Essex Property Trust

ESS Q1 2025 Earnings

Reported Apr 29, 2025 at 4:33 PM ET · SEC Source

Q1 25 EPS

$3.16

BEAT +124.64%

Est. $1.41

Q1 25 Revenue

$464.6M

BEAT +1.34%

Est. $458.4M

vs S&P Since Q1 25

-30.1%

TRAILING MARKET

ESS -0.2% vs S&P +30.0%

Market Reaction

Did ESS Beat Earnings? Q1 2025 Results

Essex Property Trust delivered a strong first quarter for 2025, with GAAP earnings per diluted share of $3.16 beating the $1.41 consensus estimate by 124.64%, while revenue of $464.58 million topped expectations by 1.34% and grew 8.8% year over year.… Read more Essex Property Trust delivered a strong first quarter for 2025, with GAAP earnings per diluted share of $3.16 beating the $1.41 consensus estimate by 124.64%, while revenue of $464.58 million topped expectations by 1.34% and grew 8.8% year over year. The more operationally telling figure, Core FFO per diluted share of $3.97, edged $0.05 above the midpoint of the company's own guidance range, driven by favorable same-property revenue growth, co-investment income, and lower interest expense. A particularly encouraging signal came from new lease net effective rate growth turning positive at 1.0%, reversing a -1.9% reading in Q4 2024, while delinquency fell sharply to 0.5% of scheduled rent from 1.3% a year ago. Financial occupancy held firm at 96.3%. Essex also raised its annual dividend 4.9% to $10.28 per share, its 31st consecutive annual increase. Despite the momentum, management reaffirmed full-year 2025 Core FFO guidance of $15.56 to $16.06 per diluted share, citing macroeconomic uncertainty as a reason for caution.

Key Takeaways

  • Same-property revenue growth of 3.4% YoY driven by scheduled rent increases and improved delinquency (0.5% vs. 1.3% in Q1 2024)
  • New lease net effective rate growth turned positive at 1.0% vs. -1.9% in Q4 2024
  • Blended net effective rate growth of 2.8%
  • Financial occupancy stable at 96.3%
  • Co-investment income and favorable interest expense contributed to Core FFO outperformance
  • Significant delinquency improvement across the portfolio
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ESS YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

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ESS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25
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ESS Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25