Easterly Q2 net income falls to $4.3 mln, core FFO rises

Overview

• Easterly's Q2 net income falls to $4.3 mln

• Company implements 1-for-2.5 reverse stock split effective April 28, 2025

• Core FFO rises to $34.6 mln, maintains full-year guidance

Outlook

• Company maintains full-year 2025 Core FFO guidance at $2.98-$3.03 per share

• Easterly expects $140 mln in acquisitions during 2025

• Company anticipates $25-$75 mln in development investments in 2025

Result Drivers

• ACQUISITIONS - Easterly acquired facilities leased to DC Government and DHS, enhancing its portfolio of government-leased properties

• REVERSE STOCK SPLIT - Implemented a 1-for-2.5 reverse stock split, adjusting share structure and authorized shares

• FORWARD SALES - Raised $5.3 mln in net proceeds through forward sales transactions, contributing to capital structure optimization

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "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 Easterly Government Properties Inc is $24.25, about 8.1% above its August 4 closing price of $22.29

• The stock recently traded at 35 times the next 12-month earnings vs. a P/E of 30 three months ago

Press Release: ID:nBw99Sg3Ja