Canada's Killam Apartment REIT Q2 property revenue rises on rent growth, occupancy

Killam Apartment REIT

05/08/2026 22:21

Overview
Canada residential REIT's Q2 property revenue rose 3.7% yr/yr
Q2 FFO per unit and AFFO per unit were flat yr/yr
Company repurchased 1.7 mln units at a discount to net asset value

Outlook
Company expects Brightwood in Waterloo to reach stabilized occupancy and contribute to FFO in early 2027
Killam sees growing Canadian defence spending as a long-term catalyst for Atlantic region housing demand
Company advancing redevelopment plans at Westmount Place to enhance tenant mix and long-term value

Result Drivers
RENTAL RATE INCREASES AND OCCUPANCY - Co said same property NOI growth was driven by higher average rental rates, increased ancillary revenue, and improved apartment occupancy
TENANT DEPARTURE IMPACT - Loss of a major office tenant at Westmount Place reduced FFO by about C$0.9 mln in the quarter
NEW DEVELOPMENT CONTRIBUTIONS - Contributions from The Carrick, a recently completed development, supported FFO growth

Company press release: ID:nCNWZgwCFa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Property Revenue
 
C$99.16 mln
 
Q2 Net Income
 
C$63.29 mln
 
Q2 FFO
 
C$39.60 mln
 
Q2 Net Operating Income
 
C$67.16 mln
 
Q2 Same Property Revenue Growth
 
2.60%
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the residential reits peer group is "buy"
Wall Street's median 12-month price target for Killam Apartment REIT is C$20.50, about 10.5% above its August 4 closing price of C$18.55
The stock recently traded at 14 times the next 12-month earnings vs. a P/E of 14 three months ago

Reuters Recommended Reads
Aug 4 - Canada's RioCan REIT Q2 core FFO per unit rises on NOI increase
Aug 5 - Morguard Q2 normalized FFO falls as vacancy weighs on revenue
Aug 5 - Canada to invest C$2.7 billion to build rental housing in Toronto

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)