renewal rates, offsetting a 3% rise in expenses.
• The real estate investment trust expects full-year same-store revenue growth of 2.1% to 2.7%, compared with its previous forecast of 1.2% to 3.2%.
• The Chicago-based company raised its full-year net operating income growth forecast to 1.5%-2.1% from 0.5%-2.5%, lifting the midpoint of its guidance.
• "We are pleased to increase our same store revenue and NOI annual guidance as a result of a solid demand environment characterized by occupancy and resident retention that remain at historically high levels," said CEO Mark Parrell.
• The percentage of residents renewing their leases remained healthy at 60.0% during the reported quarter, compared with 59.3% a year earlier, while physical occupancy was 96.2%.

• Equity Residential's second-quarter adjusted FFO came in at $1.02 per share for the quarter ended June 30, compared with analysts' estimate of $1.01.
• Equity's second-quarter revenue rose 2.1% to $785.0 million from a year earlier.

July 22 (Reuters) - U.S. real estate investment trust Equity Residential EQR.N suspended its full-year earnings outlook on Wednesday over its merger with AvalonBay Communities AVB.N, after reporting higher second-quarter funds from operations.

In late May, Equity Residential and AvalonBay agreed to form a housing rental company with an enterprise value of about $69 billion.