Primaris Real Estate Investment Trust (PMZ-UN) Q4 2025 earnings summary

Executive summary

• Achieved CAD 1.6 billion in acquisitions and CAD 400 million in non-core dispositions in 2025, bringing total acquisitions since 2021 to CAD 3.3 billion and significantly enhancing portfolio quality and growth potential.

• Tenant sales productivity rose from CAD 523 per sq ft in 2021 to CAD 800 per sq ft in 2025, with newly acquired centers averaging over CAD 1,000 per sq ft.

• Raised 2026 guidance and increased annual distribution by 2.3% to $0.88 per unit, marking the fifth consecutive annual increase.

• Maintained low leverage (debt-to-EBITDA at 5.8x), robust liquidity, and a conservative capital structure.

• Repurchased 5.2 million units in 2025 at a 29% discount to NAV, delivering a 43% immediate return on CAD 79 million invested.

Financial highlights

• FFO per unit for Q4 2025 was CAD 0.513, up 11.6% year-over-year; full-year FFO per unit was CAD 1.85, up 9.2%.

• Same-property cash NOI for Q4 increased 6.8% and 5.6% for the year; total CRU sales volume rose to CAD 3.55 billion in 2025.

• FFO payout ratio for 2025 was 46.7%, at the low end of the 45%-50% target range.

• Weighted average net rent per sq ft increased 26% to CAD 31.78; CRU average rent up nearly 15% to CAD 49.68.

• Net Asset Value per unit at year-end was $21.21, representing a significant discount to current unit price.

Outlook and guidance

• 2026 cash NOI guidance: CAD 390 million–CAD 400 million; FFO per unit diluted: CAD 1.85–CAD 1.90.

• Same-property cash NOI growth expected at 1%-3% in 2026, with higher growth anticipated in 2027–2028 as anchor vacancies are re-leased.

• Occupancy guidance for 2026 is 86%–88%.

• Redevelopment spending in 2026 projected at CAD 60–64 million, with CAD 35 million for HBC anchor re-leasing.

• Three-year targets include in-place occupancy of 94–96%, annual FFO per unit growth of 4–6%, and annual distribution growth of 2–4%.