10-Q · July 22, 2026
EastGroup delivered solid underlying industrial-property performance: Q2 real-estate income increased 9.0% year over year, PNOI grew 10.6%, and FFO per share rose 6.8% to $2.36. GAAP diluted EPS rose to $1.40, though it…
Earnings analysis · 10-Q
EGP earnings analysis
Filed October 21, 2026 · Our reading of the company's report
The latest report
EastGroup reported third-quarter revenue of $199.437 million, up from $193 million in the prior quarter and $182 million a year earlier, while diluted EPS was $1.46 versus $1.40 in 2026 Q2 and $1.26 in 2025 Q3. FFO per…
Read full summary
EastGroup reported third-quarter revenue of $199.437 million, up from $193 million in the prior quarter and $182 million a year earlier, while diluted EPS was $1.46 versus $1.40 in 2026 Q2 and $1.26 in 2025 Q3. FFO per share increased 7.9% to $2.45 and same-property NOI rose 7.1%, but interest-rate and debt exposure remain important risks, including $196.535 million of variable-rate borrowings at 4.64%. Management raised 2026 FFO, development-start and acquisition guidance, supporting a neutral-to-positive operating outlook despite financing sensitivity.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $1.46
What stood out
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Revenue beat and accelerated growth
Third-quarter revenue was $199.437 million, exceeding the $197.535 million consensus estimate by approximately 0.96%. Revenue increased from $193 million in 2026 Q2 and $182 million in 2025 Q3.
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FFO and same-property NOI grew
Third-quarter FFO per share was $2.45, up 7.9% year over year, while cash-basis same-property NOI increased 7.1%.
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Full-year investment outlook raised
Management raised 2026 FFO guidance to $9.62-$9.68 from $9.52-$9.66, increased development-start guidance to $390 million from $325 million, and increased acquisition guidance to $360 million from $215 million.
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Liquidity facilities remain available
As of September 30, 2026, the company had $196.535 million outstanding on variable-rate unsecured bank facilities, with a weighted-average interest rate of 4.64%.
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Controls remained effective
Management concluded that disclosure controls were effective as of September 30, 2026, and reported no internal-control change during the quarter that materially affected, or was reasonably likely to materially affect, financial reporting.
What to watch
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Interest-rate sensitivity
A 10% change, or approximately 46 basis points, in the weighted-average variable debt rate would change annual interest expense and cash flows by approximately $912,000. Variable-rate facilities totaled $196.535 million at September 30, 2026.
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Debt and refinancing exposure
Fixed-rate unsecured debt totaled $1.615 billion at September 30, 2026, with a weighted-average interest rate of 3.43%. The filing also states that the company repaid a $100 million senior unsecured term loan after quarter-end.
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No material risk-factor update
The filing identifies economic downturns as a risk to tenant rent payments, lease renewals, re-leasing and development leasing, potentially increasing vacancy and reducing rents. It reports no material changes to the risk factors in the December 31, 2025 Form 10-K.
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Inflation and cost pressure
Inflation-related increases in general and administrative expenses or interest rates may not be passed through to tenants and could adversely affect results. The filing separately notes that the variable-rate debt sensitivity is approximately $912,000 annually for a 46-basis-point rate change.
Management's outlook
Management raised 2026 FFO guidance to $9.62-$9.68 from $9.52-$9.66. Development-start guidance increased to $390 million from $325 million, and operating-property acquisition guidance increased to $360 million from $215 million. The $5.99-$6.05 range is the 2026 EPS guidance cited in the prior earnings analysis.
Earlier filings 2
10-Q · April 22, 2026
EastGroup reported Q1 results with revenue of $190,256,000 (vs. $174,449,000 in Q1 2025) and diluted net income per share of $1.77 (vs. $1.14). Operating performance was supported by a $24,885,000 gain on sale and…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.