BXP (BXP) Q4 2025 earnings summary

Executive summary

• Achieved strong performance in 2025 across leasing, asset sales, development, and financing, with portfolio occupancy rising to 89.4% and 52.6M square feet owned as of Q4 2025.

• Leasing momentum was robust, with 1.8M sq ft in Q4 and 5.6M sq ft for the year, driven by AI and financial services demand, and a weighted-average lease term of 10.1 years.

• Asset sales and portfolio optimization are ahead of schedule, with over $1.2B in net proceeds from 12+ closed transactions and additional sales under contract.

• Active development pipeline of $3.6B, with 61% pre-leased and major projects in New York, Washington DC, and Cambridge.

• Diversified client base, with top 20 clients representing 29.2% of annualized rental obligations and a weighted-average lease term of 8.9 years.

Financial highlights

• 2025 total consolidated revenues reached $3.5B; annualized revenue (BXP's share) was $3.3B; EBITDAre was $1.9B.

• Full-year 2025 FFO was $1.2B or $6.85 per share; 2025 FFO per share was $7.10; Q4 FFO was $1.76 per share.

• Q4 2025 revenue rose 2.2% year-over-year to $877.1M; net income attributable to shareholders was $248.5M ($1.56 per diluted share).

• Ended 2025 with $1.5B in cash and cash equivalents; liquidity of $2.1B and $0.6B in cash.

• Debt to market capitalization ratio at 58% as of December 31, 2025.

Outlook and guidance

• 2026 FFO guidance is $6.88–$7.04 per share, midpoint $6.96, up $0.11 from 2025; full-year 2026 diluted EPS guidance: $2.08–$2.29.

• Expect occupancy to average 88% in 2026, rising from 86.7% at end-2025, with 1.2M sq ft of signed, not yet commenced leases.

• Projected incremental NOI from developments: $44M–$52M in 2026; net interest expense expected to decrease by $38M–$48M.

• Guidance assumes $360M in additional asset sales in 2026, generating $230M in net proceeds.

• Leasing pipeline of 2.9M sq ft supports continued occupancy gains through 2026 and acceleration into 2027.