BXP (BXP) Q2 2026 earnings summary

Executive summary

• Portfolio consists of 164 properties totaling 51.1M sq. ft. across six major U.S. markets, with 91.3% leased and a focus on premier workplaces and sustainability.

• Q2 2026 FFO per share was $1.78, exceeding guidance and consensus by $0.08; midpoint of 2026 FFO guidance raised by $0.05.

• Leasing activity was robust, with 1.8M sq. ft. signed in Q2 2026, up 56% year-over-year and above the 10-year average; year-to-date leasing surpassed 3M sq. ft.

• In-service portfolio occupancy rose to 88.4% as of June 30, 2026, with expectations to approach 90% by year-end.

• Asset sales are ahead of schedule, with $370M raised in 2026, $1.2B since Investor Day, and $1.7B completed or in progress as part of a $1.9B multi-year strategy.

Financial highlights

• Q2 2026 FFO was $1.78 per share, up from $1.72 in Q2 2025, and annualized revenue reached $3.3B.

• Revenue outperformed by $0.04 per share, driven by higher rental and service income; total Q2 revenue was $895.7M.

• Operating expenses were lower, contributing $0.04 per share in outperformance, with half from deferred repairs and maintenance.

• Dividend yield stands at 4.2%, with $567M funds available for distribution in the trailing four quarters.

• Asset sales expected to reduce FFO by $0.02 per share versus prior assumptions.

Outlook and guidance

• 2026 FFO guidance raised by $0.05 at midpoint to $6.99–$7.05 per share; full-year EPS guidance: $2.14–$2.24.

• Average occupancy guidance for 2026 increased by 65 basis points to 88.9%, with 1.3M sq. ft. of signed, not-yet-commenced leases supporting future growth.

• Same property NOI growth assumption for 2026 raised by 30 basis points to 1.8%–2.6%.

• Expectation to reach 91% occupancy by end of 2027, with potential to exceed if current trends persist.

• Q3 leasing pipeline of 2.7M sq. ft. supports continued occupancy gains into 2027.