Kimco Realty Corporation

Kimco reported second-quarter FFO of $309.2 million, or $0.46 per diluted share, versus $297.6 million, or $0.44 per diluted share, a year ago. Same-property NOI increased 3.5% year over year, and credit loss was 57 basis points versus 89 basis points in the second quarter of 2025; year-to-date credit loss was 54 basis points. The balance sheet ended the quarter with consolidated net debt to EBITDA of 5.2x, or 5.5x on a look-through basis, and $2.7 billion of total liquidity, including $700 million of cash on hand. For full-year 2026, management raised FFO guidance to $1.83-$1.84 per diluted share from $1.81-$1.84, lifted same-property NOI growth guidance to 3.0%-3.5% from 2.8%-3.5%, and tightened the credit loss assumption to 55-75 basis points from 65-90 basis points. The board declared a quarterly cash dividend of $0.28 per common share, or $1.12 annualized, and management also highlighted a $600 million exchangeable note issuance at a 3.5% coupon.

Conor Flynn said the quarter validated Kimco’s growth strategy and the strength of its portfolio, platform, and operating model. He emphasized strong retailer demand, positive shopper traffic, and the company’s ability to create value through mixed-use development and capital recycling, including monetizing the Milton and redeploying proceeds into higher-growth grocery-anchored assets. His tone was confident and constructive, and he repeatedly framed the company as having strong visibility into the rest of the year and a balance sheet that gives it flexibility to “play offense” while staying disciplined.

Glenn Cohen focused on the financial durability of the quarter: FFO of $309.2 million, or $0.46 per share, same-property NOI growth of 3.5%, and lower credit loss of 57 basis points. He noted the company ended with $2.7 billion of liquidity and $700 million of cash, and that the $600 million exchangeable notes were issued at 3.5% with an initial exchange price of about $32.36 per share; Kimco also repurchased about 4.1 million shares for $104.7 million in connection with that deal. He said the board’s dividend increase reflected growing operating cash flows and taxable income, and that the outlook changes were driven by first-half performance, improving credit trends, financing activity, and transaction timing.

Analysts pressed on the pace and mix of capital recycling, and Ross Cooper said the company expects more activity in the back half of the year, including a likely monetization of the Witmer next, plus continued use of structured investments and ground lease sales. Questions also focused on how the new One Kimco operating model affects tenant negotiations and margins; management said it creates one national message, improves execution, and should support margin expansion and faster rent commencements. Several questions probed the SNO pipeline and occupancy runway, with management saying the pipeline is still ahead of plan, cash commencements are accelerating, and there is still room to push occupancy higher, especially on the anchor side.