Hudson Pacific Properties Q3 revenue misses on lower occupancy

Hudson Pacific Properties

05/11/2025 14:10

Overview

Hudson Pacific Q3 revenue misses analyst expectations, declining due to asset sales and lower occupancy

Net loss for Q3 widens, largely due to deconsolidation of Sunset Glenoaks

Company highlights over 500,000 sq ft of office leasing, 80% in Bay Area

Outlook

Company provides 4Q FFO outlook of $0.01 to $0.05 per diluted share

Company updates full-year assumptions with same-store cash NOI decline of 11.5%-12.5%

Outlook excludes impacts from new acquisitions or debt financings

Result Drivers

LEASING ACTIVITY - Over 500,000 sq ft of office space leased in Q3, with 80% in the Bay Area, driven by demand from AI and tech companies

COST SAVINGS - General and administrative expenses improved by 30% compared to last year due to cost-savings initiatives

LIQUIDITY POSITION - Company reports $1 bln of liquidity at quarter end, with 100% of debt fixed or capped and no maturities until 2026

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Miss
$186.60 mln
$196.41 mln (5 Analysts)
Q3 EPS
-$0.30
Q3 Net Income
-$136.50 mln
Q3 Adjusted FFO
$16.70 mln
Q3 FFO
$14.60 mln


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 5 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the commercial reits peer group is "buy."

Wall Street's median 12-month price target for Hudson Pacific Properties Inc is $3.05, about 26.2% above its November 4 closing price of $2.25

Press Release: ID:nBw3BC64Ta

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)