Kimco Raises FFO Guidance to $1.73-$1.75 and Lifts NOI Growth Outlook Amid Strong Tenant Demand

Kimco Realty Corporation raised its FFO guidance to $1.73-$1.75 and lifted NOI growth outlook to 3% or better. CEO Conor C. Flynn noted consistent high-quality execution, with FFO reaching $0.44 per diluted share, up 7.3% YoY. Flynn emphasized robust tenant demand, with a blended pro-rata leasing spread of 15%, the highest on record.

Kimco Realty Corporation (KIM) has raised its Funds From Operations (FFO) guidance for 2025 to $1.73-$1.75 per diluted share and lifted its same-site Net Operating Income (NOI) growth outlook to 3% or better. The company reported strong quarterly performance, with FFO reaching $0.44 per diluted share, up 7.3% year-over-year (YoY).

CEO Conor C. Flynn highlighted consistent high-quality execution and robust tenant demand, noting that the blended pro-rata leasing spread reached 15%, the highest level in nearly eight years. Flynn also emphasized the strategic capital allocation strategy, focusing on recycling capital and monetizing low-growth assets, as well as the expansion of AI deployment to support long-term value creation.

The company's financial results for the second quarter of 2025 included a 3.1% increase in same-site NOI and a record small shop occupancy of 92.2%. Kimco also reported strong progress in its RPT portfolio, with small shop occupancy rising to 90.3%.

Kimco's management expressed confidence in achieving the new guidance, attributing the lower second-half NOI to the impact of bankruptcies but expressing optimism about the company's ability to meet the target. The company's liquidity position remains strong, with over $2.2 billion in cash and a net debt to EBITDA ratio of 5.4x.

Kimco's management communicated increased confidence in their operational strategy and execution, supported by upward guidance revisions and stronger commentary on operational momentum, capital allocation discipline, and structured investment pipeline.

References:
[1] https://seekingalpha.com/news/4476225-kimco-raises-ffo-guidance-to-1_73-1_75-and-lifts-noi-growth-outlook-to-3-percent-or-better
[2] https://finance.yahoo.com/news/kimco-realty-announces-second-quarter-105000025.html